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

State: California Government Spending

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: ManufacturingCommunications Equipment ManufacturingRadio 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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