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
- Lack of detailed performance metrics
- Limited transparency on pricing benchmarks
- Potential for cost creep despite fixed price
Positive Signals
- Awarded under full and open competition
- Firm fixed-price contract type
- Long-term support agreement
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
- Other Support Activities for Air Transportation
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Lack of detailed performance metrics
- Limited transparency on pricing benchmarks
- Potential for cost creep despite fixed price
- Unclear specific services provided
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 Warehousing › Support Activities for Air Transportation › Other 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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