Coast Guard awards $68K for MH-65 aircraft tie bar pins, citing non-availability exception

Contract Overview

Contract Amount: $68,201 ($68.2K)

Contractor: Airbus Helicopters, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2026-04-02

End Date: 2027-04-19

Contract Duration: 382 days

Daily Burn Rate: $179/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DELIVERY ORDER OF TIE BAR PIN TO BE USED ON USCG MH-65 AIRCRAFT. CLASS DETERMINATION NONAVAILABILITY ARTICLES IAW FAR 25.103(B)(1) APPLIES TO THIS ACTION, BAA EXCEPTION MTF IS IN THE FILE.

Place of Performance

Location: GRAND PRAIRIE, TARRANT County, TEXAS, 75052

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $68,201.4 to AIRBUS HELICOPTERS, INC. for work described as: DELIVERY ORDER OF TIE BAR PIN TO BE USED ON USCG MH-65 AIRCRAFT. CLASS DETERMINATION NONAVAILABILITY ARTICLES IAW FAR 25.103(B)(1) APPLIES TO THIS ACTION, BAA EXCEPTION MTF IS IN THE FILE. Key points: 1. The contract value is relatively low, suggesting a niche or specialized component. 2. The sole-source nature raises questions about potential cost efficiencies missed. 3. Delivery order indicates a specific need within a larger framework. 4. The contract duration is over a year, implying ongoing requirement. 5. The item is critical for MH-65 aircraft operation. 6. The use of a non-availability exception warrants scrutiny of market research.

Value Assessment

Rating: fair

The contract value of $68,201.40 for tie bar pins is difficult to benchmark without specific part numbers and market data. Given the sole-source nature and the use of a non-availability exception, it's challenging to assess if this represents a competitive price. However, the relatively small dollar amount suggests it may not be a significant outlier in terms of overall aircraft part costs. Further investigation into the specific part and its availability from other sources would be needed for a more definitive value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, utilizing a sole-source award based on a Class Determination & Non-Availability (CDNA) exception under FAR 25.103(b)(1). This implies that the specific tie bar pin is not available from domestic sources or that its procurement from foreign sources would be inconsistent with the public interest. The lack of competition means that price discovery through market forces was bypassed, potentially leading to higher costs than if multiple vendors had bid.

Taxpayer Impact: Taxpayers may be paying a premium due to the absence of competitive bidding. The justification for the sole-source award needs to be robust to ensure public funds are used efficiently.

Public Impact

The U.S. Coast Guard benefits from the availability of critical components for its MH-65 aircraft. This ensures the continued operational readiness of a key asset for maritime safety and security missions. The contract supports the maintenance and repair of MH-65 helicopters, which are vital for search and rescue, law enforcement, and other Coast Guard operations. The geographic impact is primarily on Coast Guard aviation depots and maintenance facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to inflated pricing.
Reliance on a sole-source vendor could create future supply chain risks.
The non-availability exception requires thorough validation to prevent misuse.

Positive Signals

Ensures availability of a critical aircraft component.
Supports the operational readiness of essential Coast Guard assets.
The fixed-price contract provides cost certainty for this specific order.

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. This sector is characterized by specialized production for aerospace components. The market can be niche, with limited suppliers for highly specific parts like aircraft tie bar pins. The value of this particular contract is small relative to the broader aerospace manufacturing industry, but it represents a critical input for maintaining the operational capability of the MH-65 helicopter fleet.

Small Business Impact

This contract was not set aside for small businesses, nor does it appear to involve significant subcontracting opportunities for small businesses based on the limited information. The awardee, Airbus Helicopters, Inc., is a large aerospace manufacturer. The primary impact on the small business ecosystem would be indirect, through the overall health of the aerospace supply chain.

Oversight & Accountability

Oversight for this contract would fall under the Department of Homeland Security's existing procurement regulations and the U.S. Coast Guard's internal financial and operational controls. Transparency is limited due to the sole-source nature and the specific exception cited. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

MH-65 Helicopter Maintenance and Repair
Coast Guard Aviation Parts Procurement
Federal Aviation Supply Chain Management
Defense Logistics Agency (DLA) Aviation

Risk Flags

Sole-source award without clear justification
Potential lack of competitive pricing
Supply chain risk due to single vendor dependency

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $68,201.4 to AIRBUS HELICOPTERS, INC.. DELIVERY ORDER OF TIE BAR PIN TO BE USED ON USCG MH-65 AIRCRAFT. CLASS DETERMINATION NONAVAILABILITY ARTICLES IAW FAR 25.103(B)(1) APPLIES TO THIS ACTION, BAA EXCEPTION MTF IS IN THE FILE.

Who is the contractor on this award?

The obligated recipient is AIRBUS HELICOPTERS, INC..

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 $68,201.4.

What is the period of performance?

Start: 2026-04-02. End: 2027-04-19.

What is the specific part number for the tie bar pin and what are its critical specifications?

The provided data does not include the specific part number for the tie bar pin. This information is crucial for understanding its criticality and for conducting a thorough market analysis. Without the part number, it is impossible to verify the 'non-availability' claim or to compare pricing with similar components. Aircraft parts are highly specific, and even minor variations in material, tolerance, or design can significantly impact performance and cost. Further investigation would require accessing the contract file or related technical documentation to identify the exact component being procured.

What was the justification for the Class Determination & Non-Availability (CDNA) exception?

The justification for the CDNA exception, as cited under FAR 25.103(b)(1), typically involves demonstrating that the required item is not manufactured in the United States in sufficient commercial quantities and of a satisfactory quality, or that its procurement from foreign sources would be inconsistent with the public interest. For this specific tie bar pin, the contracting officer would have needed to document why domestic manufacturers could not supply the part or why sourcing it from abroad (if applicable) was problematic. This often involves extensive market research to confirm the lack of domestic sources or to justify overriding national interest concerns. The 'BAA EXCEPTION MTF IS IN THE FILE' note suggests a specific exception related to the Balance of Payments Program or a similar trade agreement might also be relevant, further complicating the sourcing landscape.

How does the price of this tie bar pin compare to similar components for other Coast Guard aircraft?

Direct comparison of this tie bar pin's price to similar components for other Coast Guard aircraft is challenging without knowing the specific part number, material, and complexity. Aircraft components vary widely in cost based on their function, required tolerances, materials, and certification standards. A tie bar pin, while critical, might be a relatively simple mechanical part. However, if it's for a specialized application or requires exotic materials, its cost could be higher. Benchmarking would ideally involve comparing it to other tie bar pins or similar structural hardware used on comparable aircraft platforms, considering factors like weight, load-bearing capacity, and operating environment. Given the sole-source nature, a direct, reliable benchmark is difficult to establish from the provided data alone.

What is the historical spending pattern for this specific part or similar components?

The provided data does not include historical spending patterns for this specific tie bar pin. To assess historical spending, one would need to query federal procurement databases (like FPDS or SAM.gov) for previous awards related to this part number or its description, potentially across different Coast Guard units or fiscal years. Understanding past pricing, contract durations, and competition levels for the same or similar items would provide valuable context for evaluating the current award's value and necessity. Without this historical data, it's difficult to determine if the current price is consistent with past expenditures or if there has been a significant price increase or decrease.

What are the risks associated with relying on a sole-source vendor for critical aircraft parts?

Relying on a sole-source vendor for critical aircraft parts presents several risks. Firstly, it eliminates competitive pressure, potentially leading to higher prices and reduced incentives for the vendor to innovate or improve efficiency. Secondly, it creates a significant supply chain vulnerability; if the sole-source vendor experiences production issues, financial instability, or decides to discontinue the product, the government may face extended lead times, unavailability of parts, or the need for costly redesigns. Thirdly, it can reduce the government's leverage in negotiations, making it harder to secure favorable terms or address quality concerns. For critical components like aircraft parts, these risks can directly impact operational readiness and safety.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: HARDWARE AND ABRASIVES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2701 N FORUM DR, GRAND PRAIRIE, TX, 75052

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $68,201

Exercised Options: $68,201

Current Obligation: $68,201

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z03822DB2000014

IDV Type: IDC

Timeline