DoD Awards Raytheon $112.8M for Counter-UAS Engineering Services, Enhancing HULK System Interoperability

Contract Overview

Contract Amount: $112,864,461 ($112.9M)

Contractor: Raytheon Company

Awarding Agency: Department of Defense

Start Date: 2018-08-27

End Date: 2024-12-15

Contract Duration: 2,302 days

Daily Burn Rate: $49.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: ENGINEERING SERVICES, CET 18-899, COUNTER UNMANNED AERIAL SYSTEM HIGH SPEED UNMANNED LONG RANGE KINETIC KILL. THE PURPOSE OF THIS TASK IS TO ADD CAPABILITIES TO THE HULK SYSTEM TO ALLOW INTEROPERABILITY WITH THE RECONFIGURABLE INTEGRATED-WEAPONS PLATFORM TURRET, THE MOBILE-LOW, SLOW, SMALL UAS INTEGRATED DEFEAT SYSTEM VEHICLE AND THE RPS-42 RADAR DETECTION SYSTEM.

Place of Performance

Location: EL SEGUNDO, LOS ANGELES County, CALIFORNIA, 90245

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $112.9 million to RAYTHEON COMPANY for work described as: ENGINEERING SERVICES, CET 18-899, COUNTER UNMANNED AERIAL SYSTEM HIGH SPEED UNMANNED LONG RANGE KINETIC KILL. THE PURPOSE OF THIS TASK IS TO ADD CAPABILITIES TO THE HULK SYSTEM TO ALLOW INTEROPERABILITY WITH THE RECONFIGURABLE INTEGRATED-WEAPONS PLATFORM TURRET, THE MOBILE-LOW, S… Key points: 1. Significant investment in advanced counter-unmanned aerial system (C-UAS) technology. 2. Focus on integrating HULK system with multiple weapon platforms and radar. 3. Long-term contract (2018-2024) indicates ongoing development and sustainment needs. 4. High-value contract suggests critical national security application.

Value Assessment

Rating: good

The contract is Cost Plus Fixed Fee (CPFF), which can lead to cost overruns if not managed carefully. However, the fixed fee component provides some cost certainty. The total award amount of $112.8M over six years suggests a substantial but potentially reasonable price for complex engineering services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method is expected to yield fair market prices. The specific price discovery mechanism within the CPFF structure would need further review.

Taxpayer Impact: Taxpayer funds are being used for advanced defense technology aimed at national security, specifically addressing the threat of unmanned aerial systems.

Public Impact

Enhances national defense capabilities against drone threats. Supports technological advancement in military engineering. Potential for job creation within the defense sector. Ensures interoperability of critical defense systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize contractor to increase costs.
Long contract duration may not reflect current market prices.
Lack of specific performance metrics in provided data.
Potential for scope creep in complex engineering projects.

Positive Signals

Awarded under full and open competition.
Addresses a critical and evolving national security threat.
Focus on system interoperability improves overall defense effectiveness.
Long-term commitment suggests sustained capability development.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting defense microelectronics and advanced weapon systems. Spending in this area is driven by national security priorities and technological advancements in military hardware and software.

Small Business Impact

The data indicates the prime contractor is Raytheon Company, a large defense contractor. There is no explicit information provided regarding small business participation in this specific delivery order, though large prime contracts often involve subcontracting opportunities.

Oversight & Accountability

The Department of Defense, through its various agencies like the Defense Microelectronics Activity, is responsible for overseeing this contract. Oversight would focus on ensuring technical performance, cost control, and adherence to contract terms throughout the project lifecycle.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Microelectronics Activity Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Long contract duration.
Potential for scope creep.
Lack of detailed performance metrics in public data.
Sole large prime contractor identified.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $112.9 million to RAYTHEON COMPANY. ENGINEERING SERVICES, CET 18-899, COUNTER UNMANNED AERIAL SYSTEM HIGH SPEED UNMANNED LONG RANGE KINETIC KILL. THE PURPOSE OF THIS TASK IS TO ADD CAPABILITIES TO THE HULK SYSTEM TO ALLOW INTEROPERABILITY WITH THE RECONFIGURABLE INTEGRATED-WEAPONS PLATFORM TURRET, THE MOBILE-LOW, SLOW, SMALL UAS INTEGRATED DEFEAT SYSTEM VEHICLE AND THE RPS-42 RADAR DETECTION SYSTEM.

Who is the contractor on this award?

The obligated recipient is RAYTHEON COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Microelectronics Activity).

What is the total obligated amount?

The obligated amount is $112.9 million.

What is the period of performance?

Start: 2018-08-27. End: 2024-12-15.

What is the estimated cost breakdown for the engineering services, and how does it compare to industry benchmarks for similar C-UAS system integration projects?

The provided data does not detail the cost breakdown for the engineering services. A thorough analysis would require access to the contract's detailed cost proposals and performance reports. Comparing this to industry benchmarks would involve identifying comparable C-UAS integration projects and analyzing their cost structures, considering factors like labor rates, complexity, and technology maturity.

What are the specific performance metrics and key performance indicators (KPIs) used to evaluate the success of this engineering effort, and how has Raytheon performed against them?

The provided data does not include specific performance metrics or KPIs for this contract. Evaluating success would require reviewing the contract's Statement of Work (SOW) for defined deliverables, technical performance standards, and acceptance criteria. Performance against these would typically be documented in contract performance reports and milestone reviews conducted by the contracting officer's representative.

How will the interoperability achieved through these engineering services enhance the overall effectiveness and efficiency of the DoD's counter-UAS capabilities?

Achieving interoperability between the HULK system, the turret, the mobile defeat system, and the radar allows for a more integrated and responsive C-UAS network. This means different components can share data and coordinate actions, potentially leading to faster threat detection, identification, and engagement, thereby increasing the overall effectiveness and reducing response times.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HQ072715R0001

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Rockwell Collins Australia PTY Limited

Address: 2000 E EL SEGUNDO BLVD, EL SEGUNDO, CA, 90245

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: $112,864,461

Exercised Options: $112,864,461

Current Obligation: $112,864,461

Subaward Activity

Number of Subawards: 23

Total Subaward Amount: $16,750,796

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ072716D0006

IDV Type: IDC

Timeline