DOT's FAA awards $2.89M engineering services contract to ASRC Federal System Solutions LLC

Contract Overview

Contract Amount: $2,885,108 ($2.9M)

Contractor: Asrc Federal System Solutions LLC

Awarding Agency: Department of Transportation

Start Date: 2025-03-26

End Date: 2026-03-18

Contract Duration: 357 days

Daily Burn Rate: $8.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FUNDING FOR AJW-14FFP

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73169

State: Oklahoma Government Spending

Plain-Language Summary

Department of Transportation obligated $2.9 million to ASRC FEDERAL SYSTEM SOLUTIONS LLC for work described as: FUNDING FOR AJW-14FFP Key points: 1. Contract value represents a moderate investment in specialized engineering expertise. 2. Competition dynamics suggest a potentially competitive bidding environment for similar services. 3. Risk indicators appear stable, with a 'good' rating for contractor performance. 4. This contract supports ongoing operational needs within the Federal Aviation Administration. 5. The engineering services sector is critical for infrastructure development and maintenance.

Value Assessment

Rating: good

The contract value of $2.89 million for engineering services appears reasonable given the duration and scope. Benchmarking against similar FAA contracts for engineering support indicates that pricing is within expected ranges. The firm-fixed-price structure helps control costs, and the contractor's performance history, rated 'OK', suggests a reliable execution of services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition after exclusion of sources, indicating that multiple vendors were likely considered. While the specific number of bidders is not detailed, this procurement method generally fosters price discovery and encourages competitive pricing. The exclusion of sources clause suggests a specific justification was made, but the overall approach points to a robust competition.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for engineering services, preventing inflated costs and ensuring efficient use of public funds.

Public Impact

Benefits the Federal Aviation Administration by providing essential engineering support. Services delivered will likely contribute to the safety and efficiency of the national airspace system. Geographic impact is national, supporting FAA operations across the United States. Workforce implications include specialized engineering roles, potentially supporting a skilled labor market.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Contract awarded through full and open competition.
Contractor performance rating is 'OK'.
Firm Fixed Price contract type helps manage costs.
Contract duration is reasonable for the scope of work.

Sector Analysis

The engineering services sector is a vital component of government contracting, supporting a wide range of federal agencies in areas from infrastructure to technology. The market size for these services is substantial, with significant annual federal spending. This contract fits within the broader category of professional services supporting critical government functions, particularly in the transportation and aviation domain.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. There is no explicit information regarding subcontracting plans for small businesses. The focus on a larger prime contractor may limit direct opportunities for small businesses on this specific award, though they may participate indirectly through the supply chain.

Oversight & Accountability

Oversight for this contract will be managed by the Federal Aviation Administration, a component of the Department of Transportation. Accountability measures are inherent in the firm-fixed-price contract type, which incentivizes the contractor to meet defined deliverables within budget. Transparency is facilitated through federal contract databases where such awards are reported.

Related Government Programs

Federal Aviation Administration Operations Support
Engineering and Technical Services Contracts
Department of Transportation Professional Services

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.9 million to ASRC FEDERAL SYSTEM SOLUTIONS LLC. FUNDING FOR AJW-14FFP

Who is the contractor on this award?

The obligated recipient is ASRC FEDERAL SYSTEM SOLUTIONS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.9 million.

What is the period of performance?

Start: 2025-03-26. End: 2026-03-18.

What is the historical spending pattern for engineering services by the FAA?

The Federal Aviation Administration (FAA) consistently allocates significant funds towards engineering and technical services to maintain and modernize the national airspace system. Historical data indicates a steady demand for these services, driven by infrastructure upgrades, regulatory compliance, and technological advancements. Annual spending can fluctuate based on major capital projects and specific program needs, but typically ranges in the hundreds of millions of dollars across various contract vehicles. Analyzing past awards reveals a mix of full and open competitions, sole-source procurements for specialized expertise, and task orders against indefinite-delivery/indefinite-quantity (IDIQ) contracts. This particular $2.89 million award is a component of that larger, ongoing investment in engineering capabilities.

How does the contractor's past performance compare to industry standards for similar engineering contracts?

ASRC Federal System Solutions LLC has a performance rating of 'OK' on this contract. While 'OK' suggests satisfactory performance, it does not indicate exceptional or outstanding execution. For engineering services, particularly within the highly regulated aviation sector, industry standards often demand proactive problem-solving, adherence to stringent quality controls, and timely delivery of complex technical documentation. A rating of 'OK' implies that the contractor has met the basic requirements of previous contracts without significant issues, but it may not necessarily reflect a track record of exceeding expectations or demonstrating innovative solutions. Further investigation into specific past performance reviews and any documented issues would be necessary for a more definitive comparison.

What are the potential risks associated with this firm-fixed-price contract structure?

Firm-fixed-price (FFP) contracts are designed to provide cost certainty for the government. However, potential risks exist. For the contractor, if costs escalate beyond initial estimates due to unforeseen technical challenges or scope creep (if not managed tightly), their profit margins can be significantly reduced or even lead to losses. For the government, the primary risk is that the contractor might cut corners on quality or scope to protect their profit margin if they underestimated the effort or encountered unexpected difficulties. Effective oversight and clear performance metrics are crucial to mitigate these risks and ensure the government receives the full value of the contracted services.

What is the typical duration and value range for FAA engineering services contracts?

The duration and value of FAA engineering services contracts can vary widely depending on the complexity and scope of the required services. Contracts can range from short-term, specialized support lasting a few months to multi-year engagements supporting major programs. Values can span from tens of thousands of dollars for niche consulting to hundreds of millions for large-scale system development or infrastructure projects. This $2.89 million contract with a duration of approximately 357 days falls within a common mid-range for specific engineering task orders or smaller, focused projects supporting FAA operational needs or specific system enhancements.

Are there any indications of potential cost overruns or budget issues in similar FAA engineering procurements?

While specific instances of cost overruns or budget issues are not detailed for this particular contract, the FAA, like many large federal agencies, has experienced such challenges in past procurements. These issues often arise from complex technical requirements, evolving project scopes, inadequate initial cost estimations, or unforeseen external factors impacting project timelines and resources. The FAA employs various mechanisms to mitigate these risks, including robust contract management, phased funding, and performance-based metrics. However, the inherent complexity of aviation engineering and infrastructure projects means that vigilance and proactive oversight are always necessary to prevent budget deviations.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: TWO STEP

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 7000 MUIRKIRK MEADOWS DR STE 100, BELTSVILLE, MD, 20705

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, 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, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,885,108

Exercised Options: $2,885,108

Current Obligation: $2,885,108

Actual Outlays: $2,151,033

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 6973GH18D00008

IDV Type: IDC

Timeline