GSA awards $9.6M task order to L3 Technologies for wireless communications equipment

Contract Overview

Contract Amount: $9,659,566 ($9.7M)

Contractor: L3 Technologies, Inc.

Awarding Agency: General Services Administration

Start Date: 2025-09-25

End Date: 2026-07-31

Contract Duration: 309 days

Daily Burn Rate: $31.3K/day

Competition Type: NOT COMPETED

Pricing Type: LABOR HOURS

Sector: Other

Official Description: L3 TASK ORDER 47 SOCOM AND AFSOC AWARD

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33621

State: Florida Government Spending

Plain-Language Summary

General Services Administration obligated $9.7 million to L3 TECHNOLOGIES, INC. for work described as: L3 TASK ORDER 47 SOCOM AND AFSOC AWARD Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Significant duration of 309 days suggests a substantial project scope. 3. Focus on broadcasting and wireless equipment manufacturing indicates a specialized need. 4. Awarded by GSA's Federal Acquisition Service, a common channel for federal procurement. 5. No small business set-aside, potentially impacting small business participation. 6. High dollar value for a single task order warrants scrutiny of value for money.

Value Assessment

Rating: questionable

Benchmarking the value for this specific task order is challenging due to its sole-source nature and the specialized equipment involved. Without competitive bids, it's difficult to ascertain if the $9.6 million represents a fair market price. The contract type, 'LABOR HOURS,' can sometimes lead to cost overruns if not closely managed, further complicating value assessment. Comparison to similar sole-source awards for specialized wireless equipment would be necessary for a more robust value-for-money analysis.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This task order was awarded on a sole-source basis, meaning L3 Technologies, Inc. was the only vendor considered. This approach bypasses the standard competitive bidding process, which typically involves multiple vendors submitting proposals. While sole-source awards can be justified for unique capabilities or urgent needs, they inherently reduce price discovery and may lead to higher costs for the government compared to a fully competed contract.

Taxpayer Impact: Sole-source awards limit the government's ability to leverage competition to secure the best possible pricing, potentially resulting in less favorable terms for taxpayers.

Public Impact

The primary beneficiary is likely the U.S. Special Operations Command (SOCOM) and Air Force Special Operations Command (AFSOC), who will receive the wireless communications equipment. The services delivered include the provision of specialized radio and television broadcasting and wireless communications equipment. The geographic impact is specified as Florida (FL), indicating the equipment will be deployed or utilized within that state. Workforce implications are not explicitly detailed but may involve technical support or integration services related to the equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potentially increases cost to taxpayers.
Lack of transparency in the justification for sole-source procurement.
Potential for cost overruns given the 'LABOR HOURS' contract type without clear performance metrics.
Limited visibility into the specific technical requirements and necessity of this specialized equipment.

Positive Signals

Award to an established contractor, L3 Technologies, Inc., suggesting potential for reliable delivery.
Specific focus on SOCOM and AFSOC needs indicates alignment with critical national security missions.
Clear end dates provide a defined period for contract performance.

Sector Analysis

The contract falls within the 'Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing' sector (NAICS 334220). This sector is crucial for national defense and public safety, providing essential communication infrastructure. Federal spending in this area often involves highly specialized and technologically advanced equipment, with significant investment driven by defense and intelligence agencies. Comparable spending benchmarks would typically involve analyzing other large sole-source or competitively awarded contracts for similar communication systems procured by defense entities.

Small Business Impact

This contract was not set aside for small businesses, nor does it indicate any specific subcontracting requirements for small businesses. The sole-source nature of the award further reduces the likelihood of small business participation unless they are a direct subcontractor to L3 Technologies, Inc. This could limit opportunities for small businesses within the wireless communications equipment manufacturing and supply chain for this specific procurement.

Oversight & Accountability

Oversight for this task order would primarily fall under the General Services Administration (GSA) and the specific end-user agencies, SOCOM and AFSOC. The Federal Acquisition Service (FAS) within GSA is responsible for managing the contract vehicle. Accountability measures would be tied to the delivery of the specified wireless communications equipment and adherence to the labor hour terms. Transparency is limited due to the sole-source nature, with justifications typically available through agency procurement portals, but detailed performance data may not be publicly disclosed.

Related Government Programs

SOCOM Procurement
AFSOC Procurement
GSA Federal Supply Schedule Contracts
Defense Communications Systems
Wireless Communications Equipment Procurement

Risk Flags

Sole-source award may indicate a lack of competition, potentially leading to higher costs.
Labor hours contract type carries inherent risk of cost overruns if not closely managed.
Limited public information on the specific justification for sole-source procurement.
No explicit small business subcontracting requirements noted.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $9.7 million to L3 TECHNOLOGIES, INC.. L3 TASK ORDER 47 SOCOM AND AFSOC AWARD

Who is the contractor on this award?

The obligated recipient is L3 TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $9.7 million.

What is the period of performance?

Start: 2025-09-25. End: 2026-07-31.

What is the specific justification provided by GSA for awarding this task order on a sole-source basis to L3 Technologies, Inc.?

The provided data does not include the specific justification for the sole-source award. Typically, sole-source procurements are justified under specific circumstances outlined in the Federal Acquisition Regulation (FAR), such as when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. Agencies must document these justifications, often making them publicly available through sources like SAM.gov. Without this documentation, it is impossible to assess the validity of the sole-source determination and whether competitive alternatives were truly unavailable or impractical.

How does the 'LABOR HOURS' contract type potentially impact cost control and value for money in this $9.6 million task order?

The 'LABOR HOURS' contract type is a cost-reimbursement contract where the government pays the contractor for the direct labor hours at specified fixed hourly rates and for the associated labor overhead, and other direct costs. This type of contract places a significant portion of the cost risk on the government, as the final price is not fixed. If not managed diligently with robust oversight, it can lead to cost overruns if the labor hours exceed initial estimates or if billing rates are not closely scrutinized. For a $9.6 million task order, effective monitoring of labor hours, personnel qualifications, and task progress is critical to ensure value for money and prevent unnecessary expenditure.

What are the typical performance metrics and deliverables expected for a task order of this nature and value?

For a task order focused on providing wireless communications equipment, typical performance metrics and deliverables would include the timely delivery of specified equipment meeting all technical specifications, successful installation and integration (if applicable), and potentially post-delivery support or training. Given the 'LABOR HOURS' contract type, performance might also be measured by the efficient use of labor hours in completing defined tasks related to the equipment's deployment or setup. The Statement of Work (SOW) or Performance Work Statement (PWS) associated with the task order would detail these specific requirements, acceptance criteria, and any associated penalties or incentives.

Can the $9.6 million award be benchmarked against similar procurements for wireless communications equipment by SOCOM or AFSOC?

Benchmarking this $9.6 million award against similar procurements is challenging without access to detailed contract data for comparable items and services. Factors such as the specific type of wireless equipment, its technological sophistication, quantity, required customization, and the urgency of the need significantly influence pricing. While GSA's Federal Acquisition Service manages numerous contracts, sole-source awards for specialized defense equipment often lack direct competitive comparisons. A thorough benchmark would require identifying contracts with similar technical requirements, contract types, and awarded to similar defense entities, which is often difficult due to the proprietary or classified nature of such information.

What is the track record of L3 Technologies, Inc. in delivering wireless communications equipment to federal agencies, particularly defense entities?

L3 Technologies, Inc. (now part of L3Harris Technologies) has a substantial track record of providing advanced technologies and services to U.S. defense and intelligence agencies, including communications systems. Their portfolio often includes complex electronic systems, sensors, and integrated solutions. While specific details on past performance for this exact type of wireless communications equipment under GSA contracts may vary, the company is generally recognized as a major defense contractor with extensive experience in areas relevant to this award. A deeper dive into their contract history, past performance reviews, and any reported issues would be necessary for a comprehensive assessment.

Industry Classification

NAICS: Manufacturing › Communications Equipment Manufacturing › Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 47QFLA25R0023

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: L3harris Technologies, Inc

Address: 640 N 2200 W, SALT LAKE CITY, UT, 84116

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: $13,593,041

Exercised Options: $13,593,041

Current Obligation: $9,659,566

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 47QFLA20D0014

IDV Type: IDC

Timeline