Forest Service awards $3.6M contract for nonscheduled air transport, highlighting aviation services needs

Contract Overview

Contract Amount: $3,645,318 ($3.6M)

Contractor: Leading Edge Aviation, Inc.

Awarding Agency: Department of Agriculture

Start Date: 2024-01-01

End Date: 2028-12-31

Contract Duration: 1,826 days

Daily Burn Rate: $2.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 44

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: HSS MATOC TYPE 3 ALEXANDRIA #1, HUNGRY HORSE, ALEXANDRIA #2 N410TD

Place of Performance

Location: ALEXANDRIA, RAPIDES County, LOUISIANA, 71301

State: Louisiana Government Spending

Plain-Language Summary

Department of Agriculture obligated $3.6 million to LEADING EDGE AVIATION, INC. for work described as: HSS MATOC TYPE 3 ALEXANDRIA #1, HUNGRY HORSE, ALEXANDRIA #2 N410TD Key points: 1. Contract addresses critical aviation needs for the Forest Service, likely supporting operations in remote areas. 2. The firm-fixed-price structure aims to control costs, but requires careful monitoring of delivery orders. 3. Competition was full and open, suggesting a healthy market for these specialized aviation services. 4. The contract duration of five years indicates a long-term requirement for reliable air transport. 5. Geographic focus on Louisiana suggests regional operational support.

Value Assessment

Rating: good

The total award amount of $3.6 million over five years for nonscheduled chartered passenger air transportation appears reasonable given the specialized nature of the service. Benchmarking against similar MATOC (Multiple Award Task Order Contract) vehicles for aviation services would provide a clearer picture of value for money. The firm-fixed-price contract type helps manage cost certainty for the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors were eligible to bid. The fact that it resulted in a single delivery order suggests that Leading Edge Aviation, Inc. was the most competitive bidder for this specific requirement. The open competition process is generally favorable for price discovery and ensuring the government receives competitive pricing.

Taxpayer Impact: Taxpayers benefit from the assurance that the contract was awarded through a competitive process, which typically drives down costs and encourages efficiency.

Public Impact

Provides essential air transportation for Forest Service personnel and potentially equipment, enabling operations in areas with limited ground access. Supports the Forest Service's mission, which may include wildfire suppression, resource management, and land surveying. The primary beneficiaries are Forest Service staff operating in the specified geographic region. The contract ensures operational continuity and responsiveness for the agency's field activities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if delivery orders exceed initial expectations or if operational demands increase significantly.
Dependence on a single contractor for critical air transport services could pose a risk if performance issues arise.

Positive Signals

Firm-fixed-price contract provides cost certainty for the awarded delivery order.
Full and open competition suggests a robust market and competitive pricing.
Long contract duration indicates a stable, ongoing need that the contractor is positioned to meet.

Sector Analysis

The aviation services sector is critical for government operations, particularly for agencies like the Forest Service that operate in remote or challenging terrains. This contract falls under nonscheduled chartered passenger air transportation, a niche within the broader aerospace and defense industry. Comparable spending benchmarks for similar aviation support contracts would be necessary for a precise value assessment, but the $3.6 million over five years suggests a moderate-sized, specialized requirement.

Small Business Impact

The provided data does not indicate if this contract involved small business set-asides or subcontracting opportunities. Further analysis would be needed to determine the extent of small business participation and its impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the Forest Service contracting officer and program managers. Accountability measures are inherent in the firm-fixed-price delivery order structure, requiring the contractor to meet specific service requirements. Transparency is facilitated through contract award databases, though detailed performance metrics may not always be publicly available.

Related Government Programs

Forest Service Aviation Management
Department of Agriculture Aircraft Operations
Federal Aviation Administration (FAA) Oversight

Risk Flags

Potential for performance issues with a single awardee
Dependence on contractor's fleet availability and maintenance schedules

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $3.6 million to LEADING EDGE AVIATION, INC.. HSS MATOC TYPE 3 ALEXANDRIA #1, HUNGRY HORSE, ALEXANDRIA #2 N410TD

Who is the contractor on this award?

The obligated recipient is LEADING EDGE AVIATION, INC..

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2024-01-01. End: 2028-12-31.

What is the track record of Leading Edge Aviation, Inc. with federal contracts, particularly with the Forest Service or Department of Agriculture?

A review of federal contract databases would be necessary to ascertain Leading Edge Aviation, Inc.'s past performance. Information regarding prior awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or contract terminations would provide crucial insights into their reliability and capability. Understanding their experience with similar types of aviation services and their safety record is paramount for assessing future performance risk under this new contract.

How does the pricing of this contract compare to similar nonscheduled air charter services procured by other federal agencies?

Benchmarking this contract's pricing against similar services procured by other agencies requires access to detailed pricing data for comparable contracts. Factors such as aircraft type, capacity, flight hours, operational range, and required response times significantly influence pricing. Without specific data points on hourly rates, per-mile charges, or daily operational costs for comparable services, a definitive value-for-money assessment is challenging. However, the firm-fixed-price nature of this delivery order suggests a pre-negotiated rate that should be competitive within the market for the specified services.

What are the specific risks associated with relying on a single delivery order award under a MATOC for critical aviation support?

The primary risk associated with a single delivery order award is the potential for service disruption if the awarded contractor, Leading Edge Aviation, Inc., experiences performance issues, financial instability, or fleet availability problems. While the MATOC structure allows for multiple task orders, this specific award represents a significant portion of the anticipated work. Contingency planning by the Forest Service, such as identifying alternative providers or having backup agreements, would mitigate risks. The long-term nature of the contract also necessitates ongoing performance monitoring to ensure continued reliability.

What is the historical spending pattern for nonscheduled chartered passenger air transportation by the Forest Service and the Department of Agriculture?

Analyzing historical spending for this category requires examining past Forest Service and Department of Agriculture budgets and contract awards. Trends in spending could reveal increasing or decreasing reliance on external air charter services, potentially influenced by factors like wildfire activity, operational expansion, or shifts in internal fleet capabilities. Understanding this historical context helps in evaluating whether the current $3.6 million award is consistent with past investment levels or represents a significant change in resource allocation for aviation support.

What are the key performance indicators (KPIs) that will be used to measure the success of this contract?

Key performance indicators for this contract would likely focus on operational metrics such as on-time performance, flight safety compliance, aircraft availability, and adherence to mission requirements. The Forest Service would establish specific targets for these KPIs within the contract's statement of work. Regular performance reviews and reporting by the contractor, coupled with agency oversight, would ensure that Leading Edge Aviation, Inc. is meeting or exceeding expectations. Failure to meet critical KPIs could trigger corrective actions or penalties as defined in the contract.

Industry Classification

NAICS: Transportation and Warehousing › Nonscheduled Air Transportation › Nonscheduled Chartered Passenger Air Transportation

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCE CONSERVERVAT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 44

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leading Edge Aviation Inc.

Address: 63048 POWELL BUTTE HWY, BEND, OR, 97701

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,645,318

Exercised Options: $3,645,318

Current Obligation: $3,645,318

Actual Outlays: $2,258,217

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 1202SA23T9325

IDV Type: IDC

Timeline