DoD Awards $16.8M for Base Radio Systems to Motorola Solutions Under Full and Open Competition

Contract Overview

Contract Amount: $16,859,699 ($16.9M)

Contractor: Motorola Solutions, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-06-13

End Date: 2016-01-31

Contract Duration: 2,788 days

Daily Burn Rate: $6.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DELIVERY ORDER FOR FORT BLISS, TX/WHITE SANDS MISSLE RANGE, NM/HOLLOMAN AFB, NM/NASA WHITE SANDS TEST FACILITY, NM BASE RADIO SYSTEMS.

Place of Performance

Location: COLUMBIA, HOWARD County, MARYLAND, 21046, UNITED STATES OF AMERICA

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $16.9 million to MOTOROLA SOLUTIONS, INC. for work described as: DELIVERY ORDER FOR FORT BLISS, TX/WHITE SANDS MISSLE RANGE, NM/HOLLOMAN AFB, NM/NASA WHITE SANDS TEST FACILITY, NM BASE RADIO SYSTEMS. Key points: 1. Motorola Solutions secured a significant contract for base radio systems, highlighting their established presence in the defense communications sector. 2. The award was made under full and open competition, suggesting a competitive bidding process and potentially favorable pricing. 3. The contract duration of nearly 3 years (2788 days) indicates a substantial, long-term need for these communication systems. 4. The 'Other Communications Equipment Manufacturing' NAICS code suggests a broad category, but the specific application points to critical infrastructure support.

Value Assessment

Rating: good

The award amount of $16.8 million for base radio systems appears reasonable given the contract's duration and the nature of the equipment. Benchmarking against similar large-scale communication system procurements would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive environment is generally conducive to achieving fair market prices and ensuring value for the government.

Taxpayer Impact: The competitive nature of this award suggests that taxpayers likely benefited from a price discovery process that aimed for cost-effectiveness.

Public Impact

Ensures reliable communication infrastructure for critical military bases including Fort Bliss and Holloman AFB. Supports national security by maintaining operational readiness through robust radio systems. The contract's long duration implies ongoing reliance on these systems for extended periods. Potential for follow-on contracts or upgrades based on performance and evolving needs.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

Positive Signals

Sector Analysis

The defense sector heavily relies on advanced communication systems for operational effectiveness. Spending in this area is often driven by modernization efforts and the need for secure, reliable networks. Benchmarks for similar radio system procurements would be necessary for a precise comparison.

Small Business Impact

There is no indication that small businesses were involved in this specific delivery order. Further analysis would be needed to determine if subcontracting opportunities were made available or if small businesses were excluded from the primary competition.

Oversight & Accountability

The contract was awarded by the Department of the Army, part of the Department of Defense. Standard procurement oversight processes would apply, focusing on adherence to contract terms, performance, and financial accountability.

Related Government Programs

Risk Flags

Tags

other-communications-equipment-manufactu, department-of-defense, md, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.9 million to MOTOROLA SOLUTIONS, INC.. DELIVERY ORDER FOR FORT BLISS, TX/WHITE SANDS MISSLE RANGE, NM/HOLLOMAN AFB, NM/NASA WHITE SANDS TEST FACILITY, NM BASE RADIO SYSTEMS.

Who is the contractor on this award?

The obligated recipient is MOTOROLA SOLUTIONS, 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 $16.9 million.

What is the period of performance?

Start: 2008-06-13. End: 2016-01-31.

What is the specific type of radio system being procured and how does it align with current military communication standards?

The data indicates 'Base Radio Systems' under NAICS code 'Other Communications Equipment Manufacturing'. While specific technical details are not provided, these systems are crucial for command and control, personnel safety, and operational coordination at military installations. Alignment with standards would depend on the system's technical specifications, encryption capabilities, and interoperability features, which require further investigation beyond this contract award notice.

What are the potential risks associated with a long-term contract for a single vendor in a critical technology area like radio communications?

A long-term contract with a single vendor, like Motorola Solutions, for critical radio systems carries risks of vendor lock-in, reduced incentive for innovation, and potential price increases upon contract renewal. If the vendor experiences financial instability or supply chain disruptions, it could severely impact military operations. Furthermore, reliance on one provider might hinder the adoption of newer, potentially more effective technologies from competitors.

How does the firm fixed price contract structure benefit the government in terms of cost control for these radio systems?

The Firm Fixed Price (FFP) contract structure is highly beneficial for the government as it shifts the risk of cost overruns to the contractor, Motorola Solutions. The total price is set at the time of award, providing budget certainty and protecting the government from unexpected increases in material, labor, or other direct costs. This allows for predictable financial planning and ensures the government pays the agreed-upon amount, regardless of the contractor's actual costs.

Industry Classification

NAICS: ManufacturingCommunications Equipment ManufacturingOther Communications Equipment Manufacturing

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 7230 PARKWAY DR, HANOVER, MD, 21076

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $20,727,081

Exercised Options: $16,859,871

Current Obligation: $16,859,699

Parent Contract

Parent Award PIID: DAAB0701DH806

IDV Type: IDC

Timeline

Start Date: 2008-06-13

Current End Date: 2016-01-31

Potential End Date: 2016-01-31 00:00:00

Last Modified: 2015-09-24

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