DHS awards $26.3M task order for educational support services to Lockheed Martin

Contract Overview

Contract Amount: $26,259,331 ($26.3M)

Contractor: Lockheed Martin Services, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2009-08-18

End Date: 2014-08-16

Contract Duration: 1,824 days

Daily Burn Rate: $14.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO OBLIGATE THE MINIMUM GUARANTEE.

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $26.3 million to LOCKHEED MARTIN SERVICES, LLC for work described as: THE PURPOSE OF THIS TASK ORDER IS TO OBLIGATE THE MINIMUM GUARANTEE. Key points: 1. Contract value represents a significant investment in specialized support services. 2. Competition dynamics suggest a potentially competitive bidding process for this task order. 3. Contract duration of 5 years indicates a long-term need for these services. 4. Fixed-price contract type aims to control costs and provide budget certainty. 5. The awardee, Lockheed Martin, is a major defense contractor with extensive federal experience. 6. The North American Industry Classification System (NAICS) code 611710 points to educational support services.

Value Assessment

Rating: fair

The contract value of $26.3 million over approximately five years for educational support services appears to be within a reasonable range for a task order of this nature, especially considering the potential complexity and specialized skills required. Benchmarking against similar contracts is challenging without more specific details on the scope of services. However, the firm fixed-price structure suggests an effort to manage costs effectively. The awarded amount is not exceptionally high or low relative to the duration and the known capabilities of the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. The presence of two bidders suggests a moderate level of competition. While more bidders could potentially drive prices lower, two bidders still provide a basis for price discovery and comparison. The agency's decision to use full and open competition implies a belief that this approach would yield the best value.

Taxpayer Impact: Taxpayers benefit from the assurance that the contract was awarded through a process designed to solicit competitive offers, aiming for a fair price and quality service.

Public Impact

The Transportation Security Administration (TSA) is the primary beneficiary of these educational support services. Services likely support training, curriculum development, or other educational initiatives within the TSA. The contract's duration suggests ongoing support critical to TSA's operational effectiveness. Geographic impact is likely concentrated where TSA personnel require these educational services, potentially nationwide. Workforce implications may include the need for specialized trainers or educational technologists, potentially sourced by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if the definition of 'educational support services' is not tightly managed.
Reliance on a single large contractor for critical support functions could pose a risk if performance falters.
The long duration of the contract may reduce flexibility to adapt to changing educational needs or technologies.

Positive Signals

Award to a reputable contractor like Lockheed Martin suggests a high likelihood of successful performance.
Firm fixed-price contract provides cost certainty and incentivizes contractor efficiency.
Full and open competition indicates an effort to secure the best value for the government.

Sector Analysis

The educational support services sector within the federal government is diverse, encompassing training, curriculum development, and learning management systems. This contract, under NAICS code 611710, falls within this broad category. Federal spending in this area is often driven by the need for specialized training for government personnel, particularly in agencies with complex operational requirements like the TSA. Comparable spending benchmarks are difficult to establish without a precise definition of the services, but large agencies often award multi-million dollar contracts for comprehensive educational programs.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Lockheed Martin is a large prime contractor. There is no explicit information on subcontracting plans for small businesses within this task order. Therefore, the direct impact on the small business ecosystem is likely minimal unless Lockheed Martin actively pursues small business subcontractors for specialized components of the educational support services.

Oversight & Accountability

Oversight for this task order would primarily reside with the contracting officer and program managers within the Department of Homeland Security's Transportation Security Administration. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified services. Transparency is facilitated by federal contract databases where such awards are reported. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

Federal Employee Training Programs
Department of Homeland Security Training Contracts
Transportation Security Administration Operations Support
Government-wide Acquisition Contracts (GWACs) for Professional Services

Risk Flags

Long contract duration may lead to outdated service offerings.
Potential for scope creep in undefined 'educational support services'.
Reliance on a single large contractor.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $26.3 million to LOCKHEED MARTIN SERVICES, LLC. THE PURPOSE OF THIS TASK ORDER IS TO OBLIGATE THE MINIMUM GUARANTEE.

Who is the contractor on this award?

The obligated recipient is LOCKHEED MARTIN SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Transportation Security Administration).

What is the total obligated amount?

The obligated amount is $26.3 million.

What is the period of performance?

Start: 2009-08-18. End: 2014-08-16.

What specific types of educational support services are being provided under this task order?

The provided data indicates the North American Industry Classification System (NAICS) code is 611710, which corresponds to 'Educational Support Services'. This broad category can encompass a wide range of activities, including curriculum development, instructional design, training delivery, educational technology support, and program management for educational initiatives. Without further details specific to this task order, it is difficult to pinpoint the exact services. However, given the awarding agency is the Transportation Security Administration (TSA), these services likely relate to enhancing the skills, knowledge, and performance of TSA personnel, potentially covering areas such as security protocols, operational procedures, or leadership development.

How does the awarded amount of $26.3 million compare to similar educational support service contracts within the federal government?

Comparing the $26.3 million award for educational support services to similar federal contracts requires access to a broader dataset of contract awards with detailed service descriptions and durations. However, for a task order spanning approximately five years (1824 days), this value suggests a substantial and ongoing requirement. Large federal agencies, particularly those with extensive workforces and complex operational needs like the Department of Homeland Security, frequently award contracts in the tens of millions for comprehensive training and educational programs. The firm fixed-price nature of this contract implies that the $26.3 million is intended to cover all costs associated with delivering the defined educational support services over the contract period, aiming for cost efficiency.

What is Lockheed Martin's track record with federal educational support service contracts?

Lockheed Martin Services, LLC, as a major federal contractor, possesses a broad and extensive track record across various service domains, including IT, logistics, and professional services. While specific data on their performance solely within the 'Educational Support Services' NAICS code (611710) for this particular task order isn't detailed here, the company is known for undertaking large-scale, complex projects for government agencies. Their history includes providing training solutions, simulation development, and educational program management for defense and civilian agencies. Performance on previous contracts, including any past issues or commendations, would typically be available through federal procurement databases and performance assessment systems like the Contractor Performance Assessment Reporting System (CPARS).

What are the potential risks associated with a five-year contract for educational support services?

A five-year contract duration for educational support services presents several potential risks. Firstly, the rapid evolution of educational technologies and methodologies means that services defined at the outset might become outdated before the contract's end, potentially leading to inefficiencies or a need for costly modifications. Secondly, there's a risk of 'vendor lock-in,' where the agency becomes heavily reliant on a single provider, potentially diminishing flexibility and bargaining power over time. Thirdly, if the scope of 'educational support services' is not precisely defined and managed, there's a risk of scope creep, where the contractor provides more services than initially intended or budgeted for, leading to cost overruns or performance issues. Finally, maintaining consistent quality and engagement from the contractor over such an extended period requires robust oversight.

How does the 'full and open competition' for this task order benefit taxpayers?

The 'full and open competition' designation for this task order means that all responsible sources were permitted to submit a bid. This process is designed to foster a competitive environment where multiple companies vie for the contract. For taxpayers, this generally translates into several benefits: 1) Price Competition: The bidding process encourages vendors to offer their most competitive pricing to win the contract, potentially leading to lower costs than a sole-source or limited competition award. 2) Best Value: Agencies are typically required to select the offer that represents the 'best value' to the government, which considers not only price but also factors like technical approach, past performance, and management capability. This ensures taxpayers' money is used effectively. 3) Innovation and Quality: Competition can spur innovation as vendors propose different approaches to meet the government's needs, potentially leading to higher quality services.

Industry Classification

NAICS: Educational Services › Educational Support Services › Educational Support Services

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp (UEI: 834951691)

Address: 700 N FREDERICK AVE, GAITHERSBURG, MD, 20879

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

Financial Breakdown

Contract Ceiling: $27,807,445

Exercised Options: $26,259,331

Current Obligation: $26,259,331

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HSTS0109DOSO900

IDV Type: IDC

Timeline