DoD Awards $124M for MIDS JTRS Terminals to Data Link Solutions LLC

Contract Overview

Contract Amount: $124,045,448 ($124.0M)

Contractor: Data Link Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2023-06-30

End Date: 2025-12-31

Contract Duration: 915 days

Daily Burn Rate: $135.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: MIDS JTRS TERMINALS (WITH WARRANTY)

Place of Performance

Location: CEDAR RAPIDS, LINN County, IOWA, 52498

State: Iowa Government Spending

Plain-Language Summary

Department of Defense obligated $124.0 million to DATA LINK SOLUTIONS LLC for work described as: MIDS JTRS TERMINALS (WITH WARRANTY) Key points: 1. Contract awarded to a single vendor, Data Link Solutions LLC. 2. The contract is for MIDS JTRS Terminals with warranty. 3. Spending is categorized under 'Other Communications Equipment Manufacturing'. 4. The contract duration is 915 days. 5. The award amount is $124,045,448.

Value Assessment

Rating: fair

The contract value of $124,045,448 for MIDS JTRS Terminals appears significant. Benchmarking against similar complex communication equipment contracts is necessary to assess if the pricing is competitive, especially considering the inclusion of a warranty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically allows for the best price discovery. However, the specific details of the competition and the number of bids received are not provided, making it difficult to fully assess price effectiveness.

Taxpayer Impact: Taxpayer funds are being used for critical defense communication equipment. The effectiveness of the competition process will directly impact the value for money achieved.

Public Impact

Ensures operational readiness for naval forces through advanced communication systems. Supports the MIDS JTRS program, a key component of military interoperability. Potential for technological advancements in secure military communications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Defense sector, specifically related to communications equipment manufacturing. Spending in this area is crucial for maintaining technological superiority and interoperability among military branches. Benchmarks for similar complex electronic systems are typically in the millions to billions of dollars.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded to Data Link Solutions LLC. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

Oversight is primarily the responsibility of the Department of the Navy. The contract type (firm fixed price) and the inclusion of a warranty suggest a degree of accountability for performance and product quality.

Related Government Programs

Risk Flags

Tags

other-communications-equipment-manufactu, department-of-defense, ia, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $124.0 million to DATA LINK SOLUTIONS LLC. MIDS JTRS TERMINALS (WITH WARRANTY)

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 $124.0 million.

What is the period of performance?

Start: 2023-06-30. End: 2025-12-31.

What was the competitive landscape during the bidding process for this contract?

While the contract was awarded under 'full and open competition,' the provided data does not specify the number of bids received or the nature of the competitive proposals. Understanding the number of qualified bidders and the range of proposed prices would offer greater insight into the effectiveness of the competition in driving down costs and ensuring the best value for the government.

What are the specific risks associated with relying on a single vendor for MIDS JTRS Terminals?

The primary risks include potential vendor lock-in, limited negotiation leverage for future contracts, and supply chain vulnerabilities if the sole vendor faces production issues. While this award is for a specific period, long-term reliance could stifle innovation and increase costs if alternative solutions are not explored.

How does the inclusion of a warranty impact the overall effectiveness and cost of this contract?

The warranty is a positive factor, as it shifts some of the long-term maintenance and repair costs to the vendor, potentially increasing the overall effectiveness of the contract by ensuring operational readiness. It also provides a baseline level of assurance regarding the quality and reliability of the MIDS JTRS terminals, contributing to better value for taxpayer money.

Industry Classification

NAICS: ManufacturingCommunications Equipment ManufacturingOther Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0003919R1000

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, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $124,045,448

Exercised Options: $124,045,448

Current Obligation: $124,045,448

Actual Outlays: $881,259

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0003920D0057

IDV Type: IDC

Timeline

Start Date: 2023-06-30

Current End Date: 2025-12-31

Potential End Date: 2025-12-31 00:00:00

Last Modified: 2025-12-19

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