HR00111690003
Other Transaction Agreement
Overview
Government Description
THE TERN DEMONSTRATION SYSTEM CONSISTS OF THE AIR VEHICLE (AV) SEGMENT AND THE CONTROL (CS)SEGMENT PROGRAM PHASE III.
Awarding Agency
Funding Agency
NAICS
Not Reported
Place of Performance
El Segundo, CA 90245 United States
Pricing
Other
Set Aside
None
Extent Competed
Competed
Related Opportunity
None
Analysis Notes
Amendment Since initial award the Potential End Date has been extended from 11/24/18 to 11/24/25.
Northrop Grumman Systems Corporation was awarded
Other Transaction Agreement HR00111690003 HR00111690003
for The Tern Demonstration System Consists Of The Air Vehicle (AV) Segment And The Control (CS)Segment Program Phase Iii.
worth up to $113,347,352
by Defense Advanced Research Projects Agency
in December 2015.
The contract
has a duration of 10 years and
was awarded
full & open
with
PSC AD93
via broad agency announcement acquisition procedures.
DOD Announcements
Dec 2015:
Northrop Grumman Systems Corp. Aerospace Systems, El Segundo, California, has been awarded a $93,076,636 Other Transaction Agreement for prototype project - Tactically Exploited Reconnaissance Node (Tern) program, Phase III. The Tern program will design, develop, and demonstrate enabling technologies and system attributes for a medium-altitude long-endurance unmanned air vehicle and shipboard-capable launch and recovery system allowing operations from smaller ships. The Tern Phase III program will focus on the design, fabrication, and testing of a prototype Tern Demonstration System. The face value of the OTA is $132,473,192 with a contractor's cost share of $39,396,556 and the total estimated government share of $93,076,636. Work will be performed in El Segundo, California; Newport News, Virginia; Benbrook, Texas; El Cajon, California; Cincinnati, Ohio; East Aurora, New York; Dulles, Virginia; Mojave, California and Spark, Nevada with an estimated completion of November 2017. Fiscal 2015 and 2016 research and development funds in the amount of $29,563,813 are being obligated at time of the award. DARPA, Arlington, Virginia, is the contracting activity (HR0011-16-9-0003).
Dec 2015: CORRECTION: The contract announced Dec. 24 to Northrop Grumman Systems Corp. (HR0011-16-9-0003) had an incorrect estimated completion date. The correct estimated completion date is November 2018.
Jun 2016: Northrop Grumman Systems Corp., Aerospace Systems, El Segundo, California, has been awarded a $17,773,859 modification (P00003) to previously awarded other transaction for prototype project agreement HR0011-16-9-0003 for additional tasks under Phase III of the Tactically Exploited Reconnaissance Node (Tern) program. The Tern program is to design, develop, and demonstrate enabling technologies and system attributes for a medium-altitude, long-endurance unmanned air vehicle and shipboard-capable launch and recovery system allowing operations from smaller ships. Phase III focuses on the design, fabrication, and testing of a prototype Tern Demonstration System (TDS). The additional tasks awarded under the modification include the fabrication, assembly, and checkout of a second Tern TDS Air Vehicle (AV-2). As a result of this modification, the total amount of the agreement is increased by $17,773,859, from $132,473,192 to $150,247,051. Correspondingly, the estimated government funding for the agreement is increased by $16,748,000, from $93,076,636 to $109,824,636; and the Northrop Grumman cost share is increased by $1,025,859, from $39,396,556 to $40,422,415. Work will be performed in El Segundo, California (35 percent); Mojave, California (50 percent); East Aurora, New York (9 percent); and Benbrook, Texas (6 percent), with an estimated completion date of December 2018. Fiscal 2015 and 2016 research and development funds in the amount of $11,784,812 are being obligated at time of award. The Defense Advanced Research Projects Agency, located in Arlington, Virginia, is the contracting activity.
Dec 2015: CORRECTION: The contract announced Dec. 24 to Northrop Grumman Systems Corp. (HR0011-16-9-0003) had an incorrect estimated completion date. The correct estimated completion date is November 2018.
Jun 2016: Northrop Grumman Systems Corp., Aerospace Systems, El Segundo, California, has been awarded a $17,773,859 modification (P00003) to previously awarded other transaction for prototype project agreement HR0011-16-9-0003 for additional tasks under Phase III of the Tactically Exploited Reconnaissance Node (Tern) program. The Tern program is to design, develop, and demonstrate enabling technologies and system attributes for a medium-altitude, long-endurance unmanned air vehicle and shipboard-capable launch and recovery system allowing operations from smaller ships. Phase III focuses on the design, fabrication, and testing of a prototype Tern Demonstration System (TDS). The additional tasks awarded under the modification include the fabrication, assembly, and checkout of a second Tern TDS Air Vehicle (AV-2). As a result of this modification, the total amount of the agreement is increased by $17,773,859, from $132,473,192 to $150,247,051. Correspondingly, the estimated government funding for the agreement is increased by $16,748,000, from $93,076,636 to $109,824,636; and the Northrop Grumman cost share is increased by $1,025,859, from $39,396,556 to $40,422,415. Work will be performed in El Segundo, California (35 percent); Mojave, California (50 percent); East Aurora, New York (9 percent); and Benbrook, Texas (6 percent), with an estimated completion date of December 2018. Fiscal 2015 and 2016 research and development funds in the amount of $11,784,812 are being obligated at time of award. The Defense Advanced Research Projects Agency, located in Arlington, Virginia, is the contracting activity.
Status
(Complete)
Last Modified 10/1/25
Period of Performance
12/24/15
Start Date
9/15/25
Current End Date
11/24/25
Potential End Date
Obligations
$113.3M
Total Obligated
$113.3M
Current Award
$113.3M
Potential Award
Award Hierarchy
Other Transaction Agreement
HR00111690003
Subcontracts
OTA Details
Type of Agreement
Prototype
Non-Governmental Funding
$43,951,430.00
Non-Traditional Participation
Cost Sharing
Activity Timeline
Transaction History
Modifications to HR00111690003
People
Suggested agency contacts for HR00111690003
Competition
Number of Bidders
Not Applicable
Solicitation Procedures
Broad Agency Announcement
Evaluated Preference
None
Commercial Item Acquisition
None
Simplified Procedures for Commercial Items
None
Other Categorizations
Subcontracting Plan
Not Required
Cost Accounting Standards
Exempt
Business Size Determination
Large Business
Defense Program
None
DoD Claimant Code
None
Awardee UEI
T9XKQSKMW4J1
Awardee CAGE
76823
Agency Detail
Awarding Office
S0303A DCMA SPECIAL PRGMS UNMANNED SYSTEMS
Funding Office
HR0011
Created By
michael.aideloje@dcma.mil
Last Modified By
kimberly.licence@dcma.mil
Approved By
michael.aideloje@dcma.mil
Legislative
Legislative Mandates
None Applicable
Performance District
CA-36
Senators
Dianne Feinstein
Alejandro Padilla
Alejandro Padilla
Representative
Ted Lieu
Modified: 10/1/25