Army Aircraft Maintenance Contract Awarded to URS Federal Services for $26.9M

Contract Overview

Contract Amount: $26,925,922 ($26.9M)

Contractor: URS Federal Services, Inc.

Awarding Agency: General Services Administration

Start Date: 2014-03-28

End Date: 2015-09-24

Contract Duration: 545 days

Daily Burn Rate: $49.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: AIRCRAFT MAINTENANCE AND MODIFICATION SERVICE FOR DEPARTMENT OF ARMY'S CERDEC FLIGHT ACTIVITY IGF::CL::IGF

Place of Performance

Location: LAKEHURST, OCEAN County, NEW JERSEY, 08733

State: New Jersey Government Spending

Plain-Language Summary

General Services Administration obligated $26.9 million to URS FEDERAL SERVICES, INC. for work described as: AIRCRAFT MAINTENANCE AND MODIFICATION SERVICE FOR DEPARTMENT OF ARMY'S CERDEC FLIGHT ACTIVITY IGF::CL::IGF Key points: 1. Contract value of $26.9M for aircraft maintenance and modification. 2. Awarded under full and open competition. 3. Potential risk associated with Time and Materials pricing structure. 4. Services fall under logistics consulting, a common government expenditure.

Value Assessment

Rating: fair

The contract is a Time and Materials type, which can lead to cost overruns if not managed closely. Benchmarking against similar aircraft maintenance contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the Time and Materials pricing model may limit price discovery and control compared to fixed-price contracts.

Taxpayer Impact: Taxpayers may face higher costs due to the Time and Materials pricing structure, which lacks a fixed ceiling and relies on labor hours and material costs.

Public Impact

Ensures operational readiness of Army aircraft through essential maintenance. Supports specialized flight activities critical for training and operations. Potential for cost increases impacting the Army's budget.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing
Lack of specific performance metrics in provided data

Positive Signals

Full and open competition
Experienced contractor

Sector Analysis

This contract falls within the professional services sector, specifically logistics consulting. Government spending in this area is substantial, supporting various operational needs. Benchmarks vary widely based on service complexity and duration.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as the prime contractor is URS Federal Services, Inc. Further analysis would be needed to determine if any subcontracting opportunities were allocated to small businesses.

Oversight & Accountability

Oversight would typically involve contract officers and technical monitors ensuring adherence to the Time and Materials agreement and verifying the necessity of all labor and materials charged. Accountability rests on the contractor to provide accurate billing and the government to scrutinize it.

Related Government Programs

Process, Physical Distribution, and Logistics Consulting Services
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Limited visibility into specific performance metrics.
Lack of small business participation noted in prime contract.
Contract duration is relatively short, potentially leading to follow-on contract needs.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $26.9 million to URS FEDERAL SERVICES, INC.. AIRCRAFT MAINTENANCE AND MODIFICATION SERVICE FOR DEPARTMENT OF ARMY'S CERDEC FLIGHT ACTIVITY IGF::CL::IGF

Who is the contractor on this award?

The obligated recipient is URS FEDERAL SERVICES, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $26.9 million.

What is the period of performance?

Start: 2014-03-28. End: 2015-09-24.

What is the typical cost range for similar aircraft maintenance and modification services for a flight activity of this size?

The cost range for similar services can vary significantly based on the type of aircraft, the complexity of modifications, and the duration of the contract. Without specific details on the fleet and required services, providing an exact benchmark is challenging. However, contracts of this magnitude often involve extensive labor and specialized parts, making cost control a critical factor.

What are the specific risks associated with the Time and Materials pricing structure in this contract?

The primary risk of a Time and Materials (T&M) contract is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements do not set a ceiling on the total cost. This means the government pays for all direct labor hours at specified hourly rates and for the actual cost of materials used, plus a percentage for overhead and profit. This structure can incentivize longer project durations and higher material usage if not rigorously monitored.

How effectively does this contract support the Department of the Army's overall mission objectives?

This contract directly supports the Department of the Army's mission by ensuring the operational readiness of its aircraft for the CERDEC Flight Activity. Reliable aircraft maintenance and modification are crucial for training, testing, and operational deployments. The effectiveness hinges on the contractor's ability to deliver timely, high-quality services and the government's oversight to ensure these services align with and contribute to broader strategic goals.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting Services

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: ID02140013

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: AECOM (UEI: 153561212)

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: $37,687,254

Exercised Options: $28,569,366

Current Obligation: $26,925,922

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS10F0038M

IDV Type: FSS

Timeline