Federal agencies awarded nearly $29.4 billion in contracts during the second quarter of fiscal year 2012, Kevin Plexico, Deltek’s vice president of federal information solutions, wrote in a blog post today.
New big ticket contracts and vehicles included the Air Force’s Design Engineering and Support Program III, which will pay out up to .9 billion to up 26 contractors and a .5 billion award to Lockheed Martin (NYSE: LMT) and Boeing (NYSE: BAH) joint venture United Launch Alliance for space launch services.
Plexico reported that the government has now spent more than $800 million under the DESP II vehicle, which has a “significantly” lower ceiling than its replacement.
Moving forward, Plexico expects the military to release several delayed solicitations during the third quarter. These may include:
- a $23 billion global logistics Army contract
- a $20 billion Air Force program for training systems and simulators
The second quarter tally was down from the around $45 billion in federal contracts the government handed out in the first quarter of the fiscal year, according to Deltek figures.
Plexico said the second and third quarters represent the “doldrums” of the federal spending cycle and the federal government generally awards more than 30 percent of yearly contract awards in the fourth quarter.