DoD Awards $35.1M Contract for Relay and Industrial Control Manufacturing to L3 Technologies
Contract Overview
Contract Amount: $35,114,733 ($35.1M)
Contractor: L3 Technologies, Inc.
Awarding Agency: Department of Defense
Start Date: 2010-01-27
End Date: 2017-09-23
Contract Duration: 2,796 days
Daily Burn Rate: $12.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: BASE REQUIREMENT - DESIGN
Place of Performance
Location: TULSA, TULSA County, OKLAHOMA, 74153
State: Oklahoma Government Spending
Plain-Language Summary
Department of Defense obligated $35.1 million to L3 TECHNOLOGIES, INC. for work described as: BASE REQUIREMENT - DESIGN Key points: 1. Contract value of $35.1M awarded to L3 Technologies, Inc. 2. Full and open competition was utilized for this procurement. 3. The contract is for Relay and Industrial Control Manufacturing. 4. The contract duration was 2796 days. 5. The contract was awarded by the Department of the Navy.
Value Assessment
Rating: fair
The contract value of $35.1M over nearly 8 years suggests a moderate annual spend. Benchmarking against similar contracts for industrial control manufacturing is needed to assess if the pricing was competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition is a positive indicator for price discovery. This method allows multiple vendors to bid, theoretically driving down costs and ensuring fair market pricing.
Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received fair value, though a detailed cost analysis would confirm this.
Public Impact
Ensures continued availability of critical industrial control components for naval operations. Supports a large defense contractor, potentially impacting employment within its supply chain. The long duration of the contract indicates a sustained need for these manufactured goods.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration may lead to price escalation or obsolescence risks.
- Lack of specific unit cost data makes detailed value assessment difficult.
Positive Signals
- Full and open competition utilized.
- Awarded by a major agency (Department of Defense).
Sector Analysis
The procurement falls under the Relay and Industrial Control Manufacturing sector, which is crucial for various industrial applications, including defense. Spending benchmarks in this niche sector can vary significantly based on technological complexity and volume.
Small Business Impact
The data does not indicate if small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract was awarded under full and open competition, suggesting a standard procurement process. Oversight would focus on contract performance, delivery schedules, and adherence to specifications.
Related Government Programs
- Relay and Industrial Control Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Long contract duration
- Potential for price escalation over time
- Lack of detailed performance metrics in provided data
- No indication of small business participation
Tags
relay-and-industrial-control-manufacturi, department-of-defense, ok, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $35.1 million to L3 TECHNOLOGIES, INC.. BASE REQUIREMENT - DESIGN
Who is the contractor on this award?
The obligated recipient is L3 TECHNOLOGIES, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $35.1 million.
What is the period of performance?
Start: 2010-01-27. End: 2017-09-23.
What was the average annual spending under this contract, and how does it compare to industry benchmarks for similar manufacturing services?
The total contract value was $35,114,733.20 over approximately 2796 days (about 7.66 years). This averages to roughly $4.58 million per year. Comparing this to industry benchmarks would require detailed market research on the specific types of relays and industrial controls procured, as well as the scale of manufacturing involved.
What were the key performance indicators (KPIs) for this contract, and how effectively did L3 Technologies meet them?
The provided data does not specify the Key Performance Indicators (KPIs) for this contract. To assess effectiveness, one would need to review contract performance reports, delivery records, quality assurance data, and any documented instances of contractor performance issues or commendations.
Given the long contract duration, what measures were in place to mitigate risks related to technological obsolescence or significant price fluctuations?
Long-term contracts often include clauses for price adjustments based on economic indices or material cost changes. Mitigation against obsolescence might involve phased technology refreshes or specific contract language allowing for upgrades. Without the contract's full text, these specific risk mitigation strategies remain unknown.
Industry Classification
NAICS: Manufacturing › Electrical Equipment Manufacturing › Relay and Industrial Control Manufacturing
Product/Service Code: ENGINES AND TURBINES AND COMPONENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N0003309R7501
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2 FEDERAL ST, CAMDEN, NJ, 08102
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: $58,275,163
Exercised Options: $35,114,733
Current Obligation: $35,114,733
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2010-01-27
Current End Date: 2017-09-23
Potential End Date: 2017-09-23 00:00:00
Last Modified: 2017-08-23
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