Navy Awards $10.8M to Boeing for F/A-18 Satellite Comms Retrofit Design
Contract Overview
Contract Amount: $10,842,174 ($10.8M)
Contractor: THE Boeing Company
Awarding Agency: Department of Defense
Start Date: 2019-01-22
End Date: 2023-06-30
Contract Duration: 1,620 days
Daily Burn Rate: $6.7K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: F/A-18 RETROFIT DESIGN AND DEVELOPMENT FOR SATELLITE COMMUNICATIONS.
Place of Performance
Location: SAINT LOUIS, SAINT LOUIS County, MISSOURI, 63134
State: Missouri Government Spending
Plain-Language Summary
Department of Defense obligated $10.8 million to THE BOEING COMPANY for work described as: F/A-18 RETROFIT DESIGN AND DEVELOPMENT FOR SATELLITE COMMUNICATIONS. Key points: 1. Significant contract for specialized aircraft modification. 2. Boeing is the sole awardee, raising competition concerns. 3. Risk of cost overruns due to complex design and development. 4. Spending aligns with the Aircraft Manufacturing sector.
Value Assessment
Rating: fair
The $10.8M award for design and development appears reasonable given the specialized nature of retrofitting advanced satellite communications onto F/A-18 aircraft. However, without detailed cost breakdowns or comparisons to similar R&D efforts, a definitive assessment is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded sole-source to The Boeing Company. This lack of competition limits price discovery and may result in higher costs for the government compared to a competitive procurement.
Taxpayer Impact: The sole-source award potentially means taxpayers are not receiving the best possible price due to the absence of competitive bidding.
Public Impact
Enhances F/A-18 operational capabilities with modern satellite communications. Supports the U.S. Navy's fleet modernization efforts. Potential for follow-on production contracts, impacting future spending. Limited public information on the specific technological advancements.
Waste & Efficiency Indicators
Waste Risk Score: 66 / 10
Warning Flags
- Sole-source award limits competition.
- Potential for cost growth in design/development.
- Lack of detailed public cost data.
Positive Signals
- Addresses critical capability gap for F/A-18.
- Awarded to incumbent prime contractor.
- Firm Fixed Price contract type.
Sector Analysis
This contract falls within the Aircraft Manufacturing sector, specifically focusing on specialized retrofitting and design services. Spending benchmarks for similar R&D efforts in advanced avionics and communication systems are difficult to ascertain publicly but are typically high due to complexity.
Small Business Impact
The contract was awarded directly to The Boeing Company, a large prime contractor. There is no indication of subcontracting opportunities for small businesses in the provided data, suggesting limited direct small business participation.
Oversight & Accountability
The Department of the Navy awarded this contract. Oversight would focus on ensuring Boeing meets design milestones and stays within the firm fixed price, though the sole-source nature limits competitive oversight on pricing.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award
- Potential for cost growth
- Limited competition
- Lack of detailed public cost data
Tags
aircraft-manufacturing, department-of-defense, mo, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $10.8 million to THE BOEING COMPANY. F/A-18 RETROFIT DESIGN AND DEVELOPMENT FOR SATELLITE COMMUNICATIONS.
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 $10.8 million.
What is the period of performance?
Start: 2019-01-22. End: 2023-06-30.
What is the projected cost savings or capability improvement from this satellite communication retrofit compared to alternative solutions?
The provided data does not detail the specific capability improvements or cost savings expected from this F/A-18 retrofit. A comprehensive analysis would require access to the Navy's requirements documentation and Boeing's technical proposals to compare the enhanced satellite communication capabilities against the investment and potential alternative solutions or upgrades.
What are the primary risks associated with the sole-source award for this design and development contract?
The primary risks of a sole-source award include a lack of competitive pressure leading to potentially inflated prices, reduced incentive for the contractor to innovate or be highly efficient, and limited transparency into the cost justification. The government may not achieve the best value without exploring alternative vendors or competitive approaches.
How will the effectiveness of the implemented satellite communication system be measured post-retrofit?
Effectiveness will likely be measured through rigorous testing and evaluation (T&E) phases, including flight tests, communication range and reliability assessments, and integration checks with existing Navy networks. Performance metrics will be defined in the contract's technical requirements and acceptance criteria.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
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, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $11,004,356
Exercised Options: $10,842,174
Current Obligation: $10,842,174
Subaward Activity
Number of Subawards: 12
Total Subaward Amount: $5,310,759
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0001916G0001
IDV Type: BOA
Timeline
Start Date: 2019-01-22
Current End Date: 2023-06-30
Potential End Date: 2023-06-30 00:00:00
Last Modified: 2025-09-30
More Contracts from THE Boeing Company
- KC-X Modernization Program — $32.0B (Department of Defense)
- International Space Station — $22.4B (National Aeronautics and Space Administration)
- 200112!000108!9700!ZD60 !ballistic Missile Defense ORG. !HQ000601C0001 !A!N!*!N! !20001222!20080930!848025649!848025649!009256819!n!the Boeing Company !3370 E Miraloma AVE !anaheim !ca!92806!37000!089!01!huntsville !madison !alabama !+000383571022!n!n!000000000000!ad93!rdte/Other Defense-Adv Tech DEV !S1 !services !1caa!ballistic Missile Defense SYS !541710!*!*!3! ! ! !*!*!*!B!*!*!A! !A !U!R!2!001!B! !Z!Y!Z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! ! ! ! !0001! — $18.8B (Department of Defense)
- USN P-8A FRP II Long Lead Material — $18.1B (Department of Defense)
- 200512!010860!2100!w56hzv!tacom - Warren !w56hzv05c0724 !A!N! !Y! ! !20050923!20141231!016544780!016544780!009256819!n!the Boeing Company !J S Mcdonnell Blvd !saint Louis !mo!63166!65000!510!29!st. Louis !ST. Louis (city) !missouri !+000219245691!n!n!000000000000!az15!rdte/Other Research&development-Eng/Manuf Devel !S1 !services !301 !FCS !541330!E! !1! ! ! ! ! !20200930!B! ! !A! !d!u!u!1!001!n!1a!z!y!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! ! ! ! !0001! ! TAS::21 2040::TAS — $12.7B (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)