DoD's $341M IGF BIG SAFARI Contract Awarded to L3Harris for Aircraft Parts

Contract Overview

Contract Amount: $341,405,623 ($341.4M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2017-11-29

End Date: 2018-12-31

Contract Duration: 397 days

Daily Burn Rate: $860.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST NO FEE

Sector: Defense

Official Description: IGF::CT::IGF ACAT III BIG SAFARI

Place of Performance

Location: GREENVILLE, HUNT County, TEXAS, 75402

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $341.4 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: IGF::CT::IGF ACAT III BIG SAFARI Key points: 1. The contract value of $341.4M is significant, indicating a substantial investment in aircraft parts and auxiliary equipment. 2. L3Harris Technologies Integrated Systems L.P. is the sole awardee, raising questions about competition. 3. The 'NOT COMPETED' status presents a potential risk for overpayment and lack of innovation. 4. The sector is 'Other Aircraft Parts and Auxiliary Equipment Manufacturing,' a critical component of defense logistics.

Value Assessment

Rating: questionable

The contract's 'NOT COMPETED' status makes a direct pricing assessment difficult. Without competitive bids, it's hard to determine if the $341.4M represents fair market value compared to similar contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, meaning only one source was solicited. This significantly limits price discovery and potentially leads to higher costs for the government.

Taxpayer Impact: The lack of competition could result in taxpayers paying more than necessary for these aircraft parts and auxiliary equipment.

Public Impact

Ensures continued availability of critical aircraft parts for the Department of the Air Force. Supports L3Harris Technologies' operations and potentially jobs in Texas. Lack of competition may limit access to potentially more innovative or cost-effective solutions from other manufacturers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector is vital for maintaining military readiness. Spending in this area is often driven by specific platform needs and long-term sustainment strategies.

Small Business Impact

The awardee, L3Harris Technologies, is a large corporation, and there is no indication that small businesses were involved in this specific contract as subcontractors.

Oversight & Accountability

The 'NOT COMPETED' nature of this award warrants scrutiny. Further oversight is needed to ensure the justification for sole-sourcing was robust and that the pricing is reasonable.

Related Government Programs

Risk Flags

Tags

other-aircraft-parts-and-auxiliary-equip, department-of-defense, tx, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $341.4 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P.. IGF::CT::IGF ACAT III BIG SAFARI

Who is the contractor on this award?

The obligated recipient is L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P..

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 $341.4 million.

What is the period of performance?

Start: 2017-11-29. End: 2018-12-31.

What was the specific justification for not competing this contract, and was a thorough market research conducted to ensure no other capable sources existed?

The justification for not competing this contract is crucial for understanding the value proposition. Without a competitive process, it's difficult to ascertain if the government received the best possible price and technological solution. A comprehensive market research report would typically detail why alternative sources were not viable, ensuring the sole-source award was truly necessary and in the government's best interest.

How does the $341.4M contract value compare to similar sole-source or competed contracts for comparable aircraft parts and auxiliary equipment?

Benchmarking this $341.4M contract against similar procurements is essential for assessing value. If comparable competed contracts show significantly lower prices for similar scope and quality, it suggests potential overpayment. Conversely, if other sole-source awards in this niche are similarly priced, it might indicate market conditions or unique requirements driving the cost.

What mechanisms are in place to ensure ongoing cost control and performance monitoring for this sole-source contract, given the inherent risks?

Given the sole-source nature, robust oversight is paramount. Mechanisms should include detailed performance metrics, regular progress reviews, and potentially independent cost analyses to validate expenditures. Without competitive pressure, the government must actively manage the contract to prevent scope creep and ensure L3Harris delivers on time, within budget, and to the required specifications.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Parent Company: L3harris Technologies, Inc

Address: 10001 JACK FINNEY BLVD, GREENVILLE, TX, 75402

Business Categories: Category Business, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $374,029,353

Exercised Options: $341,432,489

Current Obligation: $341,405,623

Subaward Activity

Number of Subawards: 103

Total Subaward Amount: $27,518,788

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA862016G3027

IDV Type: BOA

Timeline

Start Date: 2017-11-29

Current End Date: 2018-12-31

Potential End Date: 2018-12-31 00:00:00

Last Modified: 2023-07-26

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