DoD's $33.6M LCSM Contract Awarded to Lockheed Martin Under Full and Open Competition

Contract Overview

Contract Amount: $33,573,016 ($33.6M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Defense

Start Date: 2023-07-01

End Date: 2024-06-30

Contract Duration: 365 days

Daily Burn Rate: $92.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: FOSOV LCSM

Place of Performance

Location: LEXINGTON, FAYETTE County, KENTUCKY, 40516

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $33.6 million to LOCKHEED MARTIN CORPORATION for work described as: FOSOV LCSM Key points: 1. Contract Value: $33.6 million for LCSM services. 2. Competition: Awarded via full and open competition, indicating market availability. 3. Risk: Cost-plus fixed fee contract type introduces potential for cost overruns. 4. Sector: Defense sector, specifically Special Operations Command.

Value Assessment

Rating: good

The contract value of $33.6 million appears reasonable for specialized support services within the defense sector. Benchmarking against similar contracts for LCSM or related support services would provide a more definitive assessment of pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value offer.

Taxpayer Impact: Full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment that drives down costs and improves service quality.

Public Impact

Supports critical U.S. Special Operations Command (SOCOM) missions. Ensures availability of specialized support services for defense operations. Potential for technological advancements through competitive bidding. Impacts the defense industrial base and associated workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost-plus fixed fee contract type can incentivize contractor to increase costs.
  • Lack of specific performance metrics or KPIs in provided data.
  • Potential for scope creep in support services contracts.

Positive Signals

  • Awarded under full and open competition.
  • Contract supports critical national security missions.
  • Clear contract duration of one year.

Sector Analysis

This contract falls within the defense sector, specifically supporting specialized operations. Spending benchmarks for similar support services within SOCOM or the broader Department of Defense would be relevant for comparison.

Small Business Impact

The data indicates the awardee is Lockheed Martin Corporation, a large prime contractor. There is no explicit information on small business participation in this specific delivery order, which warrants further investigation.

Oversight & Accountability

Oversight will be crucial to monitor the performance and costs associated with this cost-plus fixed fee contract, ensuring adherence to the terms and maximizing value for taxpayer dollars.

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.
  • Lack of detailed service description.
  • Potential for cost overruns.
  • No explicit small business participation noted.

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 $33.6 million to LOCKHEED MARTIN CORPORATION. FOSOV LCSM

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 $33.6 million.

What is the period of performance?

Start: 2023-07-01. End: 2024-06-30.

What specific LCSM services are being procured, and how do they align with SOCOM's strategic objectives?

The provided data identifies the contract as 'FOSOV LCSM' and the NAICS code as '561990 - All Other Support Services'. While 'LCSM' likely refers to Littoral Combat Ship Mission, the exact nature of the support services procured under this specific delivery order is not detailed. Understanding the precise services is crucial to assess their alignment with SOCOM's strategic objectives and overall mission effectiveness.

What are the key performance indicators (KPIs) for this contract, and how will performance be measured to ensure value for money?

The provided data does not specify the key performance indicators (KPIs) for this contract. For a cost-plus fixed fee contract, robust performance metrics are essential to ensure the contractor is delivering the required services efficiently and effectively. Without defined KPIs, it is challenging to objectively assess performance and guarantee that taxpayer funds are yielding optimal value.

What is the historical cost performance of Lockheed Martin on similar 'All Other Support Services' contracts with the Department of Defense?

Analyzing Lockheed Martin's historical cost performance on comparable 'All Other Support Services' contracts with the DoD is vital for assessing the reasonableness of the current $33.6 million award. Past performance data can reveal trends in cost overruns or savings, providing a benchmark to evaluate the projected costs and potential risks associated with this specific contract. This historical context aids in determining if the current pricing is competitive and sustainable.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesOther Support ServicesAll 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: $33,573,016

Exercised Options: $33,573,016

Current Obligation: $33,573,016

Subaward Activity

Number of Subawards: 60

Total Subaward Amount: $8,084,433

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: 2023-07-01

Current End Date: 2024-06-30

Potential End Date: 2024-06-30 00:00:00

Last Modified: 2024-06-26

More Contracts from Lockheed Martin Corporation

View all Lockheed Martin Corporation federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending