DoD Awards $24.4M for BU2 Retrofit Kits to L3 Technologies, Inc
Contract Overview
Contract Amount: $24,359,351 ($24.4M)
Contractor: L3 Technologies, Inc.
Awarding Agency: Department of Defense
Start Date: 2020-08-10
End Date: 2022-12-31
Contract Duration: 873 days
Daily Burn Rate: $27.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: BU2 RETROFIT-KIT 1 AND KIT LVT(2) AND SERVICES
Place of Performance
Location: CARLSBAD, SAN DIEGO County, CALIFORNIA, 92009
Plain-Language Summary
Department of Defense obligated $24.4 million to L3 TECHNOLOGIES, INC. for work described as: BU2 RETROFIT-KIT 1 AND KIT LVT(2) AND SERVICES Key points: 1. Significant award to a single contractor for specialized equipment. 2. Competition method was full and open, suggesting a competitive process. 3. Firm fixed price contract type aims to control costs. 4. Awarded by the Department of the Navy, indicating defense sector focus.
Value Assessment
Rating: good
The award amount of $24.4 million for retrofit kits and services appears reasonable given the specialized nature of the equipment. Benchmarking against similar complex electronic or communication system retrofits would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally promotes competitive pricing. The specific impact on price discovery is not detailed but the method itself is a positive indicator for achieving fair market value.
Taxpayer Impact: Taxpayer funds are being utilized for defense modernization. The competitive award process aims to ensure efficient use of these funds.
Public Impact
Enhances naval communication and broadcasting capabilities. Supports the operational readiness of naval assets. Potential for follow-on contracts or upgrades in the future.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in the provided data.
- Potential for cost overruns if scope creeps beyond initial requirements.
Positive Signals
- Firm fixed price contract limits cost uncertainty.
- Full and open competition suggests a competitive award.
- Awarded to a known defense contractor.
Sector Analysis
This contract falls within the Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing sector. Spending in this area is critical for maintaining advanced communication infrastructure for defense purposes.
Small Business Impact
The data indicates this was not a small business award, as the contractor is L3 Technologies, Inc., a large corporation. There is no indication of subcontracting opportunities for small businesses within this specific award.
Oversight & Accountability
The Department of the Navy is responsible for oversight. The firm fixed price contract type provides some level of cost control, but ongoing monitoring of performance and delivery is crucial.
Related Government Programs
- Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for obsolescence of technology over the contract duration.
- Dependence on a single large contractor for critical equipment.
- Limited visibility into specific performance metrics.
- Risk of scope creep if not managed tightly.
Tags
radio-and-television-broadcasting-and-wi, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $24.4 million to L3 TECHNOLOGIES, INC.. BU2 RETROFIT-KIT 1 AND KIT LVT(2) AND SERVICES
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 $24.4 million.
What is the period of performance?
Start: 2020-08-10. End: 2022-12-31.
What is the specific technical capability being enhanced by these retrofit kits?
The provided data does not specify the exact technical capabilities being enhanced by the BU2 Retrofit Kit. However, given the NAICS code (334220) and the awarding agency (Department of the Navy), it likely relates to upgrading or modernizing radio, television broadcasting, or wireless communication equipment on naval vessels or facilities.
What are the key performance indicators (KPIs) for this contract to ensure successful delivery?
The provided data does not include specific Key Performance Indicators (KPIs) for this contract. While the firm fixed price structure incentivizes timely delivery, the absence of explicit performance metrics makes it difficult to assess the quality and effectiveness of the delivered retrofit kits and services without further information.
How does the cost of these retrofit kits compare to industry benchmarks for similar upgrades?
A direct per-unit cost benchmark is not available in the provided data. The total award of $24.4 million for 1 unit (likely representing a program or a significant batch) over 873 days suggests a substantial investment. A thorough cost analysis would require comparing the unit cost against similar naval communication system retrofits or industry-standard pricing for comparable technology.
Industry Classification
NAICS: Manufacturing › Communications Equipment Manufacturing › Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing
Product/Service Code: COMM/DETECT/COHERENT RADIATION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0003915R0222
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 640 N 2200 W, SALT LAKE CITY, UT, 84116
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: $24,359,351
Exercised Options: $24,359,351
Current Obligation: $24,359,351
Subaward Activity
Number of Subawards: 1
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0003915D0043
IDV Type: IDC
Timeline
Start Date: 2020-08-10
Current End Date: 2022-12-31
Potential End Date: 2022-12-31 00:00:00
Last Modified: 2026-01-07
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