Army Logistics Contract for APS-5 Kuwait/Qatar Exceeds $1.26 Billion, Awarded to Amentum Services

Contract Overview

Contract Amount: $1,264,125,524 ($1.3B)

Contractor: Amentum Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2016-09-27

End Date: 2025-11-21

Contract Duration: 3,342 days

Daily Burn Rate: $378.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::OT::IGF ENHANCED ARMY GLOBAL LOGISTICS ENTERPRISE (EAGLE) - ARMY PREPOSITIONED STOCK (APS)-5 KUWAIT/QATAR, LOGISTICS SUPPORT SERVICES, INCLUDING MAINTENANCE, SUPPLY, AND TRANSPORTATION.

Plain-Language Summary

Department of Defense obligated $1.26 billion to AMENTUM SERVICES, INC. for work described as: IGF::OT::IGF ENHANCED ARMY GLOBAL LOGISTICS ENTERPRISE (EAGLE) - ARMY PREPOSITIONED STOCK (APS)-5 KUWAIT/QATAR, LOGISTICS SUPPORT SERVICES, INCLUDING MAINTENANCE, SUPPLY, AND TRANSPORTATION. Key points: 1. The contract focuses on essential logistics support, including maintenance, supply, and transportation for Army Prepositioned Stock. 2. Amentum Services, Inc. is the sole awardee for this specific delivery order. 3. The contract duration extends to November 2025, indicating a long-term need for these services. 4. The spending is categorized under Facilities Support Services, a broad but critical area for military readiness.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed carefully. Benchmarking against similar logistics support contracts is difficult without more granular cost data.

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, this specific award is a delivery order, implying it's part of a larger contract vehicle.

Taxpayer Impact: Taxpayer funds are supporting critical logistical operations for the U.S. Army in the Middle East, ensuring readiness.

Public Impact

Ensures operational readiness of Army equipment stored in Kuwait and Qatar. Supports military personnel by providing essential services in a strategic region. Contributes to the overall defense posture in the Middle East. Highlights the significant investment in maintaining forward-deployed military assets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • CPFF contract type risk
  • Lack of specific performance metrics in provided data
  • Potential for scope creep in logistics contracts

Positive Signals

  • Supports critical Army operations
  • Long-term contract duration indicates sustained need
  • Awarded via full and open competition

Sector Analysis

This contract falls within the Facilities Support Services sector, which is crucial for maintaining military infrastructure and readiness. Spending benchmarks for this sector can vary widely based on geographic location and specific services required.

Small Business Impact

The provided data does not indicate any specific subcontracting goals or participation by small businesses in this particular delivery order. Further investigation would be needed to assess small business involvement.

Oversight & Accountability

Oversight would typically involve the Department of the Army's contracting command and potentially the Inspector General to ensure performance and cost control. The CPFF structure necessitates robust oversight to manage costs effectively.

Related Government Programs

  • Facilities Support Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Cost overrun potential due to CPFF structure
  • Limited visibility into specific performance metrics
  • Dependency on a single contractor for critical services
  • Geopolitical risks associated with operations in the Middle East

Tags

facilities-support-services, department-of-defense, delivery-order, billion-dollar

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $1.26 billion to AMENTUM SERVICES, INC.. IGF::OT::IGF ENHANCED ARMY GLOBAL LOGISTICS ENTERPRISE (EAGLE) - ARMY PREPOSITIONED STOCK (APS)-5 KUWAIT/QATAR, LOGISTICS SUPPORT SERVICES, INCLUDING MAINTENANCE, SUPPLY, AND TRANSPORTATION.

Who is the contractor on this award?

The obligated recipient is AMENTUM SERVICES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $1.26 billion.

What is the period of performance?

Start: 2016-09-27. End: 2025-11-21.

What is the breakdown of costs for maintenance, supply, and transportation services within this contract?

The provided data does not offer a detailed cost breakdown by service type (maintenance, supply, transportation). A Cost Plus Fixed Fee contract structure means the government reimburses Amentum for allowable costs plus a fixed fee. Understanding the specific allocation of funds to each service would require access to more detailed contract financial reports and performance metrics.

What are the key performance indicators (KPIs) used to measure Amentum's success in providing logistics support?

Key performance indicators for this contract are not detailed in the provided summary. Typically, logistics contracts of this nature would include metrics related to response times for maintenance requests, inventory accuracy, on-time delivery rates for supplies, and vehicle/equipment availability for transportation. Effective oversight would rely on tracking these KPIs.

How does the cost of this contract compare to similar logistics support contracts in other regions or for different branches of the military?

Direct cost comparison is challenging without detailed data on contract scope, duration, specific services, and regional economic factors. However, the magnitude of over $1.26 billion suggests a significant investment, reflecting the complexity and strategic importance of maintaining Army Prepositioned Stock in the Middle East theater.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: PAE Government Services Inc.

Address: 20501 SENECA MEADOWS PKWY STE 300, GERMANTOWN, MD, 20876

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $1,547,927,284

Exercised Options: $1,476,524,412

Current Obligation: $1,264,125,524

Subaward Activity

Number of Subawards: 48

Total Subaward Amount: $369,363,170

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: W52P1J12G0028

IDV Type: BOA

Timeline

Start Date: 2016-09-27

Current End Date: 2025-11-21

Potential End Date: 2025-11-21 00:00:00

Last Modified: 2025-12-05

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