DoD awards $45.3M engineering services contract to Lockheed Martin via full and open competition
Contract Overview
Contract Amount: $45,311,570 ($45.3M)
Contractor: Lockheed Martin Integrated Systems, LLC
Awarding Agency: Department of Defense
Start Date: 2008-09-25
End Date: 2011-09-30
Contract Duration: 1,100 days
Daily Burn Rate: $41.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: Defense
Official Description: S3R-0190
Place of Performance
Location: BELCAMP, HARFORD County, MARYLAND, 21017
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $45.3 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC for work described as: S3R-0190 Key points: 1. Significant contract value of $45.3 million for engineering services. 2. Awarded to a major defense contractor, Lockheed Martin. 3. Utilized full and open competition, suggesting a competitive bidding process. 4. Contract duration spans over three years, indicating a substantial project.
Value Assessment
Rating: good
The contract value of $45.3 million for engineering services appears reasonable given the duration and the prime contractor's capabilities. Benchmarking against similar large-scale engineering service 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, which typically fosters competitive pricing and allows for a broad range of potential bidders. This method is expected to yield fair market prices.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by driving down costs through a competitive process.
Public Impact
Supports critical engineering services for the Department of the Army. Potential impact on technological advancements and defense capabilities. Highlights the significant role of large defense contractors in government projects.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract type is Time and Materials, which can lead to cost overruns if not closely managed.
- No indication of small business participation.
Positive Signals
- Awarded under full and open competition.
- Significant contract value suggests important services are being procured.
Sector Analysis
This contract falls under Engineering Services, a sector crucial for defense operations and technological development. Spending in this sector is often substantial, driven by complex project requirements and the need for specialized expertise.
Small Business Impact
The data indicates that this contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if small business set-asides were considered or if opportunities were missed.
Oversight & Accountability
The contract was awarded via a delivery order, suggesting it is part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. Oversight would focus on the management of this specific order and its alignment with the parent contract.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns due to Time and Materials contract type.
- Lack of small business participation noted.
- Contract duration of over three years requires sustained oversight.
- Specific engineering services and their strategic alignment are not detailed.
Tags
engineering-services, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $45.3 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC. S3R-0190
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 (Department of the Army).
What is the total obligated amount?
The obligated amount is $45.3 million.
What is the period of performance?
Start: 2008-09-25. End: 2011-09-30.
What specific engineering services were procured under this contract, and how do they align with current Army modernization priorities?
The contract specifies engineering services under NAICS code 541330. While the exact services are not detailed, they likely encompass design, development, testing, and integration for Army systems. Alignment with modernization priorities would require examining the specific project objectives and their contribution to areas like C4ISR, cyber, or advanced weapon systems.
What were the key factors that led to Lockheed Martin being selected as the prime contractor, given the full and open competition?
Selection likely stemmed from Lockheed Martin's demonstrated technical capabilities, past performance, competitive pricing, and ability to meet the specific requirements outlined in the solicitation. Their extensive experience in defense engineering and established relationship with the Department of Defense would also be significant factors.
How effectively was the Time and Materials contract type managed to control costs and ensure value for the taxpayer?
Effective management of a Time and Materials (T&M) contract requires rigorous oversight, detailed tracking of labor hours and material costs, and clear performance metrics. Without specific audit reports or performance reviews, it's difficult to assess the effectiveness of cost control. However, T&M contracts inherently carry a higher risk of cost escalation compared to fixed-price contracts.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 3000 LINCOLN DR E, MARLTON, NJ, 08053
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $85,129,738
Exercised Options: $45,311,570
Current Obligation: $45,311,570
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W15P7T06DE405
IDV Type: IDC
Timeline
Start Date: 2008-09-25
Current End Date: 2011-09-30
Potential End Date: 2011-09-30 12:09:00
Last Modified: 2022-09-02
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