DoD's $10.7M Contract for Airport Operations Awarded to Vertex Aerospace LLC Under Full and Open Competition
Contract Overview
Contract Amount: $10,674,878 ($10.7M)
Contractor: Vertex Aerospace LLC
Awarding Agency: Department of Defense
Start Date: 2005-11-03
End Date: 2006-06-30
Contract Duration: 239 days
Daily Burn Rate: $44.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Place of Performance
Location: CORPUS CHRISTI, NUECES County, TEXAS, 78419
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $10.7 million to VERTEX AEROSPACE LLC for work described as: Key points: 1. The contract value is $10.7 million, awarded to Vertex Aerospace LLC. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract is for 'Other Airport Operations' and was awarded by the Department of the Navy. 4. The contract duration is 239 days, ending June 30, 2006.
Value Assessment
Rating: fair
The contract was awarded at a firm fixed price. Without specific performance metrics or comparison data for 'Other Airport Operations,' it's difficult to definitively assess value for money. The awarded amount of $10.7M for a 239-day period warrants further scrutiny.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically leads to better price discovery and potentially lower costs for the government. The existence of multiple bidders would have driven competitive pricing.
Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers as it aims to secure the best value and price.
Public Impact
Taxpayers benefit from competitive bidding processes that aim to reduce costs. The contract supports essential airport operations for the Department of the Navy. The short duration of the contract (239 days) suggests a specific, potentially short-term need.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics for 'Other Airport Operations'.
- Limited visibility into the specific services provided under the contract.
- Short contract duration may indicate a gap-filling or temporary requirement.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type can provide cost certainty.
- Awarded to a single entity, simplifying management.
Sector Analysis
This contract falls under general services, specifically airport operations, which can be a niche but critical support function for military branches. Benchmarking spending in this specific 'Other Airport Operations' category is challenging without more granular data on the services rendered.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The contract was awarded by the Department of the Navy, implying standard federal procurement oversight. However, the limited duration and specific nature of 'Other Airport Operations' might require targeted oversight to ensure effective service delivery and cost control.
Related Government Programs
- Other Airport Operations
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Ambiguity in contract scope ('Other Airport Operations').
- Short contract duration may indicate a temporary or gap-filling need.
- Lack of detailed performance metrics for value assessment.
- Potential for recurring needs not addressed by this short-term contract.
Tags
other-airport-operations, department-of-defense, tx, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $10.7 million to VERTEX AEROSPACE LLC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is VERTEX AEROSPACE LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $10.7 million.
What is the period of performance?
Start: 2005-11-03. End: 2006-06-30.
What specific services constitute 'Other Airport Operations' under this contract, and how do they align with the Department of the Navy's mission requirements?
The term 'Other Airport Operations' is broad and could encompass a range of activities such as ground support, air traffic control assistance, facility maintenance, or specialized logistical support. Understanding the precise scope is crucial for evaluating the necessity and value of the $10.7 million expenditure. Without this detail, it's difficult to ascertain if the funds were optimally allocated to meet specific operational needs or if alternative, more cost-effective solutions could have been employed.
Given the firm fixed price and full and open competition, what was the competitive landscape like, and did it result in significant cost savings compared to potential sole-source or limited competitio
Full and open competition generally fosters a robust bidding environment, driving down prices. The firm fixed price further locks in costs for the government. While the competition structure is positive, the actual cost savings are relative. A benchmark analysis against similar contracts or historical pricing for comparable services would be needed to quantify the savings achieved through this competitive process and confirm it represented the best possible value.
What is the long-term strategic importance of these 'Other Airport Operations' to the Department of the Navy, and does this short-term contract indicate a potential for future, larger requirements?
The 239-day duration suggests this contract addressed an immediate or temporary need rather than a long-term strategic capability. If these operations are critical, the Navy may face recurring needs, potentially leading to future contracts. Evaluating the necessity and efficiency of these operations now can inform future procurement strategies, ensuring sustained support while optimizing costs and considering potential for organic capability development or longer-term strategic partnerships.
Industry Classification
NAICS: Transportation and Warehousing › Support Activities for Air Transportation › Other Airport Operations
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: L-3 Communications Holdings, Inc. (UEI: 008898843)
Address: 555 INDUSTRIAL DR S, MADISON, MS, 03
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $10,674,878
Exercised Options: $10,674,878
Current Obligation: $10,674,878
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0001900D0179
IDV Type: IDC
Timeline
Start Date: 2005-11-03
Current End Date: 2006-06-30
Potential End Date: 2006-06-30 00:00:00
Last Modified: 2010-11-17
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