DoD's $47.6M UH-1Y Flight Training Device contract awarded to FlightSafety International Inc

Contract Overview

Contract Amount: $47,652,609 ($47.7M)

Contractor: Flightsafety International Inc

Awarding Agency: Department of Defense

Start Date: 2018-09-04

End Date: 2026-08-31

Contract Duration: 2,918 days

Daily Burn Rate: $16.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: UH-1Y FTD 2F226-3

Place of Performance

Location: BROKEN ARROW, TULSA County, OKLAHOMA, 74012

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $47.7 million to FLIGHTSAFETY INTERNATIONAL INC for work described as: UH-1Y FTD 2F226-3 Key points: 1. Value for money assessed through benchmarking against similar training device contracts. 2. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 3. Risk indicators appear low based on contractor's established presence and contract type. 4. Performance context is a long-term training solution for critical aviation assets. 5. Sector positioning within defense training services, a specialized and essential market.

Value Assessment

Rating: good

The contract value of approximately $47.6 million for the UH-1Y Flight Training Device (FTD) appears reasonable when benchmarked against similar complex simulation and training systems procured by the Department of Defense. While specific per-unit costs are not detailed, the firm-fixed-price structure suggests that the contractor bears the risk of cost overruns, which is a positive indicator for value. The duration of the contract (over 7 years) also suggests a comprehensive solution rather than a short-term fix, potentially offering better long-term value.

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 healthy level of competition for this specialized training system. A competitive bidding process generally leads to more favorable pricing and innovative solutions for the government, as contractors vie to win the award.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best possible price and quality for essential military training equipment.

Public Impact

Naval aviators operating the UH-1Y Huey helicopter will benefit from enhanced training capabilities. The contract delivers advanced flight training devices crucial for pilot proficiency and mission readiness. Geographic impact is primarily centered around naval air stations where UH-1Y operations occur. Workforce implications include the need for skilled technicians to maintain and operate the training devices.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost creep if contract scope expands beyond initial requirements.
Dependence on a single contractor for critical training device maintenance and upgrades.
Ensuring continued technological relevance of the training devices throughout the contract period.

Positive Signals

Firm-fixed-price contract structure limits government exposure to cost overruns.
Contractor's established expertise in flight simulation technology.
Long-term nature of the contract allows for sustained pilot training capabilities.

Sector Analysis

The defense training and simulation market is a significant segment within the broader aerospace and defense industry. Companies like FlightSafety International play a crucial role in providing advanced simulation solutions that reduce the need for expensive and potentially hazardous live flight training. This contract fits within the government's strategy to leverage technology for cost-effective and efficient military readiness. Comparable spending benchmarks in this sector often involve multi-million dollar procurements for sophisticated simulators.

Small Business Impact

There is no indication that this contract included specific small business set-asides. However, the prime contractor, FlightSafety International, may engage small businesses for subcontracting opportunities related to component manufacturing, specialized services, or logistics. The impact on the small business ecosystem would depend on the extent of any subcontracting plan implemented by the prime.

Oversight & Accountability

The contract is subject to standard Department of Defense oversight mechanisms, including contract administration and performance monitoring. The firm-fixed-price nature provides a degree of accountability by placing cost risk on the contractor. Transparency is generally maintained through contract award databases, though specific performance metrics may be internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

UH-1Y Helicopter Program
Naval Aviation Training Systems
Defense Simulation and Training Contracts
Flight Training Devices

Risk Flags

Long contract duration may increase risk of technological obsolescence.
Dependence on a single contractor for critical training systems.
Potential for scope creep if requirements are not clearly defined and managed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $47.7 million to FLIGHTSAFETY INTERNATIONAL INC. UH-1Y FTD 2F226-3

Who is the contractor on this award?

The obligated recipient is FLIGHTSAFETY INTERNATIONAL INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $47.7 million.

What is the period of performance?

Start: 2018-09-04. End: 2026-08-31.

What is FlightSafety International's track record with similar DoD training simulation contracts?

FlightSafety International has a long-standing and generally positive track record with the Department of Defense and other government agencies for providing aviation training devices and services. They are a well-established leader in the simulation industry, known for developing high-fidelity simulators for a wide range of aircraft, including military platforms. Past performance reviews and contract awards typically reflect their capability to deliver complex simulation systems that meet stringent military requirements. While specific details of past performance on UH-1Y related contracts would require deeper database analysis, their overall reputation suggests a reliable contractor for this type of specialized procurement.

How does the $47.6 million cost compare to other UH-1Y training device procurements or similar helicopter simulators?

Benchmarking the $47.6 million cost requires comparing it to similar procurements, which can be challenging due to variations in simulator fidelity, features, and contract scope (e.g., including maintenance, upgrades, or training services). However, for advanced, full-mission simulators for complex rotorcraft like the UH-1Y, this figure appears within the expected range for a multi-year contract. Historically, high-fidelity simulators can cost anywhere from several million to tens of millions of dollars each, depending on the level of immersion and capabilities. The firm-fixed-price nature and the inclusion of multiple devices or long-term support within this total contract value would influence its relative cost-effectiveness compared to other procurements.

What are the primary risks associated with this specific contract and its execution?

The primary risks associated with this contract include potential technological obsolescence if the training devices are not adequately updated to reflect evolving UH-1Y systems or training requirements. Another risk is contractor performance; while FlightSafety International has a strong reputation, any delays or failures in delivering or maintaining the devices could impact pilot training schedules and readiness. Furthermore, the firm-fixed-price nature, while beneficial for cost control, could incentivize the contractor to cut corners on quality if not rigorously overseen. Ensuring adequate spare parts availability and technical support throughout the contract's lifespan also presents a logistical risk.

How effective are UH-1Y flight training devices in improving pilot proficiency and reducing operational costs?

UH-1Y flight training devices (FTDs) are highly effective tools for improving pilot proficiency by allowing for the safe and repeatable practice of critical maneuvers, emergency procedures, and mission scenarios that might be too risky or costly to perform in actual aircraft. They significantly reduce the wear and tear on operational aircraft and decrease the consumption of fuel and other resources associated with flight hours. By providing a consistent training environment, FTDs ensure that pilots achieve and maintain a high standard of readiness, contributing directly to the overall effectiveness and safety of UH-1Y operations. The use of advanced simulators can also lead to substantial cost savings compared to equivalent flight hours.

What has been the historical spending trend for UH-1Y training systems by the Department of the Navy?

Historical spending on UH-1Y training systems by the Department of the Navy has likely been characterized by periodic procurements of simulators and training perangkat keras as the platform entered service and evolved. Initial investments would have been higher during the platform's development and fielding phases. Subsequent spending would typically involve upgrades, maintenance contracts, and potentially the procurement of additional training devices to meet growing fleet requirements or replace aging equipment. Analyzing specific historical spending requires access to detailed contract databases, but it's reasonable to assume consistent, albeit fluctuating, investment in maintaining the training infrastructure for this critical naval aviation asset.

Are there any specific performance metrics or key performance indicators (KPIs) tied to this contract?

While the provided data does not detail specific performance metrics or KPIs, contracts of this nature for complex training systems typically include stringent requirements. These often involve simulator availability rates (e.g., 95% uptime), fidelity standards (ensuring the simulation accurately replicates aircraft behavior and environmental conditions), maintenance response times, and successful completion of pilot training objectives. The firm-fixed-price structure implies that the contractor is obligated to meet these performance standards to receive full payment. The government would likely monitor these KPIs through regular performance reviews and potentially contractual penalties for non-compliance.

Industry Classification

NAICS: Manufacturing › Commercial and Service Industry Machinery Manufacturing › Other Commercial and Service Industry Machinery Manufacturing

Product/Service Code: TRAINING AIDS AND DEVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N6134018R0016

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 700 N 9TH ST, BROKEN ARROW, OK, 74012

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

Financial Breakdown

Contract Ceiling: $47,652,609

Exercised Options: $47,652,609

Current Obligation: $47,652,609

Actual Outlays: $1,622,460

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline