DHS Coast Guard awards $317K for MH-65 aircraft spares, citing non-availability exception
Contract Overview
Contract Amount: $31,685 ($31.7K)
Contractor: Airbus Helicopters, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2026-04-02
End Date: 2027-10-19
Contract Duration: 565 days
Daily Burn Rate: $56/day
Competition Type: NOT COMPETED UNDER SAP
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: PROCUREMENT OF SPARES UTILIZED ON MH-65 AIRCRAFT. CLASS DETERMINATION FOR 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 $31,685.02 to AIRBUS HELICOPTERS, INC. for work described as: PROCUREMENT OF SPARES UTILIZED ON MH-65 AIRCRAFT. CLASS DETERMINATION FOR NONAVAILABILITY ARTICLES IAW FAR 25.103(B)(1) APPLIES TO THIS ACTION, BAA EXCEPTION MTF IS IN THE FILE. Key points: 1. Spending focuses on critical aircraft spares for the MH-65 helicopter fleet. 2. Sole-source procurement due to non-availability exception limits competitive pricing. 3. Risk of higher costs and limited vendor options due to sole-source nature. 4. Sector context: Defense/Aerospace parts procurement, often subject to specific regulations.
Value Assessment
Rating: fair
The $316,850.02 award for MH-65 aircraft spares is a single delivery order. Without competitive data, assessing value against similar contracts is difficult, but the non-availability clause suggests limited market options.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This action was not competed under Simplified Acquisition Procedures and is sole-sourced under a Class Determination for Non-Availability Articles. This limits price discovery and competition, potentially leading to higher costs.
Taxpayer Impact: Taxpayer funds are used for essential aircraft parts, with the sole-source nature potentially increasing the overall cost compared to a competitive procurement.
Public Impact
Ensures operational readiness of the MH-65 helicopter fleet, vital for Coast Guard missions. Limited transparency in pricing due to sole-source justification. Potential for future sole-source awards if non-availability persists.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source justification
- Lack of competition
- Potential for price escalation
Positive Signals
- Supports critical national defense/security asset
- Addresses specific operational need
Sector Analysis
This procurement falls within the aerospace and defense sector, specifically for aircraft parts. Spending benchmarks for such specialized components can vary widely based on criticality, technology, and available suppliers.
Small Business Impact
The data indicates this procurement was awarded to Airbus Helicopters, Inc. There is no indication of small business participation in this specific sole-source action.
Oversight & Accountability
The use of a Class Determination for Non-Availability Articles requires justification and documentation to ensure proper oversight. The file should contain evidence supporting the non-availability claim.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Homeland Security Contracting
- U.S. Coast Guard Programs
Risk Flags
- Sole-source award
- Potential for price gouging
- Lack of transparency
- Dependence on a single supplier
- Limited oversight on pricing justification
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-homeland-security, tx, delivery-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $31,685.02 to AIRBUS HELICOPTERS, INC.. PROCUREMENT OF SPARES UTILIZED ON MH-65 AIRCRAFT. CLASS DETERMINATION FOR 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 $31,685.02.
What is the period of performance?
Start: 2026-04-02. End: 2027-10-19.
What specific criteria were used to determine the non-availability of these spares, and were alternative domestic sources considered?
The determination of non-availability, as per FAR 25.103(b)(1), typically involves demonstrating that the required articles are not reasonably available from domestic sources or that their procurement from domestic sources would unreasonably delay the performance of the agency's requirements. The file should contain detailed documentation supporting this assessment, including market research efforts to identify potential domestic suppliers.
How does the agency ensure fair and reasonable pricing when procuring under a sole-source, non-availability justification?
When sole-sourcing due to non-availability, agencies must still ensure fair and reasonable pricing. This often involves obtaining cost and pricing data from the sole source, performing cost analysis, and potentially negotiating terms. Benchmarking against historical prices for similar items or consulting industry experts can also help validate pricing.
What is the long-term strategy for ensuring a more competitive supply chain for these critical MH-65 aircraft spares?
The long-term strategy should focus on identifying and developing domestic sources for these spares to mitigate future reliance on sole-source, non-availability justifications. This could involve incentivizing domestic manufacturers, exploring alternative part designs, or collaborating with other agencies that utilize similar aircraft to aggregate demand and foster competition.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
Competition & Pricing
Extent Competed: NOT COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
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: $31,685
Exercised Options: $31,685
Current Obligation: $31,685
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70Z03824DB0000008
IDV Type: IDC
Timeline
Start Date: 2026-04-02
Current End Date: 2027-10-19
Potential End Date: 2027-10-19 00:00:00
Last Modified: 2026-04-02
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