DOJ's $20M IT contract awarded to Lockheed Martin for custom programming services

Contract Overview

Contract Amount: $19,999,201 ($20.0M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Justice

Start Date: 2014-09-30

End Date: 2014-12-31

Contract Duration: 92 days

Daily Burn Rate: $217.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF::OT::IGF

Place of Performance

Location: CLARKSBURG, HARRISON County, WEST VIRGINIA, 26306

State: West Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $20.0 million to LOCKHEED MARTIN CORPORATION for work described as: IGF::OT::IGF Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract duration of 92 days is relatively short, indicating a focused scope of work. 3. Fixed-price contract type may offer cost certainty for the government, but could limit flexibility. 4. The specific NAICS code (541511) points to a focus on custom software development. 5. Awarded to a single contractor, Lockheed Martin, highlighting their role in this specific service area. 6. The contract was awarded in late 2014, providing historical context for current IT spending.

Value Assessment

Rating: fair

The contract value of approximately $20 million for custom computer programming services over 92 days appears substantial for the short duration. Without specific deliverables or performance metrics, it's difficult to benchmark the value for money. Comparing this to similar, shorter-term custom development contracts within the DOJ or other federal agencies would be necessary for a more precise assessment. The firm fixed-price nature suggests an expectation of defined scope and cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The fact that it resulted in an award to a single entity, Lockheed Martin, suggests that while competition was open, they were the selected provider. The number of bidders is not specified, but open competition generally promotes price discovery and allows the government to select the best value offering.

Taxpayer Impact: Taxpayers benefit from the potential for competitive pricing and the assurance that the government sought the most advantageous offer through an open process.

Public Impact

The primary beneficiary is the Department of Justice, specifically the Federal Bureau of Investigation, receiving custom computer programming services. The services delivered likely involve the development or enhancement of specialized software critical to the FBI's operations. The geographic impact is centered in West Virginia, where the contractor's facility is located. Workforce implications include employment opportunities for skilled programmers and IT professionals at Lockheed Martin in West Virginia.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the scope of custom development proves more complex than initially defined.
Risk of vendor lock-in if the custom solution is highly proprietary and difficult to transition.
Dependence on a single contractor for critical custom software could pose continuity risks.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
Firm fixed-price contract type provides cost certainty for the government.
Contract awarded to a large, established defense contractor with significant IT capabilities.

Sector Analysis

This contract falls within the Information Technology sector, specifically custom computer programming services. The federal IT market is vast, with agencies consistently investing in software development to support their missions. Comparable spending benchmarks would involve analyzing other federal contracts for custom software development, particularly those with similar scope and duration. The market for custom programming is competitive, with a mix of large system integrators and specialized software firms.

Small Business Impact

There is no indication that this contract included a small business set-aside. Given the award to Lockheed Martin, a large corporation, it is unlikely that significant subcontracting opportunities for small businesses were mandated as part of this specific award. The impact on the small business ecosystem would be minimal unless Lockheed Martin proactively engaged small businesses for specialized components or services.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the Department of Justice. Accountability measures would be tied to the contract's performance requirements and milestones. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of Justice IT Modernization Programs
Federal Bureau of Investigation Software Development Contracts
Custom Software Development Services (Federal)
IT Services for Law Enforcement Agencies

Risk Flags

Short contract duration for a significant value may warrant scrutiny of scope and deliverables.
Firm Fixed Price on custom development can be risky if scope is not well-defined.
Award to a single large contractor warrants review of competition effectiveness.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $20.0 million to LOCKHEED MARTIN CORPORATION. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is LOCKHEED MARTIN CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $20.0 million.

What is the period of performance?

Start: 2014-09-30. End: 2014-12-31.

What specific custom computer programming services were delivered under this contract?

The provided data indicates the contract was for 'Custom Computer Programming Services' (NAICS 541511) awarded to Lockheed Martin Corporation by the Department of Justice's Federal Bureau of Investigation. However, the specific nature of these services, such as the type of software developed, the programming languages used, or the intended application, is not detailed in the summary data. Typically, such contracts involve the design, development, testing, and implementation of bespoke software solutions tailored to the unique operational needs of the agency. This could range from database management systems, analytical tools, case management software, or enhancements to existing IT infrastructure.

How does the $20 million contract value compare to similar custom programming contracts awarded by the FBI or DOJ?

Benchmarking this $20 million contract requires comparing it against similar custom programming services procured by the FBI or DOJ. The contract's duration of 92 days (approximately 3 months) suggests a high daily or monthly expenditure. If this was for a specific project phase, the cost per month would be around $6.67 million. To assess value, one would need to analyze the complexity and scope of the deliverables against the cost. Contracts for custom development can vary widely based on technology stack, security requirements, and the criticality of the application. A detailed comparison would involve looking at other contracts with similar NAICS codes, durations, and agency types to determine if the pricing is within market norms for the services rendered.

What were the key performance indicators (KPIs) or success metrics for this contract?

The provided data does not specify the key performance indicators (KPIs) or success metrics for this contract. For custom programming services, typical KPIs might include adherence to project timelines, successful completion of development milestones, code quality (e.g., bug density), system performance benchmarks, user acceptance testing results, and successful deployment. The firm fixed-price nature of the contract implies that the contractor was expected to deliver the defined scope within the agreed-upon budget and timeframe, with penalties or remedies for non-performance potentially outlined in the contract's statement of work.

What is Lockheed Martin's track record with the Department of Justice for IT services?

Lockheed Martin Corporation is a major defense contractor with extensive experience in providing IT and technology services across various federal agencies, including the Department of Justice. While this specific contract was awarded in 2014, Lockheed Martin has a long history of securing and performing large-scale IT contracts with the federal government. Their track record with the DOJ would involve reviewing past and present contracts for IT support, software development, cybersecurity, and other technology-related services. Generally, large contractors like Lockheed Martin are expected to have established processes for contract management and performance, though specific performance on individual contracts can vary.

Were there any identified risks or challenges associated with this contract's execution?

The provided summary data does not explicitly list risks or challenges encountered during the execution of this specific contract. However, common risks associated with custom software development contracts include scope creep (uncontrolled changes or growth in project scope), technical challenges in development, integration issues with existing systems, delays in delivery, and potential cost overruns if the fixed-price model does not adequately account for unforeseen complexities. The short duration of 92 days might also indicate a high-pressure timeline, increasing the risk of rushed development or missed deadlines if not managed effectively.

How has the FBI's spending on custom computer programming services evolved since this contract was awarded?

This contract, awarded in late 2014, represents a snapshot of FBI IT spending at that time. To understand the evolution of FBI spending on custom computer programming services (NAICS 541511), one would need to analyze historical contract data from sources like the Federal Procurement Data System (FPDS) or USASpending.org. Trends might show an increase or decrease in overall spending, shifts towards different types of IT services (e.g., cloud computing, data analytics), changes in contracting vehicles, or a move towards agile development methodologies. Analyzing spending patterns post-2014 would reveal the FBI's ongoing investment in bespoke software solutions to meet evolving mission requirements.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services

Product/Service Code: HARDWARE AND ABRASIVES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp (UEI: 834951691)

Address: 700 N FREDERICK AVE, GAITHERSBURG, MD, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,999,201

Exercised Options: $19,999,201

Current Obligation: $19,999,201

Timeline