DoD Awards $542M to L3Harris for AN/ALQ-214(V)4 Electronic Warfare System
Contract Overview
Contract Amount: $542,172,679 ($542.2M)
Contractor: L3harris Technologies, Inc.
Awarding Agency: Department of Defense
Start Date: 2017-09-27
End Date: 2024-05-31
Contract Duration: 2,438 days
Daily Burn Rate: $222.4K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: AN/ALQ-214 A(V)4 SYSTEM
Place of Performance
Location: CLIFTON, PASSAIC County, NEW JERSEY, 07014
Plain-Language Summary
Department of Defense obligated $542.2 million to L3HARRIS TECHNOLOGIES, INC. for work described as: AN/ALQ-214 A(V)4 SYSTEM Key points: 1. Significant contract value for a specialized electronic warfare system. 2. L3Harris Technologies is the sole awardee, indicating limited competition. 3. Potential risk associated with a sole-source award and long contract duration. 4. Spending falls within the broader 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' sector.
Value Assessment
Rating: fair
The $542M award for the AN/ALQ-214(V)4 system is substantial. Benchmarking is difficult without specific unit details, but the overall value suggests a high-cost, specialized component. Pricing is likely influenced by the sole-source nature of the award.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award to L3Harris Technologies. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive environment.
Taxpayer Impact: The lack of competition for this significant contract raises concerns about potential overspending and reduced value for taxpayer funds.
Public Impact
Enhances naval aviation's electronic warfare capabilities, crucial for mission success and pilot safety. Supports advanced threat detection and countermeasures, vital in modern combat environments. Long-term contract (2017-2024) ensures sustained availability of critical defense technology.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition and price negotiation.
- Long contract duration may not reflect current market pricing.
- No small business participation noted.
Positive Signals
- Award supports critical national defense capabilities.
- Firm Fixed Price contract provides cost certainty for the government.
- Long-term sustainment ensures operational readiness.
Sector Analysis
This contract falls under the 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' sector. Spending in this area is often characterized by high R&D costs, specialized manufacturing, and long procurement cycles, with significant government investment in advanced technologies.
Small Business Impact
The data indicates that small businesses were not involved in this contract, as L3Harris Technologies is a large prime contractor. There is no indication of subcontracting opportunities for small businesses within this specific award.
Oversight & Accountability
The sole-source nature of this contract warrants close oversight to ensure fair pricing and effective performance. The Department of the Navy is responsible for monitoring contract execution and ensuring the system meets all technical and operational requirements.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award
- Lack of small business participation
- Long contract duration
- Limited transparency on pricing justification
Tags
search-detection-navigation-guidance-aer, department-of-defense, nj, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $542.2 million to L3HARRIS TECHNOLOGIES, INC.. AN/ALQ-214 A(V)4 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 Navy).
What is the total obligated amount?
The obligated amount is $542.2 million.
What is the period of performance?
Start: 2017-09-27. End: 2024-05-31.
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, proprietary technology, or a lack of viable alternatives. The Department of Defense should have conducted a thorough market research analysis to confirm no other sources could meet the requirement. Fair and reasonable pricing would be assessed through cost realism analysis, comparison to historical data (if available), and potentially negotiation with the sole provider.
How does the performance of the AN/ALQ-214(V)4 system compare to its predecessors or competing technologies in terms of effectiveness and cost?
Assessing the comparative effectiveness and cost requires access to performance metrics, operational reports, and independent testing data. Without this information, it's difficult to definitively state how the AN/ALQ-214(V)4 performs against alternatives. However, the sustained award suggests it meets critical operational needs, though the sole-source aspect raises questions about whether a more cost-effective solution might exist through competition.
What is the long-term strategy for the sustainment and potential upgrades of the AN/ALQ-214(V)4 system, and how will future competition be encouraged?
The long-term strategy likely involves ongoing sustainment contracts and potential future upgrade programs. To encourage future competition, the Navy could explore breaking down future requirements into smaller, more accessible components, actively seeking out and nurturing potential new entrants into the market, and ensuring clear technical roadmaps are communicated to foster innovation and investment by multiple vendors.
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: COMM/DETECT/COHERENT RADIATION
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: N0001916R0031
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: L3harris Technologies, Inc
Address: 77 RIVER RD, CLIFTON, NJ, 07014
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $553,155,057
Exercised Options: $542,172,679
Current Obligation: $542,172,679
Actual Outlays: $23,417,846
Subaward Activity
Number of Subawards: 272
Total Subaward Amount: $470,127,180
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2017-09-27
Current End Date: 2024-05-31
Potential End Date: 2024-05-31 00:00:00
Last Modified: 2023-05-04
More Contracts from L3harris Technologies, Inc.
- 200204!000024!5700!GV59 !esc/Ndk !F1962802C0010 !A!N! !N! !20020130!20020930!052819732!052819732!001216845!n!itt Industries, Inc , Systems !4410 E Fountain Blvd !colorado Sprin !co!80916!16000!041!08!colorado Springs !EL Paso !colorado !+000003175920!n!n!000519009204!j099!maint & Repair of Eq/Miscellaneous Equipment !A7 !electronics and Communication !3gwq!474l Bmews !541512!E! !3! ! ! ! ! !99990909!B! ! !B! !a!n!r!2!002!b! !Z!N!Z! ! !N!C!N! ! ! !a!a!a!a!000!a!d!n! ! ! ! ! ! !0001! — $2.2B (Department of Defense)
- THE Purpose of This Contract IS to Develop the Ground System That Will Support Noaa S Next Generation Geostationary Satellite Series, Goes-R. This NEW Series of Spacecraft, SET to Begin Launching in 2015, IS Expected to Double the Clarity of Today S Satellite Imagery and Provide AT Least 20 Times More Atmospheric Observations From Space. the Contractor IS to Design, Develop, Test and Implement the Goes-R Ground System. the Ground System Will Capture Data From the Goes-R Satellites, and Process and Distribute the Information to Operational Users — $1.8B (Department of Commerce)
- Requisition for MOD - Incrementally Funded - This PR Provides Funding for Ads-B National Contract Support for SBS Program Office — $1.3B (Department of Transportation)
- Award of Maintenance of Space Surveillence and Integrated Capabilities Contract — $1.2B (Department of Defense)
- TAS::80 0122::TAS Development, Manufacturing and Support to Weather Observing Instrument — $1.0B (National Aeronautics and Space Administration)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)