DoD Awards $5.45M for F-16 Maintenance Depot Services to Lockheed Martin
Contract Overview
Contract Amount: $5,451,001 ($5.5M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2022-09-12
End Date: 2026-03-05
Contract Duration: 1,270 days
Daily Burn Rate: $4.3K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: TIME AND MATERIALS
Sector: Defense
Official Description: F-16 CONTINGUOUS UNITED STATES BASED MAINTENANCE DEPOT
Place of Performance
Location: FORT WORTH, TARRANT County, TEXAS, 76108
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $5.5 million to LOCKHEED MARTIN CORPORATION for work described as: F-16 CONTINGUOUS UNITED STATES BASED MAINTENANCE DEPOT Key points: 1. Contract awarded to incumbent provider, Lockheed Martin, for F-16 maintenance. 2. Significant contract value of $5.45 million over 1270 days. 3. Potential risk of limited competition due to specialized nature of F-16 maintenance. 4. Spending falls under Air Force's 'Other Support Activities for Air Transportation' sector.
Value Assessment
Rating: fair
The contract value of $5.45 million for F-16 maintenance appears reasonable given the specialized nature of aircraft support. Benchmarking against similar depot-level maintenance contracts for advanced fighter jets would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific nature of F-16 maintenance may limit the number of capable bidders, potentially impacting price discovery.
Taxpayer Impact: Taxpayer funds are being used for essential military aircraft sustainment. The competitive award process aims to ensure reasonable pricing, but ongoing monitoring is crucial.
Public Impact
Ensures continued operational readiness of F-16 fighter jets. Supports critical defense infrastructure and national security. Maintains specialized technical expertise within the aerospace sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in time and materials contracts.
- Reliance on a single contractor for specialized maintenance.
Positive Signals
- Awarded under full and open competition.
- Supports critical national defense assets.
Sector Analysis
This contract falls under the 'Other Support Activities for Air Transportation' sector, which is a subset of the broader aerospace and defense industry. Spending in this area is crucial for maintaining military aviation readiness.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this contract. Further analysis would be needed to determine if small businesses had an opportunity to participate.
Oversight & Accountability
The Department of the Air Force is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms should be in place to ensure performance and cost control.
Related Government Programs
- Other Support Activities for Air Transportation
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Time and Materials contract type can lead to cost overruns.
- Potential for limited competition in specialized maintenance.
- Lack of specific performance metrics in provided data.
- No indication of small business participation.
Tags
other-support-activities-for-air-transpo, department-of-defense, tx, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $5.5 million to LOCKHEED MARTIN CORPORATION. F-16 CONTINGUOUS UNITED STATES BASED MAINTENANCE DEPOT
Who is the contractor on this award?
The obligated recipient is LOCKHEED MARTIN CORPORATION.
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 $5.5 million.
What is the period of performance?
Start: 2022-09-12. End: 2026-03-05.
What is the projected hourly labor rate for technicians under this time and materials contract, and how does it compare to industry benchmarks?
The provided data does not specify the hourly labor rates for technicians. A time and materials contract allows for flexibility but requires diligent oversight to prevent inflated labor costs. Benchmarking these rates against similar specialized aviation maintenance contracts is essential for ensuring fair pricing and taxpayer value.
What are the specific performance metrics and key performance indicators (KPIs) used to evaluate Lockheed Martin's service delivery for F-16 maintenance?
The contract details do not explicitly list the performance metrics or KPIs. Effective oversight would necessitate clearly defined metrics such as turnaround time for repairs, quality of work, adherence to safety standards, and cost control. Regular performance reviews against these KPIs are crucial for accountability.
How will the Department of the Air Force ensure continued cost-effectiveness and prevent potential scope creep throughout the contract's duration?
The Air Force can ensure cost-effectiveness by implementing robust contract management, including regular audits of labor hours and material costs, and by closely monitoring the scope of work against the original requirements. Establishing clear change control procedures and requiring justification for any scope adjustments will help prevent scope creep.
Industry Classification
NAICS: Transportation and Warehousing › Support Activities for Air Transportation › Other Support Activities for Air Transportation
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: FA823219R3006
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 1 LOCKHEED BLVD BLDG 10, FORT WORTH, TX, 76108
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $5,451,001
Exercised Options: $5,451,001
Current Obligation: $5,451,001
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA823221D0005
IDV Type: IDC
Timeline
Start Date: 2022-09-12
Current End Date: 2026-03-05
Potential End Date: 2026-03-05 00:00:00
Last Modified: 2025-12-23
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