DoD's $75.8M F-22 Aircraft Maintenance Contract with PAE Aviation Awarded Under Full and Open Competition
Contract Overview
Contract Amount: $75,824,186 ($75.8M)
Contractor: PAE Aviation and Technical Services LLC
Awarding Agency: Department of Defense
Start Date: 2009-09-09
End Date: 2015-09-29
Contract Duration: 2,211 days
Daily Burn Rate: $34.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: F-22 AIRCRAFT MX SUPPORT
Place of Performance
Location: TYNDALL AFB, BAY County, FLORIDA, 32403
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $75.8 million to PAE AVIATION AND TECHNICAL SERVICES LLC for work described as: F-22 AIRCRAFT MX SUPPORT Key points: 1. Contract awarded to PAE Aviation and Technical Services LLC for F-22 maintenance. 2. Significant spending of $75.8 million over the contract period. 3. Procured through full and open competition, suggesting a competitive bidding process. 4. Contract type is Firm Fixed Price, providing cost certainty. 5. No small business participation noted.
Value Assessment
Rating: fair
The contract value of $75.8 million over six years for specialized aircraft maintenance appears reasonable given the complexity of F-22 support. Benchmarking against similar high-end military aircraft maintenance contracts would provide a clearer picture of cost-effectiveness.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: Taxpayer funds were utilized through a competitive process, aiming for efficiency in supporting critical defense assets.
Public Impact
Ensures continued operational readiness of the F-22 Raptor fighter jet fleet. Supports advanced aerospace maintenance jobs and the defense industrial base. Contributes to national security by maintaining a key strategic asset.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
- Long contract duration (6 years) may limit agility for future technological changes.
Positive Signals
- Full and open competition.
- Firm Fixed Price contract type.
- Supports critical defense asset.
Sector Analysis
This contract falls within the aerospace and defense sector, specifically focusing on aircraft maintenance. Spending benchmarks for similar specialized military aircraft support can vary widely based on aircraft type, age, and complexity.
Small Business Impact
The contract data indicates no small business participation (sb: false). This suggests that the prime contractor, PAE Aviation and Technical Services LLC, did not subcontract with small businesses for this specific award, which could be an area for review.
Oversight & Accountability
The contract was awarded by the Department of the Air Force, a component of the Department of Defense. Oversight would typically involve program management offices ensuring performance standards and financial accountability are met throughout the contract lifecycle.
Related Government Programs
- Other Support Activities for Air Transportation
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for cost overruns for the government if market prices rise significantly.
- Lack of small business involvement.
- Long contract duration may not adapt well to future technological advancements.
- Dependence on a single contractor for critical maintenance services.
Tags
other-support-activities-for-air-transpo, department-of-defense, fl, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $75.8 million to PAE AVIATION AND TECHNICAL SERVICES LLC. F-22 AIRCRAFT MX SUPPORT
Who is the contractor on this award?
The obligated recipient is PAE AVIATION AND TECHNICAL SERVICES LLC.
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: 2009-09-09. End: 2015-09-29.
What was the competitive landscape like during the bidding process for this F-22 maintenance contract?
The contract was awarded under 'full and open competition,' suggesting that multiple qualified vendors were invited to submit proposals. While the specific number of bidders isn't provided, this procurement method is designed to foster a competitive environment, potentially leading to better pricing and service quality compared to sole-source or limited competition scenarios.
What are the primary risks associated with a six-year firm-fixed-price contract for specialized aircraft maintenance?
A significant risk with a long-term, firm-fixed-price contract is potential cost escalation for the government if market prices for labor or parts increase substantially beyond projections. Conversely, the contractor bears the risk of cost overruns. For specialized maintenance, there's also a risk of technological obsolescence or changes in maintenance requirements that the fixed price may not adequately cover.
How does this contract contribute to the overall effectiveness of the F-22 program?
This contract is crucial for maintaining the operational readiness and longevity of the F-22 Raptor fleet. Effective maintenance ensures the aircraft remain combat-capable, safe to fly, and perform optimally. The contractor's expertise directly impacts the availability of this strategic asset for national defense missions.
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: FA300208R0024
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: PAE Holding Corporation (UEI: 968071493)
Address: 901 LINCOLN DR W STE 200, MARLTON, NJ, 08053
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $75,824,186
Exercised Options: $75,824,186
Current Obligation: $75,824,186
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2009-09-09
Current End Date: 2015-09-29
Potential End Date: 2015-09-29 00:00:00
Last Modified: 2015-10-15
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