Army Awards $41.2M TADSS Maintenance Task Order to Lockheed Martin Under Full and Open Competition

Contract Overview

Contract Amount: $41,181,561 ($41.2M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Defense

Start Date: 2021-07-01

End Date: 2022-09-15

Contract Duration: 441 days

Daily Burn Rate: $93.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST NO FEE

Sector: Defense

Official Description: THE PURPOSE OF THIS ACTION IS TO AWARD ARMY TADSS MAINTENANCE PROGRAM TASK ORDER 0413.

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32828

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $41.2 million to LOCKHEED MARTIN CORPORATION for work described as: THE PURPOSE OF THIS ACTION IS TO AWARD ARMY TADSS MAINTENANCE PROGRAM TASK ORDER 0413. Key points: 1. The contract is for maintenance of the Army's Training and Doctrine Simulation Systems (TADSS). 2. Lockheed Martin Corporation is the awardee, a major defense contractor. 3. The award was made under full and open competition, suggesting a competitive bidding process. 4. The contract value is substantial at $41.2 million. 5. The period of performance spans over a year, from July 2021 to September 2022.

Value Assessment

Rating: good

The contract is a cost-no-fee type, which shifts some risk to the contractor. The total value is $41.2 million. Without specific benchmarks for TADSS maintenance, a direct per-unit cost comparison is difficult, but the overall value seems reasonable for a program of this nature.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, indicating that multiple bidders were likely considered. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds are being used efficiently by securing services through a market-driven process.

Public Impact

Ensures continued operational readiness of critical Army training systems. Supports advanced simulation capabilities for soldier training. Maintains the technological edge of military training programs. Impacts soldiers and trainers relying on these simulation systems. Contributes to the readiness of deployed forces.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

  • Potential for cost overruns in cost-plus contracts if not managed tightly.
  • Reliance on a single contractor for critical maintenance could pose future supply chain risks.

Positive Signals

  • Awarded through full and open competition, maximizing potential for value.
  • Clear period of performance and defined scope of work.
  • Contract type (Cost No Fee) aligns incentives for contractor performance.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to defense systems maintenance. Spending in this area is crucial for maintaining military readiness and technological superiority. Benchmarks for similar complex simulation system maintenance contracts are often proprietary but typically involve significant investment.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded to a large corporation, Lockheed Martin. There is no indication of small business participation in this specific award.

Oversight & Accountability

The award was made by the Department of the Army, a component of the Department of Defense. Standard oversight mechanisms for defense contracts would apply, including performance monitoring and financial audits to ensure proper use of funds.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Contract type is Cost No Fee, requiring careful monitoring to prevent cost overruns.
  • Sole awardee for this task order, limiting immediate alternative options.
  • Long-term reliance on a single provider could lead to vendor lock-in.
  • Potential for scope creep if maintenance requirements are not strictly defined.
  • Dependence on contractor's supply chain for parts and expertise.

Tags

engineering-services, department-of-defense, fl, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $41.2 million to LOCKHEED MARTIN CORPORATION. THE PURPOSE OF THIS ACTION IS TO AWARD ARMY TADSS MAINTENANCE PROGRAM TASK ORDER 0413.

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 $41.2 million.

What is the period of performance?

Start: 2021-07-01. End: 2022-09-15.

What is the specific breakdown of maintenance tasks covered under this contract and how do they align with the Army's training objectives?

The contract focuses on the maintenance of the Army's Training and Doctrine Simulation Systems (TADSS). This likely includes preventative maintenance, corrective repairs, software updates, and logistical support for a range of simulation devices used in soldier training. The alignment with training objectives would be through ensuring the high availability and fidelity of these systems, directly supporting the Army's ability to conduct realistic and effective training scenarios.

What are the key performance indicators (KPIs) used to measure the success of Lockheed Martin's maintenance services for the TADSS program?

Key performance indicators for such a contract would likely include system uptime/availability rates, response times for maintenance requests, successful completion rates of scheduled maintenance, and adherence to technical specifications. The 'Cost No Fee' structure implies that the contractor is incentivized to perform efficiently to achieve profitability, making performance metrics critical for both parties.

How does the cost of this contract compare to previous TADSS maintenance efforts or similar simulation system contracts across other military branches?

A direct comparison is challenging without access to historical TADSS maintenance costs or data on comparable simulation system contracts across other branches. However, the 'full and open competition' award suggests the pricing was deemed competitive at the time of award. Analyzing the cost per system or cost per hour of operation, benchmarked against industry standards for complex defense systems, would provide further insight.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W900KK17R0034

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

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

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: $44,135,239

Exercised Options: $44,135,239

Current Obligation: $41,181,561

Subaward Activity

Number of Subawards: 118

Total Subaward Amount: $9,651,761

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W900KK18D0018

IDV Type: IDC

Timeline

Start Date: 2021-07-01

Current End Date: 2022-09-15

Potential End Date: 2022-09-15 00:00:00

Last Modified: 2025-10-31

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