DoD Awards $40M for C-130J Weapons Systems Trainer to Lockheed Martin

Contract Overview

Contract Amount: $40,072,644 ($40.1M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Defense

Start Date: 2022-04-29

End Date: 2025-11-30

Contract Duration: 1,311 days

Daily Burn Rate: $30.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: C-130J NEW ZEALAND WEAPONS SYSTEMS TRAINER

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32825

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $40.1 million to LOCKHEED MARTIN CORPORATION for work described as: C-130J NEW ZEALAND WEAPONS SYSTEMS TRAINER Key points: 1. Significant investment in advanced training for C-130J aircrews. 2. Sole awardee is Lockheed Martin, the prime contractor for the C-130J. 3. Potential for cost overruns exists if training needs evolve beyond initial scope. 4. This contract falls within the broader aerospace and defense manufacturing sector.

Value Assessment

Rating: good

The award amount of $40.07 million for a weapons systems trainer appears reasonable given the complexity of modern aircraft simulation. Benchmarking against similar advanced training systems for large military aircraft would provide further validation.

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, as the prime contractor for the C-130J, Lockheed Martin likely had a significant advantage in developing a trainer for its own platform.

Taxpayer Impact: Taxpayer funds are being used to enhance the operational readiness and safety of C-130J aircrews, which is a justifiable use of public funds for national defense.

Public Impact

Enhances pilot proficiency and mission effectiveness for C-130J operations. Supports the readiness of air mobility forces critical for global logistics and support. Contributes to the technological advancement of military training simulations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for vendor lock-in due to specialized nature of the trainer.
  • Risk of scope creep if additional training modules are required.

Positive Signals

  • Directly supports a critical military aircraft platform.
  • Utilizes advanced simulation technology for improved training outcomes.

Sector Analysis

This contract is within the aerospace and defense sector, specifically focusing on aircraft parts and auxiliary equipment manufacturing. Spending in this area is driven by military modernization and readiness requirements, with significant government investment typical for complex systems.

Small Business Impact

The contract was awarded to Lockheed Martin Corporation, a large prime contractor. There is no indication in the provided data that small businesses were directly involved as subcontractors on this specific delivery order.

Oversight & Accountability

The Department of the Air Force is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms should ensure proper execution and accountability for the funds expended.

Related Government Programs

  • Other Aircraft Parts and Auxiliary Equipment Manufacturing
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Sole source advantage for OEM
  • Potential for scope creep
  • Long-term sustainment costs
  • Integration with evolving C-130J upgrades

Tags

other-aircraft-parts-and-auxiliary-equip, department-of-defense, fl, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $40.1 million to LOCKHEED MARTIN CORPORATION. C-130J NEW ZEALAND WEAPONS SYSTEMS TRAINER

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 $40.1 million.

What is the period of performance?

Start: 2022-04-29. End: 2025-11-30.

What is the projected return on investment for this weapons systems trainer in terms of reduced flight hours or improved mission success rates?

The return on investment is primarily measured through enhanced aircrew proficiency and reduced risk during actual missions. By providing a realistic training environment, the trainer can decrease the need for costly and potentially hazardous flight hours for training purposes, ultimately improving mission success rates and aircrew survivability.

What are the specific risks associated with the 'full and open competition' if Lockheed Martin is the sole manufacturer of the C-130J?

While the award was under 'full and open competition,' the inherent advantage of the original equipment manufacturer (OEM) for a specialized system like an aircraft trainer is significant. The primary risk is that potential competitors may lack the proprietary data, technical expertise, or integration capabilities necessary to offer a truly comparable system, potentially limiting the effectiveness of the competition.

How will the effectiveness of the trainer be measured and validated post-delivery to ensure it meets the Department of Defense's training objectives?

Effectiveness will likely be measured through a combination of user feedback from aircrews and instructors, performance metrics within the simulator itself (e.g., scenario completion rates, error analysis), and potentially through post-training mission performance data. Formal testing and evaluation phases, along with periodic reviews, will ensure the trainer aligns with evolving training requirements and operational needs.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: TRAINING AIDS AND DEVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 100 GLOBAL INNOVATION CIR, ORLANDO, FL, 32825

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: $40,072,644

Exercised Options: $40,072,644

Current Obligation: $40,072,644

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA862115D6276

IDV Type: IDC

Timeline

Start Date: 2022-04-29

Current End Date: 2025-11-30

Potential End Date: 2025-11-30 00:00:00

Last Modified: 2025-08-25

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