Agriculture's $48.8M Helicopter Services Contract Awarded to Billings Flying Service Amidst Full and Open Competition

Contract Overview

Contract Amount: $48,806,436 ($48.8M)

Contractor: Billings Flying Service LLC

Awarding Agency: Department of Agriculture

Start Date: 2016-04-10

End Date: 2019-04-30

Contract Duration: 1,115 days

Daily Burn Rate: $43.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 17

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::CT::IGF CRITICAL FUNCTIONS - LARGE FIRE SUPPORT EU HELICOPTER SERVICES

Place of Performance

Location: WILMINGTON, NEW CASTLE County, DELAWARE, 19808

State: Delaware Government Spending

Plain-Language Summary

Department of Agriculture obligated $48.8 million to BILLINGS FLYING SERVICE LLC for work described as: IGF::CT::IGF CRITICAL FUNCTIONS - LARGE FIRE SUPPORT EU HELICOPTER SERVICES Key points: 1. The contract value of $48.8 million for helicopter services represents a significant investment by the Forest Service. 2. Billings Flying Service LLC secured this award through full and open competition, indicating a competitive bidding process. 3. The contract's duration of over 3 years suggests a sustained need for these critical fire support services. 4. The sector is vital for wildfire suppression and land management, highlighting the importance of reliable aerial support.

Value Assessment

Rating: good

The contract value of $48.8 million for helicopter services appears reasonable given the duration and scope. Benchmarking against similar large-scale aerial support contracts would provide a more definitive assessment of its value.

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,' suggesting a robust process aimed at achieving the best value. This method typically leads to more competitive pricing.

Taxpayer Impact: The competitive nature of the award process is expected to have resulted in fair pricing, maximizing the value of taxpayer funds allocated to essential wildfire support.

Public Impact

Ensures critical aerial support for wildfire suppression efforts across the nation. Supports the U.S. Forest Service's mission in land management and conservation. Provides essential services that protect lives, property, and natural resources from devastating fires. Contributes to the operational readiness of firefighting teams through reliable transportation and support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data.
Potential for cost overruns if operational demands exceed initial projections.
Dependence on a single contractor for critical services.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing.
Long-term contract provides stability for essential services.
Supports critical national security and environmental protection missions.

Sector Analysis

The aviation services sector, particularly for government contracts like this, is highly specialized and critical for emergency response. Spending benchmarks for similar large-scale aerial firefighting contracts can vary significantly based on aircraft type, duration, and operational scope.

Small Business Impact

The data indicates this contract was awarded to Billings Flying Service LLC, a private firm. There is no explicit information on whether small businesses were subcontracted or involved in the primary award, suggesting a potential gap in small business participation.

Oversight & Accountability

The contract's oversight would typically fall under the Department of Agriculture's Forest Service contracting officers. Regular performance reviews and audits are crucial to ensure compliance and accountability for such a significant expenditure.

Related Government Programs

Nonscheduled Chartered Freight Air Transportation
Department of Agriculture Contracting
Forest Service Programs

Risk Flags

Contract duration exceeds 3 years.
Potential for price increases over the contract term.
Dependence on a single contractor for critical services.
Limited information on small business subcontracting.
No explicit performance metrics provided in the data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $48.8 million to BILLINGS FLYING SERVICE LLC. IGF::CT::IGF CRITICAL FUNCTIONS - LARGE FIRE SUPPORT EU HELICOPTER SERVICES

Who is the contractor on this award?

The obligated recipient is BILLINGS FLYING SERVICE LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $48.8 million.

What is the period of performance?

Start: 2016-04-10. End: 2019-04-30.

What specific performance metrics are used to evaluate the effectiveness of Billings Flying Service LLC's helicopter operations?

The provided data does not detail specific performance metrics. Effective oversight would require the Forest Service to track metrics such as response times, aircraft availability, mission completion rates, safety incident reports, and adherence to operational flight hours. These metrics are crucial for assessing the contractor's performance against contract requirements and ensuring the efficient use of taxpayer funds.

What is the potential risk associated with the long duration of this contract for critical fire support services?

A long contract duration, while providing stability, carries risks such as potential price escalation over time if not adequately managed, and reduced flexibility to adopt newer, more efficient technologies or services that may emerge. It also concentrates risk with a single provider; if Billings Flying Service faces operational issues, it could significantly impact firefighting capabilities.

How does the 'full and open competition after exclusion of sources' method ensure optimal value for taxpayer money in this context?

This procurement method aims to maximize competition by allowing all responsible sources to submit offers, while potentially excluding specific sources if justified. By opening the field broadly, it encourages multiple bids, driving down prices and fostering innovation. The Forest Service can then select the offer that provides the best overall value, considering price, technical capabilities, and past performance, thus optimizing taxpayer investment.

Industry Classification

NAICS: Transportation and Warehousing › Nonscheduled Air Transportation › Nonscheduled Chartered Freight Air Transportation

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCE CONSERVERVAT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: AG-024B-S-15-9007

Offers Received: 17

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6309 JELLISON RD, BILLINGS, MT, 59101

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $49,456,930

Exercised Options: $49,456,930

Current Obligation: $48,806,436

Actual Outlays: $1,509,317

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline