FY2026's Top Federal Contracts: Lockheed Martin's $2.87B NASA Award Leads Major Obligations
Federal agencies obligate billions of dollars to private contractors to maintain infrastructure, provide healthcare, and secure borders. In FY2026, a handful of massive single-award contracts dominate the federal procurement landscape. The largest federal contracts FY2026 data reveals heavy investments in space exploration, border security, veteran healthcare, and domestic energy production.
Key takeaway: The single largest federal procurement in FY2026 is a $2.87B NASA contract awarded to Lockheed Martin. Other massive obligations include $1.58B for border wall construction in Montana and over $1.89B combined for veteran healthcare administration in Arizona.
Lockheed Martin Secures Largest FY2026 Federal Contract
The top federal procurement FY2026 data highlights a massive aerospace obligation. Lockheed Martin Corp holds the single largest contract in the current fiscal year. The company secured a $2.87B award from the National Aeronautics and Space Administration (NASA).
This specific contract funds the acquisition of external tanks for the Space Shuttle program. The work falls under 336415 — Guided Missile and Space Vehicle Propulsion Unit and Propulsion Unit Parts Manufacturing. Lockheed Martin federal contracts FY2026 data shows this single obligation dwarfs typical aerospace awards.
NASA contracts FY2026 obligations are largely driven by this multi-billion-dollar award. The contract is executed out of LA, making it a major hub for federal aerospace spending this cycle.
Leading Contracts in Healthcare and Border Construction for FY2026
Beyond aerospace, the Department of Veterans Affairs (VA) and the Department of Homeland Security (DHS) account for the majority of the top ten largest contracts. These agencies are funneling billions into healthcare administration and border infrastructure.
The VA issued two massive awards to TriWest Healthcare Alliance Corp in AZ. These contracts, categorized under 524114 — Direct Health and Medical Insurance Carriers, total $1.06B and $837.2M respectively. Both are designated for medical express reporting services.
The VA also awarded a $754.3M contract to QTC Medical Services Inc in TX. This obligation funds medical disability examinations under 621111 — Offices of Physicians (Except Mental Health Specialists).
DHS, specifically U.S. Customs and Border Protection, obligated billions for physical infrastructure. The largest of these is a $1.58B award to Barnard Construction Company, Incorporated in MT. This contract funds border wall construction for the El Paso Sector (EPT-5).
Other major DHS construction awards under 236220 — Commercial and Institutional Building Construction include:
- $874.1M to BCCG A Joint Venture in AL for tiered pricing construction.
- $683.5M to SLS Federal Services LLC in TX for vertical barrier construction.
Department of Energy's Major FY2026 Obligation to ORANO Federal Services
The Department of Energy (DOE) executed a critical infrastructure contract in NC. The agency obligated $900M to ORANO Federal Services LLC. This represents one of the largest non-defense, non-healthcare awards of the fiscal year.
This contract establishes new annual domestic commercial low-enriched uranium (LEU) capacity. It also funds the initial production of LEU for purchase by the DOE. The work is classified under 325180 — Other Basic Inorganic Chemical Manufacturing.
The Largest Single-Award Federal Contracts in FY2026
The table below details the largest individual contract obligations for FY2026. These eight awards alone account for over $9.6B in federal spending.
| Recipient | Awarding Agency | State | Obligation | NAICS Industry |
|---|---|---|---|---|
| LOCKHEED MARTIN CORP | NASA | LA | $2.87B | 336415 |
| BARNARD CONSTRUCTION COMPANY, INCORPORATED | DHS | MT | $1.58B | 236220 |
| TRIWEST HEALTHCARE ALLIANCE CORP | VA | AZ | $1.06B | 524114 |
| ORANO FEDERAL SERVICES LLC | DOE | NC | $900M | 325180 |
| BCCG A JOINT VENTURE | DHS | AL | $874.1M | 236220 |
| TRIWEST HEALTHCARE ALLIANCE CORP | VA | AZ | $837.2M | 524114 |
| QTC MEDICAL SERVICES INC | VA | TX | $754.3M | 621111 |
| SLS FEDERAL SERVICES LLC | DHS | TX | $683.5M | 236220 |
Key Industries Receiving Federal Obligations in FY2026
While massive single awards dominate the headlines, everyday procurement happens across thousands of smaller transactions. FY2026 government spending by industry reveals high transaction volumes in legal services, apparel manufacturing, and commercial machinery.
541110 — Offices of Lawyers leads the secondary data with $93.5M obligated across 272 individual awards. The federal government frequently contracts outside legal counsel for specialized litigation, regulatory compliance, and administrative hearings.
Manufacturing also sees high award volume. 333310 — Commercial and Service Industry Machinery Manufacturing secured 582 distinct awards totaling $13.7M. Meanwhile, 315210 — Cut and Sew Apparel Contractors received 109 awards worth $31.1M, primarily for federal uniforms and specialized gear.
Here is a breakdown of other notable industry aggregates in FY2026:
| NAICS Code & Industry | Total Obligated | Award Count |
|---|---|---|
| 541110 — OFFICES OF LAWYERS | $93.57M | 272 |
| 315210 — CUT AND SEW APPAREL CONTRACTORS | $31.16M | 109 |
| 333310 — COMMERCIAL AND SERVICE INDUSTRY MACHINERY MANUFACTURING | $13.79M | 582 |
| 337127 — INSTITUTIONAL FURNITURE MANUFACTURING | $12.64M | 63 |
| 541214 — PAYROLL SERVICES | $5.15M | 12 |
| 485510 — CHARTER BUS INDUSTRY | $2.06M | 15 |
| 335912 — PRIMARY BATTERY MANUFACTURING | $851K | 17 |
| 424480 — FRESH FRUIT AND VEGETABLE MERCHANT WHOLESALERS | $812K | 23 |
Understanding Large-Scale Federal Contracts in FY2026
The scale of these multi-hundred-million and billion-dollar contracts is highly unusual. The vast majority of federal contracts are valued at under $1M. When an agency obligates $2.87B in a single action, it represents a major strategic priority for the federal government.
These massive obligations are rarely paid out as a single lump sum. They are typically structured as indefinite-delivery/indefinite-quantity (IDIQ) contracts or long-term task orders. The total obligation figure represents the maximum potential value committed by the agency for that specific award action.
You can explore more current-FY federal procurement data by visiting the agencies, recipients, and industries directories on SpendingVault.
Quick Takeaways
- Aerospace leads: Lockheed Martin's $2.87B NASA contract is the largest single obligation in FY2026.
- Border infrastructure: DHS obligated over $3.1B across three major construction contracts in MT, AL, and TX.
- Veteran healthcare: The VA committed over $2.6B to three medical administration and examination contracts.
- High-volume industries: Legal offices secured 272 individual awards, while commercial machinery manufacturing saw 582 separate federal contracts in FY2026.