DOT Awards $150M for ADS-B Air-to-Air Application Support to Aviation Communication & Surveillance Systems LLC

Contract Overview

Contract Amount: $15,082,205 ($15.1M)

Contractor: Aviation Communication & Surveillance Systems LLC

Awarding Agency: Department of Transportation

Start Date: 2008-12-11

End Date: 2017-06-02

Contract Duration: 3,095 days

Daily Burn Rate: $4.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THIS PR PROVIDES FUNDING FOR ACCELERATION OF AIR TO AIR APPLICATION SUPPORT FOR ADS-B PROGRAM OFFICE. CONTRACT # TAS::69 8107::TAS

Place of Performance

Location: PHOENIX, MARICOPA County, ARIZONA, 85027

State: Arizona Government Spending

Plain-Language Summary

Department of Transportation obligated $15.1 million to AVIATION COMMUNICATION & SURVEILLANCE SYSTEMS LLC for work described as: THIS PR PROVIDES FUNDING FOR ACCELERATION OF AIR TO AIR APPLICATION SUPPORT FOR ADS-B PROGRAM OFFICE. CONTRACT # TAS::69 8107::TAS Key points: 1. Contract awarded to Aviation Communication & Surveillance Systems LLC for ADS-B program support. 2. The contract is for acceleration of air-to-air application support. 3. Awarded by the Department of Transportation, Federal Aviation Administration. 4. The contract duration is 3095 days, ending in June 2017. 5. This falls under the Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing sector.

Value Assessment

Rating: fair

The award amount of $150,822,050 for a nearly 8.5-year contract suggests a moderate per-year cost. Without specific deliverables or benchmarks for 'application support,' a direct pricing comparison is difficult. However, the duration implies a significant, ongoing need.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives fair market value for the services procured.

Taxpayer Impact: Taxpayers benefit from competitive bidding, which aims to secure the best possible price for essential aviation system support.

Public Impact

Enhances the ADS-B program, crucial for air traffic management and safety. Supports the modernization of the National Airspace System. Ensures continued development and support for critical aviation communication and surveillance technologies. Potential for improved flight tracking and situational awareness for pilots and controllers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (3095 days) may lead to scope creep or outdated technology if not managed effectively.
Firm Fixed Price contract could be disadvantageous if unforeseen technical challenges arise.
Lack of specific performance metrics makes it hard to assess value for money.

Positive Signals

Full and open competition suggests a competitive pricing environment.
Supports a critical national infrastructure program (ADS-B).
Awarded to a specialized company in aviation communication and surveillance.

Sector Analysis

This contract falls within the IT and Defense-related manufacturing sector, specifically focusing on navigation and guidance systems. Spending in this area is driven by national security, infrastructure modernization, and technological advancement in aviation.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or partners in this contract. Further investigation would be needed to determine the extent of small business participation.

Oversight & Accountability

The Federal Aviation Administration (FAA) is responsible for overseeing this contract. Oversight would typically involve monitoring performance, ensuring compliance with contract terms, and managing any contract modifications to ensure taxpayer funds are used effectively.

Related Government Programs

Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Long contract duration may lead to cost inefficiencies or outdated technology.
Firm Fixed Price could be a disadvantage if unforeseen technical issues arise.
Lack of detailed performance metrics makes value assessment difficult.
Potential for scope creep over the contract's extensive timeline.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $15.1 million to AVIATION COMMUNICATION & SURVEILLANCE SYSTEMS LLC. THIS PR PROVIDES FUNDING FOR ACCELERATION OF AIR TO AIR APPLICATION SUPPORT FOR ADS-B PROGRAM OFFICE. CONTRACT # TAS::69 8107::TAS

Who is the contractor on this award?

The obligated recipient is AVIATION COMMUNICATION & SURVEILLANCE SYSTEMS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $15.1 million.

What is the period of performance?

Start: 2008-12-11. End: 2017-06-02.

What specific 'application support' is being accelerated, and how does this acceleration directly benefit the ADS-B program's objectives?

The acceleration of 'air to air application support' likely refers to enhancing the capabilities of the ADS-B system to facilitate direct communication and data exchange between aircraft. This could improve real-time traffic awareness, conflict detection, and overall airspace safety by enabling aircraft to 'see' each other more effectively, reducing reliance solely on ground-based infrastructure.

Given the firm fixed price and long duration, what mechanisms are in place to mitigate the risk of cost overruns or technological obsolescence?

While a firm fixed price contract aims to cap costs, the long duration presents risks. Mitigation strategies would typically involve robust contract management, including regular performance reviews, change control processes for any scope adjustments, and potentially incorporating clauses for technology refresh or review cycles to address obsolescence. The FAA's oversight is critical here.

How does the performance of Aviation Communication & Surveillance Systems LLC on this contract compare to industry benchmarks for similar services, and what is the overall effectiveness of this invest

Assessing effectiveness requires performance data not provided. However, the company's specialization in aviation communication and surveillance suggests a strong capability. Comparing performance to benchmarks would involve analyzing delivery timelines, system uptime, and the successful implementation of new features against industry standards for similar long-term support contracts in critical infrastructure.

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: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D

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: L3 Technologies, Inc. (UEI: 008898884)

Address: 19810 N 7TH AVE, PHOENIX, AZ, 85027

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $17,538,987

Exercised Options: $15,082,205

Current Obligation: $15,082,205

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline