DoD awards $18.8M for C-5 Galaxy engineering services to Lockheed Martin, highlighting potential cost concerns
Contract Overview
Contract Amount: $18,849,815 ($18.8M)
Contractor: Lockheed Martin Integrated Systems, LLC
Awarding Agency: Department of Defense
Start Date: 2002-06-03
End Date: 2007-09-15
Contract Duration: 1,930 days
Daily Burn Rate: $9.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 10
Pricing Type: FIXED PRICE
Sector: Defense
Official Description: 200209!000104!5700!GJ15 !WR-ALC/LAK !F0960301D0207 !A!N! !N!0016 !20020603!20030529!836196972!805258373!834951691!N!LOCKHEED MARTIN INTEGRATED SYS!6801 ROCKLEDGE DR !BETHESDA !MD!20817!49756!067!13!MARIETTA !COBB !GEORGIA !+000003060232!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A1A!AIRFRAMES AND SPARES !3ACA!C-5 GALAXY !336411!E! !5!B!M! !C! !99990909!B! ! !A! !A!N!J!2!010!B! !Z!Y!Z! ! !N!C!N! ! ! !C!D!A!A!000!A!C!N! ! ! ! ! ! !0001!
Place of Performance
Location: WARNER ROBINS, HOUSTON County, GEORGIA, 31088
State: Georgia Government Spending
Plain-Language Summary
Department of Defense obligated $18.8 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC for work described as: 200209!000104!5700!GJ15 !WR-ALC/LAK !F0960301D0207 !A!N! !N!0016 !20020603!20030529!836196972!805258373!834951691!N!LOCKHEED MARTIN INTEGRATED SYS!6801 ROCKLEDGE DR !BETHESDA !MD!20817!49756!067!13!MARIETTA !COBB … Key points: 1. Contract awarded for engineering technical services related to the C-5 Galaxy aircraft. 2. Lockheed Martin Integrated Systems, LLC is the primary contractor. 3. The contract was awarded under full and open competition. 4. Spending is concentrated in Georgia, with potential implications for the aerospace sector.
Value Assessment
Rating: questionable
The contract value of $18.8M for engineering technical services appears high relative to the duration and scope. Benchmarking against similar aircraft support contracts is needed to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Awarded under full and open competition, suggesting a competitive bidding process. However, the specific pricing details and discovery mechanisms are not fully transparent from this data alone.
Taxpayer Impact: Taxpayer funds are being utilized for critical aircraft sustainment, with the value for money being a key consideration.
Public Impact
Supports the operational readiness of the C-5 Galaxy, a vital strategic airlift aircraft. Ensures continued technical expertise for a key defense asset. Potential for job creation and economic impact in Georgia. Highlights the ongoing investment in maintaining aging military fleets.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- High contract value for services.
- Long contract duration.
- Sole contractor for specific technical services.
Positive Signals
- Awarded under full and open competition.
- Supports critical defense asset.
Sector Analysis
This contract falls within the aerospace and defense sector, specifically focusing on aircraft manufacturing support. Spending benchmarks for similar engineering services on large military aircraft can vary significantly based on complexity and duration.
Small Business Impact
The data does not indicate any specific subcontracting efforts with small businesses for this contract. Further investigation would be needed to determine the extent of small business participation.
Oversight & Accountability
Oversight would typically involve the Department of the Air Force monitoring contract performance, adherence to technical specifications, and financial expenditures to ensure accountability and value.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- High contract value.
- Long contract duration.
- Potential for cost overruns if not closely managed.
- Reliance on a single contractor for critical services.
- Lack of explicit performance metrics in summary data.
Tags
aircraft-manufacturing, department-of-defense, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $18.8 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC. 200209!000104!5700!GJ15 !WR-ALC/LAK !F0960301D0207 !A!N! !N!0016 !20020603!20030529!836196972!805258373!834951691!N!LOCKHEED MARTIN INTEGRATED SYS!6801 ROCKLEDGE DR !BETHESDA !MD!20817!49756!067!13!MARIETTA !COBB !GEORGIA !+000003060232!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A1A!AIRFRAMES AND SPARES !3ACA!C-5 GALAXY !336411!E! !5!B!M! !C! !99990909!B
Who is the contractor on this award?
The obligated recipient is LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $18.8 million.
What is the period of performance?
Start: 2002-06-03. End: 2007-09-15.
What is the specific breakdown of services provided under this contract and how does it align with the $18.8M cost?
The contract specifies 'ENGINEERING TECHNICAL SERVICES' for the C-5 Galaxy. A detailed breakdown of labor hours, specific engineering tasks (e.g., design modifications, troubleshooting, maintenance support, documentation), and associated rates would be necessary to fully justify the $18.8M cost. Without this granular detail, it's difficult to assess if the pricing is competitive or reflects the actual effort required.
Are there any performance metrics or key performance indicators (KPIs) associated with this contract to ensure effective service delivery?
The provided data does not explicitly list performance metrics or KPIs. Effective oversight would require the Department of the Air Force to establish and monitor such indicators to ensure Lockheed Martin meets technical requirements, delivery schedules, and quality standards. The absence of readily available KPIs raises questions about the robustness of performance management for this significant expenditure.
How does the cost of these engineering services compare to historical spending on similar support for the C-5 Galaxy or comparable aircraft?
Benchmarking against historical data for C-5 Galaxy engineering services or similar large military aircraft programs is crucial. Without access to comparable contract data, it's challenging to determine if the $18.8M represents a fair and reasonable price. Factors like inflation, technological advancements, and specific program needs influence costs, necessitating a detailed comparative analysis.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 10
Pricing Type: FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 645 TALLULAH TRAIL SUITE 101, WARNER ROBINS, GA, 31088
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: F0960301D0207
IDV Type: IDC
Timeline
Start Date: 2002-06-03
Current End Date: 2007-09-15
Potential End Date: 2007-09-15 00:00:00
Last Modified: 2022-04-08
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