FAA Awards $66M for Weather System Tech Refresh to Cherokee Strategic Solutions

Contract Overview

Contract Amount: $66,022,088 ($66.0M)

Contractor: Cherokee Strategic Solutions, L.L.C.

Awarding Agency: Department of Transportation

Start Date: 2025-05-27

End Date: 2030-05-19

Contract Duration: 1,818 days

Daily Burn Rate: $36.3K/day

Competition Type: COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Engineering Services

Official Description: CONTRACTOR, CHEROKEE STRATEGIC SOLUTIONS, L.L.C WILL PROVIDE EQUIPMENT FABRICATION, SYSTEM INTEGRATION, ENGINEERING, TESTS, LOGISTICS, AND INSTALLATION SERVICES TO THE GOVERNMENT TO SUPPORT WEATHER SYSTEMS TECH REFRESH

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73101

State: Oklahoma Government Spending

Plain-Language Summary

Department of Transportation obligated $66.0 million to CHEROKEE STRATEGIC SOLUTIONS, L.L.C. for work described as: CONTRACTOR, CHEROKEE STRATEGIC SOLUTIONS, L.L.C WILL PROVIDE EQUIPMENT FABRICATION, SYSTEM INTEGRATION, ENGINEERING, TESTS, LOGISTICS, AND INSTALLATION SERVICES TO THE GOVERNMENT TO SUPPORT WEATHER SYSTEMS TECH REFRESH Key points: 1. Significant investment in critical weather system infrastructure. 2. Competition method (SAP) may limit price discovery. 3. Potential for cost overruns due to fixed-price contract type. 4. Engineering services sector sees substantial government spending.

Value Assessment

Rating: fair

The contract value of $66M for engineering and installation services appears within a reasonable range for a multi-year tech refresh. However, without specific benchmarks for similar weather system upgrades, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves fewer vendors and potentially less aggressive pricing than full and open competition. This method may not have achieved optimal price discovery.

Taxpayer Impact: Taxpayers may be paying a premium due to the limited competition, though the SAP process aims for efficiency in smaller procurements.

Public Impact

Modernized weather systems will improve aviation safety and efficiency. Enhanced data collection and processing capabilities for meteorological forecasting. Potential for job creation in engineering and technical fields.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to higher costs.
Fixed-price contract risk for contractor if scope expands.
Reliance on a single vendor for critical infrastructure.

Positive Signals

Supports modernization of essential government technology.
Long-term contract provides stability for services.
Clear scope of work for system refresh.

Sector Analysis

This contract falls within the Engineering Services sector, which is crucial for government infrastructure projects. Spending in this sector is often project-driven and can vary significantly based on agency needs and technological advancements.

Small Business Impact

The contract was awarded to Cherokee Strategic Solutions, L.L.C., a specific company. There is no indication that small businesses were involved as subcontractors or partners in this particular award.

Oversight & Accountability

Oversight will be crucial to ensure the contractor meets all technical specifications and delivery timelines within the fixed-price budget. The FAA's contracting office will monitor performance.

Related Government Programs

Engineering Services
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Potential for cost overruns due to fixed-price contract.
Limited competition may result in suboptimal pricing.
Dependency on a single contractor for critical systems.
Scope creep risk in complex technology integration projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $66.0 million to CHEROKEE STRATEGIC SOLUTIONS, L.L.C.. CONTRACTOR, CHEROKEE STRATEGIC SOLUTIONS, L.L.C WILL PROVIDE EQUIPMENT FABRICATION, SYSTEM INTEGRATION, ENGINEERING, TESTS, LOGISTICS, AND INSTALLATION SERVICES TO THE GOVERNMENT TO SUPPORT WEATHER SYSTEMS TECH REFRESH

Who is the contractor on this award?

The obligated recipient is CHEROKEE STRATEGIC SOLUTIONS, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $66.0 million.

What is the period of performance?

Start: 2025-05-27. End: 2030-05-19.

What is the historical cost performance of Cherokee Strategic Solutions on similar government contracts?

Analyzing the contractor's past performance on comparable projects is essential. Reviewing previous contract awards, delivery orders, and any documented issues or successes can provide insight into their ability to manage costs and deliver on time. This historical data helps assess the reliability of their current bid and potential risks.

How does the pricing compare to industry benchmarks for weather system technology refreshes?

Benchmarking this contract's price against similar weather system upgrades by other government agencies or private sector entities is vital. Understanding the average cost per component or per system upgrade can reveal if this $66 million award is competitive or potentially inflated, considering the scope and technology involved.

What are the specific performance metrics and penalties outlined in the contract?

Detailed performance metrics and associated penalties are critical for ensuring accountability. Understanding what constitutes successful completion, how performance will be measured, and what financial repercussions exist for delays or failures is key to assessing the government's leverage and the contractor's incentive to perform effectively.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: NONMETALLIC FABRICATED MATERIALS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cherokee Nation RED Wing, L.L.C.

Address: 2 W 2ND ST STE 1500-41, TULSA, OK, 74103

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $114,348,495

Exercised Options: $66,022,088

Current Obligation: $66,022,088

Actual Outlays: $258,388

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693KA825D00007

IDV Type: IDC

Timeline