DoD's $75.7M Rotary Wing Aircraft Maintenance Contract with Amentum Services Faces Scrutiny Over Value and Competition

Contract Overview

Contract Amount: $75,750,260 ($75.8M)

Contractor: Amentum Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2018-12-27

End Date: 2024-03-31

Contract Duration: 1,921 days

Daily Burn Rate: $39.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: ROTARY WING AIRCRAFT MAINTENANCE

Place of Performance

Location: JB ANDREWS, PRINCE GEORGES County, MARYLAND, 20762

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $75.8 million to AMENTUM SERVICES, INC. for work described as: ROTARY WING AIRCRAFT MAINTENANCE Key points: 1. The contract awarded to Amentum Services, Inc. for rotary wing aircraft maintenance is substantial at $75.7M. 2. Competition was full and open, suggesting a competitive pricing environment. 3. Potential risks include the long duration of the contract (1921 days) and the lack of explicit small business participation. 4. The sector is Defense, specifically Air Force maintenance, which is critical for operational readiness.

Value Assessment

Rating: fair

The contract's value of $75.7M over approximately 5.3 years needs further benchmarking against similar rotary wing maintenance contracts. Without specific per-unit cost data, a precise value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally promotes competitive pricing. However, the duration and specific service details could influence the ultimate price discovery.

Taxpayer Impact: While competition aims for taxpayer savings, the long-term nature and potential for scope creep warrant monitoring to ensure continued cost-effectiveness.

Public Impact

Ensures operational readiness of Air Force rotary wing aircraft. Supports critical maintenance functions, potentially impacting mission capabilities. Amentum Services, Inc. is a significant defense contractor, indicating established capabilities. The contract's duration suggests a long-term need for these services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Defense sector, specifically focusing on aircraft maintenance. Spending benchmarks for such services can vary widely based on aircraft type, complexity of maintenance, and geographic location. The $75.7M value over nearly five years suggests a significant operational requirement.

Small Business Impact

The data indicates that small business participation was not explicitly noted as a factor in this contract award. Further investigation is needed to determine if small businesses were subcontracted or if there were opportunities missed for their involvement.

Oversight & Accountability

The contract's long duration and substantial value necessitate robust oversight from the Department of the Air Force to ensure performance standards are met and costs remain controlled. Regular performance reviews and audits are crucial.

Related Government Programs

Risk Flags

Tags

other-support-activities-for-air-transpo, department-of-defense, md, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $75.8 million to AMENTUM SERVICES, INC.. ROTARY WING AIRCRAFT MAINTENANCE

Who is the contractor on this award?

The obligated recipient is AMENTUM SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $75.8 million.

What is the period of performance?

Start: 2018-12-27. End: 2024-03-31.

What is the specific breakdown of maintenance tasks covered under this contract, and how does the $75.7M value align with industry standards for these tasks?

The contract covers 'ROTARY WING AIRCRAFT MAINTENANCE' but lacks specific task breakdowns. Benchmarking the $75.7M against industry standards requires detailed service descriptions, labor rates, and parts costs. Without this granular data, it's difficult to definitively assess value for money. Further analysis would involve comparing the contract's scope against similar maintenance contracts for comparable aircraft fleets.

Given the full and open competition, what mechanisms are in place to ensure continued cost-effectiveness and prevent potential price escalation over the contract's 1921-day duration?

While full and open competition sets a competitive baseline, the long duration necessitates proactive cost management. Mechanisms could include periodic price reviews, performance-based incentives tied to cost savings, and strict change order controls. The Firm Fixed Price (FFP) structure offers initial cost certainty, but vigilance is required to manage potential scope creep or unforeseen cost increases.

How does the Department of the Air Force ensure effective oversight and accountability for a contract of this magnitude and duration, particularly regarding performance metrics and contractor responsi

Effective oversight typically involves dedicated contract officers, regular performance evaluations against defined metrics (e.g., turnaround time, quality of repairs), and clear communication channels. For a contract of this scale, the Air Force likely employs a team of contracting specialists and technical monitors. Accountability is enforced through contractual remedies, potential award fees or penalties, and regular performance review meetings.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Air TransportationOther Support Activities for Air Transportation

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA286018R0010

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 20501 SENECA MEADOWS PKWY STE 300, GERMANTOWN, MD, 20876

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

Financial Breakdown

Contract Ceiling: $75,915,260

Exercised Options: $75,750,260

Current Obligation: $75,750,260

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2018-12-27

Current End Date: 2024-03-31

Potential End Date: 2024-03-31 00:00:00

Last Modified: 2024-07-22

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