Interior Department awards $25.3M for Electronic Warfare Aircraft Services to Phoenix Air Group

Contract Overview

Contract Amount: $25,262,229 ($25.3M)

Contractor: Phoenix AIR Group, Inc.

Awarding Agency: Department of the Interior

Start Date: 2016-09-01

End Date: 2019-11-30

Contract Duration: 1,185 days

Daily Burn Rate: $21.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: IGF::OT::IGF NAVY ELECTRONIC WARFARE AIRCRAFT SERVICES

Place of Performance

Location: NORFOLK, NORFOLK CITY County, VIRGINIA, 23511

State: Virginia Government Spending

Plain-Language Summary

Department of the Interior obligated $25.3 million to PHOENIX AIR GROUP, INC. for work described as: IGF::OT::IGF NAVY ELECTRONIC WARFARE AIRCRAFT SERVICES Key points: 1. Contract awarded to Phoenix Air Group, Inc. for electronic warfare aircraft services. 2. Significant value of $25.3 million over the contract period. 3. Contract was not competed, raising questions about price discovery. 4. Services fall under 'Other Nonscheduled Air Transportation' sector.

Value Assessment

Rating: questionable

The contract value of $25.3 million for aircraft services needs comparison against similar services to determine if it represents fair value. Without competition, it's difficult to benchmark pricing effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source or limited competition award. This lack of competition may have led to higher prices than could have been achieved through a competitive bidding process.

Taxpayer Impact: The absence of competition could result in taxpayers paying more than necessary for these essential aircraft services.

Public Impact

Citizens may be paying a premium due to the lack of competitive bidding. The specific nature of 'electronic warfare aircraft services' suggests a specialized need. Transparency in sole-source contracts is crucial for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under the 'Other Nonscheduled Air Transportation' category, which can encompass a wide range of specialized aviation services. Benchmarking requires identifying comparable contracts for similar niche services.

Small Business Impact

The data indicates that small business participation was not a factor in this contract award, as the 'sb' field is false.

Oversight & Accountability

Oversight is needed to ensure that the pricing for this sole-source contract remains fair and reasonable throughout its duration, especially given the lack of competitive pressure.

Related Government Programs

Risk Flags

Tags

other-nonscheduled-air-transportation, department-of-the-interior, va, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $25.3 million to PHOENIX AIR GROUP, INC.. IGF::OT::IGF NAVY ELECTRONIC WARFARE AIRCRAFT SERVICES

Who is the contractor on this award?

The obligated recipient is PHOENIX AIR GROUP, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.3 million.

What is the period of performance?

Start: 2016-09-01. End: 2019-11-30.

What specific electronic warfare capabilities does Phoenix Air Group provide under this contract, and how do these capabilities align with the Department of the Interior's mission needs?

The contract specifies 'Electronic Warfare Aircraft Services,' which likely involves specialized aircraft equipped for electronic warfare operations such as jamming, surveillance, or signals intelligence. The alignment with the Department of the Interior's mission would depend on specific operational requirements, potentially related to border security, environmental monitoring with advanced sensors, or other unique federal needs that leverage EW capabilities.

What justification was provided for awarding this contract on a sole-source basis, and what steps were taken to ensure the price was fair and reasonable without competition?

The justification for a sole-source award typically involves demonstrating that only one source can provide the required service, often due to unique capabilities, proprietary technology, or urgent needs. To ensure a fair and reasonable price, the agency should have conducted a thorough price analysis, potentially using historical data, cost breakdowns from the contractor, or comparisons to similar, albeit not identical, services.

What is the potential impact on future procurement strategies if specialized services like these are consistently awarded without competition?

Consistently awarding specialized services without competition can stifle innovation and lead to higher costs for taxpayers over time. It reduces the incentive for companies to develop competitive offerings and can create vendor lock-in. This practice may also limit opportunities for new or smaller businesses to enter the market and offer alternative solutions, potentially impacting overall government efficiency and cost-effectiveness.

Industry Classification

NAICS: Transportation and WarehousingNonscheduled Air TransportationOther Nonscheduled Air Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATIONTRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: D16PS00810

Offers Received: 1

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Address: 100 PHOENIX AIR DR SW, CARTERSVILLE, GA, 30120

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $25,262,229

Exercised Options: $25,262,229

Current Obligation: $25,262,229

Actual Outlays: $2,587,311

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline

Start Date: 2016-09-01

Current End Date: 2019-11-30

Potential End Date: 2019-11-30 00:00:00

Last Modified: 2021-05-26

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