DoD Awards $11.6M Sole Source Contract for L3Harris Radios and Services

Contract Overview

Contract Amount: $11,604,497 ($11.6M)

Contractor: L3harris Global Communications, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-24

End Date: 2026-12-31

Contract Duration: 463 days

Daily Burn Rate: $25.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COUNTRY DIRECTED, SOLE SOURCE PROCUREMENT OF L3HARRIS RADIOS, ACCESSORIES AND SERVICES FOR THE NATION COUNTRY

Place of Performance

Location: ROCHESTER, MONROE County, NEW YORK, 14623

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $11.6 million to L3HARRIS GLOBAL COMMUNICATIONS, INC. for work described as: COUNTRY DIRECTED, SOLE SOURCE PROCUREMENT OF L3HARRIS RADIOS, ACCESSORIES AND SERVICES FOR THE NATION COUNTRY Key points: 1. Significant investment in critical communication equipment for national defense. 2. Sole-source procurement limits competitive pricing and potential cost savings. 3. Contract duration of over 1.5 years suggests ongoing operational needs. 4. Focus on L3Harris indicates a reliance on a specific vendor for specialized equipment.

Value Assessment

Rating: questionable

The contract value of $11.6M for radios and services is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to market alternatives or if it reflects a fair price for specialized, sole-source equipment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning competition was not sought. This approach can be justified for unique capabilities but often leads to higher prices and reduced innovation compared to open competition.

Taxpayer Impact: Taxpayer funds are being used for a significant procurement without the benefit of competitive price discovery, potentially leading to a higher overall cost.

Public Impact

Ensures critical communication capabilities for national security operations. Potential for higher costs due to lack of competitive bidding. Supports a key defense contractor, L3Harris, in the communications sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competition
  • Lack of price benchmark for comparison
  • Long contract duration

Positive Signals

  • Procurement of essential communication equipment
  • Supports national defense needs

Sector Analysis

This procurement falls under the 'Other Communications Equipment Manufacturing' sector. Spending in this area is critical for national defense, but sole-source awards can inflate costs compared to more competitive segments.

Small Business Impact

The data does not indicate any specific provisions or considerations for small businesses in this sole-source procurement. The award is directly to L3Harris Global Communications, Inc.

Oversight & Accountability

Oversight is crucial for sole-source contracts to ensure fair pricing and necessity. The Department of Defense's contracting process should include justification for the sole-source award and mechanisms to monitor cost-effectiveness throughout the contract period.

Related Government Programs

  • Other Communications Equipment Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Sole-source award
  • Lack of competitive bidding
  • No clear price benchmark provided
  • Potential for vendor lock-in
  • Long contract duration

Tags

other-communications-equipment-manufactu, department-of-defense, ny, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $11.6 million to L3HARRIS GLOBAL COMMUNICATIONS, INC.. COUNTRY DIRECTED, SOLE SOURCE PROCUREMENT OF L3HARRIS RADIOS, ACCESSORIES AND SERVICES FOR THE NATION COUNTRY

Who is the contractor on this award?

The obligated recipient is L3HARRIS GLOBAL COMMUNICATIONS, 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 $11.6 million.

What is the period of performance?

Start: 2025-09-24. End: 2026-12-31.

What is the justification for awarding this contract on a sole-source basis, and what steps are being taken to ensure fair pricing?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or lack of viable alternatives. To ensure fair pricing, the agency should conduct a thorough price analysis, potentially using historical data, commercial price lists, or independent cost estimates, even without direct competition.

What are the risks associated with relying on a single vendor for critical communication equipment over an extended period?

Risks include vendor lock-in, potential price increases over time, supply chain vulnerabilities if the vendor faces disruptions, and a lack of incentive for the vendor to innovate or improve service due to limited competition. This dependence can also impact the government's ability to adopt newer, potentially superior technologies from other sources.

How does this procurement align with the Department of the Army's long-term communication strategy and technology roadmap?

Understanding the strategic alignment is key. This contract should support specific operational requirements and fit within the broader modernization plans for the Army's communication systems. Without this context, it's difficult to assess the long-term effectiveness and value of investing in L3Harris equipment.

Industry Classification

NAICS: ManufacturingCommunications Equipment ManufacturingOther Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: L3harris Technologies, Inc

Address: 1350 JEFFERSON RD, ROCHESTER, NY, 14623

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

Financial Breakdown

Contract Ceiling: $11,604,497

Exercised Options: $11,604,497

Current Obligation: $11,604,497

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W91CRB21D5003

IDV Type: IDC

Timeline

Start Date: 2025-09-24

Current End Date: 2026-12-31

Potential End Date: 2026-12-31 12:12:00

Last Modified: 2025-09-24

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