Raytheon Awarded $193M for Antennas, Waveguides, and Related Equipment by DoD

Contract Overview

Contract Amount: $23,277,225 ($23.3M)

Contractor: Raytheon Company

Awarding Agency: Department of Defense

Start Date: 1998-01-15

End Date: 2009-06-01

Contract Duration: 4,155 days

Daily Burn Rate: $5.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 199804!1700!0076!D0232!SPACE AND NAVAL WARFARE SYSTEMS !N0003998C0033 !A!*!BASIC !19980115!20031231!193049236!001339159!001339159!N!3Y193!RAYTHEON COMPANY INC !1001 BOSTON POST RD E !MARLBOROUGH !MA!01752!38715!017!25!MARLBOROUGH !MIDDLESEX !MASS !0001!+000010150000!N!N!000000000000!5985!ANTENNAS, WAVEGUIDES & RELATED EQUIPMENT !A7 !ELECTRONICS AND COMMUNICATION !2GHJ!AN/USH-24 !3663!3!*!*!A!B!A!*!D !N!J!1!001!N!1G!Z!Y!B!* !* !N!C!*!A!A!A!A!A!*!* !*!N!A!C!N!*!*!*!*!*!

Place of Performance

Location: MARLBOROUGH, MIDDLESEX County, MASSACHUSETTS, 01752

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $23.3 million to RAYTHEON COMPANY for work described as: 199804!1700!0076!D0232!SPACE AND NAVAL WARFARE SYSTEMS !N0003998C0033 !A!*!BASIC !19980115!20031231!193049236!001339159!001339159!N!3Y193!RAYTHEON COMPANY INC !1001 BOSTON POST RD E !MARLBOROUGH !MA!01752!38715!017!25!MARLBOROUGH !MIDDLE… Key points: 1. Contract awarded for critical defense components: antennas, waveguides, and related equipment. 2. Raytheon Company is the sole awardee, indicating a potentially limited competition scenario. 3. The contract spans over 11 years, suggesting a long-term need for these specialized items. 4. The total value of $193 million highlights significant investment in defense electronics.

Value Assessment

Rating: fair

The contract value of $193 million over 11 years suggests an average annual spend of approximately $17.5 million. Without specific unit data or comparable contracts, a precise per-unit cost assessment is difficult, but the duration and scope imply a substantial investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed, suggesting a limited or sole-source acquisition. This limits price discovery and potentially leads to higher costs compared to a competitive bidding process.

Taxpayer Impact: Taxpayers may bear a higher cost due to the lack of competition, as the government did not explore alternative vendors or pricing strategies.

Public Impact

Ensures continued availability of essential electronic components for defense systems. Supports Raytheon's role as a key defense contractor, potentially impacting jobs and regional economy. Long-term nature of the contract provides stability for both the contractor and the DoD's supply chain.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to inflated prices.
Long contract duration could mask inefficiencies or changing market needs.
Potential for vendor lock-in with specialized equipment.

Positive Signals

Ensures supply of critical defense hardware.
Long-term commitment provides program stability.
Established relationship with a known contractor.

Sector Analysis

This contract falls within the Defense sector, specifically related to electronics and communication equipment. Spending benchmarks for similar specialized defense components can vary widely based on technological complexity and quantity, but $193 million over 11 years indicates a significant, long-term procurement.

Small Business Impact

There is no indication in the provided data whether small businesses were involved as subcontractors or partners in this contract. Further investigation would be needed to determine any small business participation.

Oversight & Accountability

The contract was awarded by the Department of Defense through the Naval Sea Systems Command. Oversight would typically involve contract administration by the Defense Contract Management Agency to ensure compliance with terms and specifications.

Related Government Programs

Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Lack of competition
Long contract duration
Potential for price escalation
Technology obsolescence risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.3 million to RAYTHEON COMPANY. 199804!1700!0076!D0232!SPACE AND NAVAL WARFARE SYSTEMS !N0003998C0033 !A!*!BASIC !19980115!20031231!193049236!001339159!001339159!N!3Y193!RAYTHEON COMPANY INC !1001 BOSTON POST RD E !MARLBOROUGH !MA!01752!38715!017!25!MARLBOROUGH !MIDDLESEX !MASS !0001!+000010150000!N!N!000000000000!5985!ANTENNAS, WAVEGUIDES & RELATED EQUIPMENT !A7 !ELECTRONICS AND COMMUNICATION !2GHJ!AN/USH-24 !3663!3!*!*!A!B!A!*!D !N!J!1!0

Who is the contractor on this award?

The obligated recipient is RAYTHEON COMPANY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $23.3 million.

What is the period of performance?

Start: 1998-01-15. End: 2009-06-01.

What was the justification for not competing this contract, and how was the price determined to be fair and reasonable?

The justification for not competing this contract is not provided in the data. Typically, non-competitive awards require a formal justification, such as the existence of only one responsible source or urgent and compelling needs. The process for determining fair and reasonable pricing without competition often involves detailed cost analysis, comparison to historical data, or independent government cost estimates.

What are the specific performance metrics and deliverables associated with this contract, and how are they monitored?

The provided data does not detail specific performance metrics or deliverables for this contract. These would normally be outlined in the contract's statement of work. Monitoring would typically be conducted by the contracting officer's representative (COR) and the Defense Contract Management Agency (DCMA) through regular progress reports, site visits, and acceptance testing of delivered goods.

How does the extended contract performance period (1998-2009) align with the expected lifecycle and obsolescence of the specified antennas and waveguides?

The extended performance period of over 11 years (1998-2009) raises questions about alignment with the lifecycle and potential obsolescence of advanced electronic components like antennas and waveguides. Technology in this field can evolve rapidly. The government would need to ensure provisions for upgrades, replacements, or technology insertion were included to avoid acquiring outdated systems.

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: RTX Corp

Address: 1001 BOSTON POST RD E, MARLBOROUGH, MA, 01752

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline