DoD's $13.5M contract for radio and TV communication equipment awarded to L3Harris Technologies

Contract Overview

Contract Amount: $13,486,993 ($13.5M)

Contractor: L3harris Technologies, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-01-25

End Date: 2007-12-08

Contract Duration: 682 days

Daily Burn Rate: $19.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: TAS::21 2020::TAS 200604!001571!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !GS35F0163N !C!N! !N!W15P7T06F0017! !20060125!20060430!002204600!002204600!004203337!N!HARRIS CORPORATION !1680 UNIVERSITY AVE !ROCHESTER !NY!14610!63000!055!36!ROCHESTER !MONROE !NEW YORK !+000013987354!N!N!000000000000!5820!RADIO&TV COMM EQUIPMENT, EXCEPT AIRBORNE !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !334220!E! !6! ! ! ! ! !99990909!B! ! ! ! !A! ! ! !000! ! ! ! ! ! ! ! !C!N! ! ! ! ! ! ! !000! ! ! ! ! ! ! ! ! !0001! !

Place of Performance

Location: ROCHESTER, MONROE County, NEW YORK, 14610

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $13.5 million to L3HARRIS TECHNOLOGIES, INC. for work described as: TAS::21 2020::TAS 200604!001571!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !GS35F0163N !C!N! !N!W15P7T06F0017! !20060125!20060430!002204600!002204600!004203337!N!HARRIS CORPORATION !1680 UNIVERSITY AVE !ROCHESTER !NY!14610!63000!055!36!ROCHEST… Key points: 1. Contract value of $13.5M for communication equipment suggests a significant investment in defense infrastructure. 2. Awarded to a single large business, indicating potential consolidation or specialized capabilities within the defense sector. 3. The contract's duration of 682 days points to a medium-term project requiring sustained delivery of goods. 4. Fixed-price contract type implies that the contractor bears the risk of cost overruns, potentially benefiting the government. 5. The product service code (PSC) for radio and TV communication equipment highlights a focus on electronic warfare and signal transmission capabilities. 6. Awarded by the Defense Contract Management Agency, suggesting robust oversight and quality assurance processes are in place.

Value Assessment

Rating: good

The contract value of $13.5 million for communication equipment appears reasonable given the duration and the nature of defense procurements. Benchmarking against similar contracts for specialized electronic equipment is challenging without more specific technical details. However, the fixed-price nature of the award suggests the government secured a defined cost for the deliverables, which is a positive indicator of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process is generally expected to yield favorable pricing and innovative solutions for the government. The number of bidders is not specified, but the 'full and open' designation is a strong positive signal for price discovery.

Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by fostering a competitive environment among potential suppliers.

Public Impact

The primary beneficiaries are likely U.S. military branches requiring advanced communication systems for operational effectiveness. The contract delivers essential radio and television communication equipment, crucial for command, control, and intelligence gathering. Geographic impact is national, supporting defense operations across various theaters. Workforce implications may include specialized manufacturing and technical support roles within L3Harris Technologies and its supply chain.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for vendor lock-in if the equipment is highly specialized and proprietary.
  • Dependence on a single large contractor could limit future competition for upgrades or maintenance.

Positive Signals

  • Awarded through full and open competition, suggesting a robust bidding process.
  • Fixed-price contract type shifts cost risk to the contractor.
  • The contractor, L3Harris Technologies, is a well-established defense contractor with a track record in electronics and communications.

Sector Analysis

This contract falls within the broader defense electronics sector, which is characterized by high R&D investment, stringent quality requirements, and long product lifecycles. The market for military communication equipment is dominated by a few large, specialized firms like L3Harris. Spending in this area is driven by the need for secure, reliable, and advanced communication systems to maintain military superiority.

Small Business Impact

The contract was awarded to a large business (L3Harris Technologies) and there is no indication of small business set-asides or subcontracting plans. This suggests that the scope of work likely requires capabilities or scale that are beyond the typical capacity of small businesses in this specialized electronics manufacturing domain.

Oversight & Accountability

The contract is managed by the Defense Contract Management Agency (DCMA), which provides contract administration services to ensure compliance with terms and conditions. Oversight likely includes monitoring performance, quality, and delivery schedules. Transparency is generally maintained through contract databases, though specific performance metrics may be sensitive.

Related Government Programs

  • Defense Communications Systems
  • Electronic Warfare Equipment
  • Tactical Radio Systems
  • Command and Control Systems

Risk Flags

  • Potential for technology obsolescence given the rapid pace of electronic advancements.
  • Reliance on a single large contractor may limit future market flexibility.
  • Need for robust testing and acceptance criteria to ensure performance specifications are met.

Tags

defense, department-of-defense, l3harris-technologies, communication-equipment, radio-and-tv-broadcasting, wireless-communications, fixed-price, delivery-order, full-and-open-competition, new-york, large-business, dcma

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.5 million to L3HARRIS TECHNOLOGIES, INC.. TAS::21 2020::TAS 200604!001571!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !GS35F0163N !C!N! !N!W15P7T06F0017! !20060125!20060430!002204600!002204600!004203337!N!HARRIS CORPORATION !1680 UNIVERSITY AVE !ROCHESTER !NY!14610!63000!055!36!ROCHESTER !MONROE !NEW YORK !+000013987354!N!N!000000000000!5820!RADIO&TV COMM EQUIPMENT, EXCEPT AIRBORNE !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !334220!E!

Who is the contractor on this award?

The obligated recipient is L3HARRIS TECHNOLOGIES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $13.5 million.

What is the period of performance?

Start: 2006-01-25. End: 2007-12-08.

What is the specific type of radio and TV communication equipment being procured, and what are its intended military applications?

The provided data indicates the Product Service Code (PSC) is 5820, which covers 'Radio and TV Communication Equipment, Except Airborne.' While specific technical details are not available, this generally includes a range of equipment such as tactical radios, secure communication devices, signal intelligence equipment, and potentially components for larger communication networks. These are critical for command and control, battlefield awareness, and maintaining secure communication links for deployed forces. The 'Radio & TV Comm Equipment, Except Airborne' designation suggests ground-based or vehicle-mounted systems rather than aerial platforms.

How does the $13.5 million contract value compare to historical spending on similar communication equipment by the Department of Defense?

Direct comparison of this $13.5 million contract value to historical spending on similar equipment is difficult without more granular data on the specific type of communication equipment and its capabilities. However, the Department of Defense consistently spends billions annually on a wide array of communication systems, including tactical radios, satellite communications, and network infrastructure. A single contract of this size is significant but represents a fraction of the overall defense communication budget. It is likely within the typical range for procuring specialized electronic systems for a specific unit or operational need, especially when considering the fixed-price nature which often implies a well-defined scope.

What is L3Harris Technologies' track record with similar defense contracts, particularly in radio and communication equipment?

L3Harris Technologies (and its predecessor companies) has a substantial and long-standing track record in developing and supplying advanced communication and electronic systems for defense applications. They are a major player in areas such as tactical radios, secure communications, electronic warfare, and avionics. Their history includes numerous large contracts with the DoD and other government agencies for similar equipment. This specific contract, awarded under full and open competition, suggests that L3Harris was deemed the most capable and competitive bidder for these particular requirements based on their established expertise and past performance in this domain.

What are the potential risks associated with this contract, such as performance issues, cost overruns (despite fixed price), or obsolescence?

Despite the fixed-price nature, risks can still exist. Performance risks include potential delays in delivery or equipment not meeting stringent military specifications, which could necessitate costly rework or replacements. While the contractor bears direct cost overrun risk, government-induced changes or scope creep could lead to contract modifications and increased costs. Obsolescence is a significant risk in rapidly evolving electronics; the 682-day duration (approx. 2 years) means the technology must remain relevant upon delivery and ideally have a supportable lifecycle. Ensuring robust testing, clear acceptance criteria, and considering future upgrade paths are key mitigation strategies.

How does the 'full and open competition' award mechanism impact the overall value and taxpayer cost for this procurement?

Awarding this contract through 'full and open competition' is a positive indicator for taxpayer value. This mechanism allows any responsible source to submit a bid, maximizing the pool of potential offerors. Increased competition typically drives down prices as contractors vie for the award, and it encourages innovation to meet government requirements. For taxpayers, this means the government is likely to have received the best possible price and technical solution available in the market for the specified communication equipment, reducing the risk of paying an inflated price due to limited vendor options.

What is the significance of the contract being awarded by the Defense Contract Management Agency (DCMA)?

The involvement of the Defense Contract Management Agency (DCMA) signifies that the contract will undergo rigorous oversight and administration. DCMA's role is to ensure that contractors meet their contractual obligations regarding quality, cost, and delivery schedules. This includes performing quality assurance checks, monitoring contractor performance, and managing payments. For taxpayers, DCMA's oversight provides an additional layer of assurance that the government is receiving the goods and services it paid for, and that the contract is being managed effectively to protect the government's interests.

Industry Classification

NAICS: ManufacturingCommunications Equipment ManufacturingRadio and Television Broadcasting and Wireless Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: L3harris Technologies, Inc (UEI: 004203337)

Address: 1680 UNIVERSITY AVE, ROCHESTER, NY, 14610

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F0163N

IDV Type: FSS

Timeline

Start Date: 2006-01-25

Current End Date: 2007-12-08

Potential End Date: 2007-12-08 00:00:00

Last Modified: 2017-09-24

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