DoD Awards $43.3M Contract to ITT Industries for Naval Command Control Systems

Contract Overview

Contract Amount: $43,289,288 ($43.3M)

Contractor: Exelis Systems Corporation

Awarding Agency: Department of Defense

Start Date: 2000-05-25

End Date: 2003-09-30

Contract Duration: 1,223 days

Daily Burn Rate: $35.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 200008!1700!007453!D910B !NAVAL COMMAND CONTROL & OCEAN SU!N6523600C7005 !A!*!* !20000525!20000930!052819732!001216845!001216845!N!* !ITT INDUSTRIES, INC !4410 E FOUNTAIN BLVD !COLORADO SPRIN !CO!80916!72168!037!72!ROOSEVELT ROADS NS !CEIBA !PUERTO RIC!0001!+000002715462!N!N!000000000000!M299!OPERATION/ALL OTHER NON-BUILDING FACILITIES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !8711!3!*!*!*!B!A!*!A !U!J!2!004!B!* !C!N!Z!* !* !N!C!*!C!C!A!A!A!A!* !*!N!A!C!N!*!*!*!*!*!

Place of Performance

Location: HANAHAN, BERKELEY County, SOUTH CAROLINA, 29410, UNITED STATES OF AMERICA

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $43.3 million to EXELIS SYSTEMS CORPORATION for work described as: 200008!1700!007453!D910B !NAVAL COMMAND CONTROL & OCEAN SU!N6523600C7005 !A!*!* !20000525!20000930!052819732!001216845!001216845!N!* !ITT INDUSTRIES, INC !4410 E FOUNTAIN BLVD !COLORADO SPRIN !CO!80916!72168!037!72!ROOSEVELT ROADS NS !CEI… Key points: 1. The contract, valued at $43,289,288, was awarded to ITT Industries, Inc. for Naval Command Control & Ocean Surveillance systems. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The contract duration is 1223 days, spanning from May 25, 2000, to September 30, 2003. 4. The primary service category is 'OPERATION/ALL OTHER NON-BUILDING FACILITIES', indicating a broad scope of support. 5. The contracting agency is the Department of Defense, specifically the Department of the Navy.

Value Assessment

Rating: fair

The contract value of $43.3 million for Naval Command Control systems appears to be within a reasonable range for such specialized technology, though a direct comparison is difficult without more specific contract details and market benchmarks.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically allows for the widest possible range of bidders and promotes price discovery through competitive proposals. This method is generally expected to yield a fair and reasonable price.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds were likely used efficiently, as multiple companies vied for the contract, driving down costs.

Public Impact

Enhances naval operational capabilities through advanced command and control systems. Supports national security by ensuring effective communication and surveillance for naval forces. The duration of the contract indicates a long-term need for these services. Potential for technological advancements in naval warfare.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics provided.
Potential for cost overruns if scope expands beyond initial estimates.
Dependence on a single contractor for critical naval systems.

Positive Signals

Awarded through full and open competition.
Long contract duration suggests sustained need and potential for stable operations.
Contractor has a history of providing defense-related services.

Sector Analysis

This contract falls within the Information Technology and Defense sectors, specifically related to naval command, control, and surveillance systems. Spending in this area is critical for maintaining military readiness and technological superiority, with significant government investment typically allocated to such advanced capabilities.

Small Business Impact

The data indicates that the prime contractor is ITT Industries, Inc. There is no explicit information regarding subcontracting to small businesses in the provided data. Further investigation would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of the Navy, as the contracting agency, is responsible for overseeing this contract. Standard government oversight mechanisms, including contract performance monitoring and financial audits, would be in place to ensure accountability and proper execution of the contract.

Related Government Programs

Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Contract awarded to a single large business prime.
Long contract duration without clear performance metrics.
Potential for scope creep in 'ALL OTHER NON-BUILDING FACILITIES' category.
Limited visibility into small business participation.
Reliance on a specific contractor for critical naval systems.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $43.3 million to EXELIS SYSTEMS CORPORATION. 200008!1700!007453!D910B !NAVAL COMMAND CONTROL & OCEAN SU!N6523600C7005 !A!*!* !20000525!20000930!052819732!001216845!001216845!N!* !ITT INDUSTRIES, INC !4410 E FOUNTAIN BLVD !COLORADO SPRIN !CO!80916!72168!037!72!ROOSEVELT ROADS NS !CEIBA !PUERTO RIC!0001!+000002715462!N!N!000000000000!M299!OPERATION/ALL OTHER NON-BUILDING FACILITIES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !8711!3!*!*!*!B!A!*!A !U!J!

Who is the contractor on this award?

The obligated recipient is EXELIS 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 $43.3 million.

What is the period of performance?

Start: 2000-05-25. End: 2003-09-30.

What specific technological advancements or capabilities does this contract aim to deliver for the Naval Command Control & Ocean Surveillance systems?

The provided data does not detail the specific technological advancements or capabilities. It broadly categorizes the service as 'OPERATION/ALL OTHER NON-BUILDING FACILITIES' under Naval Command Control & Ocean Surveillance. Further analysis of the contract's Statement of Work (SOW) would be necessary to understand the precise nature of the systems and the intended upgrades or new functionalities.

What are the key performance indicators (KPIs) used to measure the success and effectiveness of this contract for the Department of the Navy?

The provided data does not include specific Key Performance Indicators (KPIs) for this contract. Typically, such contracts would have defined metrics related to system uptime, data processing speed, reliability, security compliance, and successful integration with existing naval platforms. The absence of these KPIs in the summary data makes a direct assessment of effectiveness challenging.

How does the pricing structure (Firm Fixed Price) mitigate risks associated with potential cost overruns for this complex IT system contract?

A Firm Fixed Price (FFP) contract shifts the majority of the cost overrun risk to the contractor. ITT Industries, Inc. is obligated to deliver the specified services for the agreed-upon price of $43.3 million. Any unforeseen costs incurred by the contractor due to technical challenges, scope creep not formally approved, or inefficient execution would be absorbed by ITT, protecting the government from unexpected price increases.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Exelis Inc. (UEI: 969316046)

Address: 4410 E FOUNTAIN BLVD, COLORADO SPRIN, CO, 80916

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline