FAA awards $24.9M contract for Alaska Weather Operations Services to Alaska Weather Operation Services Inc

Contract Overview

Contract Amount: $24,894,130 ($24.9M)

Contractor: Alaska Weather Operation Services Inc

Awarding Agency: Department of Transportation

Start Date: 2013-11-14

End Date: 2022-06-30

Contract Duration: 3,150 days

Daily Burn Rate: $7.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CWO - ALASKA WEATHER OPERATION SERVICES, INC. IGF::CT::IGF

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20591

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $24.9 million to ALASKA WEATHER OPERATION SERVICES INC for work described as: CWO - ALASKA WEATHER OPERATION SERVICES, INC. IGF::CT::IGF Key points: 1. Contract awarded to incumbent, Alaska Weather Operation Services Inc., for $24.9M. 2. Services fall under 'All Other Professional, Scientific, and Technical Services' (NAICS 541990). 3. Full and open competition after exclusion of sources was used. 4. Contract type is Firm Fixed Price with 3 modifications. 5. The contract duration spans from 2013 to 2022.

Value Assessment

Rating: fair

The contract value of $24.9M over nearly 9 years suggests a moderate annual spend. Without specific benchmarks for weather operations services in remote regions, a direct comparison is difficult. However, the duration and modifications indicate potential for scope creep or evolving needs.

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 an initial broad solicitation followed by a specific exclusion. This method can sometimes limit the competitive pool, potentially impacting price discovery if not managed carefully.

Taxpayer Impact: The total taxpayer impact is the $24.9M awarded amount, spread over the contract's lifespan. The effectiveness of this spending depends on the criticality and quality of the weather services provided to the FAA.

Public Impact

Ensures critical weather data and operational support for aviation safety in Alaska. Supports the Federal Aviation Administration's mission in a geographically challenging region. Long-term contract may indicate stable, ongoing need for these specialized services. Potential for cost efficiencies through a long-term, fixed-price agreement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (2013-2022) could mask price increases over time.
Exclusion of sources in competition method warrants scrutiny for potential impact on pricing.
Lack of specific performance metrics makes value assessment challenging.

Positive Signals

Firm Fixed Price contract provides cost certainty for the government.
Award to incumbent may suggest reliable service delivery.
Full and open competition, even with exclusions, aims for a competitive process.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically related to meteorological and weather support. Benchmarks for such specialized services are highly dependent on geographic scope, data requirements, and operational complexity, making direct comparisons difficult without more detail.

Small Business Impact

The data indicates that this contract was not awarded to small businesses (ss: false, sb: false). Further analysis would be needed to determine if small business participation was sought or if the nature of the services precluded their involvement.

Oversight & Accountability

The contract underwent 3 modifications, suggesting changes or adjustments to the original scope or terms. Oversight would involve reviewing these modifications to ensure they were justified, cost-effective, and properly documented to maintain accountability.

Related Government Programs

All Other Professional, Scientific, and Technical Services
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Potential for limited competition due to 'exclusion of sources'.
Long contract duration may obscure price escalation.
Lack of detailed performance metrics hinders value assessment.
No small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $24.9 million to ALASKA WEATHER OPERATION SERVICES INC. CWO - ALASKA WEATHER OPERATION SERVICES, INC. IGF::CT::IGF

Who is the contractor on this award?

The obligated recipient is ALASKA WEATHER OPERATION SERVICES INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $24.9 million.

What is the period of performance?

Start: 2013-11-14. End: 2022-06-30.

What specific weather operations services were provided, and how did their criticality justify the $24.9M expenditure over nearly nine years?

The contract supported essential weather operations for the Federal Aviation Administration in Alaska. This likely included data collection, analysis, forecasting, and dissemination crucial for aviation safety in a region with unique and often severe weather conditions. The expenditure reflects the ongoing need for these specialized services to ensure safe air travel and operational efficiency.

How did the 'exclusion of sources' in the full and open competition impact the final pricing and the range of potential solutions considered?

The 'exclusion of sources' implies that after an initial broad solicitation, certain potential offerors were removed from consideration. This could be due to specific technical requirements, past performance, or other criteria. While aiming for a focused competition, it potentially limits the number of bidders, which could influence price negotiation and the diversity of innovative solutions explored.

Given the long duration and modifications, what mechanisms were in place to ensure continued cost-effectiveness and prevent scope creep?

The Firm Fixed Price (FFP) structure provides a baseline for cost control. However, with 3 modifications over nearly 9 years, effective oversight was crucial. This would involve rigorous review of each modification's necessity, impact on cost and schedule, and adherence to contract terms to prevent uncontrolled scope expansion and ensure the government received value for money.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical 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: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4235 AIRCRAFT DR STE C, ANCHORAGE, AK, 99502

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $37,353,554

Exercised Options: $24,894,130

Current Obligation: $24,894,130

Actual Outlays: $5,615,490

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline