DoD Awards L3Harris $21.5M for HIMARS UFCS Retrofit, Underscoring Critical Missile System Upgrades
Contract Overview
Contract Amount: $21,500,418 ($21.5M)
Contractor: L3harris Technologies, Inc.
Awarding Agency: Department of Defense
Start Date: 2008-07-02
End Date: 2013-04-30
Contract Duration: 1,763 days
Daily Burn Rate: $12.2K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: HIMARS UFCS RETROFIT INCLUDING HULIU, UWIU, CIRCUIT CARDS, ETHERNET HUB, AND UGDUDI
Place of Performance
Location: PALM BAY, BREVARD County, FLORIDA, 32905
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $21.5 million to L3HARRIS TECHNOLOGIES, INC. for work described as: HIMARS UFCS RETROFIT INCLUDING HULIU, UWIU, CIRCUIT CARDS, ETHERNET HUB, AND UGDUDI Key points: 1. Significant investment in upgrading the High Mobility Artillery Rocket System (HIMARS) indicates ongoing reliance on this key battlefield asset. 2. Sole-source award to L3Harris Technologies suggests a lack of readily available alternatives or specialized expertise for this specific retrofit. 3. The contract's duration and value point to a substantial, multi-year effort to enhance the HIMARS' command and control capabilities. 4. Focus on circuit cards and communication hubs highlights the increasing importance of digital integration in modern military hardware.
Value Assessment
Rating: fair
The $21.5 million award for the HIMARS UFCS Retrofit appears to be a reasonable investment for specialized upgrades. Without specific benchmarks for similar complex electronic retrofits on military platforms, a direct comparison is difficult, but the cost aligns with the intricate nature of the components involved.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, indicating that the Department of the Army identified L3Harris Technologies, Inc. as the only responsible source capable of meeting the requirement. This limits price discovery and competition, potentially leading to higher costs than if multiple vendors were involved.
Taxpayer Impact: Taxpayer funds are being directed to a single contractor without competitive bidding, which necessitates strong oversight to ensure fair pricing and value.
Public Impact
Enhances the combat effectiveness of HIMARS, a critical weapon system for ground forces. Supports the modernization of U.S. military hardware, ensuring technological superiority. Potential impact on readiness and deployment capabilities of units equipped with upgraded HIMARS. Investment in domestic defense manufacturing and technological expertise.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition and price negotiation.
- Lack of transparency in the justification for sole-sourcing.
- Potential for cost overruns without competitive pressure.
Positive Signals
- Addresses critical upgrade needs for a key military asset.
- Ensures continued operational readiness of HIMARS.
- Supports a known, experienced defense contractor.
Sector Analysis
This contract falls within the Guided Missile and Space Vehicle Manufacturing sector, a specialized area of defense contracting. Spending in this sector is often characterized by high R&D costs, long development cycles, and significant government oversight due to national security implications. Benchmarks are difficult due to the unique nature of weapon systems.
Small Business Impact
The contract was awarded to L3Harris Technologies, Inc., a large defense contractor. There is no indication of subcontracting opportunities for small businesses within the provided data, suggesting limited direct impact on the small business sector for this specific award.
Oversight & Accountability
The sole-source nature of this award warrants close oversight from the Department of Defense to ensure the pricing is fair and reasonable and that the contractor is meeting all performance requirements. Auditing of costs and progress reports will be crucial.
Related Government Programs
- Guided Missile and Space Vehicle Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award lacks competitive pricing.
- Potential for cost overruns without competitive pressure.
- Limited transparency regarding the justification for sole-sourcing.
- Dependence on a single contractor for critical system upgrades.
Tags
guided-missile-and-space-vehicle-manufac, department-of-defense, fl, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $21.5 million to L3HARRIS TECHNOLOGIES, INC.. HIMARS UFCS RETROFIT INCLUDING HULIU, UWIU, CIRCUIT CARDS, ETHERNET HUB, AND UGDUDI
Who is the contractor on this award?
The obligated recipient is L3HARRIS TECHNOLOGIES, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $21.5 million.
What is the period of performance?
Start: 2008-07-02. End: 2013-04-30.
What specific technical advancements does the UFCS retrofit provide to the HIMARS, and how do these justify the sole-source award?
The UFCS (Unit Fire Control System) retrofit likely enhances the HIMARS' targeting, communication, and data processing capabilities. Justification for a sole-source award typically rests on proprietary technology, unique manufacturing expertise, or essential interoperability with existing systems that only the incumbent contractor, L3Harris, possesses. Detailed technical documentation would be required to fully assess these advancements and their necessity.
What is the government's strategy for ensuring fair pricing and value given the sole-source nature of this contract?
The government likely employs techniques such as cost realism analysis, should-cost reviews, and benchmarking against similar, albeit not identical, contracts. They may also negotiate specific contract clauses that incentivize efficiency or penalize delays. Regular audits and performance monitoring are essential to ensure L3Harris delivers the required upgrades at a reasonable cost and meets all technical specifications.
How does this investment in HIMARS upgrades align with broader U.S. Army modernization goals and potential future conflicts?
This investment directly supports the Army's modernization efforts by ensuring its HIMARS fleet remains technologically relevant and effective. HIMARS provides crucial long-range precision strike capabilities, vital for deterring adversaries and projecting power. Upgrading the UFCS enhances its ability to integrate with networked battlefield systems, improving situational awareness and enabling faster, more accurate responses, which is critical for modern, multi-domain operations.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Guided Missile and Space Vehicle Manufacturing
Product/Service Code: GUIDED MISSLES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W31P4Q08R0169
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: L3harris Technologies, Inc (UEI: 004203337)
Address: 2400 PALM BAY RD NE, PALM BAY, FL, 08
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Federally Funded Research and Development Corp, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $21,637,818
Exercised Options: $21,500,418
Current Obligation: $21,500,418
Contract Characteristics
Cost or Pricing Data: YES
Timeline
Start Date: 2008-07-02
Current End Date: 2013-04-30
Potential End Date: 2013-04-30 00:00:00
Last Modified: 2013-11-14
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