DoD's $147M Contract for Enhanced Radar Capabilities Faces Scrutiny Amidst R&D Focus

Contract Overview

Contract Amount: $14,693,205 ($14.7M)

Contractor: Raytheon Company

Awarding Agency: Department of Defense

Start Date: 2024-07-11

End Date: 2028-01-31

Contract Duration: 1,299 days

Daily Burn Rate: $11.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 999

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: RASP WILL DEVELOP ENHANCED RADAR SP CAPABILITIES THAT TAKE ADVANTAGE OF NEXT GENERATION RECEIVERS/EXCITERS AND COMPUTING ACCELERATORS FOR TRANSITION INTO SHIPBOARD RADARS THAT OPERATE IN INCREASINGLY HARSH ENVIRONMENTS AGAINST CHALLENGING TARGETS

Place of Performance

Location: TEWKSBURY, MIDDLESEX County, MASSACHUSETTS, 01876

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $14.7 million to RAYTHEON COMPANY for work described as: RASP WILL DEVELOP ENHANCED RADAR SP CAPABILITIES THAT TAKE ADVANTAGE OF NEXT GENERATION RECEIVERS/EXCITERS AND COMPUTING ACCELERATORS FOR TRANSITION INTO SHIPBOARD RADARS THAT OPERATE IN INCREASINGLY HARSH ENVIRONMENTS AGAINST CHALLENGING TARGETS Key points: 1. The contract aims to advance shipboard radar technology for challenging environments. 2. Focus on R&D in Biotechnology (except Nanobiotechnology) is noted, though the core is radar. 3. Competition was full and open, suggesting a potentially competitive pricing environment. 4. The sector is defense, with significant investment in advanced capabilities.

Value Assessment

Rating: questionable

The contract is Cost Plus Fixed Fee, which can lead to cost overruns if not managed tightly. Benchmarking is difficult without specific performance metrics and comparable R&D projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, which is positive for price discovery. However, the Cost Plus Fixed Fee structure requires robust oversight to ensure value for money.

Taxpayer Impact: Taxpayer funds are allocated for advanced defense technology development, with the ultimate value dependent on successful implementation and operational effectiveness.

Public Impact

Enhances national defense capabilities through advanced radar systems. Supports technological innovation in the defense sector. Potential for improved threat detection and response at sea. Investment in future military readiness.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize higher spending.
  • R&D focus may have uncertain outcomes and timelines.
  • Specific performance metrics for 'enhanced' capabilities are not detailed.

Positive Signals

  • Full and open competition promotes market engagement.
  • Aims to address increasingly harsh operational environments.
  • Invests in next-generation technology for naval superiority.

Sector Analysis

This contract falls within the defense sector, specifically focusing on research and development for advanced radar systems. Spending benchmarks for similar R&D contracts can vary widely based on technological complexity and scope.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract. The prime contractor, Raytheon Company, is a large defense firm.

Oversight & Accountability

The Cost Plus Fixed Fee structure necessitates strong government oversight to monitor costs, ensure progress, and prevent potential overruns. Accountability will be key to realizing the value of this investment.

Related Government Programs

  • Research and Development in Biotechnology (except Nanobiotechnology)
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • R&D focus with potential for scope creep.
  • Lack of specific performance metrics in provided data.
  • Long contract duration (over 5 years).

Tags

research-and-development-in-biotechnolog, department-of-defense, ma, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.7 million to RAYTHEON COMPANY. RASP WILL DEVELOP ENHANCED RADAR SP CAPABILITIES THAT TAKE ADVANTAGE OF NEXT GENERATION RECEIVERS/EXCITERS AND COMPUTING ACCELERATORS FOR TRANSITION INTO SHIPBOARD RADARS THAT OPERATE IN INCREASINGLY HARSH ENVIRONMENTS AGAINST CHALLENGING TARGETS

Who is the contractor on this award?

The obligated recipient is RAYTHEON COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $14.7 million.

What is the period of performance?

Start: 2024-07-11. End: 2028-01-31.

What specific performance improvements are expected from these enhanced radar capabilities, and how will they be measured against the contract's objectives?

The contract aims to leverage next-generation receivers/exciters and computing accelerators for shipboard radars operating in harsh environments against challenging targets. Specific performance improvements are not detailed in the provided data but would likely include enhanced detection range, improved target discrimination, reduced false alarms, and greater resilience to electronic warfare. Measurement would involve rigorous testing and validation against defined operational requirements and threat scenarios.

Given the Cost Plus Fixed Fee structure, what mechanisms are in place to mitigate the risk of cost overruns and ensure efficient use of taxpayer funds?

Mitigation strategies for Cost Plus Fixed Fee contracts typically include stringent government oversight, detailed cost tracking and reporting requirements, regular performance reviews, and clearly defined milestones. The government contracting officer and technical team must actively manage the contract, scrutinize expenditures, and ensure that the fixed fee remains appropriate relative to the effort expended and risks assumed by the contractor.

How does this investment in advanced radar technology align with the Department of the Navy's broader strategic goals for maintaining technological superiority?

This investment directly supports the Department of the Navy's strategic goal of maintaining technological superiority by enhancing critical sensor capabilities. Advanced radar is fundamental to situational awareness, threat detection, and engagement across naval operations. By incorporating next-generation technologies, the Navy aims to stay ahead of evolving threats and ensure its platforms remain effective in contested maritime environments.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in Biotechnology (except Nanobiotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Solicitation ID: N0001423SB001

Offers Received: 999

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: RTX Corp

Address: 50 APPLE HILL DR, TEWKSBURY, MA, 01876

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: $42,998,434

Exercised Options: $22,856,138

Current Obligation: $14,693,205

Subaward Activity

Number of Subawards: 22

Total Subaward Amount: $8,274,973

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2024-07-11

Current End Date: 2028-01-31

Potential End Date: 2028-01-31 00:00:00

Last Modified: 2026-01-05

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