DoD awards L3Harris $24.7M for RF Repeaters, raising concerns about limited competition and taxpayer impact
Contract Overview
Contract Amount: $24,678,610 ($24.7M)
Contractor: L3harris Technologies, Inc
Awarding Agency: Department of Defense
Start Date: 2012-09-21
End Date: 2020-07-20
Contract Duration: 2,859 days
Daily Burn Rate: $8.6K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: RF REPEATERS SYSTEMS
Place of Performance
Location: VAN NUYS, LOS ANGELES County, CALIFORNIA, 91406
Plain-Language Summary
Department of Defense obligated $24.7 million to L3HARRIS TECHNOLOGIES, INC for work described as: RF REPEATERS SYSTEMS Key points: 1. Significant contract value awarded to a single vendor. 2. Limited competition raises questions about price discovery and potential overpayment. 3. Long contract duration (2859 days) increases risk exposure. 4. Sector context suggests potential for more competitive bidding in similar systems.
Value Assessment
Rating: questionable
The contract value of $24.7 million for RF Repeaters Systems is difficult to assess without comparable contract data. However, the lack of competition suggests potential for inflated pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, indicating a sole-source or limited-source award. This significantly restricts price discovery and may lead to less favorable terms for the government.
Taxpayer Impact: The absence of competitive bidding likely results in higher costs for taxpayers compared to a fully competitive procurement.
Public Impact
Taxpayers may be overpaying for essential RF repeater systems due to lack of competition. The long contract duration could lock the government into potentially outdated technology or higher prices. Limited visibility into the procurement process raises accountability questions.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Long contract duration
- Lack of price benchmark
Positive Signals
- Definitive contract awarded
- Firm fixed price contract type
Sector Analysis
The 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' sector is broad. While specific benchmarks for RF repeaters are unavailable, the defense industry often sees competitive procurements for similar electronic systems.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation is needed to assess small business participation.
Oversight & Accountability
The 'NOT AVAILABLE FOR COMPETITION' status warrants further oversight to ensure the justification for limited competition was sound and that all avenues for competitive sourcing were explored.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Limited competition
- Long contract duration
- Potential for overpricing
- Lack of transparency in justification for limited competition
Tags
search-detection-navigation-guidance-aer, department-of-defense, ca, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $24.7 million to L3HARRIS TECHNOLOGIES, INC. RF REPEATERS SYSTEMS
Who is the contractor on this award?
The obligated recipient is L3HARRIS TECHNOLOGIES, INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $24.7 million.
What is the period of performance?
Start: 2012-09-21. End: 2020-07-20.
What was the specific justification for limiting competition on this $24.7 million contract for RF Repeaters Systems?
The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION.' A thorough review would require accessing the contract's justification and approval (J&A) document to understand the specific technical, programmatic, or other reasons cited for foregoing full and open competition. This is crucial for assessing the validity of the limited competition.
How does the awarded price compare to industry benchmarks for similar RF repeater systems, considering the lack of competition?
Without access to comparable contract awards or detailed cost breakdowns, a direct price comparison is challenging. However, the absence of competition inherently suggests a higher risk of the price not reflecting market value. Benchmarking would ideally involve analyzing prices from other government agencies or commercial entities for similar systems procured competitively.
What is the potential risk of technological obsolescence given the contract's nearly 8-year duration (2859 days)?
A contract duration of 2859 days (approximately 7.8 years) presents a significant risk of technological obsolescence, especially in rapidly evolving fields like RF systems. The government could be locked into using systems that become outdated or less effective compared to newer technologies available on the market during the contract period.
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: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: M6785411R2201
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 7821 ORION AVE, VAN NUYS, CA, 91406
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: $25,000,000
Exercised Options: $24,678,610
Current Obligation: $24,678,610
Subaward Activity
Number of Subawards: 4
Total Subaward Amount: $1,468,901
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2012-09-21
Current End Date: 2020-07-20
Potential End Date: 2020-07-20 00:00:00
Last Modified: 2021-11-03
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