DoD Awards $91M for Advanced Tracking System to L3Harris Technologies, Inc

Contract Overview

Contract Amount: $90,941,710 ($90.9M)

Contractor: L3harris Technologies, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-12-01

End Date: 2025-01-31

Contract Duration: 1,157 days

Daily Burn Rate: $78.6K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: ADVANCED TRACKING AND LAUNCH ANALYSIS SYSTEM

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $90.9 million to L3HARRIS TECHNOLOGIES, INC. for work described as: ADVANCED TRACKING AND LAUNCH ANALYSIS SYSTEM Key points: 1. Significant investment in advanced tracking and launch analysis capabilities. 2. Sole-source award to L3Harris Technologies, Inc. raises questions about competition. 3. Research and Development focus within the Physical, Engineering, and Life Sciences sector. 4. Contract duration extends to January 2025, indicating a long-term project.

Value Assessment

Rating: questionable

The contract is a Cost Plus Fixed Fee type, which can lead to cost overruns if not managed carefully. The total award amount of $90.9M needs to be benchmarked against similar R&D contracts for advanced tracking systems to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive process.

Taxpayer Impact: The lack of competition may result in a higher price than if multiple vendors had vied for the contract, impacting taxpayer value.

Public Impact

Enhances national security capabilities through advanced tracking technology. Supports research and development in a critical scientific domain. Potential for technological advancements with broad applications. Long-term commitment of funds for a specialized system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences sector. Spending in this area is crucial for technological advancement but requires careful oversight to ensure value for money, especially in sole-source situations.

Small Business Impact

The data indicates no specific set-aside for small businesses, and the prime contractor is a large corporation. Further investigation is needed to determine if small businesses were subcontracted.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure the contractor is delivering on objectives and that costs are reasonable and justified. The Cost Plus Fixed Fee structure requires diligent monitoring.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $90.9 million to L3HARRIS TECHNOLOGIES, INC.. ADVANCED TRACKING AND LAUNCH ANALYSIS SYSTEM

Who is the contractor on this award?

The obligated recipient is L3HARRIS TECHNOLOGIES, INC..

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 $90.9 million.

What is the period of performance?

Start: 2021-12-01. End: 2025-01-31.

What is the justification for the sole-source award, and what steps were taken to ensure fair and reasonable pricing?

The justification for a sole-source award typically involves unique capabilities, critical need, or lack of viable alternatives. Agencies must still conduct market research and negotiate pricing to ensure it is fair and reasonable. Without this information, it's difficult to assess if taxpayers received optimal value, as competition is generally the best driver of competitive pricing.

What are the specific performance metrics and deliverables for this advanced tracking system, and how will their achievement be measured?

Understanding the specific performance metrics and deliverables is crucial for assessing the effectiveness of this R&D contract. The agency must have a robust system for tracking progress against these metrics and ensuring the system meets its intended advanced tracking and launch analysis capabilities. Regular reviews and milestone assessments are key to mitigating risk.

How does the $90.9M investment compare to the cost of similar advanced tracking systems developed or procured by other government agencies or private entities?

Benchmarking this $90.9M investment against comparable systems is essential for evaluating its value. If similar systems were developed or procured at a significantly lower cost, it could indicate potential overspending or inefficiencies in this contract. This comparison helps determine if the price paid is commensurate with the capabilities acquired.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTSpace R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 14425 PENROSE PL STE 500, CHANTILLY, VA, 20151

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $92,466,051

Exercised Options: $92,466,051

Current Obligation: $90,941,710

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA880621D0003

IDV Type: IDC

Timeline

Start Date: 2021-12-01

Current End Date: 2025-01-31

Potential End Date: 2025-01-31 00:00:00

Last Modified: 2025-06-06

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