DoD awards Northrop Grumman $110M for AN/ALQ-218 WRAS, impacting Other Aircraft Parts manufacturing

Contract Overview

Contract Amount: $110,480,252 ($110.5M)

Contractor: Northrop Grumman Systems Corporation

Awarding Agency: Department of Defense

Start Date: 2008-08-28

End Date: 2012-05-31

Contract Duration: 1,372 days

Daily Burn Rate: $80.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: A2-KITS AN/ALQ-218 WRAS

Place of Performance

Location: BETHPAGE, NASSAU County, NEW YORK, 11714

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $110.5 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: A2-KITS AN/ALQ-218 WRAS Key points: 1. Contract awarded to a single, large business entity. 2. Significant contract value of over $110 million. 3. Competition method indicates potential for limited market engagement. 4. Focus on specialized aircraft electronic warfare systems.

Value Assessment

Rating: fair

The contract value of $110,480,252 for the AN/ALQ-218 WRAS appears to be within a reasonable range for specialized defense electronics, though specific benchmarks are unavailable without detailed cost breakdowns. The firm fixed-price structure aims to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting that while competition was considered, specific circumstances led to excluding certain potential bidders. This method can impact price discovery by limiting the pool of competitors.

Taxpayer Impact: Taxpayer funds are allocated for advanced defense electronic warfare systems, with the final price influenced by the limited competitive landscape.

Public Impact

Enhances U.S. Navy's electronic warfare capabilities. Supports advanced aircraft survivability and mission effectiveness. Contributes to the defense industrial base, specifically in specialized electronics.

Waste & Efficiency Indicators

Waste Risk Score: 80 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, a critical component of the aerospace and defense industry. Spending in this area is driven by military modernization and sustainment needs, with significant government investment.

Small Business Impact

The contract was awarded to Northrop Grumman Systems Corporation, a large business. There is no indication of small business participation in this specific award, suggesting a lack of subcontracting opportunities for smaller firms in this instance.

Oversight & Accountability

The contract was awarded by the Department of the Navy, part of the Department of Defense. Oversight would typically involve program management, contract performance monitoring, and financial accountability to ensure delivery and cost adherence.

Related Government Programs

Risk Flags

Tags

other-aircraft-parts-and-auxiliary-equip, department-of-defense, ny, dca, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $110.5 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. A2-KITS AN/ALQ-218 WRAS

Who is the contractor on this award?

The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $110.5 million.

What is the period of performance?

Start: 2008-08-28. End: 2012-05-31.

What is the specific technical capability provided by the AN/ALQ-218 WRAS, and how does it compare to commercial off-the-shelf alternatives?

The AN/ALQ-218 WRAS is a Wideband Receiver/Antenna System crucial for electronic warfare (EW) operations, enabling threat detection and situational awareness. Its specialized nature for military applications means direct commercial off-the-shelf (COTS) alternatives are unlikely to provide the required performance, security, or integration capabilities, justifying a potentially higher cost.

Given the 'exclusion of sources' clause, what were the justifications, and did they significantly inflate the contract price compared to a fully open competition?

Justifications for excluding sources typically involve proprietary technology, unique capabilities, or urgent national security needs that only a specific contractor can meet. While these exclusions can limit price competition, the Department of Defense aims to mitigate this through negotiation and cost analysis. The actual price impact requires detailed cost data comparison.

How effectively does this contract contribute to the Navy's overall electronic warfare strategy and long-term technological advantage?

The AN/ALQ-218 WRAS is a key component in maintaining the Navy's electronic warfare superiority. By providing advanced threat detection and jamming capabilities, it directly enhances aircraft survivability and mission success rates. Continued investment in such systems is vital for staying ahead of evolving adversary threats and maintaining a technological edge.

Industry Classification

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

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Northrop Grumman Corporation (UEI: 967356127)

Address: 600 GRUMMAN RD WEST, BETHPAGE, NY, 03

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

Financial Breakdown

Contract Ceiling: $110,480,252

Exercised Options: $110,480,252

Current Obligation: $110,480,252

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2008-08-28

Current End Date: 2012-05-31

Potential End Date: 2012-05-31 00:00:00

Last Modified: 2012-01-31

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