DoD Awards Boeing $23.5M for AN/USQ-82(V) GEDMS, Highlighting Firm Fixed Price Contract

Contract Overview

Contract Amount: $23,558,610 ($23.6M)

Contractor: THE Boeing Company

Awarding Agency: Department of Defense

Start Date: 2012-11-05

End Date: 2019-02-28

Contract Duration: 2,306 days

Daily Burn Rate: $10.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: AN/USQ-82(V) GEDMS

Place of Performance

Location: HUNTINGTON BEACH, ORANGE County, CALIFORNIA, 92647

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $23.6 million to THE BOEING COMPANY for work described as: AN/USQ-82(V) GEDMS Key points: 1. Boeing secured a significant contract for the AN/USQ-82(V) GEDMS system. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The firm fixed price contract type aims to control costs for the Department of Defense. 4. This procurement falls within the Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing sector.

Value Assessment

Rating: good

The contract's firm fixed price structure is a positive indicator for cost control. Benchmarking against similar complex system procurements would provide further insight into its value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The use of a definitive contract suggests a well-defined scope of work.

Taxpayer Impact: The competitive nature of the award is expected to benefit taxpayers by ensuring a fair price for the AN/USQ-82(V) GEDMS.

Public Impact

Enhances critical navigation and guidance systems for military aircraft. Supports ongoing defense readiness and operational capabilities. The contract's duration and value indicate a substantial investment in defense technology.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics in provided data.
  • Potential for cost overruns if scope creep occurs despite fixed price.
  • Reliance on a single large contractor for a critical system.

Positive Signals

  • Awarded under full and open competition.
  • Utilizes a firm fixed price contract type.
  • Supports essential defense capabilities.

Sector Analysis

This contract is within the aerospace and defense manufacturing sector, specifically focusing on navigation and guidance systems. Spending in this area is crucial for maintaining technological superiority and operational effectiveness.

Small Business Impact

The data indicates the award went to The Boeing Company, a large prime contractor. There is no information provided on subcontracting opportunities for small businesses within this specific award.

Oversight & Accountability

The Defense Contract Management Agency (DCMA) is responsible for oversight. The firm fixed price contract type provides a degree of financial accountability, but ongoing monitoring is essential to ensure performance and prevent scope creep.

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

  • Contract duration is lengthy (over 6 years).
  • Potential for cost increases if scope changes.
  • Lack of small business participation noted.
  • System complexity may lead to unforeseen technical challenges.
  • Dependence on a single large contractor.

Tags

search-detection-navigation-guidance-aer, department-of-defense, ca, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.6 million to THE BOEING COMPANY. AN/USQ-82(V) GEDMS

Who is the contractor on this award?

The obligated recipient is THE BOEING 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 $23.6 million.

What is the period of performance?

Start: 2012-11-05. End: 2019-02-28.

What is the specific operational impact of the AN/USQ-82(V) GEDMS system on military readiness?

The AN/USQ-82(V) GEDMS (Global Positioning System Enhanced Navigation and Display Management System) is crucial for providing accurate navigation, targeting, and situational awareness to aircrews. Its integration enhances the precision of flight paths, mission planning, and real-time tactical decision-making, directly contributing to improved mission success rates and overall military readiness across various platforms.

How does the firm fixed price contract mitigate risks associated with technological obsolescence or upgrades during the contract period?

A firm fixed price contract places the primary risk of cost overruns on the contractor. While it incentivizes efficiency, it doesn't inherently mitigate risks of technological obsolescence or the need for upgrades during the contract's extended period. If new technologies emerge or requirements change significantly, the government might need to issue separate contracts or modifications, potentially at a higher cost, to incorporate advancements.

What are the key performance indicators (KPIs) used by the DCMA to assess the effectiveness of this contract?

While specific KPIs are not detailed here, typical performance indicators for such contracts would include on-time delivery of system components, adherence to technical specifications and quality standards, system reliability and performance in operational environments, and effective program management. The DCMA would likely monitor defect rates, schedule adherence, and contractor responsiveness to any issues identified during testing or deployment.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: FIBER OPTIC

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0017812R2001

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5301 BOLSA AVE, HUNTINGTON BEACH, CA, 92647

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: $31,246,282

Exercised Options: $23,933,070

Current Obligation: $23,558,610

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2012-11-05

Current End Date: 2019-02-28

Potential End Date: 2019-02-28 00:00:00

Last Modified: 2018-07-30

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