The U.S. Navy awarded Lockheed Martin [LMT] $101 million combined in two contract actions for previously awarded contracts in support of submarine systems, according to Wednesday Defense Department announcements.
The company won a firm-fixed-price undefinitized contract action (UCA) modification for up to $71 million as part of a previously awarded contract for electronic warfare equipment in support of Virginia-class submarines. The UCA is expected to be definitized by Feb. 2018.
Contracted work will largely occur in Syracuse, N.Y., and Fairfax, Va., with an expected completion date of April 2020. The contracting activity is the Naval Sea Systems Command (NAVSEA).
Separately, the Space and Naval Warfare Systems Command in San Diego, Calif., awarded the company a nearly $30 million ceiling increase to a previously awarded contract.
The modification includes the production of two U.S. twin line towed array (TL-29A) systems and further provisioned items orders under the ceiling increase for spares. The modification falls under the Maritime Surveillance Systems Program Office, Program Executive Office Submarines within NAVSEA
This modification increases the overall contract value from $71 million to $101 million. Work will occur in Syracuse and is expected to be finished by Oct. 2019. This modification was not competitively procured because it is a sole-source acquisition in accordance with U.S. Code authority of only one responsible source.
Fiscal year 2017 Navy operations and procurement funds of $17.4 million is obligated at modification award time.