DoD Awards $27M Lockheed Martin Contract for Aviation Training Systems Maintenance and Training

Contract Overview

Contract Amount: $27,036,087 ($27.0M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Defense

Start Date: 2021-07-01

End Date: 2023-06-16

Contract Duration: 715 days

Daily Burn Rate: $37.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: THE PURPOSE OF THIS ACTION IS TO AWARD AT TASK ORDER 0418.THE AVIATION & TRANSPORTATION (AT) TASK ORDER PROVIDES MAINTENANCE &TRAINING FOR TRAINING SYSTEMS.

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32828

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $27.0 million to LOCKHEED MARTIN CORPORATION for work described as: THE PURPOSE OF THIS ACTION IS TO AWARD AT TASK ORDER 0418.THE AVIATION & TRANSPORTATION (AT) TASK ORDER PROVIDES MAINTENANCE &TRAINING FOR TRAINING SYSTEMS. Key points: 1. Contract awarded to Lockheed Martin Corporation for essential aviation training systems. 2. The contract covers maintenance and training services, crucial for operational readiness. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The sector is Engineering Services, with a significant value of $27M.

Value Assessment

Rating: good

The contract value of $27M for maintenance and training services appears reasonable given the scope. Benchmarking against similar large-scale training system contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, maximizing the value of taxpayer dollars spent on critical aviation training infrastructure.

Public Impact

Ensures continued readiness and proficiency for military aviation personnel. Supports advanced training technologies essential for modern warfare. Maintains critical infrastructure for the Department of the Army's aviation programs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if maintenance needs exceed initial estimates.
  • Dependence on a single contractor for critical training system support.

Positive Signals

  • High value contract awarded through competitive process.
  • Supports critical national defense capabilities.
  • Long-term contract duration ensures sustained support.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting aviation and transportation training systems. Spending in this area is vital for maintaining a skilled military workforce and advanced technological capabilities.

Small Business Impact

The contract was awarded to Lockheed Martin Corporation, a large business. There is no indication of small business participation in this specific award, which is common for large, complex defense contracts.

Oversight & Accountability

The Department of the Army, under the Department of Defense, is responsible for oversight. The use of a firm-fixed-price contract type provides some cost control, but ongoing monitoring of performance and deliverables is essential.

Related Government Programs

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

Risk Flags

  • Potential for scope creep in maintenance requirements.
  • Risk of vendor lock-in for specialized training system support.
  • Dependency on contractor's ability to maintain up-to-date training curricula.
  • Cybersecurity risks associated with training system data and connectivity.

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 $27.0 million to LOCKHEED MARTIN CORPORATION. THE PURPOSE OF THIS ACTION IS TO AWARD AT TASK ORDER 0418.THE AVIATION & TRANSPORTATION (AT) TASK ORDER PROVIDES MAINTENANCE &TRAINING FOR TRAINING SYSTEMS.

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 $27.0 million.

What is the period of performance?

Start: 2021-07-01. End: 2023-06-16.

What is the specific breakdown of maintenance versus training costs within this contract?

The provided data does not detail the cost allocation between maintenance and training. A further breakdown would be necessary to assess the value proposition for each component and identify potential areas for cost optimization or efficiency gains in either service.

Are there performance metrics or key performance indicators (KPIs) tied to this contract to ensure effective training and maintenance?

While the contract type is firm-fixed-price, the data does not explicitly list performance metrics or KPIs. Effective oversight would require clearly defined standards for training quality and maintenance responsiveness to ensure the contractor meets operational requirements and taxpayer expectations.

What is the long-term strategy for updating or replacing these training systems, and how does this contract align with it?

This contract focuses on maintenance and training for existing systems. Information regarding future modernization or replacement plans for the training systems is not provided. Understanding the long-term technology roadmap is crucial to ensure this investment remains relevant and doesn't become obsolete.

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: FIRM FIXED PRICE (J)

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: $27,086,303

Exercised Options: $27,086,303

Current Obligation: $27,036,087

Subaward Activity

Number of Subawards: 28

Total Subaward Amount: $1,563,373

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: 2023-06-16

Potential End Date: 2023-06-16 00:00:00

Last Modified: 2024-03-14

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