DoD's $9.6M Contract for Support Services Awarded to Lockheed Martin Under Full and Open Competition
Contract Overview
Contract Amount: $9,596,823 ($9.6M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2021-07-18
End Date: 2022-07-17
Contract Duration: 364 days
Daily Burn Rate: $26.4K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: TAPO MORI
Place of Performance
Location: LEXINGTON, FAYETTE County, KENTUCKY, 40516
State: Kentucky Government Spending
Plain-Language Summary
Department of Defense obligated $9.6 million to LOCKHEED MARTIN CORPORATION for work described as: TAPO MORI Key points: 1. Contract value of $9.6 million for specialized support services. 2. Awarded to a major defense contractor, Lockheed Martin. 3. Procured through full and open competition, indicating a competitive bidding process. 4. Services fall under 'All Other Support Services' (NAICS 561990).
Value Assessment
Rating: good
The contract is a Cost Plus Fixed Fee type, which allows for flexibility but requires careful monitoring of costs to ensure value. The award amount of $9.6 million needs to be benchmarked against similar support service contracts to fully assess its pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, suggesting a robust process for soliciting bids and selecting the best value. This method generally leads to more competitive pricing and a wider range of potential solutions.
Taxpayer Impact: Full and open competition aims to maximize taxpayer value by ensuring fair pricing and access to the best available services.
Public Impact
Supports U.S. Special Operations Command's critical missions. Leverages expertise of a large, established defense contractor. Ensures availability of specialized support services through a competitive process. Potential for innovation and efficiency gains from competitive bidding.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type requires diligent oversight to manage costs.
- Specific details of the 'All Other Support Services' are not provided, making it hard to assess the scope.
- No indication of small business participation.
Positive Signals
- Awarded through full and open competition.
- Contract awarded to a reputable and experienced contractor.
- Clear contract duration of one year.
Sector Analysis
The 'All Other Support Services' category is broad and can encompass a wide range of activities. Benchmarking requires understanding the specific nature of the services provided, but generally, support services contracts can range significantly in cost depending on complexity and duration.
Small Business Impact
There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation would be needed to determine if opportunities for small business participation were explored or if this contract was exclusively for large business entities.
Oversight & Accountability
The contract's Cost Plus Fixed Fee structure necessitates strong oversight from the Department of Defense to ensure costs are reasonable and fixed fees are justified. Monitoring performance and expenditures will be crucial for accountability.
Related Government Programs
- All Other Support Services
- Department of Defense Contracting
- U.S. Special Operations Command Programs
Risk Flags
- Cost Plus Fixed Fee contract type requires robust cost oversight.
- Broad 'All Other Support Services' category lacks specificity.
- No clear indication of small business participation.
- Limited transparency on the competitive bidding process details.
Tags
all-other-support-services, department-of-defense, ky, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $9.6 million to LOCKHEED MARTIN CORPORATION. TAPO MORI
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 $9.6 million.
What is the period of performance?
Start: 2021-07-18. End: 2022-07-17.
What specific support services are being procured under this contract, and how do they align with the mission needs of U.S. Special Operations Command?
The contract falls under NAICS code 561990, 'All Other Support Services,' which is a broad category. Without further details, it's difficult to ascertain the exact nature of the services. These could range from logistical support, technical assistance, administrative functions, or specialized operational support critical to SOCOM's unique requirements. Understanding the specifics is key to evaluating the necessity and value of the contract.
How does the Cost Plus Fixed Fee structure impact the government's ability to control costs and ensure fair pricing for these support services?
The Cost Plus Fixed Fee (CPFF) structure allows the contractor to recover all allowable costs plus a predetermined fixed fee. While it encourages the contractor to perform efficiently to protect their fee, it places a significant burden on the government to meticulously audit and verify costs. Effective oversight is crucial to prevent cost overruns and ensure the fixed fee remains fair for the services rendered.
What was the competitive landscape like for this 'All Other Support Services' contract, and did the full and open competition yield a demonstrably better outcome than other procurement methods?
The data indicates the contract was awarded under 'Full and Open Competition,' suggesting multiple bidders were likely considered. This method generally promotes competitive pricing and innovation. However, without knowing the number of bids received or the details of the evaluation process, it's challenging to definitively state if it yielded a 'better' outcome than other methods. The benchmark price of $2,636,500 (BR) suggests a comparison point, but its relevance depends on the specific services.
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: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
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: $9,596,823
Exercised Options: $9,596,823
Current Obligation: $9,596,823
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $115,599
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: H9225417D0001
IDV Type: IDC
Timeline
Start Date: 2021-07-18
Current End Date: 2022-07-17
Potential End Date: 2022-07-17 00:00:00
Last Modified: 2025-12-08
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