Forest Service Awards $2.97M Contract for Nonscheduled Chartered Passenger Air Transportation to Guidance Air Service LLC
Contract Overview
Contract Amount: $2,968,972 ($3.0M)
Contractor: Guidance AIR Service LLC
Awarding Agency: Department of Agriculture
Start Date: 2024-01-01
End Date: 2027-12-31
Contract Duration: 1,460 days
Daily Burn Rate: $2.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 44
Pricing Type: FIRM FIXED PRICE
Sector: Transportation
Official Description: HSS MATOC TYPE 3 ROUND VALLEY N407US
Place of Performance
Location: PAYSON, GILA County, ARIZONA, 85541
State: Arizona Government Spending
Plain-Language Summary
Department of Agriculture obligated $3.0 million to GUIDANCE AIR SERVICE LLC for work described as: HSS MATOC TYPE 3 ROUND VALLEY N407US Key points: 1. The contract is for nonscheduled chartered passenger air transportation, a niche service. 2. Guidance Air Service LLC is the sole awardee under full and open competition. 3. The contract duration is 4 years, with a total value of $2.97 million. 4. The award is a delivery order against a MATOC, indicating potential for future task orders. 5. The service is categorized under air transportation (NAICS 481211).
Value Assessment
Rating: good
The contract value of $2.97 million over four years appears reasonable for specialized air charter services. Benchmarking against similar MATOC delivery orders for air transportation would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and value for the government.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary air transportation services.
Public Impact
Ensures critical air transportation for Forest Service operations, potentially in remote areas. Supports the agency's ability to conduct land management, firefighting, or other field activities. Provides a reliable service for personnel and equipment movement where standard air travel is not feasible. The contract's duration allows for consistent support throughout multiple operational seasons.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price creep if demand increases significantly beyond initial projections.
- Dependence on a single provider for a critical service.
Positive Signals
- Awarded through full and open competition.
- Long-term contract provides stability for service provision.
- Clear delivery order structure within a MATOC.
Sector Analysis
The Forest Service often requires specialized transportation services for accessing remote areas or conducting specific operations. This contract falls within the broader transportation sector, supporting federal land management activities.
Small Business Impact
The data indicates this contract was awarded under full and open competition, and there is no specific indication of small business set-aside or participation. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The award is a delivery order against a MATOC, suggesting that the initial MATOC likely underwent a competitive process. Oversight will focus on the performance and pricing of individual delivery orders.
Related Government Programs
- Nonscheduled Chartered Passenger Air Transportation
- Department of Agriculture Contracting
- Forest Service Programs
Risk Flags
- Potential for sole-source dependency if other MATOC holders do not offer similar capabilities.
- Geographic concentration of service provider (though MATOC may allow broader reach).
- Reliance on specialized aviation services can be subject to external factors like weather and fuel costs.
- Contract duration may not align perfectly with fluctuating annual operational needs.
Tags
nonscheduled-chartered-passenger-air-tra, department-of-agriculture, az, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Agriculture awarded $3.0 million to GUIDANCE AIR SERVICE LLC. HSS MATOC TYPE 3 ROUND VALLEY N407US
Who is the contractor on this award?
The obligated recipient is GUIDANCE AIR SERVICE LLC.
Which agency awarded this contract?
Awarding agency: Department of Agriculture (Forest Service).
What is the total obligated amount?
The obligated amount is $3.0 million.
What is the period of performance?
Start: 2024-01-01. End: 2027-12-31.
What is the typical cost range for similar nonscheduled chartered passenger air transportation services in Arizona?
Benchmarking against similar contracts for nonscheduled chartered passenger air transportation in Arizona is crucial. Factors like aircraft type, capacity, flight duration, and specific operational requirements heavily influence pricing. Without detailed operational data, a precise cost comparison is difficult, but the $2.97 million over four years suggests an average annual cost of approximately $742,000, which needs to be evaluated against market rates for comparable services.
What are the primary risks associated with relying on a single provider for this type of air service?
The primary risks include service disruption due to the provider's operational issues (e.g., fleet maintenance, pilot availability, financial instability), limited leverage for negotiating price changes, and potential lack of surge capacity if demand unexpectedly spikes. The agency should have contingency plans and closely monitor the provider's performance and financial health to mitigate these risks.
How effectively does this contract support the Forest Service's mission in Arizona?
This contract likely supports the Forest Service's mission by providing essential transportation for personnel and equipment to remote or inaccessible areas within Arizona. This is critical for activities such as wildfire suppression, forest management, ecological surveys, and infrastructure maintenance. The long-term nature of the contract suggests a consistent need for these services, indicating its effectiveness in enabling core agency functions.
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
Address: 6565 CRYSTAL LN, PRESCOTT, AZ, 86301
Business Categories: Category Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $2,968,972
Exercised Options: $2,968,972
Current Obligation: $2,968,972
Actual Outlays: $2,008,172
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 1202SA23T9340
IDV Type: IDC
Timeline
Start Date: 2024-01-01
Current End Date: 2027-12-31
Potential End Date: 2028-12-31 00:00:00
Last Modified: 2026-03-15
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