DoD's $41M Rotary Wing Airlift Contract for Afghanistan: Erickson Helicopters Awarded
Contract Overview
Contract Amount: $41,022,534 ($41.0M)
Contractor: Erickson Helicopters, Inc.
Awarding Agency: Department of Defense
Start Date: 2010-09-30
End Date: 2013-10-31
Contract Duration: 1,127 days
Daily Burn Rate: $36.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 11
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: ROTARY WING AIRLIFT SERVICES IN AFGHANISTAN
Plain-Language Summary
Department of Defense obligated $41.0 million to ERICKSON HELICOPTERS, INC. for work described as: ROTARY WING AIRLIFT SERVICES IN AFGHANISTAN Key points: 1. Contract awarded to Erickson Helicopters, Inc. for $41M. 2. Service is nonscheduled chartered passenger air transportation. 3. Full and open competition was utilized. 4. Contract duration spans from September 2010 to October 2013.
Value Assessment
Rating: fair
The contract's total value of $41M over three years suggests a significant investment. Benchmarking against similar airlift services is difficult without more specific performance metrics and unit costs.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing.
Taxpayer Impact: Taxpayer funds were utilized for essential airlift services in a critical operational theater, with competition aiming for cost-effectiveness.
Public Impact
Ensured critical transportation capabilities for military operations in Afghanistan. Supported troop and cargo movement, vital for mission success. Provided employment opportunities through Erickson Helicopters, Inc.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics for cost-effectiveness evaluation.
- Geopolitical risks associated with operations in Afghanistan.
Positive Signals
- Utilized full and open competition.
- Provided essential airlift services.
Sector Analysis
Rotary wing airlift services are crucial for military logistics, especially in complex environments like Afghanistan. Spending benchmarks vary widely based on aircraft type, mission, and operational theater.
Small Business Impact
The data indicates the prime contractor is Erickson Helicopters, Inc. No specific information is provided regarding small business subcontracting participation within this contract.
Oversight & Accountability
Awarded under full and open competition, suggesting a structured procurement process. Oversight would focus on contract performance, delivery, and adherence to terms.
Related Government Programs
- Nonscheduled Chartered Passenger Air Transportation
- Department of Defense Contracting
- USTRANSCOM Programs
Risk Flags
- Geopolitical instability in Afghanistan.
- Potential for cost overruns due to operational complexities.
- Dependence on specific aircraft and maintenance capabilities.
- Limited visibility into specific performance metrics.
Tags
nonscheduled-chartered-passenger-air-tra, department-of-defense, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $41.0 million to ERICKSON HELICOPTERS, INC.. ROTARY WING AIRLIFT SERVICES IN AFGHANISTAN
Who is the contractor on this award?
The obligated recipient is ERICKSON HELICOPTERS, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (USTRANSCOM).
What is the total obligated amount?
The obligated amount is $41.0 million.
What is the period of performance?
Start: 2010-09-30. End: 2013-10-31.
What was the average annual cost of these airlift services?
The total contract value was $41,022,533.99 over approximately three years (September 30, 2010, to October 31, 2013). This averages to roughly $13.67 million per year. This figure represents the total obligated amount for the services provided.
What were the primary risks associated with this contract?
Key risks included operational hazards in Afghanistan, potential for mission creep or extended duration beyond initial estimates, and reliance on a single primary contractor for critical services. Fluctuations in fuel costs and maintenance could also impact overall cost-effectiveness.
How effectively did this contract meet its intended objectives?
The contract successfully provided essential rotary wing airlift services, crucial for military operations in Afghanistan. Its effectiveness is measured by the reliable support it offered for troop and cargo movement, contributing to mission accomplishment.
Industry Classification
NAICS: Transportation and Warehousing › Nonscheduled Air Transportation › Nonscheduled Chartered Passenger Air Transportation
Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HTC71110RR001
Offers Received: 11
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Erickson Incorporated (UEI: 076414135)
Address: 3850 THREE MILE LN, MCMINNVILLE, OR, 97128
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $93,611,150
Exercised Options: $41,022,534
Current Obligation: $41,022,534
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HTC71110DR028
IDV Type: IDC
Timeline
Start Date: 2010-09-30
Current End Date: 2013-10-31
Potential End Date: 2013-10-31 00:00:00
Last Modified: 2016-02-23
More Contracts from Erickson Helicopters, Inc.
- Dedicated Medium Rotary Wing — $144.6M (Department of Defense)
- Afghanistan Rotary Wing Airlift — $40.5M (Department of Defense)
- , Vertical Replenishment and Rotary Wing Support — $36.6M (Department of Defense)
- Transportation Services in Support of Arlit,Niger — $35.3M (Department of Defense)
- N00033-13-C-8000 Award — $34.8M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)