DoD's $31M ENCORE II IT R&D Contract Awarded to Lockheed Martin

Contract Overview

Contract Amount: $31,042,825 ($31.0M)

Contractor: Lockheed Martin Integrated Systems, LLC

Awarding Agency: Department of Defense

Start Date: 2009-09-01

End Date: 2010-09-30

Contract Duration: 394 days

Daily Burn Rate: $78.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: ENCORE II IT SOLUTIONS

Place of Performance

Location: NORFOLK, NORFOLK CITY County, VIRGINIA, 23551

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $31.0 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC for work described as: ENCORE II IT SOLUTIONS Key points: 1. The contract value is $31.04 million. 2. Lockheed Martin Integrated Systems, LLC was the awardee. 3. The contract falls under Research and Development in Physical, Engineering, and Life Sciences. 4. The awarding agency is the Department of Defense, specifically the Defense Information Systems Agency.

Value Assessment

Rating: fair

The contract type is Cost Plus Award Fee, which can lead to higher costs if not managed effectively. Benchmarking is difficult without specific deliverables and performance metrics.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific pricing discovery mechanisms within the Cost Plus Award Fee structure are not detailed.

Taxpayer Impact: Taxpayer funds are being used for R&D, with the ultimate value dependent on the successful development of new technologies or solutions.

Public Impact

This contract supports research and development efforts within the Department of Defense. The awardee, Lockheed Martin, is a major defense contractor. The contract duration is approximately one year, indicating a focused R&D effort.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract is in the R&D sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is crucial for technological advancement but can be high-risk.

Small Business Impact

No specific information is provided regarding small business participation in this contract. Large prime contractors often subcontract, but direct involvement is not indicated.

Oversight & Accountability

Oversight would typically be managed by the Defense Information Systems Agency (DISA) to ensure contract performance and proper use of funds. The Cost Plus Award Fee structure requires diligent monitoring of performance and costs.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.0 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC. ENCORE II IT SOLUTIONS

Who is the contractor on this award?

The obligated recipient is LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $31.0 million.

What is the period of performance?

Start: 2009-09-01. End: 2010-09-30.

What specific R&D objectives were defined for this contract, and how will their achievement be measured to ensure value for money?

The specific R&D objectives are not detailed in the provided data. To ensure value for money, the contract should have clearly defined technical milestones, performance metrics, and objective criteria for award fees. Without these, it's difficult to assess if the $31 million investment will yield the desired technological advancements or solutions for the Department of Defense.

What are the potential risks associated with a Cost Plus Award Fee contract for R&D, and how are they mitigated?

Cost Plus Award Fee (CPAF) contracts carry inherent risks of cost escalation, as the contractor is reimbursed for allowable costs plus a fee that can be adjusted based on performance. For R&D, this is amplified by the uncertainty of technical outcomes. Mitigation strategies include robust government oversight, clearly defined performance standards for the award fee, and strong negotiation of the base fee and potential award amounts.

How does this contract contribute to the broader technological capabilities of the Department of Defense, and what is the expected long-term impact?

The contract's contribution to broader DoD capabilities depends entirely on the specific R&D undertaken, which is not detailed. Successful R&D could lead to advancements in areas like cybersecurity, communication systems, or advanced materials. The long-term impact could range from enhanced operational effectiveness and cost savings to maintaining a technological edge over adversaries, provided the research yields practical and deployable solutions.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp

Address: 6801 ROCKLEDGE DR, BETHESDA, MD, 20817

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $31,042,825

Exercised Options: $31,042,825

Current Obligation: $31,042,825

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HC102808D2022

IDV Type: IDC

Timeline

Start Date: 2009-09-01

Current End Date: 2010-09-30

Potential End Date: 2010-09-30 00:00:00

Last Modified: 2024-02-09

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