Vertex Aerospace LLC awarded $17.5M for integrator ROR services by the Department of the Navy

Contract Overview

Contract Amount: $17,512,956 ($17.5M)

Contractor: Vertex Aerospace LLC

Awarding Agency: Department of Defense

Start Date: 2022-03-10

End Date: 2022-05-31

Contract Duration: 82 days

Daily Burn Rate: $213.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INTEGRATOR ROR SERVICE -

Place of Performance

Location: STERLING, LOUDOUN County, VIRGINIA, 20166

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $17.5 million to VERTEX AEROSPACE LLC for work described as: INTEGRATOR ROR SERVICE - Key points: 1. Contract value represents a significant investment in specialized technical services. 2. The award was made under full and open competition, suggesting a robust bidding process. 3. Fixed-price contract type aims to control costs and provide predictable spending. 4. Short performance period (82 days) indicates a focused, potentially urgent requirement. 5. The North American Industry Classification System (NAICS) code 541990 covers a broad range of professional, scientific, and technical services. 6. The contract was awarded as a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar framework.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without knowing the specific 'ROR' services provided and the scope of work. However, the $17.5 million award for an 82-day period suggests a high per-diem or per-task cost. Comparing it to similar broad 'All Other Professional, Scientific, and Technical Services' contracts would be necessary for a more precise value assessment. The firm-fixed-price structure is a positive indicator for cost control, but the ultimate value depends on the successful delivery of the required services within the allocated budget.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. This typically leads to a more competitive environment, potentially driving down prices and improving the quality of services offered. The number of bidders is not specified, but the open competition suggests that multiple entities likely vied for this award, providing the government with a range of options.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a marketplace where contractors are incentivized to offer their best pricing and performance to win the contract.

Public Impact

The Department of the Navy benefits from specialized integrator ROR services, likely enhancing operational capabilities or support functions. The services delivered are expected to be critical for specific naval operations or projects. The geographic impact is likely concentrated around naval facilities or operational areas where these services are deployed. Workforce implications may include specialized technical personnel required for the execution of the contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on 'ROR' services makes it difficult to assess the true necessity and potential for over-specification.
The high dollar amount for a short duration could indicate a premium for specialized or urgent support.
The broad NAICS code might obscure the specific nature of the services, potentially hiding risks associated with less common or highly specialized technical requirements.

Positive Signals

Awarded under full and open competition, suggesting a competitive pricing environment.
Firm-fixed-price contract type provides cost certainty for the government.
The award to Vertex Aerospace LLC indicates a selection based on demonstrated capabilities for these specific services.

Sector Analysis

The professional, scientific, and technical services sector is vast and encompasses a wide array of specialized support functions for government agencies. This contract, falling under NAICS code 541990, represents a segment of this market focused on 'All Other Professional, Scientific, and Technical Services.' The Department of Defense, and specifically the Navy, are significant consumers of such services, often requiring highly specialized expertise for complex operations, research, and development. Benchmarking spending in this specific sub-sector is difficult due to its broad definition, but overall government spending on professional services is in the hundreds of billions annually.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false) and does not explicitly mention subcontracting goals for small businesses (sb: false). This suggests that the primary award went to a large business, Vertex Aerospace LLC. While there's no direct indication of small business participation in this specific award, large prime contractors are often encouraged or required to utilize small businesses in their subcontracting plans for broader contract vehicles. Further investigation into Vertex Aerospace's subcontracting practices would be needed to determine the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Navy's contracting and program management offices. As a delivery order, it is likely governed by the terms of a parent IDIQ contract, which would have its own oversight mechanisms. Transparency is facilitated by the public nature of contract awards, but detailed performance metrics and specific oversight activities are typically internal. The Inspector General for the Department of Defense would have jurisdiction to investigate any allegations of fraud, waste, or abuse related to this contract.

Related Government Programs

Department of Defense Professional Services Contracts
Naval Operations Support Services
Technical Integration Services
All Other Professional, Scientific, and Technical Services

Risk Flags

High cost per day suggests potential for budget overruns if scope is not tightly managed.
Lack of specific service definition ('ROR') hinders detailed risk assessment.
Short performance period may indicate urgency, increasing pressure and potential for errors.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.5 million to VERTEX AEROSPACE LLC. INTEGRATOR ROR SERVICE -

Who is the contractor on this award?

The obligated recipient is VERTEX AEROSPACE LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $17.5 million.

What is the period of performance?

Start: 2022-03-10. End: 2022-05-31.

What specific 'ROR' services does Vertex Aerospace LLC provide under this contract, and what is the justification for the $17.5 million award over an 82-day period?

The specific 'ROR' services are not detailed in the provided data. 'ROR' could potentially stand for 'Readiness, Operations, Readiness' or a similar acronym specific to the Navy's internal terminology for technical support, integration, or operational readiness services. The justification for the $17.5 million award over 82 days would stem from the complexity, criticality, and specialized nature of these services. Given the short duration, this implies a high daily rate or significant resource allocation per day. Without further documentation (e.g., the contract statement of work, justification for other than full and open competition if applicable, or detailed cost breakdowns), it's impossible to definitively assess the reasonableness of the price. However, such high-value, short-term contracts often relate to urgent operational needs, specialized system integration, or critical support during specific events or deployments.

How does the pricing of this $17.5 million contract compare to similar integrator ROR services awarded by the Department of Defense or other federal agencies?

Direct price comparison is difficult without knowing the precise 'ROR' services and their scope. However, a $17.5 million award for approximately 2.7 months of service translates to a daily burn rate of roughly $645,000. This is a substantial figure, suggesting either highly specialized personnel, intensive resource deployment, or critical, time-sensitive support. To benchmark effectively, one would need to identify comparable contracts for similar technical integration or operational readiness support services, ideally with similar firm-fixed-price structures and within the same branch of service or agency. Analyzing the average cost per labor hour or per deliverable for comparable contracts would be the next step. Given the limited information, it's prudent to consider this a potentially high-cost contract that warrants scrutiny regarding the value delivered relative to the expenditure.

What are the key performance indicators (KPIs) or metrics used to evaluate Vertex Aerospace LLC's performance on this contract, and how is success measured?

The provided data does not specify the Key Performance Indicators (KPIs) or metrics for this contract. Typically, for technical services contracts, KPIs might include on-time delivery of milestones, adherence to technical specifications, system uptime or availability, successful integration of components, reduction in operational errors, or achievement of specific readiness levels. Performance would likely be monitored through regular progress reports, technical reviews, and potentially end-user feedback. The success of the contract would be measured against the fulfillment of the Statement of Work (SOW) and any specific, measurable, achievable, relevant, and time-bound (SMART) objectives outlined therein. The contracting officer's representative (COR) would be responsible for overseeing performance and ensuring deliverables meet the government's requirements.

What is Vertex Aerospace LLC's track record with the Department of Defense and specifically the Department of the Navy for similar technical integration or support services?

Vertex Aerospace LLC has a history of contracting with the Department of Defense. While the specific 'ROR' services are not detailed, the company's portfolio often includes aviation maintenance, logistics, and technical support. To assess their track record for *this specific type* of integrator ROR service, a deeper dive into their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS) and the nature of their previous contracts with the Navy and DoD would be necessary. A review of their contract history would reveal if they have successfully managed similar-sized, fixed-price contracts for complex technical integration or operational support, and whether they have a history of meeting performance requirements and managing costs effectively. Without this granular data, we assume they were selected based on demonstrated capability for this award.

Are there any identified risks associated with Vertex Aerospace LLC's performance on this contract, such as past performance issues, financial stability concerns, or potential conflicts of interest?

The provided data does not explicitly list any risk flags or concerns regarding Vertex Aerospace LLC's performance on this specific contract. However, general risks associated with any large, short-term technical services contract include potential cost overruns if the scope is underestimated, schedule delays impacting critical operations, or performance deficiencies if the specialized expertise is not adequately applied. Without access to CPARS reports, financial health assessments, or specific contract monitoring data, it's difficult to identify contractor-specific risks. The fact that it was awarded under full and open competition suggests that potential bidders were vetted, and Vertex Aerospace was deemed capable. Any significant past performance issues or financial instability would typically be considered during the source selection process.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: M6700420R0007

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 555 INDUSTRIAL DR S, MADISON, MS, 39110

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

Financial Breakdown

Contract Ceiling: $17,512,956

Exercised Options: $17,512,956

Current Obligation: $17,512,956

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: M6700421D0002

IDV Type: IDC

Timeline