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
- Lack of explicit small business subcontracting goals.
- Long contract duration may limit flexibility and price adjustments.
- Potential for scope creep over the contract's extended period.
Positive Signals
- Awarded through full and open competition.
- Firm Fixed Price contract type provides cost certainty.
- Experienced contractor likely ensures quality service delivery.
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
- Other Support Activities for Air Transportation
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Long contract duration may lead to price inflexibility.
- Lack of explicit small business participation noted.
- Potential for scope creep over extended period.
- Need for detailed cost breakdown to fully assess value.
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 Warehousing › Support Activities for Air Transportation › Other Support Activities for Air Transportation
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, 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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