Section one: Contracting authority/entity
one.1) Name and addresses
Ministry of Defence
Ministry of Defence, MOD Abbey Wood BS34 8JH
Bristol
BS34 8JH
Contact
K Mann
Country
United Kingdom
Region code
UKK11 - Bristol, City of
Internet address(es)
Main address
one.4) Type of the contracting authority
Ministry or any other national or federal authority
one.5) Main activity
Defence
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
Global Asset Management (GAM)
Reference number
713427452
two.1.2) Main CPV code
- 72512000 - Document management services
two.1.3) Type of contract
Services
two.1.4) Short description
This procurement is for the provision of a UK capability for import, export, customs compliance, and trade control compliance as part of the F-35 Lightning II Global Asset Management (GAM) solution.
Specifically, Defence Equipment & Support (DE&S) has a requirement for an industry-operated Public Customs Bonded Warehouse located at Royal Air Force Marham, Norfolk, to hold materiel for F-35 Lightning II in customs suspension.
The Customs Bonded Warehouse (CBW) workstream requires the Contractor to hold a CBW authorisation for a warehouse at RAF Marham under the supplier’s own Economic Operator Registration Identity (EORI), duty management and record-keeping for the inventory, coordination with nominated depositors and removers and coordination with existing contractors providing physical warehouse management.
The Import/Export workstream requires the Contractor to act as the declarant for customs movements of F-35 materiel into, out of, and within the UK for the UK MOD. In addition to import/export per se (i.e. where the goods cross the geographical UK border) this workstream includes in its scope internal customs procedures such as Inward Processing, discharge to aircraft, Military End Use. This workstream also requires the Contractor (as the Declarant) to manage compliance with relevant UK and international export controls and trade compliance regimes.
It is proposed to place Single Source Contract with Lockheed Martin UK Aeronautics using the negotiated procedure without prior publication of a contract notice which is allowable under DSPCR 2011Section 16(a)(ii) when, for technical reasons the contract may be awarded only to a particular economic operator.
two.1.6) Information about lots
This contract is divided into lots: No
two.1.7) Total value of the procurement (excluding VAT)
Value excluding VAT: £5,000,000
two.2) Description
two.2.3) Place of performance
NUTS codes
- UKH16 - North and West Norfolk
Main site or place of performance
RAF Marham
two.2.4) Description of the procurement
F-35 Lightning is a fifth generation multi role combat air system, developed and operated by an international partnership involving the USA, UK, and other Participant Nations. The global F-35 enterprise is coordinated through the Joint Program Office (JPO) in Washington, D.C. The JPO is a part of the US Department of Defence (DOD).
The global F-35 enterprise has a common pool of spare parts and consumables (the Joint Spares Pool, or JSP), the storage, transportation, and issue to Participants for which is coordinated by the JPO to balance supply and demand across the enterprise. This system is referred to as Global Asset Management (GAM).
Due to changes in the current US contracting for GAM, the UK is now required to establish its own Importer and Exporter of Record arrangements. Therefore, this procurement is for the provision of a UK capability for import, export, customs compliance, and trade control compliance as part of the F-35 Lightning II GAM UK Solution.
Specifically, Defence Equipment & Support (DE&S) has a requirement for an industry-operated Public Customs Bonded Warehouse located at Royal Air Force Marham, Norfolk, to hold materiel for F-35 Lightning II in customs suspension.
The Customs Bonded Warehouse (CBW) workstream requires the Contractor to hold a CBW authorisation for a warehouse at RAF Marham under the supplier’s own Economic Operator Registration Identity (EORI), duty management and record-keeping for the inventory, coordination with nominated depositors and removers and coordination with existing contractors providing physical warehouse management.
The Import/Export workstream requires the Contractor to act as the declarant for customs movements of F-35 materiel into, out of, and within the UK for the UK MOD. In addition to import/export per se (i.e. where the goods cross the geographical UK border) this workstream includes in its scope internal customs procedures such as Inward Processing, discharge to aircraft, Military End Use. This workstream also requires the Contractor (as the Declarant) to manage compliance with relevant UK and international export controls and trade compliance regimes.
two.2.11) Information about options
Options: Yes
Description of options
Additional 3 month or 1 year option
two.2.13) Information about European Union Funds
The procurement is related to a project and/or programme financed by European Union funds: No
Section four. Procedure
four.1) Description
four.1.1) Type of procedure
Negotiated without a prior call for competition
- The works, supplies or services can be provided only by a particular economic operator for the following reason:
- absence of competition for technical reasons
Explanation:
The UK Ministry of Defence intends to place a new single source contract with Lockheed Martin UK Aeronautics, for a period of 2 years to provide UK Global Asset Management (GAM) for the F-35.
In accordance with regulation 4 of the Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2019 (SI 2019/697) this procurement falls to be regulated under the provisions of the Defence and Security Public Contracts Regulations 2011 as amended (in particular by SI 2019/697 and SI 2020/1450). Prior publication of a contract notice in the Official Journal of the European Union is no longer appropriate.
It is considered that this contract can be placed with Lockheed Martin UK Aeronautics using the negotiated procedure without prior publication of a contract notice under Regulation 16(a)(ii) of the Defence and Security Public Contract Regulation 2011 for technical reasons – 88 (a) Strict technical impracticality for a supplier other than the chosen supplier to achieve the required goals. UK GAM can only be placed with Lockheed Martin UK Aeronautics for the following reasons:
Successful delivery of the IOR/EOR service is dependent upon information passing from LM as OEM in addition to that provided by US DoD in order to complete customs declarations. Some of information held by LM is proprietary and it would be impractical for another company to deliver the services without access to this information, so competition would not be viable.
four.1.8) Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: No
Section five. Award of contract/concession
Contract No
713427452
Title
Global Asset Management UK Solution
A contract/lot is awarded: Yes
five.2) Award of contract/concession
five.2.1) Date of conclusion of the contract
31 January 2025
five.2.2) Information about tenders
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor/concessionaire
Lockheed Martin UK Aeronautics
Building 7000, Langstone Technology Park, Langstone Road
Havant, Hants
PO913W
Country
United Kingdom
NUTS code
- UKJ35 - South Hampshire
The contractor/concessionaire is an SME
No
five.2.4) Information on value of contract/lot/concession (excluding VAT)
Initial estimated total value of the contract/lot/concession: £5,000,000
Total value of the contract/lot/concession: £5,000,000
five.2.5) Information about subcontracting
The contract/lot/concession is likely to be subcontracted
Section six. Complementary information
six.4) Procedures for review
six.4.1) Review body
Defence Equipment and Support
Ministry of Defence, Abbey Wood
Bristol
BS34 8JH
Country
United Kingdom