DoD Awards $37.3M to Lockheed Martin for Field Support Services, Sole-Source Contract
Contract Overview
Contract Amount: $37,291,853 ($37.3M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2013-06-01
End Date: 2018-02-25
Contract Duration: 1,730 days
Daily Burn Rate: $21.6K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: CONTRACTOR FIELD SUPPORT SERVICES
Place of Performance
Location: GRAND PRAIRIE, DALLAS County, TEXAS, 75051
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $37.3 million to LOCKHEED MARTIN CORPORATION for work described as: CONTRACTOR FIELD SUPPORT SERVICES Key points: 1. Significant contract value of $37.3 million awarded. 2. Sole-source award indicates limited competition. 3. Contract duration of 1730 days spans over 4 years. 4. Focus on guided missile and space vehicle manufacturing support.
Value Assessment
Rating: fair
The contract value of $37.3 million for field support services is substantial. Without specific benchmarks for similar services within guided missile and space vehicle manufacturing, it's difficult to definitively assess pricing, but the sole-source nature raises concerns about potential overpricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This significantly limits price discovery and competitive pressure, potentially leading to higher costs for the government compared to a fully competed contract.
Taxpayer Impact: The lack of competition in this sole-source award may result in taxpayers paying a premium for these essential field support services.
Public Impact
Taxpayers may be overpaying due to the absence of competitive bidding. The long contract duration could lock in potentially inefficient pricing. Dependence on a single contractor for critical support services poses a risk.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- Potential for overpricing
Positive Signals
- Essential support services for defense manufacturing
Sector Analysis
This contract falls within the defense sector, specifically supporting guided missile and space vehicle manufacturing. Spending in this area is often characterized by high complexity and specialized requirements, which can sometimes justify sole-source awards, but vigilance on pricing is crucial.
Small Business Impact
The contract was awarded to Lockheed Martin Corporation, a large prime contractor. There is no indication that small businesses were involved as subcontractors on this specific award, suggesting limited direct benefit to the small business sector.
Oversight & Accountability
The sole-source nature of this contract warrants close oversight to ensure fair pricing and effective service delivery. Accountability mechanisms should be robust to mitigate risks associated with limited competition.
Related Government Programs
- Guided Missile and Space Vehicle Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award limits competition and price discovery.
- Potential for inflated costs due to lack of competitive pressure.
- Long contract duration may not reflect evolving needs or technology.
- High dependence on a single contractor for critical support.
- Lack of transparency regarding specific services and pricing justification.
Tags
guided-missile-and-space-vehicle-manufac, department-of-defense, tx, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $37.3 million to LOCKHEED MARTIN CORPORATION. CONTRACTOR FIELD SUPPORT SERVICES
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 Army).
What is the total obligated amount?
The obligated amount is $37.3 million.
What is the period of performance?
Start: 2013-06-01. End: 2018-02-25.
What specific field support services are being provided under this contract, and how do they directly contribute to the operational readiness of guided missile and space vehicles?
The contract details are limited, but 'Field Support Services' typically encompass a range of activities such as on-site technical assistance, maintenance, repair, training, and logistical support for complex defense systems. For guided missile and space vehicles, this could involve ensuring the readiness and operational capability of launch systems, ground support equipment, or deployed assets, directly impacting mission success and national security.
Given the sole-source nature, what mechanisms are in place to ensure Lockheed Martin is providing these services at a fair and reasonable price, and what is the historical pricing trend for similar se
While the data doesn't specify oversight mechanisms, agencies typically employ cost analysis, should-cost reviews, and negotiation strategies to ensure fair pricing on sole-source contracts. However, the absence of competition inherently limits the government's leverage. Historical pricing data for comparable sole-source contracts within the defense sector would be necessary for a robust benchmark, but such data is not provided here.
What is the potential impact on national security if Lockheed Martin fails to adequately provide these field support services, considering the sole-source nature of the contract?
A failure to adequately provide these critical field support services could have severe national security implications. It could lead to delays in missile or space vehicle deployment, reduced operational readiness, and potential mission failures. The sole-source nature exacerbates this risk, as finding and transitioning to an alternative provider quickly would be extremely challenging and costly.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Guided Missile and Space Vehicle Manufacturing
Product/Service Code: GUIDED MISSLES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 1701 W MARSHALL DR, GRAND PRAIRIE, TX, 75051
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: $37,291,853
Exercised Options: $37,291,853
Current Obligation: $37,291,853
Subaward Activity
Number of Subawards: 10
Total Subaward Amount: $7,917,132
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2013-06-01
Current End Date: 2018-02-25
Potential End Date: 2018-02-25 00:00:00
Last Modified: 2025-04-22
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