DoD's $240M Northrop Grumman Contract for ATP-SE Pods: Search, Detection, and Guidance Systems
Contract Overview
Contract Amount: $240,434,779 ($240.4M)
Contractor: Northrop Grumman Systems Corporation
Awarding Agency: Department of Defense
Start Date: 2010-09-30
End Date: 2016-01-31
Contract Duration: 1,949 days
Daily Burn Rate: $123.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: ATP-SE INITIAL PODS AND TEST SUPPORT
Place of Performance
Location: ROLLING MEADOWS, COOK County, ILLINOIS, 60008, UNITED STATES OF AMERICA
State: Illinois Government Spending
Plain-Language Summary
Department of Defense obligated $240.4 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: ATP-SE INITIAL PODS AND TEST SUPPORT Key points: 1. Contract awarded to Northrop Grumman Systems Corporation for $240.4M. 2. Focuses on Search, Detection, Navigation, Guidance, and related instrument manufacturing. 3. Full and open competition was utilized. 4. Contract duration was 1949 days, ending January 31, 2016. 5. The contract type was Firm Fixed Price.
Value Assessment
Rating: good
The contract value of $240.4 million for ATP-SE pods and test support appears reasonable given the scope of advanced systems involved. Benchmarking against similar complex defense system procurements would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition suggests a robust price discovery process. This method allows multiple qualified vendors to bid, potentially driving down costs and ensuring fair market value.
Taxpayer Impact: Taxpayer funds were utilized through a competitive bidding process, aiming for value for money in acquiring critical defense technology.
Public Impact
Enhances Air Force's search and detection capabilities. Supports advanced navigation and guidance systems for aircraft. Contributes to national defense technology development. Procurement ensures operational readiness of key defense assets.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Positive Signals
- Full and open competition utilized.
- Firm Fixed Price contract type.
Sector Analysis
This contract falls within the Defense sector, specifically focusing on advanced aerospace systems manufacturing. Spending in this area is critical for maintaining technological superiority and national security, with significant government investment typical for such specialized equipment.
Small Business Impact
The data does not indicate specific subcontracting opportunities for small businesses. Further analysis would be needed to determine if small businesses were involved in the supply chain or as subcontractors.
Oversight & Accountability
The contract was awarded by the Department of the Air Force, a component of the Department of Defense, implying oversight through established military procurement and auditing processes.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Contract duration significantly longer than typical, potentially increasing risk of obsolescence or scope creep.
- Lack of specific performance metrics in provided data.
- No clear indication of small business participation.
- Potential for cost increases if contract modifications were issued.
Tags
search-detection-navigation-guidance-aer, department-of-defense, il, do, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $240.4 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. ATP-SE INITIAL PODS AND TEST SUPPORT
Who is the contractor on this award?
The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $240.4 million.
What is the period of performance?
Start: 2010-09-30. End: 2016-01-31.
What was the specific performance achieved by Northrop Grumman under this contract?
Performance details are not provided in the given data. A thorough review of contract performance reports, delivery schedules, and any quality assurance records would be necessary to assess Northrop Grumman's performance. This would include evaluating adherence to specifications, timeliness of delivery, and overall system functionality.
Were there any cost overruns or significant deviations from the initial budget?
The provided data does not specify any cost overruns. As a Firm Fixed Price contract, the expectation is that the contractor absorbs any cost increases beyond the agreed-upon price. However, contract modifications or change orders could have impacted the final cost, requiring further investigation.
How did the final cost compare to initial estimates before the full and open competition?
The data does not include initial cost estimates prior to competition. The full and open competition process is designed to establish a competitive price. Comparing the awarded price to independent government cost estimates or historical data for similar systems would be the best way to gauge its reasonableness.
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: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Northrop Grumman Corporation (UEI: 967356127)
Address: 600 HICKS RD, ROLLING MEADOWS, IL, 60008
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: $240,434,779
Exercised Options: $240,434,779
Current Obligation: $240,434,779
Subaward Activity
Number of Subawards: 5620
Total Subaward Amount: $4,074,961,927
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA862610D2132
IDV Type: IDC
Timeline
Start Date: 2010-09-30
Current End Date: 2016-01-31
Potential End Date: 2016-01-31 00:00:00
Last Modified: 2015-06-15
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