Army Awards $33.7M for JETS LRIP Systems, Boosting Navigation Tech
Contract Overview
Contract Amount: $33,708,124 ($33.7M)
Contractor: DRS Network & Imaging Systems LLC
Awarding Agency: Department of Defense
Start Date: 2018-08-01
End Date: 2025-09-30
Contract Duration: 2,617 days
Daily Burn Rate: $12.9K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: JETS ADDITIONAL LRIP SYSTEMS - PY2
Place of Performance
Location: MELBOURNE, BREVARD County, FLORIDA, 32935
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $33.7 million to DRS NETWORK & IMAGING SYSTEMS LLC for work described as: JETS ADDITIONAL LRIP SYSTEMS - PY2 Key points: 1. Significant investment in advanced navigation systems for the Army. 2. Competition was full and open, suggesting potential for competitive pricing. 3. Risk appears moderate given the firm fixed-price contract type. 4. Sector focus on IT and Defense systems manufacturing.
Value Assessment
Rating: good
The contract value of $33.7M for LRIP systems appears reasonable for advanced navigation technology. Benchmarking against similar advanced sensor and navigation system procurements would provide further context.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Full and open competition was utilized, which typically fosters price discovery and competitive bidding. This method is expected to yield a fair market price for the systems.
Taxpayer Impact: The use of full and open competition is a positive indicator for taxpayer value, as it encourages multiple bidders to offer their best pricing.
Public Impact
Enhances critical Army operational capabilities through advanced navigation. Supports technological advancement in the defense sector. Potential for follow-on contracts based on LRIP success.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (over 6 years) could introduce cost escalation risks.
- Reliance on a single contractor (DRS NETWORK & IMAGING SYSTEMS LLC) for LRIP could pose supply chain risks if not managed.
Positive Signals
- Firm fixed-price contract limits cost overrun risk for the government.
- Full and open competition suggests a competitive environment for pricing.
- Awarded to a known entity in the defense sector.
Sector Analysis
This contract falls within the IT and Defense sectors, specifically focusing on the manufacturing of sophisticated navigation and guidance instruments. Spending in this area is critical for maintaining military technological superiority.
Small Business Impact
The data does not indicate specific participation or set-asides for small businesses in this particular contract award. Further analysis would be needed to determine the extent of small business involvement.
Oversight & Accountability
The Department of the Army is responsible for oversight. The firm fixed-price contract type provides some level of cost control, but performance monitoring will be crucial for ensuring delivery and quality.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration
- Potential for supply chain disruption if contractor faces issues
- Technological obsolescence risk over the contract period
Tags
search-detection-navigation-guidance-aer, department-of-defense, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $33.7 million to DRS NETWORK & IMAGING SYSTEMS LLC. JETS ADDITIONAL LRIP SYSTEMS - PY2
Who is the contractor on this award?
The obligated recipient is DRS NETWORK & IMAGING SYSTEMS LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $33.7 million.
What is the period of performance?
Start: 2018-08-01. End: 2025-09-30.
What is the specific technological advancement this LRIP aims to achieve?
The Limited Rate Initial Production (LRIP) for JETS (Joint Effects Targeting System) likely focuses on refining and scaling production of advanced sensor and navigation components. This could involve integrating new algorithms, improving sensor accuracy, or enhancing system reliability for battlefield deployment.
What are the potential risks associated with the long contract duration?
A contract spanning over six years (2018-2025) carries inherent risks of technological obsolescence, potential for increased material costs due to inflation, and the possibility of contractor performance degradation over time. Effective contract management and regular performance reviews are essential to mitigate these risks.
How does this contract contribute to the overall effectiveness of Army operations?
This contract directly enhances the effectiveness of Army operations by providing critical navigation and targeting systems. Improved accuracy and reliability in these systems can lead to better situational awareness, reduced collateral damage, and increased mission success rates for ground and air units.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Product/Service Code: FIRE CONTROL EQPT.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W91CRB16R0017
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leonardo SPA
Address: 100 N BABCOCK ST, MELBOURNE, FL, 32935
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $33,708,124
Exercised Options: $33,708,124
Current Obligation: $33,708,124
Subaward Activity
Number of Subawards: 34
Total Subaward Amount: $13,185,246
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W91CRB16D0028
IDV Type: IDC
Timeline
Start Date: 2018-08-01
Current End Date: 2025-09-30
Potential End Date: 2025-09-30 00:00:00
Last Modified: 2025-08-08
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