DOJ Awards $36M for Aircraft Support Services to AAR Aircraft Services, Inc

Contract Overview

Contract Amount: $35,957,077 ($36.0M)

Contractor: AAR Aircraft Services, Inc.

Awarding Agency: Department of Justice

Start Date: 2023-10-01

End Date: 2026-09-30

Contract Duration: 1,095 days

Daily Burn Rate: $32.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: LABOR HOURS

Sector: Other

Official Description: AIRCRAFT MAINTENANCE, LINE SERVICING, AND LOGISTICS SUPPORT SERVICES

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73159

State: Oklahoma Government Spending

Plain-Language Summary

Department of Justice obligated $36.0 million to AAR AIRCRAFT SERVICES, INC. for work described as: AIRCRAFT MAINTENANCE, LINE SERVICING, AND LOGISTICS SUPPORT SERVICES Key points: 1. Contract value of $35.96 million for aircraft maintenance and logistics. 2. AAR Aircraft Services, Inc. is the sole awardee. 3. The contract was awarded under full and open competition. 4. Services include line servicing and logistics support for the U.S. Marshals Service.

Value Assessment

Rating: good

The contract value of $35.96 million appears reasonable for the scope of aircraft maintenance, line servicing, and logistics support over three years. Benchmarking against similar contracts for specialized aviation services would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple vendors have the opportunity to bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that drives down costs and improves service quality.

Public Impact

Ensures operational readiness for U.S. Marshals Service aviation assets. Supports critical law enforcement and transportation functions. Provides specialized maintenance and logistics, reducing the burden on agency personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Sector Analysis

This contract falls under the 'Other Support Activities for Air Transportation' sector. Spending in this area is crucial for government agencies relying on aviation for operations, ensuring efficient and safe flight support.

Small Business Impact

The data indicates that small businesses were not directly awarded this contract, as the awardee is AAR Aircraft Services, Inc. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The contract was awarded under full and open competition, which inherently provides a level of oversight. However, ongoing performance monitoring by the U.S. Marshals Service is essential to ensure accountability and value for taxpayer money.

Related Government Programs

Risk Flags

Tags

other-support-activities-for-air-transpo, department-of-justice, ok, purchase-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $36.0 million to AAR AIRCRAFT SERVICES, INC.. AIRCRAFT MAINTENANCE, LINE SERVICING, AND LOGISTICS SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is AAR AIRCRAFT SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (U.S. Marshals Service).

What is the total obligated amount?

The obligated amount is $36.0 million.

What is the period of performance?

Start: 2023-10-01. End: 2026-09-30.

What is the historical performance of AAR Aircraft Services, Inc. on similar government contracts?

Assessing AAR Aircraft Services, Inc.'s past performance on comparable government contracts is crucial for understanding their reliability and capability. Reviewing past contract awards, performance reviews, and any documented issues can provide insights into their track record, helping to validate the current award decision and mitigate potential risks associated with contractor performance.

Are there any potential risks associated with relying on a single vendor for these critical aircraft support services?

While awarded competitively, reliance on a single vendor, AAR Aircraft Services, Inc., for critical aircraft support services presents risks. These include potential price increases in future contract renewals, service disruptions due to vendor-specific issues (e.g., financial instability, labor disputes), and a reduced incentive for the vendor to innovate or exceed expectations once the contract is secured.

How does the pricing structure (labor hours) compare to industry benchmarks for similar aviation support services?

The 'LABOR HOURS' pricing structure requires careful analysis against industry benchmarks to ensure cost-effectiveness. Without specific hourly rates or task breakdowns, it's challenging to definitively assess value. Comparing these rates to those charged by other providers for similar specialized aircraft maintenance and logistics services is essential for taxpayer impact evaluation.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Air TransportationOther Support Activities for Air Transportation

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 15M30023QA3700014

Offers Received: 2

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 6611 S MERIDIAN AVE, OKLAHOMA CITY, OK, 73159

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $74,338,438

Exercised Options: $35,957,078

Current Obligation: $35,957,077

Actual Outlays: $10,048,028

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2023-10-01

Current End Date: 2026-09-30

Potential End Date: 2029-03-31 00:00:00

Last Modified: 2026-01-27

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