DOT's $387M DAFIS UDO RECONSTRUCT Contract Awarded to Harris Corporation

Contract Overview

Contract Amount: $386,693,526 ($386.7M)

Contractor: Harris Corporation

Awarding Agency: Department of Transportation

Start Date: 2008-06-13

End Date: 2009-06-02

Contract Duration: 354 days

Daily Burn Rate: $1.1M/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: DAFIS UDO RECONSTRUCT W/O ADVANCE

Place of Performance

Location: POTTSTOWN, MONTGOMERY County, PENNSYLVANIA, 19464

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Transportation obligated $386.7 million to HARRIS CORPORATION for work described as: DAFIS UDO RECONSTRUCT W/O ADVANCE Key points: 1. Significant contract value of $386.7 million for telecommunications resellers. 2. Awarded to a single vendor, Harris Corporation, raising questions about competition. 3. Contract duration of 354 days with a firm fixed price. 4. Potential for cost overruns or inefficiencies due to lack of competitive pressure.

Value Assessment

Rating: questionable

The contract value is substantial, but without a clear benchmark for 'DAFIS UDO RECONSTRUCT', it's difficult to assess pricing effectiveness. The firm fixed price suggests an attempt to control costs, but the lack of competition could inflate the price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which theoretically allows for the best price discovery. However, the data indicates a single award, suggesting Harris Corporation was the sole bidder or the most advantageous offer.

Taxpayer Impact: The full and open competition aims to ensure taxpayer funds are used efficiently, but the final price achieved needs scrutiny given the single award.

Public Impact

Impacts Federal Aviation Administration's telecommunications infrastructure. Ensures continued operation of critical data and communication systems. Potential for long-term reliance on Harris Corporation for related services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of multiple bids despite full and open competition.
High contract value could be inflated without competitive pressure.
Potential for vendor lock-in.

Positive Signals

Firm fixed price contract to control costs.
Awarded under full and open competition.

Sector Analysis

This contract falls within the Information Technology sector, specifically telecommunications resellers. Spending in this area is crucial for government operations, but competitive bidding is essential to manage costs effectively.

Small Business Impact

The data does not indicate any specific provisions or awards made to small businesses under this contract. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The award under full and open competition suggests a structured procurement process. However, the single award warrants oversight to ensure the government received fair value and that competition was truly robust.

Related Government Programs

Telecommunications Resellers
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Single award despite full and open competition.
High contract value.
Potential for uncompetitive pricing.
Lack of small business participation evident.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $386.7 million to HARRIS CORPORATION. DAFIS UDO RECONSTRUCT W/O ADVANCE

Who is the contractor on this award?

The obligated recipient is HARRIS CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $386.7 million.

What is the period of performance?

Start: 2008-06-13. End: 2009-06-02.

Was the 'full and open competition' truly effective in generating multiple competitive bids for this substantial contract?

While the contract was advertised as 'full and open', the fact that only one award was made suggests that either Harris Corporation was the only responsive bidder, or its proposal was significantly more advantageous than any others received. This outcome warrants further investigation into the bidding process and market conditions to ensure genuine competition was fostered.

What is the risk of cost escalation or reduced service quality given the apparent lack of competitive pressure post-award?

The primary risk is that without ongoing competitive pressure, Harris Corporation may have less incentive to control costs or innovate. While the firm fixed price offers some protection, future modifications or contract extensions could be negotiated at less favorable terms for the government. This could lead to higher overall spending and potentially impact the quality or timeliness of services.

How effectively does this contract support the FAA's mission, and could alternative solutions have provided better value?

The contract's effectiveness hinges on its successful execution in reconstructing DAFIS UDO systems. Without detailed performance metrics or comparisons, it's hard to definitively assess value. However, the lack of competition raises questions about whether alternative technological solutions or different vendor approaches might have offered superior performance or cost savings for the FAA's telecommunications needs.

Industry Classification

NAICS: Information › Wired and Wireless Telecommunications Carriers › Telecommunications Resellers

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: L3harris Technologies, Inc (UEI: 004203337)

Address: 243 SHOEMAKER RD, POTTSTOWN, PA, 04

Business Categories: Category Business, Corporate Entity Tax Exempt, Limited Liability Corporation, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $388,358,583

Exercised Options: $388,358,583

Current Obligation: $386,693,526

Parent Contract

Parent Award PIID: DTFA0102D03006

IDV Type: IDC

Timeline