DoD Awards $56.6M for Aircraft Maintenance at Holloman, Beale, and Whiteman AFBs

Contract Overview

Contract Amount: $56,568,815 ($56.6M)

Contractor: M1 Support Services, L.P.

Awarding Agency: Department of Defense

Start Date: 2007-02-01

End Date: 2011-09-30

Contract Duration: 1,702 days

Daily Burn Rate: $33.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIXED PRICE AWARD FEE

Sector: Defense

Official Description: CONSOLIDATED AIRCRAFT MAINTENANCE AT HOLLOMAN AFB, BEALE AFB, AND WHITEMAN AFB

Place of Performance

Location: ALAMOGORDO, OTERO County, NEW MEXICO, 88310

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $56.6 million to M1 SUPPORT SERVICES, L.P. for work described as: CONSOLIDATED AIRCRAFT MAINTENANCE AT HOLLOMAN AFB, BEALE AFB, AND WHITEMAN AFB Key points: 1. Contract awarded to M1 SUPPORT SERVICES, L.P. for aircraft maintenance. 2. Competition was full and open, suggesting potential for competitive pricing. 3. The contract spans over 1700 days, indicating a significant long-term commitment. 4. The sector is primarily Other Support Activities for Air Transportation.

Value Assessment

Rating: fair

The contract's total award value is $56.6 million. Without specific unit cost data or benchmarks for aircraft maintenance services across multiple bases, a precise pricing assessment is difficult. However, the duration and scope suggest a substantial investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically allows for a wide range of bidders and can lead to more competitive pricing. The price discovery process would have involved multiple proposals evaluated against the government's requirements.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by leveraging market forces to achieve the best value.

Public Impact

Ensures operational readiness of aircraft at three key Air Force bases. Supports critical maintenance functions, contributing to national defense capabilities. Provides employment opportunities in the regions surrounding the bases. Impacts the efficiency and cost-effectiveness of Air Force aviation operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the aerospace and defense support services sector, specifically focusing on aircraft maintenance. Spending benchmarks in this area can vary widely based on aircraft type, scope of services, and geographic location. The $56.6 million award over nearly five years suggests a significant but potentially competitive rate for comprehensive maintenance.

Small Business Impact

The data indicates that small businesses were not a direct awardee of this prime contract, as it was awarded to M1 SUPPORT SERVICES, L.P. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The Department of the Air Force is responsible for overseeing this contract. Accountability would be managed through contract performance reviews, milestone achievements, and adherence to the fixed-price award fee structure, ensuring services meet required standards.

Related Government Programs

Risk Flags

Tags

other-support-activities-for-air-transpo, department-of-defense, nm, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $56.6 million to M1 SUPPORT SERVICES, L.P.. CONSOLIDATED AIRCRAFT MAINTENANCE AT HOLLOMAN AFB, BEALE AFB, AND WHITEMAN AFB

Who is the contractor on this award?

The obligated recipient is M1 SUPPORT SERVICES, L.P..

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 $56.6 million.

What is the period of performance?

Start: 2007-02-01. End: 2011-09-30.

What was the basis for the award fee structure, and how did it incentivize contractor performance?

The award fee structure is designed to incentivize M1 SUPPORT SERVICES, L.P. to exceed minimum performance standards. The specific criteria for earning award fees, such as timeliness, quality of work, and cost-saving initiatives, would be detailed in the contract. The government's evaluation of performance against these criteria determines the fee amount, aiming to ensure high-quality service delivery and contractor accountability.

How does the per-unit cost of maintenance compare to industry benchmarks for similar aircraft and services?

Without detailed breakdowns of the services provided and the specific aircraft types maintained, a direct comparison to industry benchmarks is challenging. The total contract value of $56.6 million over 1702 days averages approximately $33,254 per day. This figure needs to be contextualized by the number of aircraft, types of maintenance (routine vs. heavy), and labor costs at the specific bases to assess its competitiveness.

What are the potential risks associated with consolidating aircraft maintenance across three different Air Force bases under one contract?

Consolidating maintenance across multiple bases can introduce risks such as logistical complexities, potential for service disruptions if the contractor faces issues, and reduced flexibility for the Air Force to adapt to changing needs at individual bases. However, it can also lead to economies of scale and streamlined management. Effective oversight and contingency planning are crucial to mitigate these risks.

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: FA489006R0165

Offers Received: 2

Pricing Type: FIXED PRICE AWARD FEE (M)

Evaluated Preference: NONE

Contractor Details

Address: 300 N CARROLL BLVD SUITE 101, DENTON, TX, 13

Business Categories: Category Business, HUBZone Firm, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $68,032,634

Exercised Options: $56,969,240

Current Obligation: $56,568,815

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2007-02-01

Current End Date: 2011-09-30

Potential End Date: 2011-09-30 00:00:00

Last Modified: 2014-03-06

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