DoD Awards $32.5M for Radiological Detection Systems LRIP to Ludlum Measurements, Inc

Contract Overview

Contract Amount: $32,505,288 ($32.5M)

Contractor: Ludlum Measurements, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-09-25

End Date: 2027-02-28

Contract Duration: 2,713 days

Daily Burn Rate: $12.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIXED PRICE INCENTIVE

Sector: Defense

Official Description: RADIOLOGICAL DETECTION SYSTEM (RDS) PHASE II - LOW RATE INITIAL PRODUCTION (LRIP) DELIVERY ORDER

Place of Performance

Location: DRAPER, SALT LAKE County, UTAH, 84020

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $32.5 million to LUDLUM MEASUREMENTS, INC. for work described as: RADIOLOGICAL DETECTION SYSTEM (RDS) PHASE II - LOW RATE INITIAL PRODUCTION (LRIP) DELIVERY ORDER Key points: 1. Significant investment in critical detection technology. 2. Sole awardee raises questions about competitive landscape. 3. Long contract duration (2019-2027) warrants close monitoring. 4. Fixed Price Incentive contract type aims to balance cost and performance.

Value Assessment

Rating: fair

The contract value of $32.5M over nearly 8 years suggests a substantial investment. Benchmarking against similar radiological detection system procurements is difficult without more specific technical details and unit costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may have restricted the pool of potential bidders and potentially impacted price discovery.

Taxpayer Impact: Taxpayer funds are being used for advanced detection equipment. The limited competition raises concerns about whether the best possible price was achieved.

Public Impact

Enhances national security by providing advanced radiological detection capabilities. Supports military readiness and personnel safety in potentially hazardous environments. Investment in specialized manufacturing and technology within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition
  • Long contract duration
  • Fixed Price Incentive contract type can lead to cost overruns if not managed carefully

Positive Signals

  • Addresses a critical national security need
  • Potential for technological advancement in detection systems

Sector Analysis

This contract falls within the 'Other Measuring and Controlling Device Manufacturing' sector, a niche area within defense manufacturing. Spending benchmarks are difficult to establish without more granular data on similar specialized detection systems.

Small Business Impact

The contract was awarded to Ludlum Measurements, Inc., a company that may or may not be a small business. The data indicates 'sb' is false, suggesting it is a large business, limiting direct small business participation through this prime contract.

Oversight & Accountability

The long duration and fixed-price incentive structure necessitate robust oversight from the Department of the Army to ensure cost control, timely delivery, and adherence to specifications. Regular performance reviews are crucial.

Related Government Programs

  • Other Measuring and Controlling Device Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for cost overruns due to Fixed Price Incentive contract.
  • Limited competition may result in suboptimal pricing.
  • Long contract duration increases risk of obsolescence or changing requirements.
  • Lack of detailed technical specifications hinders independent value assessment.
  • Dependency on a single contractor for critical detection technology.

Tags

other-measuring-and-controlling-device-m, department-of-defense, ut, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $32.5 million to LUDLUM MEASUREMENTS, INC.. RADIOLOGICAL DETECTION SYSTEM (RDS) PHASE II - LOW RATE INITIAL PRODUCTION (LRIP) DELIVERY ORDER

Who is the contractor on this award?

The obligated recipient is LUDLUM MEASUREMENTS, 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 $32.5 million.

What is the period of performance?

Start: 2019-09-25. End: 2027-02-28.

What is the specific threat profile this system is designed to address, and how does its capability compare to commercially available alternatives?

The specific threat profile is not detailed, but Radiological Detection Systems (RDS) typically identify and measure ionizing radiation. Understanding the system's sensitivity, range, and specific isotopes it can detect is crucial. Comparing these capabilities to advanced commercial systems would reveal if the government is procuring a unique, military-specific solution or a modified commercial off-the-shelf product, impacting value for money.

What were the justifications for excluding other potential sources, and what was the competitive pricing analysis performed?

The justification for excluding other sources under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' needs detailed review. Typically, this involves demonstrating that only one source can meet the requirement due to unique capabilities, proprietary technology, or urgent need. A thorough competitive pricing analysis, even with limited bidders, should have been conducted to ensure the awarded price was fair and reasonable compared to independent cost estimates or historical data.

How will the effectiveness and operational readiness of the delivered RDS units be measured and validated throughout the LRIP and subsequent phases?

Effectiveness and operational readiness should be validated through rigorous testing and evaluation (T&E) protocols at multiple stages. This includes factory acceptance testing, integration testing with existing military systems, and field operational assessments. Key performance parameters (KPPs) related to detection accuracy, response time, reliability, and maintainability must be defined and tracked throughout the contract lifecycle to ensure the system meets its intended mission requirements.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingOther Measuring and Controlling Device Manufacturing

Product/Service Code: INSTRUMENTS AND LABORATORY EQPT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W911SR15R0001

Pricing Type: FIXED PRICE INCENTIVE (L)

Evaluated Preference: NONE

Contractor Details

Address: 11814 ELECTION RD STE 200, DRAPER, UT, 84020

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $32,505,288

Exercised Options: $32,505,288

Current Obligation: $32,505,288

Actual Outlays: $22,141

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W911SR16D0027

IDV Type: IDC

Timeline

Start Date: 2019-09-25

Current End Date: 2027-02-28

Potential End Date: 2027-02-28 00:00:00

Last Modified: 2025-03-27

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