Northrop Grumman receives $34.9M for F-35 reprogramming lab services, awarded via full and open competition

Contract Overview

Contract Amount: $34,930,422 ($34.9M)

Contractor: Northrop Grumman Systems Corporation

Awarding Agency: General Services Administration

Start Date: 2015-11-04

End Date: 2020-02-05

Contract Duration: 1,554 days

Daily Burn Rate: $22.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: F35 LIGHTNING II RC WEST REPROGRAMMING LABORATORY VVS RF THREAT SIMULATOR. IGF::CT::IGF

Place of Performance

Location: POINT MUGU NAWC, VENTURA County, CALIFORNIA, 93042

State: California Government Spending

Plain-Language Summary

General Services Administration obligated $34.9 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: F35 LIGHTNING II RC WEST REPROGRAMMING LABORATORY VVS RF THREAT SIMULATOR. IGF::CT::IGF Key points: 1. Contract awarded for specialized IT services supporting the F-35 program. 2. Full and open competition suggests a potentially competitive bidding process. 3. Firm Fixed Price contract type aims to control costs. 4. Long duration of 1554 days indicates a significant, ongoing requirement. 5. Services fall under Computer Systems Design, a critical IT sector. 6. Awarded by GSA, indicating a potential for broader government use or standardization.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific details on the scope of 'reprogramming laboratory' services and the threat simulator's capabilities. The firm fixed price structure is a positive indicator for cost control. However, the total value of $34.9 million over approximately four years suggests a substantial investment. Further analysis would require comparing the deliverables and performance metrics against similar specialized IT development and simulation contracts within the defense sector.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. This suggests a deliberate effort to solicit a wide range of potential contractors. The number of bidders is not specified, but this procurement method generally fosters price discovery and encourages competitive pricing among offerors.

Taxpayer Impact: A full and open competition process is generally favorable for taxpayers as it aims to secure the best value by allowing multiple companies to compete, potentially driving down costs through market forces.

Public Impact

The primary beneficiaries are the U.S. Air Force and its partners involved in the F-35 program, receiving advanced simulation and reprogramming capabilities. Services delivered include the development and maintenance of a reprogramming laboratory and threat simulator, crucial for electronic warfare and mission planning. The geographic impact is primarily centered in California, where the contractor is located and likely where the services are performed. Workforce implications include the need for highly skilled software engineers, cybersecurity specialists, and systems integration professionals within Northrop Grumman.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the effectiveness of the services provided.
The long contract duration could lead to scope creep or require significant oversight to ensure continued alignment with evolving F-35 program needs.
Reliance on a single contractor for such a critical component of the F-35's electronic warfare capabilities could pose a risk if the contractor faces significant financial or operational challenges.

Positive Signals

The use of a firm fixed price contract provides cost certainty for the government.
Awarding through full and open competition suggests a robust process aimed at achieving competitive pricing.
The contract supports a high-priority defense program (F-35), indicating strategic importance and likely adherence to stringent quality standards.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on computer systems design and simulation services for defense applications. The market for defense IT, particularly for advanced platforms like the F-35, is characterized by high barriers to entry due to specialized knowledge requirements and security clearances. Spending in this area is substantial, driven by the need for continuous technological advancement in military capabilities. Comparable spending benchmarks would involve analyzing other contracts for simulation, electronic warfare, and software development services for major defense platforms.

Small Business Impact

The data indicates that small business participation was not a primary focus for this specific contract, as 'sb' is false. There is no indication of small business set-asides or subcontracting requirements mentioned in the provided data. This suggests that the prime contractor, Northrop Grumman, is likely handling the majority of the work internally or through large business partners. The impact on the small business ecosystem for this particular award appears minimal based on the available information.

Oversight & Accountability

Oversight for this contract would likely be managed by the contracting officer and program management personnel within the relevant Department of Defense agency or the General Services Administration (GSA) Federal Acquisition Service. Accountability measures are typically embedded within the contract's terms and conditions, including performance standards and payment schedules tied to deliverables. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

F-35 Program Support Contracts
Defense Simulation and Training Systems
Electronic Warfare Systems Development
Computer Systems Design Services (NAICS 541512)
Northrop Grumman Defense Contracts

Risk Flags

Potential for technical complexity
Long contract duration may increase risk of scope creep
Reliance on a single prime contractor for critical EW capabilities

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $34.9 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. F35 LIGHTNING II RC WEST REPROGRAMMING LABORATORY VVS RF THREAT SIMULATOR. IGF::CT::IGF

Who is the contractor on this award?

The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORPORATION.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $34.9 million.

What is the period of performance?

Start: 2015-11-04. End: 2020-02-05.

What specific reprogramming laboratory functions and threat simulation capabilities are included in this contract?

The provided data does not detail the specific functions or capabilities of the reprogramming laboratory and threat simulator. These services likely involve developing, testing, and updating software for the F-35's electronic warfare systems, including radar, jamming, and countermeasure technologies. The 'VVS RF Threat Simulator' suggests a focus on radio frequency (RF) environments and simulating enemy threats to test and enhance the aircraft's survivability and mission effectiveness. A deeper dive into the contract statement of work (SOW) would be necessary to ascertain the precise technical specifications and deliverables.

How does the $34.9 million cost compare to similar F-35 support contracts or other defense simulation projects?

Directly comparing the $34.9 million cost without detailed scope information is difficult. However, for context, major defense programs often involve multi-billion dollar investments over their lifecycle. Specialized IT and simulation services for advanced platforms like the F-35 typically command high prices due to the complexity, security requirements, and intellectual property involved. For instance, other contracts for developing or maintaining simulation systems for fighter jets can range from tens to hundreds of millions of dollars, depending on the system's sophistication and duration. This $34.9 million award appears to be a significant but not extraordinary investment for a dedicated laboratory and simulator over a four-year period within the F-35 ecosystem.

What are the key performance indicators (KPIs) used to evaluate Northrop Grumman's performance under this contract?

The provided data does not specify the key performance indicators (KPIs) for this contract. Typically, for IT development and simulation services, KPIs might include on-time delivery of software updates, system uptime and availability, successful simulation of defined threat scenarios, adherence to cybersecurity protocols, and the accuracy of threat modeling. The firm fixed price nature suggests that meeting defined technical requirements and delivery schedules would be paramount. Without access to the contract's SOW or performance work statement (PWS), the exact KPIs remain unknown.

What is Northrop Grumman's track record with the F-35 program and similar simulation/reprogramming contracts?

Northrop Grumman is a major defense contractor and a key partner on the F-35 program, responsible for critical systems such as the AN/APG-81 AESA radar, the cockpit mission systems, and the electronic warfare system. Their extensive experience with the F-35 platform suggests a strong track record in developing and integrating complex avionics and mission systems. They have a history of delivering sophisticated simulation and training solutions for various military aircraft. This specific contract leverages their established expertise in electronic warfare and software development for advanced combat aircraft.

What is the historical spending trend for F-35 reprogramming laboratory and threat simulator services?

Historical spending data for this specific category of 'F-35 reprogramming laboratory and threat simulator services' is not directly available in the provided snippet. However, overall spending on the F-35 program has been substantial and ongoing for many years, encompassing development, production, sustainment, and modernization. Investments in electronic warfare capabilities, including threat simulation and reprogramming, are critical and continuous due to evolving adversary tactics and technologies. Therefore, it can be inferred that spending in this area has been consistent and significant, likely fluctuating based on program milestones and technological refresh cycles.

Are there any identified risks associated with this contract, such as technical challenges, schedule delays, or cost overruns?

While the provided data doesn't explicitly list risks, potential risks inherent in such a contract could include technical complexity in simulating advanced RF threats, potential schedule delays due to the intricate nature of software development and integration, and the possibility of cost growth if unforeseen technical challenges arise, despite the firm fixed price structure. Cybersecurity vulnerabilities in the reprogramming lab could also pose a significant risk. The long duration increases the potential for requirements to shift, necessitating careful change management.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: ID04150012

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Northrop Grumman Corporation (UEI: 967356127)

Address: 7575 COLSHIRE DR, MCLEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $34,930,425

Exercised Options: $34,930,422

Current Obligation: $34,930,422

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q09BGD0056

IDV Type: GWAC

Timeline