DoD Awards Raytheon $25.4M for Tactical Boost Glide Program R&D

Contract Overview

Contract Amount: $25,396,109 ($25.4M)

Contractor: Raytheon Company

Awarding Agency: Department of Defense

Start Date: 2014-09-18

End Date: 2016-12-31

Contract Duration: 835 days

Daily Burn Rate: $30.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: CONTRACT AWARD FOR THE TACTICAL BOOST GLIDE (TBG) PROGRAM.

Place of Performance

Location: TUCSON, PIMA County, ARIZONA, 85756

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $25.4 million to RAYTHEON COMPANY for work described as: CONTRACT AWARD FOR THE TACTICAL BOOST GLIDE (TBG) PROGRAM. Key points: 1. Significant investment in advanced defense technology. 2. Raytheon, a major defense contractor, is the awardee. 3. Focus on R&D in physical and engineering sciences. 4. Potential for technological advancement in glide systems.

Value Assessment

Rating: good

The contract value of $25.4 million for a 2.7-year R&D effort appears reasonable given the specialized nature of the Tactical Boost Glide program. Benchmarking against similar advanced aerospace R&D contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and ensures the government receives competitive pricing for complex R&D efforts.

Taxpayer Impact: Taxpayer funds are being invested in cutting-edge defense research, aiming for technological superiority and national security.

Public Impact

Advancement in hypersonic or advanced missile technology. Potential for dual-use applications in civilian aerospace. Boosts R&D capabilities within the defense industrial base.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost-plus contracts can lead to cost overruns if not managed tightly.
  • Long duration for R&D projects carries inherent uncertainty.
  • Specific performance metrics and deliverables need close monitoring.

Positive Signals

  • Awarded under full and open competition.
  • Focus on critical defense research area.
  • Experienced contractor selected.

Sector Analysis

This contract falls within the Research and Development sector, specifically for physical and engineering sciences. Defense R&D spending is a significant portion of the federal budget, often characterized by high innovation potential and long development cycles.

Small Business Impact

The awardee, Raytheon Company, is a large business. There is no specific indication of small business participation in this particular award, which is common for large-scale, specialized R&D contracts.

Oversight & Accountability

Oversight will be crucial to ensure the R&D objectives are met within budget and schedule. The Department of Defense and DARPA typically have robust oversight mechanisms for such advanced programs.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • Department of Defense Contracting
  • Defense Advanced Research Projects Agency Programs

Risk Flags

  • Cost overrun potential in CPFF contracts.
  • Technical feasibility and performance risks in advanced R&D.
  • Long project duration increases uncertainty.
  • Dependency on specific scientific breakthroughs.

Tags

research-and-development-in-the-physical, department-of-defense, az, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.4 million to RAYTHEON COMPANY. CONTRACT AWARD FOR THE TACTICAL BOOST GLIDE (TBG) PROGRAM.

Who is the contractor on this award?

The obligated recipient is RAYTHEON COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Advanced Research Projects Agency).

What is the total obligated amount?

The obligated amount is $25.4 million.

What is the period of performance?

Start: 2014-09-18. End: 2016-12-31.

What are the specific technological advancements expected from the Tactical Boost Glide program and how will they be measured?

The specific technological advancements are likely related to achieving stable, high-speed atmospheric glide capabilities for tactical applications. Measurement will involve rigorous testing and validation of key performance parameters such as speed, maneuverability, range, and payload delivery accuracy. DARPA's oversight will ensure adherence to defined milestones and success criteria throughout the project lifecycle.

What are the primary risks associated with the cost-plus fixed fee contract structure for this R&D effort?

The primary risks with a Cost Plus Fixed Fee (CPFF) contract for R&D include potential cost overruns if the contractor's actual costs exceed estimates, and the fixed fee might not adequately compensate for unforeseen complexities or scope changes. Effective government oversight, clear definition of work, and robust cost tracking are essential to mitigate these risks and ensure value for taxpayer money.

How will the success of this R&D investment be evaluated in terms of long-term defense effectiveness?

Success will be evaluated based on the successful development and demonstration of the Tactical Boost Glide system's capabilities, meeting or exceeding defined performance metrics. Long-term effectiveness will be assessed by its potential integration into future defense systems, its contribution to maintaining technological superiority, and its ability to provide a strategic advantage in tactical scenarios.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTDEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1151 E HERMANS RD, TUCSON, AZ, 85756

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: $25,396,109

Exercised Options: $25,396,109

Current Obligation: $25,396,109

Subaward Activity

Number of Subawards: 33

Total Subaward Amount: $4,977,358

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2014-09-18

Current End Date: 2016-12-31

Potential End Date: 2016-12-31 00:00:00

Last Modified: 2018-02-16

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