DoD Awards $35.8M Contract to Lockheed Martin for Special Operations Support Services
Contract Overview
Contract Amount: $35,800,293 ($35.8M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2020-02-13
End Date: 2021-03-31
Contract Duration: 412 days
Daily Burn Rate: $86.9K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: TRANSITION PLAN - INITIAL AWARD
Place of Performance
Location: LEXINGTON, FAYETTE County, KENTUCKY, 40516
State: Kentucky Government Spending
Plain-Language Summary
Department of Defense obligated $35.8 million to LOCKHEED MARTIN CORPORATION for work described as: TRANSITION PLAN - INITIAL AWARD Key points: 1. Significant award to a major defense contractor. 2. Full and open competition indicates potential for competitive pricing. 3. Fixed-price contract type shifts risk to the contractor. 4. Services fall under 'All Other Support Services' category.
Value Assessment
Rating: good
The award value of $35.8M for a 13-month period appears reasonable given the nature of support services for Special Operations Command. Benchmarking against similar contracts for specialized support is necessary for a 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 generally leads to more competitive pricing compared to sole-source or limited competition.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a fair market price for the required support services.
Public Impact
Supports critical U.S. Special Operations Command missions. Contract awarded to a well-established defense contractor. Potential for follow-on work based on performance. Services provided are essential for operational readiness.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Positive Signals
- Full and open competition
- Firm fixed price contract
- Award to established contractor
Sector Analysis
The Department of Defense is a major consumer of support services, with significant spending allocated to specialized areas like those for U.S. Special Operations Command. Benchmarks for similar support contracts vary widely based on scope and duration.
Small Business Impact
This contract was awarded to Lockheed Martin Corporation, a large business. There is no indication of small business participation in this specific award.
Oversight & Accountability
The award was made by the U.S. Special Operations Command, a component of the Department of Defense, which has established oversight mechanisms for contract execution and performance.
Related Government Programs
- All Other Support Services
- Department of Defense Contracting
- U.S. Special Operations Command Programs
Risk Flags
- Lack of specific service details
- Potential for contractor to prioritize profit over quality under FFP
Tags
all-other-support-services, department-of-defense, ky, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $35.8 million to LOCKHEED MARTIN CORPORATION. TRANSITION PLAN - INITIAL AWARD
Who is the contractor on this award?
The obligated recipient is LOCKHEED MARTIN CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (U.S. Special Operations Command).
What is the total obligated amount?
The obligated amount is $35.8 million.
What is the period of performance?
Start: 2020-02-13. End: 2021-03-31.
What specific support services are included in this contract?
The contract falls under NAICS code 561990, 'All Other Support Services.' While the specific details are not provided, this typically encompasses a broad range of non-logistical support, potentially including administrative, technical, or operational assistance tailored to the unique requirements of U.S. Special Operations Command.
What is the risk associated with the firm fixed-price contract type?
A firm fixed-price (FFP) contract shifts the majority of cost risk to the contractor, Lockheed Martin. While this protects the government from cost overruns, it could incentivize the contractor to cut corners on quality or scope if not properly monitored, though the competitive nature and oversight should mitigate this.
How effective is the full and open competition in ensuring value for money?
Full and open competition is generally highly effective in ensuring value for money by fostering a competitive environment where multiple bidders vie for the contract. This process drives down prices and encourages innovation, leading to better outcomes for the government and taxpayers, assuming the solicitation clearly defines requirements and evaluation criteria.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: H9225416R0001
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp (UEI: 834951691)
Address: 5749 BRIAR HILL RD, LEXINGTON, KY, 40516
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: $35,800,293
Exercised Options: $35,800,293
Current Obligation: $35,800,293
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: H9225417D0001
IDV Type: IDC
Timeline
Start Date: 2020-02-13
Current End Date: 2021-03-31
Potential End Date: 2021-03-31 00:00:00
Last Modified: 2021-10-26
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