Coast Guard awards $4.08M for HC-144 aircraft engine component repairs to General Electric
Contract Overview
Contract Amount: $4,083,575 ($4.1M)
Contractor: General Electric Company
Awarding Agency: Department of Homeland Security
Start Date: 2026-01-20
End Date: 2026-09-24
Contract Duration: 247 days
Daily Burn Rate: $16.5K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: REPAIR/OVERHAUL OF VARIOUS ENGINE COMPONENTS FOR USE ON THE HC-144 AIRCRAFT.
Place of Performance
Location: LYNN, ESSEX County, MASSACHUSETTS, 01905
Plain-Language Summary
Department of Homeland Security obligated $4.1 million to GENERAL ELECTRIC COMPANY for work described as: REPAIR/OVERHAUL OF VARIOUS ENGINE COMPONENTS FOR USE ON THE HC-144 AIRCRAFT. Key points: 1. Contract focuses on essential maintenance for a specific aircraft type, indicating a need for specialized repair services. 2. The award to a single, established manufacturer suggests a reliance on original equipment manufacturer expertise for critical components. 3. Fixed-price contract structure aims to control costs and provide predictability for the government. 4. The duration of the repair services aligns with operational needs for the HC-144 fleet. 5. This contract falls within the broader category of aircraft engine and parts manufacturing, a key sector for defense and security operations.
Value Assessment
Rating: good
The contract value of $4.08 million for engine component repairs appears reasonable given the specialized nature of aircraft maintenance. Benchmarking against similar engine repair contracts for comparable aircraft types would provide a more precise value assessment. However, the fixed-price nature of the award suggests an effort to establish a clear cost ceiling, which is a positive indicator for value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the competitive process is expected to drive fair pricing. This approach ensures that the government explores the market for the best available services and pricing.
Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it promotes a competitive environment, which typically leads to more favorable pricing and a wider range of service options.
Public Impact
The U.S. Coast Guard benefits from the continued operational readiness of its HC-144 aircraft fleet. Essential repair and overhaul services for critical engine components will be delivered. The geographic impact is primarily within the operational areas of the HC-144 fleet, likely supporting missions across various regions. The contract supports specialized technical jobs within the aerospace maintenance and repair sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for sole-source reliance on General Electric for future specialized parts or repairs if competition is not maintained.
- Dependence on a single contractor for critical component repairs could pose a risk if the contractor faces production or financial issues.
Positive Signals
- Awarded through full and open competition, suggesting a healthy market for these services.
- Fixed-price contract type helps manage cost overruns and provides budget certainty.
- General Electric is a well-established manufacturer with a proven track record in aviation.
- The contract duration is clearly defined, allowing for effective planning and resource allocation.
Sector Analysis
This contract falls within the aerospace and defense sector, specifically focusing on aircraft component manufacturing and repair. The market for aircraft engine maintenance is highly specialized, often dominated by original equipment manufacturers (OEMs) like General Electric due to proprietary knowledge and tooling. Spending in this area is critical for maintaining national security and operational capabilities across various government agencies.
Small Business Impact
There is no indication that this contract included a small business set-aside. Given the specialized nature of aircraft engine component repair and the likely requirement for OEM-specific expertise, it is probable that larger, established firms were the primary bidders. Subcontracting opportunities for small businesses may exist but are not explicitly detailed in the provided data.
Oversight & Accountability
The contract is subject to standard federal procurement oversight. The Department of Homeland Security and the U.S. Coast Guard will monitor performance and compliance. The fixed-price nature of the contract provides a degree of financial oversight. Further oversight could be provided by the Government Accountability Office (GAO) or the agency's Inspector General if performance issues or disputes arise.
Related Government Programs
- Aircraft Maintenance and Repair Services
- Aerospace Component Manufacturing
- Defense Logistics and Support
- U.S. Coast Guard Aviation Programs
Risk Flags
- Potential for sole-source dependency on OEM for future repairs.
- Reliance on a single contractor for critical components.
- Need for detailed performance metrics to ensure quality and timeliness.
Tags
defense, department-of-homeland-security, u.s.-coast-guard, aircraft-engine-repair, general-electric, firm-fixed-price, full-and-open-competition, hc-144-aircraft, massachusetts, aerospace, maintenance-and-repair
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $4.1 million to GENERAL ELECTRIC COMPANY. REPAIR/OVERHAUL OF VARIOUS ENGINE COMPONENTS FOR USE ON THE HC-144 AIRCRAFT.
Who is the contractor on this award?
The obligated recipient is GENERAL ELECTRIC COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Coast Guard).
What is the total obligated amount?
The obligated amount is $4.1 million.
What is the period of performance?
Start: 2026-01-20. End: 2026-09-24.
What is General Electric's track record with the U.S. Coast Guard and similar agencies for aircraft engine repair?
General Electric Company has a long-standing and extensive track record of providing engines and maintenance services to various branches of the U.S. military and federal agencies, including the U.S. Coast Guard. They are a primary supplier for many aircraft platforms, including those used by the Coast Guard. Their history typically involves fulfilling complex repair and overhaul contracts, often as the original equipment manufacturer. While specific past performance details for this exact contract type are not provided, GE's general reputation in the aerospace industry is one of significant experience and capability in maintaining and repairing aircraft engines. This includes adhering to stringent quality standards and delivery schedules required by government aviation contracts.
How does the $4.08 million contract value compare to similar engine repair contracts for the HC-144 aircraft or comparable platforms?
Benchmarking the $4.08 million contract value requires access to proprietary data on similar repair contracts for the HC-144 aircraft or comparable platforms like the Airbus C295 (which shares some lineage). However, for specialized aviation component repairs, especially those involving original equipment manufacturers (OEMs), costs can be substantial. The value appears to be within a reasonable range for comprehensive repair and overhaul services for critical engine components, considering the complexity, required expertise, and potential for extensive parts replacement. Without specific comparative contract data, a definitive assessment of whether this represents exceptional value is difficult, but it does not immediately appear to be an outlier for this type of specialized service.
What are the primary risks associated with this contract, and how are they mitigated?
The primary risks associated with this contract include potential delays in repair turnaround impacting aircraft availability, cost overruns if the fixed-price contract doesn't fully account for unforeseen issues (though less likely with fixed-price), and the risk of the contractor failing to meet stringent quality or performance specifications. Mitigation strategies include the fixed-price contract structure itself, which shifts some cost risk to the contractor. The U.S. Coast Guard will likely have performance monitoring clauses, quality assurance provisions, and defined delivery schedules. Furthermore, General Electric's established reputation and expertise in aviation engines suggest a lower risk of technical failure or inability to perform the required repairs.
How effective is the full and open competition process in ensuring the best value for taxpayers in specialized aerospace repair contracts?
The full and open competition process is generally considered the most effective method for ensuring the best value for taxpayers, even in specialized sectors like aerospace repair. It allows a wide range of qualified vendors to submit proposals, fostering competition that drives down prices and encourages innovation. For specialized repairs, this means ensuring that the government isn't locked into a single provider without exploring market alternatives. While OEMs like General Electric often have an advantage due to proprietary knowledge, a competitive process ensures their pricing is scrutinized against potential competitors or alternative repair strategies. The key to effectiveness lies in the government's ability to clearly define requirements and evaluate proposals comprehensively.
What are the historical spending patterns for HC-144 aircraft maintenance and repair by the U.S. Coast Guard?
Historical spending patterns for HC-144 aircraft maintenance and repair by the U.S. Coast Guard would reveal the frequency and cost of such services over time. The HC-144, a maritime patrol aircraft, requires ongoing maintenance to ensure operational readiness. Spending would likely fluctuate based on the fleet's age, operational tempo, and the specific maintenance cycles required (e.g., scheduled overhauls versus unscheduled repairs). Analyzing past contracts for engine repairs, airframe maintenance, and component replacements would provide insights into the average annual expenditure and the typical contractors involved. This data is crucial for budget forecasting and identifying potential trends in maintenance costs.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Engine and Engine Parts Manufacturing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1000 WESTERN AVE, LYNN, MA, 01905
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $4,083,575
Exercised Options: $4,083,575
Current Obligation: $4,083,575
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70Z03823DL0000001
IDV Type: IDC
Timeline
Start Date: 2026-01-20
Current End Date: 2026-09-24
Potential End Date: 2026-09-24 00:00:00
Last Modified: 2026-04-09
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