DoD's $212M Iraq Vehicle Maintenance Contract Awarded to Amentum Government Services

Contract Overview

Contract Amount: $212,265,834 ($212.3M)

Contractor: Amentum Government Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2007-06-01

End Date: 2009-11-30

Contract Duration: 913 days

Daily Burn Rate: $232.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: VEHICLE MAINTENANCE/RADIO-NIGHT VISION DEVICES MAINTENANCE/SUPPLY OF GENERATOR PARTS, VARIOUS LOCATIONS IN IRAQ

Place of Performance

Location: FORT WORTH, TARRANT County, TEXAS, 76102

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $212.3 million to AMENTUM GOVERNMENT SERVICES, INC. for work described as: VEHICLE MAINTENANCE/RADIO-NIGHT VISION DEVICES MAINTENANCE/SUPPLY OF GENERATOR PARTS, VARIOUS LOCATIONS IN IRAQ Key points: 1. The contract covers vehicle maintenance and generator parts supply in Iraq. 2. Amentum Government Services, Inc. secured this significant award. 3. The contract duration was 913 days. 4. The award value is substantial at over $212 million. 5. The contract was awarded under full and open competition.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The awarded amount of $212,265,833.53 for a 913-day period needs to be benchmarked against similar maintenance and supply contracts in comparable operational environments.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the Cost Plus Fixed Fee structure requires diligent oversight to ensure the fixed fee remains reasonable and costs are controlled.

Taxpayer Impact: Taxpayer funds were used for essential maintenance and supply in a deployed theater, supporting military operations. The competitive award aims to ensure value, but the CPFF structure necessitates vigilance against potential cost escalations.

Public Impact

Ensures operational readiness of vehicles and critical equipment in Iraq. Supports U.S. military operations by maintaining essential assets. Provides employment opportunities through Amentum Government Services. Funds are allocated for services rendered in a high-operational-tempo environment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize higher spending.
Geographic location (Iraq) may introduce logistical and security cost premiums.
Contract duration is significant, requiring sustained oversight.

Positive Signals

Awarded under full and open competition.
Supports critical military maintenance needs.
Established contractor with experience in government services.

Sector Analysis

This contract falls under the 'Other Automotive Mechanical and Electrical Repair and Maintenance' category (NAICS 811118). Spending in this sector is crucial for maintaining operational readiness of government fleets, particularly in deployed environments. Benchmarks would typically consider the complexity of repairs, parts required, and the operational context.

Small Business Impact

The data indicates that this contract was not awarded to small businesses, as the 'sb' field is false. The prime contractor, Amentum Government Services, Inc., is likely a large business, and any subcontracting opportunities for small businesses are not detailed in this record.

Oversight & Accountability

The Cost Plus Fixed Fee (CPFF) contract type requires robust oversight from the Department of the Army to ensure costs are reasonable and the fixed fee is justified. Monitoring expenditures and performance against the contract's objectives is critical for accountability.

Related Government Programs

Other Automotive Mechanical and Electrical Repair and Maintenance
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Potential for cost overruns.
Operational environment in Iraq presents unique challenges.
Lack of specific small business subcontracting data.
Contract duration of over two years.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $212.3 million to AMENTUM GOVERNMENT SERVICES, INC.. VEHICLE MAINTENANCE/RADIO-NIGHT VISION DEVICES MAINTENANCE/SUPPLY OF GENERATOR PARTS, VARIOUS LOCATIONS IN IRAQ

Who is the contractor on this award?

The obligated recipient is AMENTUM GOVERNMENT SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $212.3 million.

What is the period of performance?

Start: 2007-06-01. End: 2009-11-30.

What was the basis for the fixed fee in the Cost Plus Fixed Fee structure, and how was it determined to be fair and reasonable given the operational environment?

The determination of the fixed fee would typically involve analyzing the contractor's proposed costs, the complexity of the work, the level of risk involved, and historical data from similar contracts. For a CPFF contract, the fee represents the contractor's profit. The agency's contracting officers would have evaluated Amentum's proposed fee against established guidelines and benchmarks to ensure it was fair and reasonable, considering the specific challenges and requirements of maintaining vehicles and generator parts in Iraq.

How did the 'full and open competition' process ensure competitive pricing for vehicle maintenance and generator parts in a potentially high-risk, remote location like Iraq?

Full and open competition allows all responsible sources to submit offers. This process typically involves detailed solicitations outlining requirements, evaluation criteria, and a competitive bidding phase. Even in a remote location, competition can drive down prices by encouraging multiple bidders to offer their best terms. The agency would have evaluated proposals based on both technical merit and price, selecting the offer that represented the best value to the government.

What mechanisms were in place to track and control costs under the Cost Plus Fixed Fee arrangement to prevent potential overruns and ensure effective use of taxpayer funds?

Effective oversight for CPFF contracts includes regular audits of contractor expenditures, detailed progress reports, and performance reviews. The contracting officer's representatives (CORs) play a crucial role in monitoring day-to-day performance and costs. Mechanisms like 'should-cost' targets, Earned Value Management (EVM) systems, and clear communication channels with the contractor are essential to identify potential cost issues early and implement corrective actions.

Industry Classification

NAICS: Other Services (except Public Administration) › Automotive Repair and Maintenance › Other Automotive Mechanical and Electrical Repair and Maintenance

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: AECOM (UEI: 153561212)

Address: 1200 SUMMIT AVE, FORT WORTH, TX, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $212,265,834

Exercised Options: $212,265,834

Current Obligation: $212,265,834

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W52P1J05D0004

IDV Type: IDC

Timeline