GSA awards Boeing $40M contract for CSEL radios, a significant investment in communication technology
Contract Overview
Contract Amount: $39,994,810 ($40.0M)
Contractor: THE Boeing Company
Awarding Agency: General Services Administration
Start Date: 2009-08-27
End Date: 2011-12-31
Contract Duration: 856 days
Daily Burn Rate: $46.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: THE PROCUREMENT OF CSEL RADIOS AND ANCILLARY EQUIPMENT
Place of Performance
Location: TEXARKANA, BOWIE County, TEXAS, 75507
State: Texas Government Spending
Plain-Language Summary
General Services Administration obligated $40.0 million to THE BOEING COMPANY for work described as: THE PROCUREMENT OF CSEL RADIOS AND ANCILLARY EQUIPMENT Key points: 1. The contract value of $39.99M represents a substantial commitment to enhancing secure communication capabilities. 2. Awarded to a single, large contractor, this suggests a focus on established providers for critical systems. 3. The firm-fixed-price structure aims to control costs and provide predictability for the government. 4. The duration of 856 days indicates a medium-term project for the delivery and integration of these radios. 5. This procurement falls under custom computer programming services, highlighting the software-intensive nature of modern communication equipment.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without specific performance metrics or detailed cost breakdowns. The firm-fixed-price nature suggests an attempt to manage costs upfront. However, the absence of a clear per-unit cost comparison or benchmark against similar radio systems makes a definitive value-for-money assessment difficult. Further analysis would require understanding the specific capabilities and quantities of the CSEL radios procured.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The fact that it resulted in an award to The Boeing Company suggests they offered the most advantageous proposal based on the government's criteria. The presence of competition is generally positive for price discovery, though the specific number of bids received is not detailed here.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to better pricing and innovative solutions, ensuring government funds are used efficiently.
Public Impact
The primary beneficiaries are likely military or government personnel requiring secure and reliable communication systems. The services delivered include the provision of CSEL radios and associated ancillary equipment. The geographic impact is likely national, supporting federal operations across various locations. Workforce implications could include roles in manufacturing, integration, testing, and support for the communication systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics makes it hard to assess if the full potential value is being realized.
- The specific capabilities of the CSEL radios are not detailed, making it difficult to compare against alternative solutions.
- Reliance on a single awardee for a critical communication system could pose supply chain risks if not managed carefully.
Positive Signals
- Awarded through full and open competition, suggesting a robust bidding process.
- Firm-fixed-price contract type helps in budget certainty and cost control.
- The procurement of specialized communication equipment addresses a clear government need.
Sector Analysis
This contract falls within the broader aerospace and defense sector, specifically focusing on communication systems. The market for secure military communication equipment is characterized by high technological barriers to entry and significant R&D investment. Comparable spending benchmarks would involve looking at other government procurements for tactical radios, satellite communication systems, and related network infrastructure, which often represent multi-million dollar investments.
Small Business Impact
This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. There is no explicit mention of subcontracting plans for small businesses. This suggests that the primary awardee, Boeing, will likely fulfill the contract requirements directly or through larger partners, potentially limiting direct opportunities for small businesses in this specific procurement.
Oversight & Accountability
Oversight for this contract would typically fall under the General Services Administration (GSA), specifically its Federal Acquisition Service. Accountability measures are inherent in the firm-fixed-price contract type, which holds the contractor responsible for delivering the specified goods and services within the agreed-upon price. Transparency is facilitated through contract award databases, though detailed operational oversight and inspector general jurisdiction would depend on the specific nature of the CSEL radios and their deployment.
Related Government Programs
- Tactical Radio Systems
- Secure Communication Networks
- Defense Communication Equipment
- Satellite Communication Systems
Risk Flags
- Potential for technological obsolescence
- Integration complexity with existing infrastructure
- Supply chain vulnerability for specialized components
Tags
defense, general-services-administration, gsa, the-boeing-company, firm-fixed-price, full-and-open-competition, communications-equipment, radios, texas, custom-computer-programming-services, large-contract
Frequently Asked Questions
What is this federal contract paying for?
General Services Administration awarded $40.0 million to THE BOEING COMPANY. THE PROCUREMENT OF CSEL RADIOS AND ANCILLARY EQUIPMENT
Who is the contractor on this award?
The obligated recipient is THE BOEING COMPANY.
Which agency awarded this contract?
Awarding agency: General Services Administration (Federal Acquisition Service).
What is the total obligated amount?
The obligated amount is $40.0 million.
What is the period of performance?
Start: 2009-08-27. End: 2011-12-31.
What is the specific type and capability of the CSEL radios procured under this contract?
The provided data indicates the procurement is for 'CSEL RADIOS AND ANCILLARY EQUIPMENT'. CSEL typically refers to the 'Secure Communications and Information Systems Directorate' or similar entities within defense organizations, implying these are secure, likely tactical, communication devices. Without more specific product codes or descriptions, the exact capabilities (e.g., frequency bands, encryption standards, data transmission rates, form factor) remain unspecified. However, given the context of defense procurements, these radios are expected to offer robust, secure, and potentially mobile communication solutions for military or government personnel operating in various environments.
How does the $39.99 million contract value compare to historical spending on similar communication systems by the GSA or other agencies?
Comparing the $39.99 million contract value requires identifying truly comparable procurements. If 'CSEL Radios' refers to a specific program like the Combat Survivor Evasion Location (CSEL) radio system, then this value needs to be benchmarked against other awards for that specific system or its predecessors. If it's a more general term for secure radios, then comparisons would be made against other tactical radio or secure communication suite procurements. For instance, other large-scale tactical radio buys can range from tens to hundreds of millions of dollars depending on quantity, technology, and duration. Without knowing the exact quantity and technological sophistication of these CSEL radios, a precise comparison is difficult, but $40 million represents a significant, though not unprecedented, investment for specialized communication hardware.
What are the key performance indicators (KPIs) or metrics used to evaluate the success of this contract?
The provided data does not specify the key performance indicators (KPIs) or metrics used to evaluate the success of this contract. Typically, for procurements of equipment like radios, success metrics would include factors such as on-time delivery, adherence to technical specifications (e.g., range, battery life, encryption strength, durability), reliability rates (mean time between failures), and successful integration with existing communication networks. The firm-fixed-price nature implies that meeting the defined specifications and delivery schedule are primary success factors. Post-delivery performance and user feedback would also likely contribute to a comprehensive evaluation.
What is The Boeing Company's track record with the General Services Administration (GSA) for similar technology procurements?
The Boeing Company has a long history of contracting with various U.S. government agencies, including those served by the GSA, often for large-scale, complex systems. While this specific contract is for radios, Boeing's broader portfolio includes aerospace, defense, and IT solutions. Their track record with GSA would encompass a wide range of services and products. For technology procurements, Boeing is known for delivering sophisticated systems, often under competitive bidding processes. Assessing their specific track record for GSA technology contracts would involve reviewing past awards, performance evaluations, and any reported issues or successes related to similar equipment or services provided to the government.
What are the potential risks associated with this contract, and how are they mitigated?
Potential risks for this contract could include technological obsolescence if the radios are not cutting-edge, integration challenges with existing systems, supply chain disruptions affecting delivery, and potential cost overruns if the firm-fixed-price model doesn't fully account for unforeseen complexities. Mitigation strategies often involve rigorous testing and validation phases, clear technical specifications, robust quality assurance processes, and strong contract management by the GSA. The choice of a well-established contractor like Boeing, with a proven history, also serves as a risk mitigation factor, assuming they have the necessary expertise and resources for this specific technology.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: COMM/DETECT/COHERENT RADIATION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 02FM2190508
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 131 NATIONAL BUSINESS PKWY STE 120, ANNAPOLIS JUNCTION, MD, 05
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $39,994,810
Exercised Options: $39,994,810
Current Obligation: $39,994,810
Parent Contract
Parent Award PIID: GS35F0777J
IDV Type: FSS
Timeline
Start Date: 2009-08-27
Current End Date: 2011-12-31
Potential End Date: 2011-12-31 00:00:00
Last Modified: 2015-02-03
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