DoD Awards $21.18M Contract to Lockheed Martin for SOJTF-L Rebalance and Retrograde
Contract Overview
Contract Amount: $21,176,011 ($21.2M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2023-08-22
End Date: 2026-08-21
Contract Duration: 1,095 days
Daily Burn Rate: $19.3K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: SOJTF-L REBALANCE AND RETROGRADE
Place of Performance
Location: LEXINGTON, FAYETTE County, KENTUCKY, 40516
State: Kentucky Government Spending
Plain-Language Summary
Department of Defense obligated $21.2 million to LOCKHEED MARTIN CORPORATION for work described as: SOJTF-L REBALANCE AND RETROGRADE Key points: 1. Contract awarded to a single, large defense contractor. 2. Focus on support services for Special Operations Command. 3. Potential for cost overruns given Cost Plus Fixed Fee structure. 4. Long duration of 1095 days suggests significant project scope.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee (CPFF) contract type allows for cost reimbursement plus a fixed fee, which can lead to higher costs if not managed tightly. Benchmarking against similar support service contracts is difficult without more detailed cost breakdowns.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. However, the specific award type is a delivery order, suggesting it might be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract where initial competition occurred.
Taxpayer Impact: Taxpayer funds are being used for specialized support services, with the final cost influenced by the competitive bidding process and the CPFF structure.
Public Impact
Supports U.S. Special Operations Command's logistical and operational needs. Contract duration spans three years, indicating ongoing requirements. Funds allocated for rebalancing and retrograde operations, crucial for mission readiness.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee structure can incentivize higher spending.
- Long contract duration increases exposure to potential cost escalations.
- Limited visibility into specific service details and performance metrics.
Positive Signals
- Awarded under full and open competition.
- Supports critical Special Operations Command missions.
- Delivery order structure may indicate pre-competed framework.
Sector Analysis
This contract falls within the 'All Other Support Services' category, which is broad and can encompass a wide range of specialized services. Defense spending on support services is a significant portion of the overall budget, often driven by operational tempo and mission requirements.
Small Business Impact
The data indicates this contract was awarded to Lockheed Martin Corporation, a large prime contractor. There is no explicit information provided regarding small business participation or subcontracting goals within this specific delivery order.
Oversight & Accountability
Oversight will be crucial given the CPFF contract type and the long duration. The Department of Defense and U.S. Special Operations Command will need robust mechanisms to monitor costs, performance, and ensure adherence to contract terms to safeguard taxpayer funds.
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.
- Long contract duration (3 years).
- Award to a single large prime contractor.
- Limited detail on specific services provided.
- Potential for scope creep impacting costs.
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 $21.2 million to LOCKHEED MARTIN CORPORATION. SOJTF-L REBALANCE AND RETROGRADE
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 $21.2 million.
What is the period of performance?
Start: 2023-08-22. End: 2026-08-21.
What specific services are included under 'SOJTF-L REBALANCE AND RETROGRADE' and how do they contribute to mission effectiveness?
The contract likely encompasses logistical support, personnel movement, equipment redeployment, and potentially facility closure or transition services related to Special Operations Joint Task Force - Logistics (SOJTF-L). These services are critical for maintaining operational readiness, ensuring efficient resource allocation, and facilitating mission success by managing the complex process of repositioning or withdrawing assets and personnel.
How does the Cost Plus Fixed Fee (CPFF) structure mitigate or exacerbate cost risks for this contract?
CPFF aims to control costs by providing a fixed fee to the contractor regardless of actual costs incurred, incentivizing efficiency. However, it can also lead to cost risks if the initial cost estimates are inaccurate or if the scope of work expands significantly. Robust oversight is needed to ensure the 'cost' portion remains reasonable and that the 'fixed fee' adequately compensates for the defined scope without excessive profit.
What is the expected impact of this contract on the overall budget of the U.S. Special Operations Command?
This $21.18 million contract represents a specific allocation for logistical and operational support within the U.S. Special Operations Command's budget. While significant for this particular task, its overall impact depends on the command's total budget and the prioritization of these services against other operational needs. Effective execution and cost management are key to ensuring this spending yields maximum value.
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: $21,176,011
Exercised Options: $21,176,011
Current Obligation: $21,176,011
Actual Outlays: $1,502,004
Subaward Activity
Number of Subawards: 9
Total Subaward Amount: $6,067,984
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: 2023-08-22
Current End Date: 2026-08-21
Potential End Date: 2026-08-21 00:00:00
Last Modified: 2025-12-11
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