NASA's $124.7M aircraft operations contract to Vertex Aerospace LLC awarded via full and open competition
Contract Overview
Contract Amount: $124,753,446 ($124.8M)
Contractor: Vertex Aerospace LLC
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2013-06-05
End Date: 2019-12-31
Contract Duration: 2,400 days
Daily Burn Rate: $52.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: IGF::OT::IGF THE PURPOSE OF THE AOS CONTRACT IS TO SUPPORT THE OPERATIONS OF ALL AIRCRAFT (PLATFORM, RESEARCH, AND SUPPORT) ASSIGNED TO DRYDEN FLIGHT RESEARCH CENTER (DFRC). THE CONTRACTOR SHALL MANAGE ITS WORKFORCE TO ENSURE THAT QUALITY PRODUCTS AND SAFE OPERATIONS ARE PROVIDED TO NASA AND NASA CUSTOMERS. DFRC AIRCRAFT ARE THOSE LOCATED AT THE MAIN CAMPUS (EDWARDS AIR FORCE BASE, CALIFORNIA) AND DRYDEN AIRCRAFT OPERATIONS FACILITY (DAOF) LOCATED IN PALMDALE, CALIFORNIA. THE CONTRACTOR SHALL ALSO SUPPORT ALL OPERATIONS DURING THE DEPLOYMENT OF THESE AIRCRAFT FOR OPERATIONS AT OTHER FACILITIES, BOTH WITHIN THE CONTIGUOUS UNITED STATES (CONUS) AND OUTSIDE THE CONTIGUOUS UNITED STATES (OCONUS). AIRCRAFT OPERATIONS SUPPORT INCLUDES AIRCRAFT MAINTENANCE (ORGANIZATIONAL [O], INTERMEDIATE [I], AS WELL AS LIMITED DEPOT [D] LEVEL), AIRCRAFT MODIFICATION, AIRCREW, AND FLIGHT-LINE OPERATIONS. THE CONTRACTOR SHALL MAINTAIN ALL ASSIGNED EQUIPMENT, AS DESCRIBED HEREIN ON AIRFRAMES, AND ENGINES ASSIGNED TO DFRC. AIRCRAFT TYPES INCLUDE, BUT ARE NOT LIMITED TO, MOTORGLIDER THROUGH LARGE COMMERCIAL, MILITARY AND EXPERIMENTAL ONE-OF-A-KIND RESEARCH AIRCRAFT, SOME OF WHICH ARE FAA CERTIFIED.
Place of Performance
Location: EDWARDS, KERN County, CALIFORNIA, 93523
Plain-Language Summary
National Aeronautics and Space Administration obligated $124.8 million to VERTEX AEROSPACE LLC for work described as: IGF::OT::IGF THE PURPOSE OF THE AOS CONTRACT IS TO SUPPORT THE OPERATIONS OF ALL AIRCRAFT (PLATFORM, RESEARCH, AND SUPPORT) ASSIGNED TO DRYDEN FLIGHT RESEARCH CENTER (DFRC). THE CONTRACTOR SHALL MANAGE ITS WORKFORCE TO ENSURE THAT QUALITY PRODUCTS AND SAFE OPERATIONS ARE PROVID… Key points: 1. Contract provides comprehensive support for NASA's Dryden Flight Research Center aircraft, including maintenance and operational support. 2. The contract emphasizes quality products and safe operations, crucial for research and support aircraft. 3. Operations span across Edwards Air Force Base and Palmdale, California, with support for CONUS and OCONUS deployments. 4. Vertex Aerospace LLC, the contractor, is responsible for managing its workforce to meet NASA's requirements. 5. The contract type is Cost Plus Award Fee, incentivizing performance and cost control. 6. This contract represents a significant investment in maintaining NASA's unique research aviation capabilities.
Value Assessment
Rating: good
The total obligated amount for this contract is $124.7 million over its period of performance. Benchmarking this against similar contracts for aircraft operations and maintenance support for government research facilities is challenging due to the specialized nature of NASA's Dryden Flight Research Center. However, the Cost Plus Award Fee structure suggests an expectation of performance-based value, where the contractor can earn additional fees for meeting or exceeding specific performance targets. Without detailed performance metrics and award fee payouts, a precise value-for-money assessment is difficult, but the structure aims to align contractor incentives with NASA's objectives.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The data shows three bids were received, suggesting a reasonable level of competition for this specialized service. The competitive process is designed to foster price discovery and encourage offerors to submit their best proposals, potentially leading to more favorable pricing and terms for the government.
Taxpayer Impact: A full and open competition generally benefits taxpayers by promoting a competitive environment that can drive down costs and improve the quality of services received, ensuring that taxpayer funds are used efficiently.
Public Impact
NASA's Dryden Flight Research Center benefits directly through the sustained operational readiness of its unique research aircraft fleet. The contract ensures the availability of specialized aircraft for critical research, development, and testing missions. The geographic impact is centered in California, supporting operations at Edwards Air Force Base and the Palmdale facility. Workforce implications include employment for skilled aviation maintenance technicians, engineers, and support staff managed by Vertex Aerospace LLC. The contract supports NASA's broader mission of aeronautical research and space exploration by providing essential flight operations infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns inherent in Cost Plus Award Fee contracts if performance targets are not met efficiently.
- Dependence on a single contractor for critical aircraft operations could pose a risk if performance degrades significantly.
Positive Signals
- Award Fee structure incentivizes contractor performance and quality.
- Full and open competition suggests a robust bidding process.
- Contract duration of approximately 6.6 years indicates a stable, long-term partnership.
Sector Analysis
This contract falls within the broader aerospace and defense sector, specifically focusing on aviation support services. The market for specialized aircraft maintenance and operations for government research facilities is niche, often requiring unique expertise and certifications. Comparable spending benchmarks are difficult to establish precisely due to the specialized nature of NASA's research fleet. However, the total contract value of $124.7 million over its duration reflects a significant investment in maintaining critical national assets for scientific and technological advancement.
Small Business Impact
The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. However, Vertex Aerospace LLC, as the prime contractor, may choose to subcontract portions of the work to small businesses as part of its overall business strategy, which could indirectly benefit the small business ecosystem.
Oversight & Accountability
Oversight for this contract is primarily managed by the National Aeronautics and Space Administration (NASA). As a Cost Plus Award Fee contract, performance metrics and award fee determinations are key oversight mechanisms. NASA contracting officers and technical representatives would monitor contractor performance against established requirements and award fees accordingly. Transparency is generally maintained through contract reporting mechanisms, though specific details of award fee payouts may not be publicly disclosed. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.
Related Government Programs
- NASA Aeronautics Research Mission
- Aircraft Maintenance Services
- Flight Operations Support
- Government Research Facilities Support
- Aerospace Contractor Services
Risk Flags
- Cost Plus Award Fee structure requires careful monitoring to prevent cost overruns.
- Dependence on a single contractor for critical operations.
- Specialized nature of aircraft may limit competition for future contracts.
- Geographic concentration of operations in California.
Tags
nasa, vertex-aerospace-llc, aircraft-operations, aircraft-maintenance, cost-plus-award-fee, full-and-open-competition, california, research-and-development, aviation-services, definitive-contract, large-contract
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $124.8 million to VERTEX AEROSPACE LLC. IGF::OT::IGF THE PURPOSE OF THE AOS CONTRACT IS TO SUPPORT THE OPERATIONS OF ALL AIRCRAFT (PLATFORM, RESEARCH, AND SUPPORT) ASSIGNED TO DRYDEN FLIGHT RESEARCH CENTER (DFRC). THE CONTRACTOR SHALL MANAGE ITS WORKFORCE TO ENSURE THAT QUALITY PRODUCTS AND SAFE OPERATIONS ARE PROVIDED TO NASA AND NASA CUSTOMERS. DFRC AIRCRAFT ARE THOSE LOCATED AT THE MAIN CAMPUS (EDWARDS AIR FORCE BASE, CALIFORNIA) AND DRYDEN AIRCRAFT OPERATIONS FACILITY (DAOF) LOCATED IN PALMDALE, CALIFORNIA. THE CONTRACTOR SHA
Who is the contractor on this award?
The obligated recipient is VERTEX AEROSPACE LLC.
Which agency awarded this contract?
Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).
What is the total obligated amount?
The obligated amount is $124.8 million.
What is the period of performance?
Start: 2013-06-05. End: 2019-12-31.
What is Vertex Aerospace LLC's track record with NASA and similar government contracts?
Vertex Aerospace LLC has a history of performing aviation-related services for government entities. While specific details of their past performance on NASA contracts require deeper investigation, their ability to win a full and open competition for a significant contract like this suggests they met NASA's pre-qualification criteria. Their experience likely includes aircraft maintenance, modification, and support services. A thorough review would involve examining past performance evaluations, any documented disputes or contract modifications, and their overall financial stability and capacity to handle complex aviation operations. Their success in securing this contract indicates a level of trust and capability recognized by NASA.
How does the pricing structure of this Cost Plus Award Fee contract compare to industry standards for similar services?
Cost Plus Award Fee (CPAF) contracts are common in government contracting, particularly for complex services where performance outcomes are critical and difficult to define precisely upfront. In a CPAF structure, the contractor is reimbursed for allowable costs plus a fee that consists of a fixed base amount and an award amount that is earned based on meeting or exceeding performance objectives. For specialized aircraft operations and maintenance, CPAF aims to incentivize high performance and quality. Benchmarking the 'cost' portion requires detailed analysis of the contractor's proposed labor rates, material costs, and overhead, compared to market rates for similar skilled labor and services. The 'award fee' component is subjective and tied to specific performance criteria set by the government, making direct price comparison difficult without knowing those criteria and the awarded fees.
What are the primary risks associated with this contract and how are they being mitigated?
Key risks include potential cost overruns, performance deficiencies impacting research schedules, and contractor personnel issues (e.g., retention of skilled staff). Cost overruns are a general risk in CPAF contracts if not managed tightly, though the award fee mechanism is intended to incentivize cost control. Performance risks are mitigated by NASA's oversight, defined performance metrics, and the potential for reduced award fees or penalties if objectives are not met. Personnel risks are managed through the contractor's workforce management responsibilities outlined in the contract. NASA's technical representatives would monitor operations closely to identify and address any emerging issues promptly.
How effective has this contract been in ensuring the operational readiness and safety of NASA's research aircraft fleet?
Assessing the effectiveness requires access to NASA's performance evaluations and operational data related to this contract. The contract's objective is to ensure quality products and safe operations, which are fundamental to NASA's research mission. The duration of the contract (approximately 6.6 years) suggests a level of satisfaction with the contractor's performance over time. However, without specific metrics on aircraft availability, mission success rates, safety incidents, and award fee payouts, a definitive judgment on effectiveness is not possible from the provided data alone. NASA's internal reviews and reporting would hold this information.
What are the historical spending patterns for aircraft operations and maintenance at NASA's Dryden Flight Research Center?
To understand historical spending patterns, one would need to analyze NASA's budget allocations and contract awards for aircraft operations and maintenance at DFRC over several years prior to and during this contract's period of performance. This would involve looking at previous contracts, their values, durations, and the types of services provided. Comparing the $124.7 million obligated amount for this contract against historical figures would reveal whether spending has increased, decreased, or remained stable. Factors influencing spending could include fleet size, complexity of aircraft, research objectives, and inflation. This analysis would provide context on the scale and trend of investment in DFRC's aviation capabilities.
What is the potential impact of this contract on the broader aerospace services market, particularly in California?
This contract represents a significant award to Vertex Aerospace LLC, potentially bolstering their presence and capabilities in the aerospace services sector, particularly in California where DFRC is located. It signifies continued government investment in specialized aviation support. The contract's value and duration can influence market dynamics by setting benchmarks for pricing and service expectations. It may also lead to job creation or retention within the region for skilled aviation personnel. Furthermore, it underscores the demand for contractors capable of meeting stringent government requirements for safety and operational excellence in aviation.
Industry Classification
NAICS: Transportation and Warehousing › Support Activities for Air Transportation › Other Support Activities for Air Transportation
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: NND12374506R
Offers Received: 3
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Vertex Aerospace Services Corp.
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: $130,007,214
Exercised Options: $129,820,400
Current Obligation: $124,753,446
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $548,041
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2013-06-05
Current End Date: 2019-12-31
Potential End Date: 2020-06-30 00:00:00
Last Modified: 2025-12-18
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