DoD's $63.7M Air Transportation Support Contract with DynCorp International Faces Scrutiny Over Value and Competition

Contract Overview

Contract Amount: $63,753,493 ($63.8M)

Contractor: Dyncorp International LLC

Awarding Agency: Department of Defense

Start Date: 2015-02-18

End Date: 2018-02-20

Contract Duration: 1,098 days

Daily Burn Rate: $58.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: IGF::OT::IGF

Place of Performance

Location: FORT WORTH, TARRANT County, TEXAS, 76177

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $63.8 million to DYNCORP INTERNATIONAL LLC for work described as: IGF::OT::IGF Key points: 1. Contract awarded for $63.7M over 3 years for air transportation support. 2. Full and open competition was used, but specific pricing benchmarks are unclear. 3. Potential risks include cost overruns and lack of detailed performance metrics. 4. The sector is critical for military logistics and operations.

Value Assessment

Rating: fair

The contract's value of $63.7M for 1098 days of support appears reasonable on the surface, but without detailed performance metrics or comparable contract data, a precise value assessment is difficult. The firm fixed-price structure offers some cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the lack of readily available pricing details for similar services makes it challenging to definitively assess if the price discovery was optimal.

Taxpayer Impact: Taxpayer funds were used for this contract. While competition was employed, the ultimate value for money and potential for cost efficiencies could be improved with more transparent pricing data.

Public Impact

Ensures critical air transportation support for military operations. Supports a large government contractor, potentially impacting employment. Funds allocated could be subject to scrutiny regarding efficiency and effectiveness.

Waste & Efficiency Indicators

Waste Risk Score: 58 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the broader defense logistics and support services sector. Spending in this area is substantial, driven by the need for operational readiness and global reach. Benchmarks are often tied to specific mission requirements and aircraft types.

Small Business Impact

The data does not indicate any specific subcontracting goals or achievements for small businesses on this contract. Larger prime contractors often manage significant portions of such work, potentially limiting direct opportunities for smaller entities.

Oversight & Accountability

Oversight would typically involve the Defense Contract Management Agency (DCMA) monitoring performance and compliance. The effectiveness of this oversight depends on the clarity of contract terms and the rigor of reporting requirements.

Related Government Programs

Risk Flags

Tags

other-support-activities-for-air-transpo, department-of-defense, tx, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $63.8 million to DYNCORP INTERNATIONAL LLC. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is DYNCORP INTERNATIONAL LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $63.8 million.

What is the period of performance?

Start: 2015-02-18. End: 2018-02-20.

What specific air transportation support services were included in this contract, and how were they quantified to justify the $63.7M price tag?

The contract details 'Other Support Activities for Air Transportation' but lacks specifics on the exact services rendered. Quantifying these services would involve metrics like flight hours, maintenance tasks, logistical support provided, or personnel deployed. Without this granular data, assessing the value proposition and ensuring the $63.7M was fully justified is challenging.

Given the firm fixed-price structure, what mechanisms were in place to mitigate risks associated with potential cost overruns or scope creep during the contract's three-year duration?

While firm fixed-price contracts aim to cap costs, risks remain. Mitigation likely involved detailed initial scope definition, performance standards, and change order clauses. However, the absence of specific performance metrics makes it difficult to ascertain if DynCorp International met all obligations efficiently or if unforeseen issues led to increased costs borne by the government.

How effectively did the 'full and open competition' process ensure the best possible price and service quality for these air transportation support activities?

Full and open competition theoretically maximizes the pool of potential bidders, fostering price competition. However, its effectiveness hinges on clear solicitation requirements and robust evaluation criteria. Without access to the bidding data and evaluation outcomes, it's hard to confirm if the chosen price truly reflected the best value or if other factors influenced the award beyond pure cost-effectiveness.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Air TransportationOther Support Activities for Air Transportation

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cerberus Capital Management, L.P. (UEI: 014784388)

Address: 13500 HERITAGE PKWY, FORT WORTH, TX, 76177

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

Financial Breakdown

Contract Ceiling: $118,951,400

Exercised Options: $63,753,493

Current Obligation: $63,753,493

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2015-02-18

Current End Date: 2018-02-20

Potential End Date: 2018-02-20 00:00:00

Last Modified: 2020-10-07

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