Navy Awards $6.64M for MCM USV IDIQ to Textron Systems, Not Competed
Contract Overview
Contract Amount: $6,640,595 ($6.6M)
Contractor: Textron Systems Corporation
Awarding Agency: Department of Defense
Start Date: 2025-06-20
End Date: 2026-06-19
Contract Duration: 364 days
Daily Burn Rate: $18.2K/day
Competition Type: NOT COMPETED
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: AWARD OF DELIVERY ORDER 02 UNDER MCM USV IDIQ
Place of Performance
Location: COCKEYSVILLE, BALTIMORE County, MARYLAND, 21030
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $6.6 million to TEXTRON SYSTEMS CORPORATION for work described as: AWARD OF DELIVERY ORDER 02 UNDER MCM USV IDIQ Key points: 1. Textron Systems Corporation secured a $6.64 million delivery order for Mine Countermeasures Unmanned Surface Vehicles (MCM USV). 2. The award was not competed, raising questions about potential price discovery and value for taxpayer dollars. 3. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 4. The sector is focused on advanced maritime systems, crucial for naval defense capabilities.
Value Assessment
Rating: questionable
The Cost Plus Fixed Fee structure requires close monitoring to ensure costs remain reasonable. Without competitive bidding, it's difficult to benchmark pricing against market alternatives.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This delivery order was not competed, indicating a sole-source or limited competition scenario. This limits price discovery and may result in higher costs for the government.
Taxpayer Impact: The lack of competition raises concerns about the efficient use of taxpayer funds, as alternative, potentially lower-cost solutions may not have been considered.
Public Impact
Enhances naval capabilities in mine countermeasures through unmanned surface vehicles. Supports advanced technology development in maritime defense systems. Potential for increased operational efficiency and reduced risk to personnel in hazardous environments.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Potential for cost overruns
Positive Signals
- Supports critical naval defense mission
- Utilizes advanced unmanned system technology
Sector Analysis
This award falls within the Defense sector, specifically focusing on advanced maritime systems and unmanned vehicles. Spending benchmarks for similar specialized naval systems can vary widely based on technological complexity and scope.
Small Business Impact
There is no indication in the provided data that small businesses were involved in this specific delivery order. Further analysis would be needed to determine if subcontracting opportunities were offered.
Oversight & Accountability
The non-competitive nature of this award warrants close oversight to ensure fair pricing and effective execution. Robust monitoring of the Cost Plus Fixed Fee elements is essential.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Potential for cost overruns
- Limited price transparency
Tags
search-detection-navigation-guidance-aer, department-of-defense, md, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $6.6 million to TEXTRON SYSTEMS CORPORATION. AWARD OF DELIVERY ORDER 02 UNDER MCM USV IDIQ
Who is the contractor on this award?
The obligated recipient is TEXTRON SYSTEMS CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $6.6 million.
What is the period of performance?
Start: 2025-06-20. End: 2026-06-19.
What is the justification for not competing this delivery order, and were any sole-source justifications formally documented?
The justification for not competing this delivery order is not provided in the data. Typically, sole-source awards require formal justification, such as a lack of available qualified sources, urgent and compelling needs, or specific program requirements that only one contractor can meet. Without this documentation, it's difficult to assess the necessity of the non-competitive approach.
How will the government ensure cost control and value for money under the Cost Plus Fixed Fee structure without competitive pressure?
The government will rely on stringent oversight, detailed cost tracking, and performance metrics to control costs. Fixed fee components require careful negotiation and monitoring of indirect costs. Regular audits and reviews of contractor expenditures are crucial to ensure the fixed fee remains appropriate and that the overall cost is reasonable for the delivered capability.
What are the long-term strategic implications of awarding MCM USV capabilities through non-competitive means?
Consistently awarding contracts non-competitively can stifle innovation and limit the development of a robust industrial base. It may also lead to higher long-term costs for the government and reduce the overall technological advancement within the sector. Encouraging competition, where feasible, fosters a more dynamic and cost-effective market.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Textron Inc
Address: 124 INDUSTRY LN, HUNT VALLEY, MD, 21030
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: $13,155,112
Exercised Options: $13,155,112
Current Obligation: $6,640,595
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: N6133124D0006
IDV Type: IDC
Timeline
Start Date: 2025-06-20
Current End Date: 2026-06-19
Potential End Date: 2026-06-19 00:00:00
Last Modified: 2026-01-15
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