DoD awards $209M for AN/BPS-16(V)5 RADAR SET to Northrop Grumman under full and open competition

Contract Overview

Contract Amount: $20,912,878 ($20.9M)

Contractor: Northrop Grumman Systems Corporation

Awarding Agency: Department of Defense

Start Date: 2009-09-29

End Date: 2016-10-27

Contract Duration: 2,585 days

Daily Burn Rate: $8.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: AN/BPS-16(V)5 RADAR SET SSN 784 THROUGH SSN 791 (SCN)

Place of Performance

Location: CHARLOTTESVILLE, ALBEMARLE County, VIRGINIA, 22901

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $20.9 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: AN/BPS-16(V)5 RADAR SET SSN 784 THROUGH SSN 791 (SCN) Key points: 1. The contract value is $209,128,780. 2. Northrop Grumman Systems Corporation is the sole awardee. 3. The contract was awarded under full and open competition. 4. The contract is for radar sets for submarines. 5. The contract was awarded in 2009 and completed in 2016.

Value Assessment

Rating: good

The contract was awarded under firm fixed price terms, which provides cost certainty. The award value of $209M for radar sets appears reasonable given the complexity and specialized nature of naval radar systems.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: Competitive bidding in this full and open contract likely resulted in a fair price, maximizing taxpayer value for advanced radar systems.

Public Impact

Enhances naval warfare capabilities with advanced radar technology. Supports submarine operations and national security. The technology is critical for search, detection, and navigation. Long-term sustainment and upgrades may be required.

Waste & Efficiency Indicators

Waste Risk Score: 80 / 10

Warning Flags

  • Potential for sole-source follow-on contracts if only one vendor can maintain/upgrade the system.
  • Long lead times for specialized defense components can impact delivery schedules.

Positive Signals

  • Awarded under full and open competition.
  • Firm fixed price contract provides cost predictability.
  • Supports critical defense capabilities.

Sector Analysis

This contract falls within the Defense sector, specifically in the manufacturing of navigation and guidance systems. Spending in this area is driven by defense modernization and platform upgrades, with significant investment in advanced electronics and sensors.

Small Business Impact

The awardee is Northrop Grumman Systems Corporation, a large defense contractor. There is no indication of small business participation in this specific award, which is common for prime contracts of this magnitude.

Oversight & Accountability

The contract was managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance. The firm fixed price nature of the contract provides a degree of oversight on cost.

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

  • Potential for sole-source follow-on contracts.
  • Technological obsolescence risk.
  • Dependency on a single large contractor.
  • Long lead times for specialized components.

Tags

search-detection-navigation-guidance-aer, department-of-defense, va, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.9 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. AN/BPS-16(V)5 RADAR SET SSN 784 THROUGH SSN 791 (SCN)

Who is the contractor on this award?

The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $20.9 million.

What is the period of performance?

Start: 2009-09-29. End: 2016-10-27.

What was the competitive landscape during the bidding process for this radar system?

The contract was awarded under full and open competition, suggesting that multiple qualified vendors were invited to submit proposals. This process aims to foster a competitive environment, allowing the Department of Defense to select the most advantageous offer based on technical merit and price. The specific number of bidders is not detailed, but the designation implies a robust competition.

What are the primary risks associated with the long-term sustainment of this radar system?

Key risks include the potential for obsolescence of components over time, the availability of specialized repair parts, and the need for highly skilled technicians. If Northrop Grumman is the sole provider of maintenance or upgrades, there's a risk of increased costs or limited vendor options for future sustainment efforts, potentially leading to sole-source follow-on contracts.

How effectively does this radar system contribute to the operational capabilities of the submarines?

The AN/BPS-16(V)5 RADAR SET is a critical component for submarine operations, providing essential search, detection, navigation, and guidance capabilities. Its advanced nature enhances situational awareness and target identification, directly contributing to mission success and crew safety. The system's effectiveness is paramount for maintaining a strategic advantage in naval warfare.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, 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

Solicitation ID: N0002409R5304

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Northrop Grumman Corporation (UEI: 967356127)

Address: 1070 SEMINOLE TRAIL, CHARLOTTESVILLE, VA, 22901

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $20,912,878

Exercised Options: $20,912,878

Current Obligation: $20,912,878

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2009-09-29

Current End Date: 2016-10-27

Potential End Date: 2016-10-27 00:00:00

Last Modified: 2016-11-02

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