DoD's $33.8M Lockheed Martin Contract for Navigation Systems: Full and Open Competition

Contract Overview

Contract Amount: $33,833,341 ($33.8M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Defense

Start Date: 2012-11-13

End Date: 2020-03-31

Contract Duration: 2,695 days

Daily Burn Rate: $12.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: QUAL. TESTING/NON-RECURRING ENGINEERING

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32825

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $33.8 million to LOCKHEED MARTIN CORPORATION for work described as: QUAL. TESTING/NON-RECURRING ENGINEERING Key points: 1. Contract awarded to Lockheed Martin Corporation for navigation systems. 2. Significant value of $33.8 million over its duration. 3. Utilized full and open competition, suggesting a competitive bidding process. 4. Sector is IT/Defense, specifically navigation and guidance systems manufacturing.

Value Assessment

Rating: fair

The contract value of $33.8M for non-recurring engineering and qualification testing appears reasonable given the specialized nature of navigation systems. Benchmarking against similar complex system development contracts would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for price discovery. It suggests multiple vendors had the opportunity to bid, potentially driving down costs and ensuring fair market pricing.

Taxpayer Impact: Taxpayer funds were utilized through a competitive process, aiming for value. The final price reflects the outcome of this competition for specialized system development.

Public Impact

Ensures the Department of Defense has access to critical navigation and guidance technology. Supports advanced military capabilities through specialized system manufacturing. Potential for technological advancements in the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics or outcomes in provided data.
  • Potential for cost overruns in complex, non-recurring engineering projects.

Positive Signals

  • Awarded through full and open competition.
  • Contract supports critical national defense capabilities.

Sector Analysis

This contract falls within the IT/Defense sector, specifically focusing on the manufacturing of sophisticated navigation and guidance systems. Spending in this area is crucial for maintaining technological superiority in defense operations.

Small Business Impact

The data indicates the contract was awarded to Lockheed Martin Corporation, a large prime contractor. There is no information provided on small business participation or subcontracting opportunities within this specific contract.

Oversight & Accountability

The contract was awarded by the Department of the Navy, part of the Department of Defense. Oversight would typically involve program management reviews and adherence to contract terms to ensure successful delivery and accountability.

Related Government Programs

  • Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Potential for scope creep in non-recurring engineering.
  • Dependence on a single large contractor.
  • Lack of detailed performance metrics.
  • Long contract duration (2012-2020).

Tags

search-detection-navigation-guidance-aer, department-of-defense, fl, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $33.8 million to LOCKHEED MARTIN CORPORATION. QUAL. TESTING/NON-RECURRING ENGINEERING

Who is the contractor on this award?

The obligated recipient is LOCKHEED MARTIN CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $33.8 million.

What is the period of performance?

Start: 2012-11-13. End: 2020-03-31.

What specific technological advancements or capabilities were achieved through this $33.8M contract for navigation systems?

The provided data does not detail the specific technological advancements or capabilities achieved. Further analysis of contract deliverables, technical reports, and program outcomes would be necessary to assess the precise impact and innovation stemming from this investment in navigation and guidance systems.

What were the key factors that led to the selection of Lockheed Martin Corporation for this contract?

While the contract was awarded under full and open competition, the specific factors leading to Lockheed Martin's selection are not detailed. Typically, such awards are based on a combination of technical proposal strength, past performance, price, and adherence to requirements outlined in the solicitation.

How does the cost of this contract compare to similar navigation system development contracts awarded by other agencies or in different timeframes?

Benchmarking this $33.8M contract against similar navigation system development contracts is challenging without access to a broader dataset of comparable procurements. Factors like technological complexity, specific system requirements, and market conditions at the time of award significantly influence pricing, making direct comparisons difficult.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: ENGINES AND TURBINES AND COMPONENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0002412R4206

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp

Address: 100 GLOBAL INNOVATION CIR, ORLANDO, FL, 32825

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $119,859,129

Exercised Options: $33,833,341

Current Obligation: $33,833,341

Subaward Activity

Number of Subawards: 54

Total Subaward Amount: $14,783,941

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2012-11-13

Current End Date: 2020-03-31

Potential End Date: 2020-03-31 00:00:00

Last Modified: 2022-09-08

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