DoD Awards $713M for MIDS JTRS Terminals and Spares to Data Link Solutions LLC
Contract Overview
Contract Amount: $71,345,100 ($71.3M)
Contractor: Data Link Solutions LLC
Awarding Agency: Department of Defense
Start Date: 2017-09-20
End Date: 2020-06-30
Contract Duration: 1,014 days
Daily Burn Rate: $70.4K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: MIDS JTRS TERMINALS AND SPARES
Place of Performance
Location: CEDAR RAPIDS, LINN County, IOWA, 52498
State: Iowa Government Spending
Plain-Language Summary
Department of Defense obligated $71.3 million to DATA LINK SOLUTIONS LLC for work described as: MIDS JTRS TERMINALS AND SPARES Key points: 1. Significant contract value of $713.45 million for specialized communication equipment. 2. Sole-source award to Data Link Solutions LLC raises questions about competition. 3. Potential risk associated with single-vendor reliance for critical defense systems. 4. Spending falls within the 'Other Communications Equipment Manufacturing' sector.
Value Assessment
Rating: questionable
The contract value of $713.45 million for MIDS JTRS Terminals and Spares is substantial. Without competitive bidding, it's difficult to benchmark pricing against similar contracts, raising concerns about potential overpayment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award to Data Link Solutions LLC. This lack of competition limits price discovery and may result in higher costs for the government.
Taxpayer Impact: The absence of competition for a $713.45 million contract could lead to taxpayers bearing a higher cost than if the contract had been competitively bid.
Public Impact
Ensures operational readiness for Navy communication systems. Supports advanced data link capabilities for military operations. Potential for increased costs due to sole-source nature.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- High contract value
Positive Signals
- Critical defense system
- Ensures operational capability
Sector Analysis
This contract falls under the 'Other Communications Equipment Manufacturing' sector, which involves the production of specialized communication devices. The $713.45 million award is a significant expenditure within this niche, highlighting the importance of advanced communication technology in defense.
Small Business Impact
The data does not indicate any specific provisions or considerations for small businesses in this sole-source contract award.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny to ensure fair pricing and justification for the lack of competition. Further oversight may be needed to confirm the necessity of this approach.
Related Government Programs
- Other Communications Equipment Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award lacks competitive pricing.
- Potential for overpayment due to no competition.
- Dependency on a single supplier for critical equipment.
- Limited transparency in pricing justification.
Tags
other-communications-equipment-manufactu, department-of-defense, ia, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $71.3 million to DATA LINK SOLUTIONS LLC. MIDS JTRS TERMINALS AND SPARES
Who is the contractor on this award?
The obligated recipient is DATA LINK SOLUTIONS LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $71.3 million.
What is the period of performance?
Start: 2017-09-20. End: 2020-06-30.
What is the justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one vendor can fulfill the requirement. Without specific documentation, it's presumed the Department of the Navy determined Data Link Solutions LLC possessed the sole ability to meet the MIDS JTRS terminals and spares requirement, potentially due to intellectual property or specialized manufacturing processes.
What are the risks associated with relying on a single supplier for critical defense communication equipment?
Relying on a single supplier for critical defense communication equipment poses several risks. These include potential price gouging due to lack of competition, supply chain vulnerabilities if the sole supplier faces disruptions, and limited innovation as there's no market pressure to improve products or services. It also creates a dependency that can be strategically disadvantageous.
How does this contract ensure the effectiveness of Navy communication systems?
This contract ensures the effectiveness of Navy communication systems by providing essential MIDS JTRS terminals and spares. These components are crucial for secure, real-time data exchange, enabling enhanced situational awareness and command and control capabilities. The award aims to maintain and upgrade these vital communication links, supporting mission success.
Industry Classification
NAICS: Manufacturing › Communications Equipment Manufacturing › Other Communications Equipment Manufacturing
Product/Service Code: COMM/DETECT/COHERENT RADIATION
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: N0003914R0021
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: RTX Corp
Address: 350 COLLINS RD NE, CEDAR RAPIDS, IA, 52498
Business Categories: Category Business, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $71,345,100
Exercised Options: $71,345,100
Current Obligation: $71,345,100
Actual Outlays: $3,287,260
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: N0003915D0007
IDV Type: IDC
Timeline
Start Date: 2017-09-20
Current End Date: 2020-06-30
Potential End Date: 2020-06-30 00:00:00
Last Modified: 2023-09-15
More Contracts from Data Link Solutions LLC
- Mids Jtrs Spares Production — $304.7M (Department of Defense)
- 200503!051058!1700!n00039!space and Naval Warfare Systems !N0003900D2100 !A!N! !N!0033 ! !20041223!20070930!018619986!018619986!217304393!n!bae Systems/Rockwell Collins D!350 Collins RD NE !cedar Rapids !ia!52498!77870!031!34!wayne !passaic !NEW Jersey!+000011000000!n!n!000000000000!5821!radio and TV Comm Equipment, Airborne !A7 !electronics and Communication Equip !554 !mids-Lvt !334290!E! !5!B!S! ! ! !20200930!B! ! !A! !d!n!v!1!001!n!1a!z!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! ! !1739!N00039!0001! ! — $202.8M (Department of Defense)
- Mids Jtrs Terminal & Spares Production — $157.6M (Department of Defense)
- Tactical Targeting Network Technology (ttnt) Spectrum Relocation Development Delivery Order — $147.9M (Department of Defense)
- Spares Mids Jtrs — $134.2M (Department of Defense)
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)