Over $26.5M for helicopter services to BSEE/USCG in Gulf of Mexico, awarded to Bristow LLC

Contract Overview

Contract Amount: $26,538,201 ($26.5M)

Contractor: Bristow LLC

Awarding Agency: Department of the Interior

Start Date: 2012-02-01

End Date: 2016-09-30

Contract Duration: 1,703 days

Daily Burn Rate: $15.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OTHER FUNCTIONS ERA-BSEE/USCG HELICOPTER SERVICES GULF OF MEXICO THE INTENT OF THIS CONTRACT IS TO OBTAIN FLIGHT SERVICES FOR PERSONNEL AND/OR CARGO IN SUPPORT OF INSPECTIONS AND OVERSIGHT OF OFFSHORE OIL PRODUCTION PLATFORMS AND VESSELS. THE TYPE OF SERVICES REQUIRED TO BE PERFORMED INCLUDE, BUT ARE NOT LIMITED TO, TRANSPORTATION OF BUREAU OF SAFETY AND ENVIRONMENTAL ENFORCEMENT (BSEE), AND U.S. COAST GUARD (USCG) PERSONNEL AND CARGO FROM VARIOUS LOCATIONS IN THE GULF OF MEXICO REGION TO AND FROM OFFSHORE PLATFORMS AND VESSELS IN SUPPORT OF OUTER CONTINENTAL SHELF ACTIVITIES, INCLUDING ADMINISTRATIVE AND RELATED ACTIVITIES AS DIRECTED BY THE GOVERNMENT.

Place of Performance

Location: LAKE CHARLES, CALCASIEU County, LOUISIANA, 70601

State: Louisiana Government Spending

Plain-Language Summary

Department of the Interior obligated $26.5 million to BRISTOW LLC for work described as: OTHER FUNCTIONS ERA-BSEE/USCG HELICOPTER SERVICES GULF OF MEXICO THE INTENT OF THIS CONTRACT IS TO OBTAIN FLIGHT SERVICES FOR PERSONNEL AND/OR CARGO IN SUPPORT OF INSPECTIONS AND OVERSIGHT OF OFFSHORE OIL PRODUCTION PLATFORMS AND VESSELS. THE TYPE OF SERVICES REQUIRED TO BE PER… Key points: 1. Contract provides essential flight services for offshore oil production platform inspections and oversight. 2. Services include transportation of personnel and cargo for BSEE and USCG in the Gulf of Mexico. 3. The contract duration spans over 4.6 years, indicating a long-term need for these services. 4. Firm Fixed Price contract type suggests predictable costs for the government. 5. The award was made under full and open competition, implying a robust bidding process. 6. The primary contractor, Bristow LLC, has a significant role in aviation services. 7. Geographic focus on Louisiana highlights the importance of the Gulf region for oversight activities.

Value Assessment

Rating: good

The total award amount of $26.5M over approximately 4.6 years for helicopter services in the Gulf of Mexico appears reasonable given the specialized nature of the operations. Benchmarking against similar contracts for offshore transportation and inspection support is challenging without more specific data on flight hours, routes, and aircraft types. However, the firm fixed-price structure provides cost certainty. The contract's longevity suggests a sustained operational requirement, and the pricing likely reflects the high operational costs and safety standards associated with aviation in the offshore environment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of 3 bids suggests a competitive environment, which generally leads to better pricing and service offerings for the government. The specific number of bidders (3) is moderate, and further analysis would be needed to determine if this level of competition was sufficient to drive optimal value or if additional bidders could have further enhanced price discovery.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it encourages multiple companies to offer their best prices and services, potentially leading to cost savings and improved quality of service delivery.

Public Impact

The Bureau of Safety and Environmental Enforcement (BSEE) and U.S. Coast Guard (USCG) benefit from enhanced oversight capabilities. Services delivered include critical transportation for inspections and administrative activities supporting offshore oil production. The geographic impact is concentrated in the Gulf of Mexico region, specifically Louisiana. Workforce implications include support for aviation personnel and ground crews involved in these specialized flight operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future contract renewals if competition diminishes.
Dependence on a single primary contractor for critical operational support.
Geographic concentration of services may limit options in case of regional disruptions.

Positive Signals

Awarded through full and open competition, suggesting a competitive market.
Firm Fixed Price contract type provides cost predictability.
Long contract duration indicates a stable and ongoing need for services.
Services directly support regulatory oversight and safety in a critical industry.

Sector Analysis

This contract falls within the broader aviation and transportation services sector, specifically focusing on specialized aerial support for regulatory and enforcement activities. The market for offshore helicopter services is characterized by high barriers to entry due to safety regulations, specialized equipment, and operational expertise. Spending in this area is driven by the need for efficient and safe access to remote offshore locations for inspection, maintenance, and emergency response. Comparable spending benchmarks would typically involve other government contracts for similar aerial support in challenging environments.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, and there is no explicit mention of subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears limited for this specific award. However, the primary contractor, Bristow LLC, may engage small businesses as subcontractors for various support services, though this is not detailed in the provided information.

Oversight & Accountability

Oversight of this contract would primarily fall under the Department of the Interior's Bureau of Safety and Environmental Enforcement (BSEE) and the U.S. Coast Guard (USCG). Accountability measures are inherent in the firm fixed-price contract structure, requiring the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated through the contract award process under full and open competition. Inspector General jurisdiction would likely extend to the contracting and performance aspects of this agreement.

Related Government Programs

Offshore Oil and Gas Regulation
Aviation Services
Government Transportation Contracts
Search and Rescue Support
Environmental Monitoring

Risk Flags

Potential for cost overruns if flight hours exceed estimates (mitigated by FFP).
Safety risks inherent in offshore aviation operations.
Dependence on contractor's fleet availability and maintenance.
Environmental risks associated with operating in the Gulf of Mexico.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $26.5 million to BRISTOW LLC. OTHER FUNCTIONS ERA-BSEE/USCG HELICOPTER SERVICES GULF OF MEXICO THE INTENT OF THIS CONTRACT IS TO OBTAIN FLIGHT SERVICES FOR PERSONNEL AND/OR CARGO IN SUPPORT OF INSPECTIONS AND OVERSIGHT OF OFFSHORE OIL PRODUCTION PLATFORMS AND VESSELS. THE TYPE OF SERVICES REQUIRED TO BE PERFORMED INCLUDE, BUT ARE NOT LIMITED TO, TRANSPORTATION OF BUREAU OF SAFETY AND ENVIRONMENTAL ENFORCEMENT (BSEE), AND U.S. COAST GUARD (USCG) PERSONNEL AND CARGO FROM VARIOUS LOCATIONS IN THE GULF OF MEXICO REGION TO AND

Who is the contractor on this award?

The obligated recipient is BRISTOW LLC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $26.5 million.

What is the period of performance?

Start: 2012-02-01. End: 2016-09-30.

What is the historical spending trend for helicopter services by BSEE and USCG in the Gulf of Mexico?

Analyzing historical spending for helicopter services by BSEE and USCG in the Gulf of Mexico requires access to detailed federal procurement databases. While this specific contract awarded $26.5M from 2012 to 2016, understanding the broader trend involves examining prior and subsequent contracts for similar services. Factors influencing spending include regulatory changes, the number of active offshore platforms, and shifts in operational priorities. A comprehensive review would likely reveal fluctuations based on these external drivers and the competitive landscape for aviation providers in the region. Without access to a longitudinal dataset, it's difficult to establish a definitive trend beyond this single contract's value and duration.

How does the per-flight-hour cost of this contract compare to industry benchmarks for similar offshore operations?

Determining the precise per-flight-hour cost for this contract is not feasible with the provided data, as the total award amount is not broken down by flight hours or specific service metrics. To compare with industry benchmarks, one would need to know the total number of flight hours procured under the $26.5M award and the specific types of aircraft and missions performed. Offshore helicopter services are highly variable in cost, influenced by factors such as aircraft type, mission complexity (e.g., cargo vs. personnel transport, distance), safety equipment, and operational duration. General industry benchmarks for offshore helicopter operations can range significantly, but without specific contract details, a direct comparison is speculative.

What is Bristow LLC's track record with government aviation contracts, particularly for similar services?

Bristow LLC is a major global provider of offshore helicopter transportation services and has a significant track record with government contracts, including those for military and civilian agencies. Their experience often involves supporting operations in challenging environments, similar to the Gulf of Mexico. Government agencies frequently contract Bristow for personnel transport, search and rescue, and logistical support. A detailed review of their contract history would reveal the scope, value, and performance of past awards. Agencies often consider a contractor's past performance, safety record, and operational capabilities when making award decisions, suggesting Bristow's selection was based on demonstrated competence in this domain.

What are the key performance indicators (KPIs) used to measure the success of these helicopter services?

Key performance indicators (KPIs) for government helicopter services typically focus on safety, reliability, and mission accomplishment. For this contract supporting BSEE and USCG inspections, KPIs would likely include on-time performance for flights, adherence to flight safety regulations (e.g., incident-free flight hours), successful completion of cargo and personnel transport missions to designated offshore platforms, and responsiveness to mission taskings. The firm fixed-price nature of the contract incentivizes the contractor to meet these performance standards efficiently. Specific metrics might be detailed in the contract's statement of work, but generally, the government would track metrics related to operational availability and mission success rates.

Were there any performance issues or contract disputes associated with this award during its period of performance?

Information regarding specific performance issues or contract disputes for this particular award (2012-2016) is not readily available in the provided summary data. Government contract performance is typically monitored throughout the contract lifecycle, and any significant issues would be documented in contract performance reports or potentially lead to formal dispute resolution processes. Without access to detailed contract administration records or performance evaluations, it is impossible to definitively state whether any disputes or major performance problems occurred. However, the completion of the contract without apparent major disruptions suggests a generally satisfactory performance.

How does the scope of services compare to other government contracts for aerial surveillance or inspection support?

The scope of services for this contract, focusing on transporting BSEE and USCG personnel and cargo for offshore oil production platform inspections and oversight, is specialized. It differs from broader aerial surveillance contracts that might involve extensive sensor data collection or general patrol missions. While other government contracts may involve aerial transport for inspection purposes (e.g., border patrol, infrastructure inspection), the specific context of offshore oil and gas operations in the Gulf of Mexico presents unique logistical and safety challenges. The contract's emphasis on supporting regulatory functions in this specific environment distinguishes it from more general aviation support contracts.

Industry Classification

NAICS: Transportation and Warehousing › Nonscheduled Air Transportation › Nonscheduled Chartered Passenger Air Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: ERA Helicopters LLC (UEI: 078640374)

Address: 600 AIRPORT SERVICE RD, LAKE CHARLES, LA, 70605

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $228,786,360

Exercised Options: $26,538,201

Current Obligation: $26,538,201

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline