DoD awards $13.8M for Audio Management Computer Testers to Lockheed Martin, a sole-source contract
Contract Overview
Contract Amount: $13,819,474 ($13.8M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2009-06-25
End Date: 2010-10-25
Contract Duration: 487 days
Daily Burn Rate: $28.4K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: AUDIO MANAGEMENT COMPUTER (AMC)TESTER
Place of Performance
Location: OWEGO, TIOGA County, NEW YORK, 13827
State: New York Government Spending
Plain-Language Summary
Department of Defense obligated $13.8 million to LOCKHEED MARTIN CORPORATION for work described as: AUDIO MANAGEMENT COMPUTER (AMC)TESTER Key points: 1. Contract awarded for specialized audio management computer testers. 2. Sole-source award to Lockheed Martin Corporation. 3. Contract duration of 487 days. 4. No small business participation noted.
Value Assessment
Rating: questionable
The contract value of $13.8M for a 487-day duration for specialized testers appears high without competitive benchmarking. The lack of competition makes it difficult to assess fair pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The absence of competition likely resulted in a higher price than a competed contract would have achieved.
Public Impact
Taxpayers may have overpaid due to the lack of competitive bidding. Limited visibility into the necessity and justification for a sole-source award. Potential for reduced innovation and quality without market competition.
Waste & Efficiency Indicators
Waste Risk Score: 30 / 10
Warning Flags
- Sole-source award
- Lack of competition
- No small business participation
Positive Signals
- Specific technical requirement met
Sector Analysis
The Department of Defense frequently procures specialized electronic equipment. Benchmarks for similar specialized testing equipment are difficult to establish without competitive data, but this award's value is notable.
Small Business Impact
There is no indication of small business participation in this contract. This represents a missed opportunity to support small businesses and potentially leverage their specialized capabilities.
Oversight & Accountability
The sole-source nature of this award warrants further oversight to ensure the justification was sound and the pricing was fair, despite the lack of competition.
Related Government Programs
- Other Measuring and Controlling Device Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award lacks transparency.
- Potential for inflated pricing due to no competition.
- No small business involvement.
- Limited insight into technical necessity.
- Contract awarded in 2009, potential for outdated technology.
Tags
other-measuring-and-controlling-device-m, department-of-defense, ny, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $13.8 million to LOCKHEED MARTIN CORPORATION. AUDIO MANAGEMENT COMPUTER (AMC)TESTER
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 $13.8 million.
What is the period of performance?
Start: 2009-06-25. End: 2010-10-25.
What was the specific justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one source can fulfill the requirement. Without detailed documentation, it's impossible to confirm the validity of the justification for this specific Audio Management Computer Tester contract.
How does the $13.8M price compare to similar specialized testing equipment procured competitively?
Direct comparison is challenging due to the specialized nature of the Audio Management Computer Tester and the sole-source award. However, without competitive bids, it's highly probable that the price is higher than what could have been achieved through a competitive procurement process, potentially leading to increased costs for the government.
What is the long-term strategic value of this specific Audio Management Computer Tester to the Department of Defense?
The long-term strategic value depends on the operational requirements it supports. If it's critical for maintaining essential audio systems or for unique testing scenarios, its value is high. However, the sole-source award raises questions about whether alternative, potentially more cost-effective solutions could have met these needs.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Other Measuring and Controlling Device Manufacturing
Product/Service Code: MAINT/REPAIR SHOP EQPT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp (UEI: 834951691)
Address: 1801 STATE RT 17 C, OWEGO, NY, 23
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Federally Funded Research and Development Corp, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $13,819,474
Exercised Options: $13,819,474
Current Obligation: $13,819,474
Contract Characteristics
Cost or Pricing Data: NOT OBTAINED - WAIVED
Timeline
Start Date: 2009-06-25
Current End Date: 2010-10-25
Potential End Date: 2010-10-25 00:00:00
Last Modified: 2009-07-27
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