DoD Awards $182M for MIDS JTRS Terminals to L3 Technologies Under Full and Open Competition

Contract Overview

Contract Amount: $182,173,614 ($182.2M)

Contractor: L3 Technologies, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-06-21

End Date: 2027-12-31

Contract Duration: 1,288 days

Daily Burn Rate: $141.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: MIDS JTRS TERMINAL PRODUCTION

Place of Performance

Location: SALT LAKE CITY, SALT LAKE County, UTAH, 84116

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $182.2 million to L3 TECHNOLOGIES, INC. for work described as: MIDS JTRS TERMINAL PRODUCTION Key points: 1. Significant investment in critical communication equipment for the Navy. 2. L3 Technologies is a key player in the defense electronics sector. 3. Potential for cost savings through competitive bidding. 4. Focus on advanced communication systems highlights technological evolution in defense.

Value Assessment

Rating: good

The award amount of $182.2 million for MIDS JTRS terminals appears reasonable given the duration and the nature of the equipment. Benchmarking against similar advanced communication systems suggests this falls within expected pricing ranges for specialized defense hardware.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. This method likely resulted in competitive pricing and ensured the government received the best value from multiple qualified bidders.

Taxpayer Impact: Full and open competition generally leads to taxpayer savings by fostering a competitive environment that drives down prices and encourages innovation.

Public Impact

Enhances secure battlefield communications for U.S. and allied forces. Supports interoperability between different military branches and platforms. Contributes to the modernization of naval communication infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The defense electronics sector is characterized by high R&D costs and stringent quality requirements. Spending on communication equipment like MIDS JTRS is essential for maintaining military readiness and technological superiority, with significant government investment typical in this area.

Small Business Impact

While the prime contractor is L3 Technologies, a large entity, the contract may offer subcontracting opportunities for small businesses in the manufacturing and supply chain for components and specialized services.

Oversight & Accountability

The Department of the Navy's procurement process, utilizing full and open competition, suggests a commitment to oversight. However, ongoing monitoring of performance, quality, and adherence to delivery schedules will be crucial for accountability.

Related Government Programs

Risk Flags

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $182.2 million to L3 TECHNOLOGIES, INC.. MIDS JTRS TERMINAL PRODUCTION

Who is the contractor on this award?

The obligated recipient is L3 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 $182.2 million.

What is the period of performance?

Start: 2024-06-21. End: 2027-12-31.

What is the specific technological advantage offered by the MIDS JTRS terminals compared to previous generations?

The MIDS JTRS (Multifunctional Information Distribution System Joint Tactical Radio System) terminals represent a significant upgrade, integrating advanced networking capabilities and enhanced security features. They are designed to improve situational awareness and enable seamless, secure data and voice communication across different platforms and services, moving beyond legacy systems' limitations.

What are the primary risks associated with the long-term production and delivery of these advanced communication terminals?

Key risks include potential technological obsolescence as newer communication standards emerge, supply chain vulnerabilities for critical components, and the challenge of maintaining consistent quality over the contract's multi-year duration. Geopolitical factors could also impact component availability or necessitate rapid adaptation to evolving threats.

How effectively does this contract leverage competition to ensure long-term value for taxpayers?

The contract's award under full and open competition is a strong indicator of effective value realization. This process allows multiple capable vendors to bid, driving down prices and fostering innovation. Continued oversight and performance management will be essential to ensure sustained value throughout the contract's lifecycle.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0003924R4000

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: L3harris Technologies, Inc

Address: 640 N 2200 W, SALT LAKE CITY, UT, 84116

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

Financial Breakdown

Contract Ceiling: $182,173,614

Exercised Options: $182,173,614

Current Obligation: $182,173,614

Subaward Activity

Number of Subawards: 61

Total Subaward Amount: $108,233,859

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0003924D4005

IDV Type: IDC

Timeline

Start Date: 2024-06-21

Current End Date: 2027-12-31

Potential End Date: 2027-12-31 00:00:00

Last Modified: 2025-01-23

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