- Ordering period now runs through October 2028
- Modification provides a non-competitive two-year extension
- MDA Redstone Arsenal, Alabama, is the contracting activity
Raytheon, an RTX business unit, is receiving a non-competitive modification to its Missile Defense Agency contract to continue operations and sustainment support for AN/TPY-2 radar systems, the Department of War announced Wednesday. The modification extends the indefinite-delivery/indefinite-quantity contract by two years and raises its ceiling by $394 million, from $2.6 billion to nearly $3 billion.
What Does the Modification Change?
Modification P00038 to contract HQ0147-18-D-0001 raises the ceiling from $2,605,033,000 to $2,999,033,000. A ceiling is the maximum the contract could be worth, not money awarded. The modification also moves the end of the ordering period from Oct. 31, 2026, to Oct. 31, 2028.
The department said the current contract came from a sole-source acquisition. Task order extensions that reflect the increase are also being awarded.
What Work Will Raytheon Perform, and How Is It Funded?
Raytheon will continue operations and sustainment support for the Army Navy/Transportable Radar Surveillance and Control Model 2, or AN/TPY-2, radar systems. Line items use a mix of cost-plus-incentive-fee, cost-plus-fixed-fee and firm-fixed-price pricing. Work will take place in Woburn, Massachusetts, and at multiple radar sites inside and outside the continental U.S.
A task order modification will obligate $112.3 million in fiscal 2027 operations and maintenance; research, development, test and evaluation; and procurement funds at the time of award. The MDA at Redstone Arsenal, Alabama, is the contracting activity.
How Does the Modification Fit the Contract’s History?
The contract dates to October 2017, when the department announced a potential $1.5 billion follow-on indefinite-delivery/indefinite-quantity contract for Raytheon to support two MDA radars. That original award covered logistics support, transition and transfer, depot transition and sustaining engineering for the AN/TPY-2 and the Sea-Based X-Band radar, with work in Woburn and at stateside and overseas locations. Its ordering period ran from Nov. 1, 2017, through Oct. 31, 2020, with four successive one-year options.
Modifications have since raised the ceiling and extended the ordering period. A 2025 modification, for example, lifted the ceiling from $1.7 billion to $2.6 billion and extended ordering to Oct. 31, 2026. The current notice references only the AN/TPY-2.
What Is the AN/TPY-2 Radar?
The AN/TPY-2 is a missile defense radar that, according to Raytheon, operates in the X-band and can detect, track and discriminate ballistic missiles, including telling a real threat from launch debris. The Missile Defense Advocacy Alliance describes it as a high-resolution phased array radar that can be moved by air, ship and truck and that the U.S. Army operates.
Raytheon says the radar works in two modes. In forward-based mode, it detects ballistic missiles after launch. In terminal mode, it helps guide interceptors toward a descending missile, and it guides the Terminal High Altitude Area Defense missile when paired with that system.
