DoD Awards $29.5M Contract for Radio Equipment to Rockwell Collins, Inc
Contract Overview
Contract Amount: $29,540,780 ($29.5M)
Contractor: Rockwell Collins, Inc.
Awarding Agency: Department of Defense
Start Date: 2023-08-29
End Date: 2026-09-30
Contract Duration: 1,128 days
Daily Burn Rate: $26.2K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: RT-2036 (C)/ARC W/ 5-YR WARRANTY (FMS)
Place of Performance
Location: CEDAR RAPIDS, LINN County, IOWA, 52498
State: Iowa Government Spending
Plain-Language Summary
Department of Defense obligated $29.5 million to ROCKWELL COLLINS, INC. for work described as: RT-2036 (C)/ARC W/ 5-YR WARRANTY (FMS) Key points: 1. Contract awarded to a single, established vendor, Rockwell Collins, Inc. 2. The contract is for radio and wireless communications equipment. 3. A 5-year warranty is included, potentially increasing long-term value. 4. The award is a delivery order under an existing contract.
Value Assessment
Rating: fair
The contract value of $29.5 million over approximately 3.75 years needs comparison to similar radio equipment procurements. Without benchmarks, assessing if this price is competitive is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source or limited competition award. This approach may limit price discovery and potentially lead to higher costs for taxpayers.
Taxpayer Impact: The lack of competition could result in the government paying more than necessary for the radio equipment.
Public Impact
Ensures continued operational capability for Navy communications. Supports a specific technology requirement within the Department of Defense. Potential for follow-on contracts based on performance and needs.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for price inflation due to sole-source award
Positive Signals
- Inclusion of a 5-year warranty
- Award to an established vendor with likely relevant expertise
Sector Analysis
The procurement falls under the Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing sector. Spending in this sector is critical for defense communications infrastructure, with significant government investment.
Small Business Impact
The data indicates this contract was not awarded to a small business. There is no information provided on subcontracting opportunities for small businesses within this award.
Oversight & Accountability
As a delivery order under an existing contract, oversight may be less intensive than for a new sole-source award. However, the contracting agency (Department of the Navy) is responsible for ensuring proper execution and value.
Related Government Programs
- Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award limits price competition.
- Potential for overpayment due to lack of competitive bidding.
- Risk of vendor lock-in with specific technology.
- Limited transparency on the justification for sole-source.
Tags
radio-and-television-broadcasting-and-wi, department-of-defense, ia, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $29.5 million to ROCKWELL COLLINS, INC.. RT-2036 (C)/ARC W/ 5-YR WARRANTY (FMS)
Who is the contractor on this award?
The obligated recipient is ROCKWELL COLLINS, 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 $29.5 million.
What is the period of performance?
Start: 2023-08-29. End: 2026-09-30.
What was the justification for awarding this contract sole-source instead of competing it?
The justification for a sole-source award typically involves factors such as unique capabilities, urgent needs, or the unavailability of other sources. Without specific documentation, it's impossible to determine the exact reason. However, sole-source awards often raise concerns about potential price inflation and reduced innovation compared to competitive processes.
How does the 5-year warranty impact the overall value proposition of this contract?
A 5-year warranty significantly enhances the value proposition by reducing the risk of unexpected repair costs and ensuring the equipment's operational readiness for an extended period. This can lead to lower total cost of ownership over the equipment's lifecycle, even if the initial price is higher than a contract without such a warranty.
What is the potential impact on future technological advancements if this equipment is not regularly re-competed?
If this specific radio equipment is not regularly re-competed, it could stifle innovation by reducing the incentive for vendors to develop next-generation technologies. The government might become locked into older systems, potentially missing out on more efficient, secure, or capable solutions that could emerge in a competitive market.
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: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: N0042122R0154
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: RTX Corp
Address: 400 COLLINS RD NE, CEDAR RAPIDS, IA, 52498
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: $29,540,780
Exercised Options: $29,540,780
Current Obligation: $29,540,780
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: N0042123D0001
IDV Type: IDC
Timeline
Start Date: 2023-08-29
Current End Date: 2026-09-30
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2026-01-12
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