DoD's AMCOM G-3 Support contract awarded to AXIENT LLC for over $35M, with 4 delivery orders

Contract Overview

Contract Amount: $35,439,794 ($35.4M)

Contractor: Axient LLC

Awarding Agency: Department of Defense

Start Date: 2021-09-24

End Date: 2026-03-23

Contract Duration: 1,641 days

Daily Burn Rate: $21.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: AVIATION AND MISSILE COMMAND (AMCOM) G-3 SUPPORT

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $35.4 million to AXIENT LLC for work described as: AVIATION AND MISSILE COMMAND (AMCOM) G-3 SUPPORT Key points: 1. Value for money appears fair given the 5-year duration and fixed-price nature. 2. Competition dynamics indicate a full and open process, likely driving competitive pricing. 3. Risk indicators are moderate, with a long contract duration and fixed-price terms. 4. Performance context is within engineering services for aviation and missile command. 5. Sector positioning is within defense services, a significant area of federal spending.

Value Assessment

Rating: fair

The total award value of $35.4M over approximately 5 years suggests a moderate annual spend. Without specific performance metrics or detailed cost breakdowns, a precise value-for-money assessment is challenging. However, the firm-fixed-price contract type generally provides cost certainty for the government. Benchmarking against similar engineering support contracts within the DoD would be necessary for a more definitive value assessment.

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 presence of 4 delivery orders suggests multiple phases or taskings under this contract. The level of competition, while not explicitly detailed by the number of bidders, is generally expected to yield more competitive pricing compared to sole-source or limited competition awards.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it promotes a wider range of offers and potentially lower prices due to market forces.

Public Impact

The primary beneficiaries are the Department of the Army's Aviation and Missile Command (AMCOM). Services delivered likely include engineering, technical, and program support critical to AMCOM's mission. Geographic impact is centered in Alabama, where AMCOM is located. Workforce implications may involve skilled engineers and technical professionals employed by AXIENT LLC and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could lead to potential cost overruns if not managed effectively.
Reliance on a single contractor for extended periods might reduce flexibility.
Scope creep could be a risk if not tightly managed through delivery orders.

Positive Signals

Firm-fixed-price contract provides cost predictability.
Full and open competition suggests a competitive award process.
Multiple delivery orders indicate ongoing need and potential for phased execution.

Sector Analysis

This contract falls within the Engineering Services sector, a critical component of the broader defense industrial base. The market for defense engineering services is substantial, with significant government spending allocated annually. This contract supports the specific needs of the Aviation and Missile Command, a key entity within the Department of Defense, indicating its role in specialized defense support.

Small Business Impact

The data indicates that small business participation was not a primary set-aside consideration for this specific contract (ss: false, sb: false). While AXIENT LLC may engage small businesses as subcontractors, the primary award was not designated for small business. Further analysis would be needed to determine the extent of small business subcontracting and its impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program management office within the Department of the Army's AMCOM. Accountability measures are embedded within the firm-fixed-price contract terms and delivery order requirements. Transparency is facilitated through contract award databases, though detailed performance reports may not be publicly available.

Related Government Programs

Department of Defense Engineering Services
Aviation and Missile Command Support Contracts
Army Aviation Support
Missile Defense Support

Risk Flags

Long-term contract duration
Firm-fixed-price terms
Potential for scope creep

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $35.4 million to AXIENT LLC. AVIATION AND MISSILE COMMAND (AMCOM) G-3 SUPPORT

Who is the contractor on this award?

The obligated recipient is AXIENT LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $35.4 million.

What is the period of performance?

Start: 2021-09-24. End: 2026-03-23.

What is the historical spending trend for AMCOM G-3 support services?

Historical spending data for AMCOM G-3 support services prior to this contract award would provide valuable context. Analyzing previous contract values, durations, and the number of competitors over time can reveal trends in demand, pricing, and market dynamics. For instance, if spending has consistently increased, it might indicate growing requirements or inflation. Conversely, a decrease could suggest program consolidation or efficiency gains. Without specific historical data points, it's difficult to ascertain if the current $35.4M award represents a significant increase, decrease, or stable level of investment for these services. Benchmarking against prior years' obligations for similar services would be crucial for a comprehensive understanding of the spending trajectory.

How does AXIENT LLC's performance on similar contracts compare to industry benchmarks?

Assessing AXIENT LLC's past performance on comparable federal contracts is essential for evaluating the risk and potential success of this award. Key metrics to examine include on-time delivery, adherence to budget, quality of services rendered, and any past performance issues or awards. Comparing these metrics against industry averages or benchmarks for engineering services within the defense sector can highlight areas of strength or potential concern. For example, if AXIENT LLC has a consistent record of exceeding expectations on similar firm-fixed-price contracts, it suggests a lower risk profile for this award. Conversely, a history of performance issues or contract disputes would warrant closer scrutiny and potentially more robust oversight mechanisms.

What is the breakdown of costs within the $35.4M award, and how does it compare to market rates for engineering services?

The total award value of $35.4M represents the ceiling for services provided under this contract. A detailed cost breakdown, including labor rates, overhead, materials, and profit margins, is typically not publicly disclosed for individual contract awards. However, the firm-fixed-price nature implies that AXIENT LLC has proposed a total price for the defined scope of work. To assess value for money, this proposed pricing would ideally be benchmarked against market rates for similar engineering services, considering factors like geographic location, required expertise, and security clearances. If the proposed rates appear significantly higher than market averages for comparable services, it could indicate a potential overpayment or a lack of sufficient competitive pressure during the bidding process.

What specific engineering services are included under the AMCOM G-3 support contract?

The designation 'AMCOM G-3 Support' suggests that the services procured are related to the operational and strategic planning functions of the Aviation and Missile Command (G-3 is often associated with operations). This could encompass a wide range of engineering disciplines, including systems engineering, test and evaluation support, logistics engineering, program management support, technical analysis, and potentially research and development support for aviation and missile systems. The specific Statement of Work (SOW) within the contract documents would detail the precise tasks and deliverables. Understanding the scope is crucial for evaluating the contract's alignment with AMCOM's mission objectives and for comparing its value against similar specialized support contracts.

What is the potential impact of this contract on the broader defense engineering services market?

The award of a significant contract like this to AXIENT LLC can have ripple effects across the defense engineering services market. It reinforces AXIENT's position as a key provider in this niche, potentially influencing their ability to secure future contracts. For competitors, it highlights the competitive landscape and may spur innovation or strategic adjustments. Furthermore, the demand for specialized engineering talent to fulfill such contracts can impact labor markets, potentially driving up wages or creating opportunities for skilled professionals. The contract's duration and value also signal continued government investment in aviation and missile systems support, which can influence strategic planning and resource allocation for other companies operating in this sector.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 360A QUALITY CIRCLE, HUNTSVILLE, AL, 35806

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

Financial Breakdown

Contract Ceiling: $43,886,814

Exercised Options: $35,439,794

Current Obligation: $35,439,794

Subaward Activity

Number of Subawards: 11

Total Subaward Amount: $13,868,278

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAD20DU102

IDV Type: IDC

Timeline