DoD Awards $28.3M for Computer Facilities Management Services to Lockheed Martin
Contract Overview
Contract Amount: $28,328,689 ($28.3M)
Contractor: Lockheed Martin Integrated Systems, LLC
Awarding Agency: Department of Defense
Start Date: 2010-09-30
End Date: 2011-10-31
Contract Duration: 396 days
Daily Burn Rate: $71.5K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST NO FEE
Sector: IT
Official Description: R0I0830 CLIN 2006 FUNDING ACE-IT
Place of Performance
Location: VICKSBURG, WARREN County, MISSISSIPPI, 39180
Plain-Language Summary
Department of Defense obligated $28.3 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC for work described as: R0I0830 CLIN 2006 FUNDING ACE-IT Key points: 1. Significant contract value for IT services. 2. Sole-source award limits competitive pricing. 3. Potential for cost overruns due to lack of competition. 4. IT sector spending is substantial across government.
Value Assessment
Rating: fair
The contract value of $28.3M for a 396-day duration appears high for computer facilities management services. Benchmarking against similar contracts is difficult without more detailed scope information, but the lack of competition suggests potential for inflated pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning there was no competition. This significantly limits price discovery and may lead to higher costs for taxpayers compared to a competitively bid contract.
Taxpayer Impact: The sole-source nature of this award raises concerns about whether the government achieved the best possible price for these services, potentially impacting taxpayer value.
Public Impact
Taxpayers may be overpaying for IT support due to lack of competition. Limited transparency into the justification for a sole-source award. Potential for reduced service quality if contractor faces no competitive pressure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- High per-unit cost (estimated)
- Lack of competition
Positive Signals
- Contract awarded to a known entity
- Specific service identified
Sector Analysis
This contract falls within the Information Technology sector, specifically Computer Facilities Management Services. Government spending in IT is consistently high, with a focus on maintaining and upgrading complex systems. Benchmarks for similar services vary widely based on scope and security requirements.
Small Business Impact
The awardee is Lockheed Martin Integrated Systems, LLC, a large business. There is no indication that small businesses were involved in this specific contract, either as prime contractors or subcontractors.
Oversight & Accountability
The sole-source nature of this award warrants further oversight to ensure the pricing is reasonable and the services provided meet the government's needs effectively. Accountability for the justification of the sole-source award is crucial.
Related Government Programs
- Computer Facilities Management Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award lacks competition
- Potential for inflated pricing
- Limited transparency on justification
- High contract value for IT services
Tags
computer-facilities-management-services, department-of-defense, ms, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $28.3 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC. R0I0830 CLIN 2006 FUNDING ACE-IT
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 $28.3 million.
What is the period of performance?
Start: 2010-09-30. End: 2011-10-31.
What was the justification for awarding this contract on a sole-source basis instead of seeking competitive bids?
The justification for a sole-source award typically involves circumstances where only one responsible source can provide the required supplies or services. This could be due to unique capabilities, proprietary technology, or urgent and compelling needs. Without the specific justification documentation, it's impossible to determine the exact reasoning, but it's a critical factor in assessing the value and necessity of this contract.
How does the $28.3M contract value compare to industry benchmarks for similar computer facilities management services, considering it was not competed?
Comparing the $28.3M contract value is challenging without detailed service scope and performance metrics. However, the lack of competition inherently removes a key driver for competitive pricing. Industry benchmarks for IT services can vary significantly. The absence of competitive bidding suggests this price may be higher than what could have been achieved through a competitive process, making a direct benchmark comparison less reliable for assessing value.
What mechanisms are in place to ensure the effectiveness and efficiency of the services provided by Lockheed Martin under this sole-source contract?
Effectiveness and efficiency under a sole-source contract rely heavily on robust contract management and performance monitoring by the contracting agency. This includes clearly defined performance standards, regular progress reviews, and mechanisms for addressing deficiencies. Without competitive pressure, the government must be particularly diligent in its oversight to ensure the contractor delivers the required services at a reasonable cost and to the expected quality standards.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp (UEI: 834951691)
Address: 2001 JEFFERSON DAVIS HWY, STE 900, ARLINGTON, VA, 22202
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $28,328,689
Exercised Options: $28,328,689
Current Obligation: $28,328,689
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W91WMC07D0001
IDV Type: IDC
Timeline
Start Date: 2010-09-30
Current End Date: 2011-10-31
Potential End Date: 2011-10-31 00:00:00
Last Modified: 2021-02-26
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