DoD Awards $6.3M for TAPO LCSM Support to Lockheed Martin, Ending July 2025

Contract Overview

Contract Amount: $6,309,460 ($6.3M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Defense

Start Date: 2024-08-31

End Date: 2025-07-31

Contract Duration: 334 days

Daily Burn Rate: $18.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: TAPO LCSM SUPPORT FY24-25

Place of Performance

Location: LEXINGTON, FAYETTE County, KENTUCKY, 40516

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $6.3 million to LOCKHEED MARTIN CORPORATION for work described as: TAPO LCSM SUPPORT FY24-25 Key points: 1. Contract value of $6.3 million for FY24-25. 2. Lockheed Martin Corporation is the awardee. 3. Awarded by the U.S. Special Operations Command. 4. Service category is 'All Other Support Services'.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The award amount is moderate for specialized support services.

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, the specific pricing mechanisms and discovery of fair value are not detailed.

Taxpayer Impact: Taxpayer funds are being used for specialized support services, with the value determined through a competitive process.

Public Impact

Supports U.S. Special Operations Command's critical missions. Ensures continued operational readiness through specialized support. Potential for technology integration and modernization within SOCOM.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize higher costs.
  • Limited detail on performance metrics and success criteria.

Positive Signals

  • Awarded through full and open competition.
  • Supports critical national security operations.

Sector Analysis

This contract falls under 'All Other Support Services' for the Department of Defense. Benchmarks for this broad category vary significantly based on the specific services provided.

Small Business Impact

The awardee is Lockheed Martin Corporation, a large business. There is no indication of small business participation in this specific award.

Oversight & Accountability

Oversight will be crucial to ensure cost control and effective service delivery under the Cost Plus Fixed Fee structure, especially given the specialized nature of the support.

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.
  • Broad service category lacks specific detail.
  • Potential for cost escalation without stringent oversight.
  • No explicit small business participation noted.

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 $6.3 million to LOCKHEED MARTIN CORPORATION. TAPO LCSM SUPPORT FY24-25

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 $6.3 million.

What is the period of performance?

Start: 2024-08-31. End: 2025-07-31.

What specific services are included under 'TAPO LCSM Support' and how do they contribute to operational effectiveness?

TAPO LCSM Support likely refers to services related to Logistics, Command, Control, Communications, Computers, and Intelligence (C4I) Systems Management for Tactical Aviation Platforms. These services are critical for ensuring the operational readiness and effectiveness of specialized aircraft used by U.S. Special Operations Command, enabling mission success in complex environments.

What are the potential risks associated with a Cost Plus Fixed Fee contract for these specialized support services?

A Cost Plus Fixed Fee (CPFF) contract carries the risk of cost overruns, as the contractor is reimbursed for allowable costs plus a fixed fee. If costs escalate beyond initial projections, the government may end up paying more than anticipated. Effective oversight is crucial to manage contractor performance and control expenses.

How does the full and open competition process ensure the best value for taxpayer dollars in this context?

Full and open competition allows all responsible sources to submit bids, fostering a competitive environment that theoretically drives down prices and encourages innovation. For specialized support services, it aims to identify the contractor offering the optimal balance of technical capability, past performance, and price, ensuring taxpayer funds are used efficiently.

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: $6,309,460

Exercised Options: $6,309,460

Current Obligation: $6,309,460

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $658,548

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: 2024-08-31

Current End Date: 2025-07-31

Potential End Date: 2025-07-31 00:00:00

Last Modified: 2026-01-07

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