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: 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: 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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