DHS Coast Guard Awards $32.1M for 17 Seaspray Radar Systems, Training, and Installation
Contract Overview
Contract Amount: $32,155,627 ($32.2M)
Contractor: Leonardo UK Ltd
Awarding Agency: Department of Homeland Security
Start Date: 2008-03-14
End Date: 2008-05-31
Contract Duration: 78 days
Daily Burn Rate: $412.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: PURCHASE OF FIFTEEN (15) PRODUCTION SEASPRAY 7500E SURFACE SEARCH RADAR SYSTEMS INCLUDING REMOVAL OF THE EXISTING RAYTHEON APS-137 RADAR SYTEM, INSTALLATION KITS, ICE DETECTION CAPABILITY, OPERATOR TRAINING AND TWO (2) SPARE RADAR SYSTEMS
Plain-Language Summary
Department of Homeland Security obligated $32.2 million to LEONARDO UK LTD for work described as: PURCHASE OF FIFTEEN (15) PRODUCTION SEASPRAY 7500E SURFACE SEARCH RADAR SYSTEMS INCLUDING REMOVAL OF THE EXISTING RAYTHEON APS-137 RADAR SYTEM, INSTALLATION KITS, ICE DETECTION CAPABILITY, OPERATOR TRAINING AND TWO (2) SPARE RADAR SYSTEMS Key points: 1. Significant investment in advanced radar technology for maritime surveillance. 2. Contract awarded to Leonardo UK Ltd, a key player in defense electronics. 3. Potential for obsolescence risk with older radar system removal. 4. Focus on search and detection capabilities highlights operational needs.
Value Assessment
Rating: good
The total award of $32.16M for 17 radar systems (15 production + 2 spares) and associated services appears reasonable given the advanced technology and scope. Benchmarking against similar complex radar system procurements would provide a more precise valuation.
Cost Per Unit: $1,891,507
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process that likely drove a fair price. This method ensures multiple vendors had the opportunity to propose solutions.
Taxpayer Impact: Taxpayer funds are being used for critical national security and operational assets, ensuring the Coast Guard has necessary surveillance capabilities.
Public Impact
Enhances U.S. Coast Guard's maritime domain awareness and interdiction capabilities. Improves search and rescue operations through advanced detection technology. Supports national security by bolstering border and coastal surveillance. Potential for follow-on procurements or upgrades based on system performance.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for integration challenges with existing platforms.
- Reliance on a single foreign supplier for critical technology.
- Risk of cost overruns if installation or training proves complex.
Positive Signals
- Awarded via full and open competition.
- Includes essential training and installation support.
- Addresses critical operational needs for maritime security.
Sector Analysis
The procurement falls within the 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' sector. Spending in this area is driven by defense, homeland security, and aviation needs, with significant R&D investment.
Small Business Impact
The contract was awarded to Leonardo UK Ltd, a large business. There is no indication of specific subcontracting opportunities for small businesses within the provided data.
Oversight & Accountability
The Department of Homeland Security, through the U.S. Coast Guard, is responsible for oversight. Contract award details suggest a structured procurement process, but ongoing performance monitoring details are not provided.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Homeland Security Contracting
- U.S. Coast Guard Programs
Risk Flags
- Potential for technology obsolescence in the future.
- Dependence on a single supplier for critical components.
- Integration complexity with existing maritime platforms.
- Geopolitical risks associated with a foreign supplier.
Tags
search-detection-navigation-guidance-aer, department-of-homeland-security, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $32.2 million to LEONARDO UK LTD. PURCHASE OF FIFTEEN (15) PRODUCTION SEASPRAY 7500E SURFACE SEARCH RADAR SYSTEMS INCLUDING REMOVAL OF THE EXISTING RAYTHEON APS-137 RADAR SYTEM, INSTALLATION KITS, ICE DETECTION CAPABILITY, OPERATOR TRAINING AND TWO (2) SPARE RADAR SYSTEMS
Who is the contractor on this award?
The obligated recipient is LEONARDO UK LTD.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Coast Guard).
What is the total obligated amount?
The obligated amount is $32.2 million.
What is the period of performance?
Start: 2008-03-14. End: 2008-05-31.
What is the long-term sustainment strategy for these radar systems, and what are the projected costs?
The provided data focuses on the initial procurement and installation. A comprehensive long-term sustainment strategy, including maintenance schedules, spare parts provisioning, and projected operational costs over the system's lifecycle, would be crucial for assessing the total cost of ownership and ensuring continued operational readiness.
How will the performance of the new Seaspray 7500E systems be measured against the capabilities of the older Raytheon APS-137 systems?
Performance metrics should be established to quantify the improvements offered by the Seaspray 7500E, such as detection range, accuracy, weather penetration, and target identification capabilities, compared to the legacy APS-137. This comparison is vital for validating the technological upgrade and its return on investment.
Are there any potential cybersecurity risks associated with the new radar systems and their integration into existing Coast Guard networks?
As with any advanced electronic system, cybersecurity is a critical consideration. The integration of the Seaspray 7500E systems into Coast Guard networks necessitates a thorough cybersecurity assessment to identify and mitigate potential vulnerabilities, ensuring the integrity and security of sensitive operational data.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Product/Service Code: COMM/DETECT/COHERENT RADIATION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leonardo SPA (UEI: 428869465)
Address: CREWE TOLL HOUSE, EDINBURGH
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $67,893,109
Exercised Options: $42,039,257
Current Obligation: $32,155,627
Parent Contract
Parent Award PIID: HSCG3805DH00009
IDV Type: IDC
Timeline
Start Date: 2008-03-14
Current End Date: 2008-05-31
Potential End Date: 2008-05-31 00:00:00
Last Modified: 2012-07-30
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