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

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

Risk Flags

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: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, 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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