DoD's $41.9M Flight Training Contract with AMERICAN SYSTEMS CORPORATION: A Decade of Spending

Contract Overview

Contract Amount: $41,942,053 ($41.9M)

Contractor: American Systems Corporation

Awarding Agency: Department of Defense

Start Date: 2005-01-01

End Date: 2015-02-18

Contract Duration: 3,700 days

Daily Burn Rate: $11.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $41.9 million to AMERICAN SYSTEMS CORPORATION for work described as: Key points: 1. The contract, valued at $41.9 million, was awarded to AMERICAN SYSTEMS CORPORATION for flight training services. 2. Awarded by the Department of the Navy, this represents a significant investment in aviation readiness. 3. The duration of the contract spanned over a decade, indicating a long-term need for these services. 4. The contract was awarded under full and open competition, suggesting a robust price discovery process.

Value Assessment

Rating: fair

The contract's total value of $41.9 million over 10 years suggests an average annual spend of approximately $4.19 million. Without specific per-unit cost data or benchmarks for similar flight training services, a precise pricing assessment is difficult. However, the duration and scale indicate a substantial commitment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which typically allows for the widest range of potential bidders and fosters competitive pricing. This method is designed to ensure the government receives the best value by leveraging market forces.

Taxpayer Impact: The competitive nature of the award suggests that taxpayers likely benefited from a fair market price, although the total $41.9 million expenditure over a decade represents a significant allocation of public funds.

Public Impact

Ensures continued readiness and proficiency for naval aviators through specialized flight training. Supports the Department of Defense's strategic goals in maintaining a skilled and capable aircrew. The long-term nature of the contract provides stability for both the government and the contractor. Highlights the significant investment in human capital and specialized training within the military.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or outcome data.
Potential for cost overruns in long-term contracts if not closely managed.
Limited visibility into the specific training curriculum and its effectiveness.

Positive Signals

Awarded through full and open competition, indicating potential for good value.
Long contract duration suggests a consistent and recognized need for the service.
Contractor has a decade-long relationship with the DoD for this service.

Sector Analysis

The Department of Defense is a major consumer of specialized training services, including flight training. Spending benchmarks for such contracts can vary widely based on aircraft type, training complexity, and duration. This $41.9 million over 10 years falls within the expected range for significant aviation training programs.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or partners in this contract. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract's long duration necessitates robust oversight to ensure performance standards are met and costs remain justified. Regular reviews and performance evaluations by the Department of the Navy are crucial for accountability.

Related Government Programs

Flight Training
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Long contract duration may obscure evolving training needs.
Lack of specific performance outcome data.
Potential for contractor lock-in over a decade.
No indication of small business subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $41.9 million to AMERICAN SYSTEMS CORPORATION. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is AMERICAN SYSTEMS CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $41.9 million.

What is the period of performance?

Start: 2005-01-01. End: 2015-02-18.

What specific flight training capabilities were provided under this contract, and how do they align with current naval aviation requirements?

The contract number 611512 indicates flight training services. While the specific capabilities are not detailed, it likely encompassed simulator training, aircraft operation, and potentially mission-specific scenarios. Alignment with current requirements would depend on the evolution of naval aviation needs over the contract's 10-year span, necessitating potential modifications or updates to the training curriculum.

Given the $41.9 million expenditure over 10 years, what was the cost-effectiveness of this flight training compared to alternative training methods or providers?

Assessing cost-effectiveness requires comparing the per-student or per-flight-hour cost against industry benchmarks or alternative training solutions. Without detailed cost breakdowns and performance metrics, it's challenging to definitively state the cost-effectiveness. However, the full and open competition suggests an effort to achieve competitive pricing.

How did the performance of AMERICAN SYSTEMS CORPORATION meet or exceed the objectives set forth in the contract, and what was the impact on naval aviator readiness?

The provided data does not include performance metrics or quality assessments. To evaluate effectiveness, one would need to examine contractor performance reports, user feedback from naval aviators, and any documented impact on mission readiness rates or pilot proficiency levels achieved through the training.

Industry Classification

NAICS: Educational Services › Technical and Trade Schools › Flight Training

Product/Service Code: PREFAB STRUCTURES/SCAFFOLDING

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 13990 PARKEAST CIR, CHANTILLY, VA, 20151

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

Contract Characteristics

Cost or Pricing Data: NO

Timeline