DoD awards $19.5M contract for SSI-K A KIT FABRICATION to Lockheed Martin Services, LLC

Contract Overview

Contract Amount: $19,487,798 ($19.5M)

Contractor: Lockheed Martin Services, LLC

Awarding Agency: Department of Defense

Start Date: 2008-08-05

End Date: 2009-08-05

Contract Duration: 365 days

Daily Burn Rate: $53.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: SSI-K A KIT FABRICATION

Place of Performance

Location: GREENVILLE, GREENVILLE County, SOUTH CAROLINA, 29605

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $19.5 million to LOCKHEED MARTIN SERVICES, LLC for work described as: SSI-K A KIT FABRICATION Key points: 1. Contract Value: $19.5 million for aircraft manufacturing. 2. Contractor: Lockheed Martin Services, LLC. 3. Competition: Full and open competition. 4. Sector: Defense (Aircraft Manufacturing).

Value Assessment

Rating: fair

The contract value of $19.5 million for a kit fabrication appears reasonable given the nature of aircraft manufacturing components. Benchmarking against similar specialized aircraft kits would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple bidders vie for the contract.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best value.

Public Impact

Supports defense readiness through specialized aircraft components. Potential for job creation within the aerospace manufacturing sector. Ensures availability of critical parts for military aircraft.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if material prices fluctuate.
Dependence on a single contractor for specialized kits.

Positive Signals

Awarded through full and open competition.
Fixed-price contract type limits cost risk to the government.

Sector Analysis

This contract falls within the Defense sector, specifically Aircraft Manufacturing. Spending in this area is critical for national security and often involves high-value, specialized components.

Small Business Impact

The data does not indicate any specific involvement or set-aside for small businesses in this contract award.

Oversight & Accountability

Oversight is provided by the Defense Contract Management Agency (DCMA), ensuring compliance with contract terms and quality standards.

Related Government Programs

Aircraft Manufacturing
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Potential for supply chain disruptions affecting kit fabrication.
Risk of obsolescence if the supported aircraft platform is phased out.
Contractor performance risk, despite fixed-price terms.
Dependence on specific technical expertise for fabrication.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.5 million to LOCKHEED MARTIN SERVICES, LLC. SSI-K A KIT FABRICATION

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 (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $19.5 million.

What is the period of performance?

Start: 2008-08-05. End: 2009-08-05.

What is the specific nature of the 'SSI-K A KIT FABRICATION' and its criticality to defense operations?

The specific nature of the 'SSI-K A KIT FABRICATION' is not detailed in the provided data. However, as it is for the Department of Defense and falls under Aircraft Manufacturing, it likely refers to a specialized component or assembly crucial for the maintenance, upgrade, or operational readiness of military aircraft. Its criticality would depend on the specific aircraft system it supports.

How does the awarded price of $19.5 million compare to industry benchmarks for similar aircraft kit fabrications?

Without specific details on the kit's complexity, materials, and the number of units procured, a direct comparison to industry benchmarks is challenging. However, the value is substantial, suggesting a complex or high-demand component. Further analysis would require access to detailed cost breakdowns and market research data for comparable defense contracts.

What measures are in place to ensure the quality and timely delivery of these fabricated kits, given the fixed-price nature of the contract?

The Defense Contract Management Agency (DCMA) is responsible for oversight, which typically includes quality assurance surveillance and monitoring contractor performance against the schedule. The firm fixed-price contract incentivizes the contractor to manage costs and deliver on time to maximize profit, while the government's oversight ensures contractual requirements are met.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0001905R0007

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp (UEI: 834951691)

Address: 400 BROOKFIELD PARKWAY, GREENVILLE, SC, 04

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $19,493,798

Exercised Options: $19,493,798

Current Obligation: $19,487,798

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0001905D0013

IDV Type: IDC

Timeline