DoD awards $32.4M for Littoral Battlespace Sensing, with Teledyne Brown Engineering securing the contract

Contract Overview

Contract Amount: $32,375,349 ($32.4M)

Contractor: Teledyne Brown Engineering, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-03-04

End Date: 2020-07-13

Contract Duration: 4,149 days

Daily Burn Rate: $7.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: LITTORAL BATTLESPACE SENSING - GLIDERS, HARDWARE, SOFTWARE AND ASSOCIATED ENGINEERING SUPPORT SERVICES

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $32.4 million to TELEDYNE BROWN ENGINEERING, INC. for work described as: LITTORAL BATTLESPACE SENSING - GLIDERS, HARDWARE, SOFTWARE AND ASSOCIATED ENGINEERING SUPPORT SERVICES Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract duration of over 11 years indicates a long-term need for these services. 3. The firm-fixed-price contract type shifts cost risk to the contractor. 4. The award was made to a single contractor, Teledyne Brown Engineering, Inc. 5. The North American Industry Classification System (NAICS) code 334511 points to a specialized manufacturing sector. 6. The contract's value is moderate within the context of large defense procurements.

Value Assessment

Rating: fair

The total contract value of $32.4 million over approximately 11 years averages to about $2.9 million per year. Benchmarking this against similar complex sensing and navigation system contracts is challenging without more specific details on the deliverables. However, the firm-fixed-price nature suggests that the government sought to control costs, but the long duration could allow for price escalation if not managed carefully. The value appears reasonable for specialized hardware and engineering support, but a detailed cost analysis would be needed for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of four bids suggests a degree of competition, though the number of bidders is not exceptionally high for a contract of this duration and scope. The competitive process aims to ensure fair pricing and access to the best available technology and services for the Department of Defense.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a market that drives innovation and competitive pricing, potentially leading to better value for the government's investment.

Public Impact

The primary beneficiaries are the Department of Defense, specifically naval operations requiring advanced sensing capabilities. The contract delivers essential hardware, software, and engineering support for littoral battlespace sensing. The geographic impact is likely focused on naval deployment areas, particularly coastal and near-shore environments. Workforce implications include specialized engineering and manufacturing roles within Teledyne Brown Engineering and its potential subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls within the defense manufacturing sector, specifically focusing on advanced navigation, guidance, and detection systems. This niche involves high-technology components and sophisticated engineering. The market for such specialized defense systems is characterized by high barriers to entry due to R&D costs and stringent quality requirements. Comparable spending benchmarks would typically be found within the broader defense procurement data for sensor systems and naval technology.

Small Business Impact

The data indicates that small business participation was not a primary set-aside criterion for this contract (ss: false, sb: false). While the prime contractor is Teledyne Brown Engineering, Inc., there is no explicit information on subcontracting plans for small businesses within the provided data. The impact on the small business ecosystem would depend on whether Teledyne Brown Engineering actively seeks small business subcontractors for specialized components or services.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance. Accountability measures are embedded in the contract terms, including performance standards and payment schedules tied to deliverables. Transparency is generally maintained through contract award databases, though specific performance metrics may be considered sensitive.

Related Government Programs

Risk Flags

Tags

defense, department-of-defense, teledyne-brown-engineering, littoral-battlespace-sensing, hardware, software, engineering-services, firm-fixed-price, full-and-open-competition, navigational-aeronautical-and-nautical-system-manufacturing, alabama, definitive-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $32.4 million to TELEDYNE BROWN ENGINEERING, INC.. LITTORAL BATTLESPACE SENSING - GLIDERS, HARDWARE, SOFTWARE AND ASSOCIATED ENGINEERING SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is TELEDYNE BROWN ENGINEERING, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $32.4 million.

What is the period of performance?

Start: 2009-03-04. End: 2020-07-13.

What is the historical spending trend for Littoral Battlespace Sensing systems by the Department of Defense?

Analyzing historical spending trends for Littoral Battlespace Sensing (LBS) systems requires access to detailed procurement data beyond this single contract. However, general trends in defense spending indicate a growing emphasis on advanced sensor technologies for naval operations, particularly in littoral zones due to increasing geopolitical activity. The DoD has consistently invested in enhancing situational awareness and intelligence gathering capabilities in these complex environments. Specific programs like the Littoral Combat Ship (LCS) have driven demand for integrated sensing solutions. While this $32.4 million contract represents a significant investment, it should be viewed within the broader context of multi-billion dollar annual defense budgets and the continuous modernization efforts within the U.S. Navy.

How does the performance of Teledyne Brown Engineering on similar contracts compare?

Teledyne Brown Engineering, Inc. has a substantial history of contracting with the U.S. government, particularly within the defense and aerospace sectors. Their performance on similar contracts, especially those involving complex hardware, software, and engineering support for defense systems, is generally considered satisfactory, though specific performance metrics are often proprietary. Reviews of past performance data available through federal procurement databases (like SAM.gov or FPDS) can provide insights into their track record regarding on-time delivery, quality, and adherence to budget. For this specific contract, the long duration and firm-fixed-price nature suggest a level of confidence from the DoD in Teledyne Brown's ability to deliver the required capabilities over an extended period. However, a deeper dive into past performance evaluations would be necessary for a comprehensive assessment.

What are the key risks associated with this specific contract award?

Several key risks are associated with this contract. Firstly, the long duration of over 11 years (4149 days) increases the potential for technological obsolescence, as sensing technologies evolve rapidly. Secondly, the firm-fixed-price (FFP) nature, while beneficial for cost control, places the burden of cost overruns entirely on the contractor; if Teledyne Brown Engineering underestimates costs or encounters unforeseen technical challenges, they may struggle to deliver, potentially impacting performance or leading to contract disputes. Thirdly, the reliance on a single contractor for critical hardware, software, and support creates a dependency that could be problematic if the contractor faces financial difficulties or operational disruptions. Finally, the specialized nature of littoral battlespace sensing means that the pool of qualified alternative providers might be limited, reducing flexibility in case of performance issues.

What is the estimated value of this contract on an annual basis?

The total contract value is $32,375,349.39, and the duration is 4149 days. To estimate the annual value, we can divide the total value by the number of years the contract is active. Assuming the duration is approximately 11.36 years (4149 days / 365.25 days/year), the average annual value would be approximately $2,850,000. This calculation provides a baseline understanding of the yearly financial commitment. It's important to note that actual spending may fluctuate year-to-year based on specific program needs, delivery schedules, and task order execution, especially if the contract involves multiple CLINs (Contract Line Item Numbers) with varying funding allocations.

How does the number of bidders (4) impact price discovery for this contract?

Having four bidders for this contract suggests a moderate level of competition. While more bidders generally lead to more robust price discovery and potentially lower prices for the government, four offers indicate that the market for this specialized capability is not overly saturated but also not a sole-source situation. This number is often considered sufficient to encourage competitive pricing, as each bidder has a reasonable chance of winning and will likely price their offer accordingly to be competitive. However, it is less competitive than procurements attracting dozens of bids, which might drive prices down further. The government's evaluation process, focusing on both price and technical factors, will ultimately determine the final value achieved through this competitive process.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: SHIPS, SMALL CRAFT, PONTOON, DOCKS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0003908R0004

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Teledyne Technologies Incorporated (UEI: 112358432)

Address: 300 SPARKMAN DR NW, HUNTSVILLE, AL, 35805

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $52,331,411

Exercised Options: $44,982,844

Current Obligation: $32,375,349

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2009-03-04

Current End Date: 2020-07-13

Potential End Date: 2020-07-13 00:00:00

Last Modified: 2018-09-14

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