DoD Spent $75.5M on Rotary Wing Transport in Afghanistan, Awarded to Columbia Helicopters
Contract Overview
Contract Amount: $75,455,882 ($75.5M)
Contractor: Columbia Helicopters, Inc.
Awarding Agency: Department of Defense
Start Date: 2011-08-11
End Date: 2014-10-31
Contract Duration: 1,177 days
Daily Burn Rate: $64.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Transportation
Official Description: ROTARY WING MOVEMENT OF PASSENGERS AND CARGO IN AFGHANISTAN.
Plain-Language Summary
Department of Defense obligated $75.5 million to COLUMBIA HELICOPTERS, INC. for work described as: ROTARY WING MOVEMENT OF PASSENGERS AND CARGO IN AFGHANISTAN. Key points: 1. High contract value ($75.5M) for specialized air transport services. 2. Sole awardee, Columbia Helicopters, Inc., raises questions about competition. 3. Firm Fixed Price contract type offers cost certainty but may limit flexibility. 4. Services provided in a high-risk operational environment (Afghanistan).
Value Assessment
Rating: fair
The contract value of $75.5M is significant for air transportation. Benchmarking against similar contracts for rotary wing movement in austere environments is difficult without more data, but the price appears substantial given the duration and scope.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting multiple bids were solicited. However, the data indicates only one awardee, Columbia Helicopters, Inc., which warrants further investigation into the bidding process and reasons for limited participation.
Taxpayer Impact: Taxpayer funds were used for essential logistical support in a critical theater of operations. The effectiveness of competition in achieving the best value for taxpayer dollars is a key consideration.
Public Impact
Ensured critical movement of personnel and cargo in Afghanistan. Supported military operations and logistical needs in a challenging environment. Potential for significant cost to taxpayers for specialized aviation services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of transparency on competition effectiveness despite 'full and open' designation.
- High contract value could indicate potential for cost savings.
- Services provided in a high-risk, complex operational environment.
Positive Signals
- Provided essential rotary wing transport services.
- Firm Fixed Price contract offers budget predictability.
Sector Analysis
This contract falls under air transportation services, specifically for unscheduled chartered passenger and cargo flights. Spending in this sector can fluctuate significantly based on geopolitical events and operational needs, with costs driven by aircraft type, operational tempo, and risk.
Small Business Impact
The data indicates no specific set-aside for small businesses. The prime contractor, Columbia Helicopters, Inc., is a large business. Further analysis would be needed to determine if small businesses participated as subcontractors.
Oversight & Accountability
Oversight would typically involve monitoring performance, delivery schedules, and adherence to contract terms by USTRANSCOM. Ensuring fair pricing and effective competition remains a key oversight responsibility.
Related Government Programs
- Nonscheduled Chartered Passenger Air Transportation
- Department of Defense Contracting
- USTRANSCOM Programs
Risk Flags
- Potential lack of robust competition despite 'full and open' designation.
- High contract value warrants scrutiny for cost-effectiveness.
- Operational environment in Afghanistan presents inherent risks.
- Limited information on small business participation.
Tags
nonscheduled-chartered-passenger-air-tra, department-of-defense, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $75.5 million to COLUMBIA HELICOPTERS, INC.. ROTARY WING MOVEMENT OF PASSENGERS AND CARGO IN AFGHANISTAN.
Who is the contractor on this award?
The obligated recipient is COLUMBIA HELICOPTERS, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (USTRANSCOM).
What is the total obligated amount?
The obligated amount is $75.5 million.
What is the period of performance?
Start: 2011-08-11. End: 2014-10-31.
What was the specific justification for awarding to a single vendor despite 'full and open competition'?
While designated 'full and open competition,' the award to a single vendor, Columbia Helicopters, Inc., suggests either a highly specialized capability requirement that only they met, or potential issues in the solicitation or evaluation process. Further review of the solicitation documents and award justification is necessary to understand why only one bid was successful or deemed acceptable.
How does the per-unit cost compare to industry benchmarks for similar services in comparable environments?
Without specific unit metrics (e.g., cost per flight hour, cost per passenger mile, cost per ton mile), a direct comparison is challenging. However, the total contract value of $75.5M over approximately three years suggests a substantial operational cost. Benchmarking would require detailed cost data and analysis of factors like aircraft type, crew, maintenance, and operational risks in Afghanistan.
What was the impact of the Firm Fixed Price contract type on overall cost-effectiveness and contractor performance?
A Firm Fixed Price contract provides cost certainty for the government, shifting risk to the contractor. While beneficial for budgeting, it could incentivize the contractor to minimize costs, potentially impacting service quality or scope if not carefully monitored. Conversely, it protects against cost overruns if the contractor manages resources efficiently.
Industry Classification
NAICS: Transportation and Warehousing › Nonscheduled Air Transportation › Nonscheduled Chartered Passenger Air Transportation
Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HTC71110RR001
Offers Received: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 14452 ARNDT RD NE, AURORA, OR, 97002
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $103,957,579
Exercised Options: $75,455,882
Current Obligation: $75,455,882
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HTC71111DR021
IDV Type: IDC
Timeline
Start Date: 2011-08-11
Current End Date: 2014-10-31
Potential End Date: 2015-10-31 00:00:00
Last Modified: 2018-03-21
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