DoD Awards Boeing $120.9M for HARPOON Lot 86 Missile Production
Contract Overview
Contract Amount: $120,901,791 ($120.9M)
Contractor: THE Boeing Company
Awarding Agency: Department of Defense
Start Date: 2011-07-07
End Date: 2012-12-31
Contract Duration: 543 days
Daily Burn Rate: $222.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: HARPOON LOT 86 PRODUCTION
Place of Performance
Location: SAINT LOUIS, SAINT LOUIS CITY County, MISSOURI, 63166
State: Missouri Government Spending
Plain-Language Summary
Department of Defense obligated $120.9 million to THE BOEING COMPANY for work described as: HARPOON LOT 86 PRODUCTION Key points: 1. Significant contract awarded to a single, established defense contractor. 2. Focus on guided missile production, a critical defense capability. 3. Potential for cost efficiencies through firm fixed-price contract. 4. Limited direct small business participation indicated. 5. Contract duration of over 500 days suggests a substantial production run.
Value Assessment
Rating: good
The contract value of $120.9 million for missile production appears reasonable given the nature of defense procurement. Benchmarking against similar missile system contracts would provide a more precise assessment of value.
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 is intended to ensure fair pricing and access for qualified vendors.
Taxpayer Impact: Competition in this award aims to secure the best value for taxpayer funds in acquiring essential defense assets.
Public Impact
Ensures continued availability of a key offensive missile system for naval forces. Supports jobs and economic activity within the aerospace and defense sector. Contributes to national security by maintaining strategic defense capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Reliance on a single large contractor.
- Potential for cost overruns if initial estimates are inaccurate.
- Long-term sustainment and upgrade costs not detailed.
Positive Signals
- Firm fixed-price contract provides cost certainty.
- Awarded through full and open competition.
- Production of a critical defense asset.
Sector Analysis
This contract falls within the Guided Missile and Space Vehicle Manufacturing sector, a specialized area of defense industrial base. Spending in this sector is driven by national security requirements and technological advancements.
Small Business Impact
The data indicates that small business participation was not a primary factor in this specific contract award. Future contracts may offer opportunities for subcontracting to small businesses.
Oversight & Accountability
The Department of the Navy is responsible for overseeing this contract. Standard procurement oversight processes are expected to be in place to monitor performance and costs.
Related Government Programs
- Guided Missile and Space Vehicle Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole source supplier dependency.
- Potential for cost escalation.
- Long-term sustainment costs.
- Supply chain vulnerabilities.
Tags
guided-missile-and-space-vehicle-manufac, department-of-defense, mo, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $120.9 million to THE BOEING COMPANY. HARPOON LOT 86 PRODUCTION
Who is the contractor on this award?
The obligated recipient is THE BOEING 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 $120.9 million.
What is the period of performance?
Start: 2011-07-07. End: 2012-12-31.
What is the historical cost performance of HARPOON missile production contracts awarded to The Boeing Company?
Analyzing historical cost performance on similar HARPOON missile production contracts with The Boeing Company is crucial. This would reveal trends in cost overruns or savings, providing insight into the reliability of their cost estimates and production efficiency. Such data would inform whether the current $120.9 million award is consistent with past performance or represents a deviation.
What are the specific performance metrics and delivery schedules associated with this contract?
Understanding the specific performance metrics and delivery schedules is vital for assessing contract effectiveness. This includes details on the number of missiles to be produced, quality standards, testing requirements, and the timeline for delivery. Adherence to these parameters will determine if the contract meets the Navy's operational needs and timelines efficiently.
Are there any identified risks related to the supply chain or technological obsolescence for the HARPOON missile system?
Assessing risks related to the HARPOON missile system's supply chain and potential technological obsolescence is important. Dependence on specific suppliers or outdated components could lead to production delays or increased costs. Proactive risk mitigation strategies, such as identifying alternative suppliers or planning for technology refreshes, are essential for long-term program viability.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Guided Missile and Space Vehicle Manufacturing
Product/Service Code: GUIDED MISSLES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N0001910R0103
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 6200 JS MCDONNELL BLVD, SAINT LOUIS, MO, 63134
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $120,901,791
Exercised Options: $120,901,791
Current Obligation: $120,901,791
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2011-07-07
Current End Date: 2012-12-31
Potential End Date: 2012-12-31 00:00:00
Last Modified: 2019-07-22
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