DoD Awards $17.2M for Individual Weapons Labor to Lockheed Martin
Contract Overview
Contract Amount: $17,229,564 ($17.2M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2023-07-01
End Date: 2024-06-30
Contract Duration: 365 days
Daily Burn Rate: $47.2K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: LABOR FOR INDIVIDUAL WEAPONS S
Place of Performance
Location: ORLANDO, ORANGE County, FLORIDA, 32828
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $17.2 million to LOCKHEED MARTIN CORPORATION for work described as: LABOR FOR INDIVIDUAL WEAPONS S Key points: 1. Significant contract awarded to a major defense contractor. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract is for engineering services related to individual weapons. 4. The award value is substantial for the specified duration.
Value Assessment
Rating: good
The contract value of $17.2M over one year for engineering services is within a reasonable range for specialized defense work. Benchmarking against similar contracts for weapon system development and support would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition indicates that multiple bidders were likely considered, which generally promotes price discovery and competitive pricing. The final price reflects the outcome of this competitive process.
Taxpayer Impact: Taxpayer funds are being used for critical defense capabilities, with the competitive process aiming to ensure value for money.
Public Impact
Enhances individual soldier capabilities through advanced weapon system engineering. Supports the U.S. Army's modernization efforts in combat effectiveness. Contributes to the defense industrial base and technological advancement in weaponry.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in complex engineering projects.
- Dependence on a single large contractor for critical weapon systems.
Positive Signals
- Utilizes full and open competition.
- Awarded to a reputable and experienced defense contractor.
Sector Analysis
This contract falls under Engineering Services within the defense sector. Spending in this area is crucial for maintaining and advancing military technological superiority. Benchmarks for similar engineering services contracts can vary widely based on complexity and scope.
Small Business Impact
While the primary awardee is a large corporation, the contract may indirectly benefit small businesses through subcontracting opportunities, though this is not explicitly detailed in the provided data.
Oversight & Accountability
The Department of Defense and the Department of the Army are responsible for oversight. The use of a delivery order under a larger contract structure implies existing oversight mechanisms are in place.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Contract value is substantial.
- Awarded to a single, large prime contractor.
- Engineering services can be prone to scope creep.
- Specific performance metrics are not detailed.
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 $17.2 million to LOCKHEED MARTIN CORPORATION. LABOR FOR INDIVIDUAL WEAPONS S
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 $17.2 million.
What is the period of performance?
Start: 2023-07-01. End: 2024-06-30.
What specific engineering services are included in this contract, and how do they contribute to the overall effectiveness of individual weapons?
The contract likely encompasses design, development, testing, and integration of components or systems for individual weapons. These services are crucial for enhancing soldier lethality, survivability, and mission effectiveness by incorporating advanced technologies, improving ergonomics, and ensuring reliability under diverse operational conditions.
What are the primary risks associated with this contract, and how are they being mitigated?
Key risks include potential schedule delays due to the complexity of weapon system engineering, cost overruns if unforeseen technical challenges arise, and performance issues if the final product does not meet stringent military requirements. Mitigation strategies may involve robust project management, phased development with clear milestones, and performance-based payment structures.
How does this contract align with the Army's long-term modernization goals for infantry equipment?
This contract directly supports modernization by ensuring that individual weapons are equipped with the latest technological advancements and engineering solutions. It contributes to the Army's objective of providing soldiers with superior equipment that offers a decisive advantage on the battlefield, potentially through improved accuracy, reduced weight, or enhanced modularity.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, 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: $18,069,200
Exercised Options: $18,069,200
Current Obligation: $17,229,564
Subaward Activity
Number of Subawards: 48
Total Subaward Amount: $9,477,450
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: 2023-07-01
Current End Date: 2024-06-30
Potential End Date: 2024-06-30 00:00:00
Last Modified: 2025-10-31
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