DoD's Air Force awards $364M for T-6 COMBS Services to Beechcraft Corporation

Contract Overview

Contract Amount: $364,452,383 ($364.5M)

Contractor: Beechcraft Corporation

Awarding Agency: Department of Defense

Start Date: 2007-10-31

End Date: 2012-10-31

Contract Duration: 1,827 days

Daily Burn Rate: $199.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: T-6 COMBS SERVICES FA8617-06-D-6150 - 0002 UCA

Place of Performance

Location: WICHITA, SEDGWICK County, KANSAS, 67207

State: Kansas Government Spending

Plain-Language Summary

Department of Defense obligated $364.5 million to BEECHCRAFT CORPORATION for work described as: T-6 COMBS SERVICES FA8617-06-D-6150 - 0002 UCA Key points: 1. The contract value is substantial at $364.45 million. 2. Competition was full and open, suggesting potential for competitive pricing. 3. The contract spans over 5 years, indicating a long-term need. 4. The sector is Defense, specifically Air Force support services.

Value Assessment

Rating: good

The contract was awarded using a firm fixed price, which helps control costs. The total value is significant, but without specific unit cost data, a precise benchmark is difficult. The contract was awarded as a delivery order under a larger IDIQ.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally leads to better price discovery and potentially lower costs for the government. The use of a delivery order under an existing IDIQ suggests a structured procurement process.

Taxpayer Impact: The full and open competition is a positive sign for taxpayer value, as it allows multiple vendors to bid, driving down prices.

Public Impact

Supports critical Air Force training and operational readiness. Funds provided to a major defense contractor, impacting the aerospace industry. Long-term contract ensures stability for services and personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Defense sector, specifically focusing on support services for the Air Force. Spending benchmarks for similar support services can vary widely based on the specific nature of the services, but $364 million over five years represents a significant investment in maintaining aircraft and related operational capabilities.

Small Business Impact

The data indicates that the prime contractor is Beechcraft Corporation, a large business. There is no information provided on subcontracting to small businesses for this specific award.

Oversight & Accountability

The contract was awarded as a delivery order under a larger IDIQ contract, suggesting it has undergone initial oversight. Further oversight would focus on performance monitoring and adherence to the firm fixed price terms throughout the contract duration.

Related Government Programs

Risk Flags

Tags

all-other-support-services, department-of-defense, ks, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $364.5 million to BEECHCRAFT CORPORATION. T-6 COMBS SERVICES FA8617-06-D-6150 - 0002 UCA

Who is the contractor on this award?

The obligated recipient is BEECHCRAFT CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $364.5 million.

What is the period of performance?

Start: 2007-10-31. End: 2012-10-31.

What specific support services are included under T-6 COMBS, and how do they align with Air Force operational needs?

T-6 COMBS likely refers to Contractor Operations and Maintenance Base Support services for the T-6 Texan II trainer aircraft. These services typically encompass aircraft maintenance, logistics, supply chain management, and potentially ground support equipment. They are crucial for ensuring the T-6 fleet remains operational and ready for pilot training, directly supporting the Air Force's pilot production pipeline and overall readiness.

What are the key performance indicators (KPIs) used to measure the effectiveness of these services and Beechcraft's performance?

While not detailed in the provided data, typical KPIs for such contracts would include aircraft availability rates, mission capable rates, maintenance turnaround times, safety incident rates, and adherence to delivery schedules for parts and services. Effective oversight would involve regular reviews of these KPIs to ensure Beechcraft is meeting its contractual obligations and providing value for taxpayer money.

How does the firm fixed price structure mitigate risks associated with potential cost overruns for the government?

A firm fixed price (FFP) contract shifts the majority of cost risk to the contractor. Beechcraft is obligated to perform the specified work for the agreed-upon price, regardless of their actual costs. This structure incentivizes the contractor to manage their expenses efficiently and limits the government's exposure to unexpected cost increases, providing budget certainty.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesOther Support ServicesAll Other Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Textron Inc (UEI: 001338979)

Address: 9709 E CENTRAL, WICHITA, KS, 67206

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $394,568,582

Exercised Options: $394,568,582

Current Obligation: $364,452,383

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA861706D6150

IDV Type: IDC

Timeline

Start Date: 2007-10-31

Current End Date: 2012-10-31

Potential End Date: 2012-10-31 00:00:00

Last Modified: 2018-10-17

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