DoD Awards Lockheed Martin $80.5M for Naval Training Equipment Maintenance and Repair

Contract Overview

Contract Amount: $39,947,307 ($39.9M)

Contractor: Lockheed Martin Services, LLC

Awarding Agency: Department of Defense

Start Date: 2001-02-01

End Date: 2006-10-31

Contract Duration: 2,098 days

Daily Burn Rate: $19.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 200105!00C059!1700!A8301 !NAVAL AIR WARFARE CNETER TRAININ!N6133900D0014 !A!N!*!N!0003 !20010201!20010930!805258373!805258373!834951691!N!LOCKHEED MARTIN SERVICES INC !2339 ROUTE 70 WEST, FLOOR !CHERRY HILL !NJ!08002!52490!011!09!NEW LONDON !NEW LONDON !CONN !+000001320012!N!N!000000000000!J069!MAINT & REPAIR OF EQ/TRAINING AIDS & DEVICES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !541330!*!*!5!B!M! !*!*!*!B!*!*!A! !A !U!J!2!010!B! !C!N!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!C!N! ! ! ! ! ! !0001!

Place of Performance

Location: CONNECTICUT

State: Connecticut Government Spending

Plain-Language Summary

Department of Defense obligated $39.9 million to LOCKHEED MARTIN SERVICES, LLC for work described as: 200105!00C059!1700!A8301 !NAVAL AIR WARFARE CNETER TRAININ!N6133900D0014 !A!N!*!N!0003 !20010201!20010930!805258373!805258373!834951691!N!LOCKHEED MARTIN SERVICES INC !2339 ROUTE 70 WEST, FLOOR !CHERRY HILL !NJ!08002!52490!011!09!NEW LONDON !NEW L… Key points: 1. This contract focuses on maintenance and repair of training equipment and devices for the Naval Air Warfare Center. 2. The awardee, Lockheed Martin Services, LLC, is a significant player in defense contracting. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The sector is primarily IT and Engineering Services, crucial for modern military training capabilities.

Value Assessment

Rating: good

The total award amount is $80,525,837.33. Benchmarking against similar contracts for maintenance and repair of complex training systems is difficult without more specific data on the types of equipment involved. However, the duration and scope suggest a substantial and potentially fair price for the services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely considered. This method generally promotes price discovery and can lead to more competitive pricing for the government.

Taxpayer Impact: The competitive nature of the award suggests that taxpayers are likely receiving a fair price for the essential training support services provided to the Navy.

Public Impact

Ensures readiness of naval personnel through well-maintained training equipment. Supports advanced simulation and training technologies vital for modern warfare. Contributes to the operational effectiveness of the U.S. Navy. Provides critical maintenance services that extend the lifespan of expensive training assets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in maintenance and repair contracts.
Reliance on a single contractor for critical training equipment support.
Ensuring long-term cost-effectiveness of maintenance services.

Positive Signals

Awarded through full and open competition.
Experienced contractor with a strong track record in defense.
Supports critical naval training infrastructure.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), which is a significant area of government spending, particularly for defense. Benchmarks for this specific type of training equipment maintenance are not readily available, but the overall spending in defense engineering services is substantial.

Small Business Impact

The data indicates this contract was awarded to a large business (Lockheed Martin Services, Inc.) and does not show any specific set-asides for small businesses. Therefore, the direct impact on small businesses in this particular award appears minimal.

Oversight & Accountability

The contract was awarded by the Department of the Navy, part of the Department of Defense. Standard DoD oversight mechanisms for contract performance, quality assurance, and financial management would apply to ensure accountability and effective service delivery.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Contract duration is substantial, requiring ongoing monitoring.
Potential for cost overruns if unforeseen maintenance issues arise.
Dependence on a single contractor for critical support.
Need for clear performance metrics to ensure effectiveness.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $39.9 million to LOCKHEED MARTIN SERVICES, LLC. 200105!00C059!1700!A8301 !NAVAL AIR WARFARE CNETER TRAININ!N6133900D0014 !A!N!*!N!0003 !20010201!20010930!805258373!805258373!834951691!N!LOCKHEED MARTIN SERVICES INC !2339 ROUTE 70 WEST, FLOOR !CHERRY HILL !NJ!08002!52490!011!09!NEW LONDON !NEW LONDON !CONN !+000001320012!N!N!000000000000!J069!MAINT & REPAIR OF EQ/TRAINING AIDS & DEVICES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !541330!*!*!5!B!M! !*!*!*!B!*!*!A!

Who is the contractor on this award?

The obligated recipient is LOCKHEED MARTIN SERVICES, 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 $39.9 million.

What is the period of performance?

Start: 2001-02-01. End: 2006-10-31.

What is the specific breakdown of maintenance tasks and the associated costs within this contract?

The provided data does not detail the specific maintenance tasks or their associated costs. A more granular breakdown would be necessary to assess the value proposition of individual service components. Understanding the types of training aids and devices covered, and the complexity of their repair, is crucial for a thorough value analysis beyond the total contract amount.

Are there any performance metrics or key performance indicators (KPIs) tied to this contract to ensure effectiveness?

The data does not explicitly mention specific performance metrics or KPIs. However, typical government contracts of this nature include quality assurance surveillance plans (QASPs) and performance standards. The effectiveness would likely be measured by the availability and functionality of the training equipment, and the timeliness of repairs.

What is the long-term cost projection for maintaining this training equipment under this contract and potential follow-on awards?

The current contract duration is approximately 5 years and 8 months, with a total value of $80.5 million. Long-term cost projections would depend on future needs, technological advancements in training, and the competitiveness of subsequent contract awards. Without data on future requirements, it's difficult to project beyond the current award's scope.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: Lockheed Martin Corp (UEI: 834951691)

Address: 2339 ROUTE 70 W, CHERRY HILL, NJ, 01

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6133900D0014

IDV Type: IDC

Timeline