DoD awards $52.5M for Radar Electronic Units Production to Longbow LLC, a sole-source contract

Contract Overview

Contract Amount: $52,450,199 ($52.5M)

Contractor: Longbow LLC

Awarding Agency: Department of Defense

Start Date: 2018-11-30

End Date: 2022-03-31

Contract Duration: 1,217 days

Daily Burn Rate: $43.1K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: DELIVERY ORDER TO SUPPORT RADAR ELECTRONIC UNITS PRODUCTION FOR USG REQUIREMENTS

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32819

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $52.5 million to LONGBOW LLC for work described as: DELIVERY ORDER TO SUPPORT RADAR ELECTRONIC UNITS PRODUCTION FOR USG REQUIREMENTS Key points: 1. Contract awarded to Longbow LLC for radar electronic units production. 2. Totaling $52.5 million, this is a Delivery Order under an existing contract. 3. The contract was not competed, raising questions about price discovery. 4. The sector is Other Aircraft Parts and Auxiliary Equipment Manufacturing.

Value Assessment

Rating: questionable

The contract's value of $52.5 million for radar electronic units production is significant. Without competitive bidding, it's difficult to assess if this price is optimal compared to similar contracts in the defense sector.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for the government compared to a competitive process.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these radar electronic units.

Public Impact

Taxpayers may be overpaying due to the sole-source nature of the contract. The Department of Defense relies on these units for radar systems, impacting national security capabilities. The duration of the contract (1217 days) suggests a substantial need for these components.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition and price discovery.
Potential for overpayment due to lack of competitive bidding.
No indication of small business participation.

Positive Signals

Supports critical defense hardware production.
Firm Fixed Price contract provides cost certainty.

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, which is a critical component of the defense industrial base. Spending in this area is often driven by specific technological requirements and national security needs, sometimes leading to less competitive environments.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine if small business participation was sought or achieved.

Oversight & Accountability

The contract was awarded by the Department of Defense, with oversight likely provided by the Defense Contract Management Agency. The sole-source nature warrants scrutiny to ensure fair pricing and value for taxpayer dollars.

Related Government Programs

Other Aircraft Parts and Auxiliary Equipment Manufacturing
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Sole-source award
Lack of competition
Potential for inflated pricing
No small business participation identified
Limited transparency on cost justification

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $52.5 million to LONGBOW LLC. DELIVERY ORDER TO SUPPORT RADAR ELECTRONIC UNITS PRODUCTION FOR USG REQUIREMENTS

Who is the contractor on this award?

The obligated recipient is LONGBOW LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $52.5 million.

What is the period of performance?

Start: 2018-11-30. End: 2022-03-31.

What specific factors justified the sole-source award for these radar electronic units, and were alternatives explored?

Sole-source awards are typically justified by unique capabilities, proprietary technology, or urgent needs where only one source can fulfill the requirement. The government would need to document these justifications thoroughly. Exploring alternatives, even if ultimately deemed unsuitable, is a standard part of the procurement process to ensure best value.

How does the per-unit cost of these radar electronic units compare to industry benchmarks or previous contracts for similar items?

Without access to specific cost breakdowns and comparable contract data, a precise benchmark is difficult. However, the absence of competition suggests a higher likelihood of the cost being at the higher end of the spectrum. A detailed cost analysis by the contracting agency would be necessary to validate the pricing against market rates.

What is the potential impact on future procurement strategies if sole-source awards become the norm for such critical components?

If sole-source awards become prevalent for critical components, it could stifle innovation and competition within the defense industrial base. This may lead to sustained higher costs for taxpayers and reduced incentive for contractors to improve efficiency or offer competitive pricing. It could also create dependencies on single suppliers.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp

Address: 5600 W SAND LAKE RD, ORLANDO, FL, 32819

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

Financial Breakdown

Contract Ceiling: $52,450,199

Exercised Options: $52,450,199

Current Obligation: $52,450,199

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W52P1J16D0055

IDV Type: IDC

Timeline