Navy awards $23M facilities support contract to Alutiiq Logistics & Maintenance Services, LLC

Contract Overview

Contract Amount: $22,981,687 ($23.0M)

Contractor: Alutiiq Logistics & Maintenance Services, LLC

Awarding Agency: Department of Defense

Start Date: 2025-08-16

End Date: 2026-08-15

Contract Duration: 364 days

Daily Burn Rate: $63.1K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: N6247325D0013 - BASE OPERATING SUPPORT (BOS) CONTRACT NAWS CHINA LAKE, BASE YEAR FUNDING TASK ORDER

Place of Performance

Location: RIDGECREST, KERN County, CALIFORNIA, 93555

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $23.0 million to ALUTIIQ LOGISTICS & MAINTENANCE SERVICES, LLC for work described as: N6247325D0013 - BASE OPERATING SUPPORT (BOS) CONTRACT NAWS CHINA LAKE, BASE YEAR FUNDING TASK ORDER Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Facilities Support Services sector sees significant government investment. 3. Base operating support is critical for naval readiness. 4. Contract duration of one year with potential for extensions. 5. Firm Fixed Price contract type shifts risk to the contractor. 6. Geographic concentration in California for this specific award.

Value Assessment

Rating: fair

The contract value of $22.98 million for a one-year base operating support services contract at NAWS China Lake appears within a reasonable range for such services, given the scope of facilities management. However, without detailed breakdowns of the services provided and comparable contract data for similar naval installations, a precise value-for-money assessment is challenging. The firm fixed-price structure suggests that the contractor bears the risk of cost overruns, which can be a positive indicator if the price is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not openly competed. This approach is typically used when only one responsible source is available or authorized by statute. The lack of competition means that the government did not benefit from multiple bids to drive down prices or encourage innovation. The justification for a sole-source award would need to be thoroughly reviewed to ensure it was appropriate and in the government's best interest.

Taxpayer Impact: Sole-source awards limit the government's ability to secure the best possible pricing through competitive bidding, potentially leading to higher costs for taxpayers.

Public Impact

Naval Air Weapons Station (NAWS) China Lake benefits from essential base operating support services. Ensures the continued functionality and readiness of critical naval infrastructure. Services likely include maintenance, repair, and general facility upkeep. Supports the operational capabilities of the U.S. Navy in California.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Facilities Support Services sector (NAICS code 561210) is a significant component of government contracting, encompassing a wide range of services necessary for the operation and maintenance of federal facilities. This contract for base operating support at a naval air weapons station falls squarely within this sector. Spending in this area is consistent across various defense and civilian agencies, reflecting the ongoing need to maintain government infrastructure. Benchmarks for similar BOS contracts can vary widely based on location, facility size, and service complexity.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it indicate any specific subcontracting requirements for small businesses in the provided data. The sole-source nature of the award further reduces the likelihood of direct small business participation through competitive bidding. Future contract actions or modifications would need to be reviewed to assess any potential impact or opportunities for small businesses within the ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Navy's contracting and program management offices. The firm fixed-price nature of the contract places the onus on the contractor to manage costs effectively. Transparency regarding the justification for the sole-source award and ongoing performance monitoring by the government are key accountability measures. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

defense, department-of-defense, department-of-the-navy, facilities-support-services, base-operating-support, sole-source, firm-fixed-price, california, naval-air-weapons-station-china-lake, alutiiq-logistics-maintenance-services-llc, large-contract, annual-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.0 million to ALUTIIQ LOGISTICS & MAINTENANCE SERVICES, LLC. N6247325D0013 - BASE OPERATING SUPPORT (BOS) CONTRACT NAWS CHINA LAKE, BASE YEAR FUNDING TASK ORDER

Who is the contractor on this award?

The obligated recipient is ALUTIIQ LOGISTICS & MAINTENANCE SERVICES, 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 $23.0 million.

What is the period of performance?

Start: 2025-08-16. End: 2026-08-15.

What specific services are included under this Base Operating Support (BOS) contract, and how do they align with the needs of NAWS China Lake?

While the data specifies 'Base Operating Support (BOS) Contract', it does not detail the specific services rendered. Typically, BOS contracts encompass a broad range of facility management functions, including but not limited to, maintenance and repair of buildings and grounds, utilities management, waste management, fire protection, transportation services, and potentially security. For NAWS China Lake, these services are crucial for maintaining the operational readiness and safety of a large, complex military installation. A detailed statement of work (SOW) would outline the precise requirements, service level agreements (SLAs), and performance metrics that Alutiiq Logistics & Maintenance Services, LLC must meet to ensure the effective functioning of the base's infrastructure and support its mission-critical activities.

What is the justification for awarding this contract on a sole-source basis, and what are the implications for cost-effectiveness?

The provided data indicates this contract was awarded on a 'NOT COMPETED' basis, signifying a sole-source procurement. The specific justification for this sole-source award is not detailed in the provided data but typically stems from situations where only one contractor possesses the necessary unique capabilities, security clearances, or is the only responsible source available, often due to urgent needs or specific technical requirements. The primary implication for cost-effectiveness is the absence of competitive pressure. Without multiple bids, the government may not achieve the lowest possible price, and the negotiation process becomes critical in ensuring a fair and reasonable cost. A thorough review of the sole-source justification document is essential to understand why competition was precluded and to assess if the negotiated price reflects adequate value.

How does the firm fixed-price (FFP) contract type impact risk allocation between the government and Alutiiq Logistics & Maintenance Services, LLC?

The contract is designated as 'FIRM FIXED PRICE' (FFP), which is a contract type that places the majority of the cost risk on the contractor, Alutiiq Logistics & Maintenance Services, LLC. Under an FFP contract, the contractor agrees to a total price for a well-defined scope of work and is responsible for controlling costs to achieve profitability. If the contractor's costs exceed the agreed-upon price, their profit margin decreases, or they may incur a loss. Conversely, if they manage costs effectively and complete the work for less than the fixed price, their profit increases. This structure incentivizes the contractor to be efficient and manage resources diligently, as they bear the financial consequences of cost overruns. For the government, an FFP contract provides cost certainty, as the total price is fixed, assuming the scope of work does not change.

What is the historical spending pattern for Base Operating Support at NAWS China Lake, and how does this award compare?

The provided data only includes details for the current award (N6247325D0013) with a base year funding task order of $22,981,687. To understand historical spending patterns, one would need to access historical contract data for NAWS China Lake's BOS requirements. This would involve searching contract databases for previous awards to Alutiiq Logistics & Maintenance Services, LLC or other contractors performing similar functions at the base. Analyzing these past awards would reveal trends in contract values, duration, competition levels, and the types of services procured. Comparing this current award to historical data would help determine if the $23 million figure is consistent with previous spending, represents an increase or decrease, and whether the shift to a sole-source award deviates from prior competitive procurement strategies.

What are the potential performance risks associated with this contract, given its sole-source nature and the critical services provided?

Performance risks for this sole-source BOS contract are multifaceted. Firstly, the lack of competition might reduce the contractor's incentive to excel beyond minimum contractual requirements, potentially leading to complacency. Secondly, if Alutiiq Logistics & Maintenance Services, LLC lacks robust internal quality control or faces unforeseen operational challenges, the critical base operations at NAWS China Lake could be disrupted. Risks also include potential cost overruns if the fixed price was not adequately estimated for the full scope of work, although the FFP structure shifts this risk primarily to the contractor. Furthermore, the government's reliance on a single source means that any performance issues could be difficult to rectify quickly without potentially lengthy and complex re-procurement processes, impacting mission readiness.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N6247325R3432

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Afognak Native Corporation

Address: 3909 ARCTIC BLVD STE 500, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,454,643

Exercised Options: $24,454,643

Current Obligation: $22,981,687

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $2,039,582

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N6247325D0013

IDV Type: IDC

Timeline

Start Date: 2025-08-16

Current End Date: 2026-08-15

Potential End Date: 2026-08-15 00:00:00

Last Modified: 2025-10-30

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