Over $79 million for aircraft maintenance at NAS Lemoore, awarded to PAE Aviation and Technical Services LLC
Contract Overview
Contract Amount: $79,813,323 ($79.8M)
Contractor: PAE Aviation and Technical Services LLC
Awarding Agency: Department of Defense
Start Date: 2017-12-29
End Date: 2020-09-30
Contract Duration: 1,006 days
Daily Burn Rate: $79.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: AIRCRAFT MAINTENANCE FOR VFA-122 LOCATED AT NAS LEMOORE, CA.
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22201
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $79.8 million to PAE AVIATION AND TECHNICAL SERVICES LLC for work described as: AIRCRAFT MAINTENANCE FOR VFA-122 LOCATED AT NAS LEMOORE, CA. Key points: 1. The contract value of over $79 million for aircraft maintenance indicates a significant investment in operational readiness. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The firm-fixed-price contract type aims to control costs by establishing a set price for services. 4. The duration of the contract, spanning nearly three years, suggests a need for sustained maintenance support. 5. The specific NAICS code (336411) points to specialized aircraft manufacturing and maintenance services. 6. The contract was awarded by the Department of the Air Force, highlighting its role in supporting aviation assets.
Value Assessment
Rating: good
The contract value of $79.8 million over approximately three years for aircraft maintenance appears reasonable given the scope of services for a naval air station. Benchmarking against similar large-scale aircraft maintenance contracts would provide a more precise value-for-money assessment. The firm-fixed-price structure is generally favorable for cost control. Without specific details on the services rendered, a direct comparison to market rates for per-unit maintenance tasks is challenging, but the overall contract size suggests a substantial operational requirement.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 7 bidders suggests a healthy level of competition for this significant aircraft maintenance requirement. A competitive process like this typically leads to better price discovery and potentially more favorable terms for the government.
Taxpayer Impact: The full and open competition for this contract is beneficial for taxpayers as it likely resulted in a more competitive price and a wider range of service options, maximizing the value of federal funds.
Public Impact
Naval Air Station Lemoore and its operational readiness benefit directly from the sustained aircraft maintenance services. The contract supports the operational capabilities of the VFA-122 squadron, ensuring aircraft are mission-ready. The services provided contribute to the overall effectiveness of the U.S. Navy's aviation fleet. The contract likely supports a workforce of skilled technicians and support personnel in the Lemoore, California area.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if scope creep occurs despite firm-fixed-price.
- Dependence on a single contractor for critical maintenance services.
- Risk of service quality degradation if contractor resources are strained.
Positive Signals
- Firm-fixed-price contract structure helps manage budget predictability.
- Full and open competition suggests a robust selection process.
- Contract duration indicates a stable, long-term need being met.
Sector Analysis
This contract falls within the aerospace and defense sector, specifically focusing on aircraft maintenance and support services. The market for these services is substantial, driven by the operational needs of military branches. Comparable spending benchmarks would involve analyzing other large-scale maintenance contracts for military aircraft across different branches and locations. The size of this contract suggests it is a significant award within its specific niche.
Small Business Impact
The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. This suggests that the primary award went to a larger entity, and the direct impact on the small business ecosystem may be limited unless PAE Aviation and Technical Services LLC actively engages small businesses for subcontracting opportunities.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the relevant program management office within the Department of the Air Force. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified services. Transparency is generally maintained through contract award databases, though specific performance metrics and detailed spending breakdowns may not always be publicly available.
Related Government Programs
- Aircraft Depot Maintenance
- Naval Aviation Support Services
- Fleet Readiness Centers
- Aerospace Maintenance and Regeneration Group
Risk Flags
- Potential for performance issues impacting operational readiness.
- Risk of cost overruns if scope is not tightly managed.
- Dependence on contractor for critical maintenance functions.
Tags
defense, aircraft-maintenance, department-of-the-air-force, nas-lemoore, firm-fixed-price, full-and-open-competition, pae-aviation-and-technical-services-llc, vfa-122, california, large-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $79.8 million to PAE AVIATION AND TECHNICAL SERVICES LLC. AIRCRAFT MAINTENANCE FOR VFA-122 LOCATED AT NAS LEMOORE, CA.
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 $79.8 million.
What is the period of performance?
Start: 2017-12-29. End: 2020-09-30.
What specific types of aircraft maintenance are covered under this contract?
The contract details, while not fully elaborated in the provided data, pertain to aircraft maintenance for VFA-122, which operates the F/A-18 Super Hornet. This typically includes scheduled and unscheduled maintenance, component repair and replacement, structural repairs, corrosion control, and logistical support for the aircraft. The firm-fixed-price nature suggests a defined scope of work, likely encompassing routine servicing, inspections, and repairs necessary to maintain the operational readiness of the squadron's aircraft fleet stationed at NAS Lemoore.
How does the awarded price compare to historical spending for similar aircraft maintenance at NAS Lemoore?
To accurately compare the awarded price of $79.8 million to historical spending, one would need access to historical contract data for aircraft maintenance at NAS Lemoore, specifically for VFA-122 or similar squadrons operating comparable aircraft. Without this historical context, it's difficult to definitively state if this award represents an increase, decrease, or stable spending trend. However, the duration of nearly three years suggests a consistent level of service requirement. Analyzing past contracts for similar scope and duration would be crucial for a robust comparison.
What are the key performance indicators (KPIs) used to evaluate PAE Aviation and Technical Services LLC's performance?
While specific KPIs are not detailed in the provided summary, typical performance indicators for aircraft maintenance contracts include aircraft availability rates, turnaround times for maintenance tasks, quality of repairs (e.g., defect rates), adherence to schedules, and compliance with safety and environmental regulations. The contracting officer and technical representatives would monitor these metrics throughout the contract period. Performance evaluations often feed into future contract awards and contractor past performance ratings.
What is the potential impact of this contract on the local economy in Lemoore, California?
This contract is likely to have a positive impact on the local economy in Lemoore, California, by creating and sustaining jobs for skilled aircraft mechanics, technicians, and support staff. PAE Aviation and Technical Services LLC, as the prime contractor, would employ personnel directly. Additionally, there may be indirect economic benefits through local procurement of goods and services, and increased spending by employees in the community. The sustained nature of the contract suggests a stable source of employment and economic activity.
Are there any identified risks associated with PAE Aviation and Technical Services LLC's performance on this contract?
Potential risks associated with this contract could include contractor performance issues, such as delays in maintenance, quality deficiencies, or failure to meet operational readiness targets. Given the firm-fixed-price nature, there's also a risk of the contractor cutting corners to maintain profitability if not adequately overseen. Furthermore, reliance on a single contractor for critical maintenance introduces a risk if the contractor faces financial instability or operational disruptions. Robust government oversight and clear performance metrics are essential to mitigate these risks.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: FA810818R0001
Offers Received: 7
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: $79,813,323
Exercised Options: $79,813,323
Current Obligation: $79,813,323
Actual Outlays: $8,885,954
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: FA810817D0012
IDV Type: IDC
Timeline
Start Date: 2017-12-29
Current End Date: 2020-09-30
Potential End Date: 2020-09-30 00:00:00
Last Modified: 2020-08-31
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