DoD's $25.2M Army Depot Maintenance Contract Awarded to Amentum Services, Inc. for Depot Support

Contract Overview

Contract Amount: $25,261,019 ($25.3M)

Contractor: Amentum Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2016-01-17

End Date: 2016-05-15

Contract Duration: 119 days

Daily Burn Rate: $212.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Defense

Official Description: IGF::OT::IGF MILITARY AND PRODUCTION EQUIPMENT MAINTENANCE, LOGISTICAL SUPPORT AND GENERAL SUPPLY SUPPORT TO BE PERFORMED AT RED RIVER ARMY DEPOT.

Place of Performance

Location: TEXARKANA, BOWIE County, TEXAS, 75501

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $25.3 million to AMENTUM SERVICES, INC. for work described as: IGF::OT::IGF MILITARY AND PRODUCTION EQUIPMENT MAINTENANCE, LOGISTICAL SUPPORT AND GENERAL SUPPLY SUPPORT TO BE PERFORMED AT RED RIVER ARMY DEPOT. Key points: 1. Contract provides essential maintenance and logistical support for military equipment at Red River Army Depot. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. Amentum Services, Inc. is the sole awardee for this specific delivery order. 4. The contract duration is relatively short, spanning approximately 4 months. 5. The primary service category is General Automotive Repair, indicating a focus on vehicle and equipment upkeep. 6. The contract was awarded as a Delivery Order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar framework.

Value Assessment

Rating: fair

Benchmarking the value of this specific delivery order is challenging without knowing the broader IDIQ contract it belongs to or the specific services rendered. The reported value of approximately $25.2 million for a 4-month period suggests a significant operational scope. However, without comparable delivery orders or detailed service breakdowns, a precise value-for-money assessment is difficult. The contract's focus on depot maintenance and logistical support is critical for military readiness, which inherently carries a certain cost.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition,' indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified in the provided data, but the designation suggests a competitive process was intended. This level of competition is generally favorable for price discovery and ensuring the government receives competitive pricing.

Taxpayer Impact: A full and open competition process typically benefits taxpayers by driving down costs through market forces, leading to potentially better value for the funds expended.

Public Impact

The primary beneficiaries are the U.S. Army units relying on well-maintained military equipment. Services include maintenance, logistical support, and general supply support for military production equipment. The geographic impact is centered at the Red River Army Depot in Texas. Workforce implications include employment opportunities for skilled technicians and support staff at the depot.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders limits the assessment of the true competitive intensity.
The short duration of the delivery order might indicate a need for specific, time-bound support rather than long-term sustainment.
Without the parent IDIQ contract details, it's hard to assess if this delivery order represents a fair price within a larger framework.

Positive Signals

Awarded under full and open competition, suggesting a robust bidding process.
The contract addresses critical maintenance and logistical needs for military readiness.
Amentum Services, Inc. is a known entity in government contracting, implying some level of established capability.

Sector Analysis

This contract falls within the broader defense industrial base, specifically supporting military depot operations. The market for depot maintenance and logistical support is substantial, involving numerous contractors capable of providing specialized services. This contract represents a specific instance of the Department of Defense procuring essential sustainment services to ensure the operational readiness of its equipment. Comparable spending benchmarks would typically involve other depot maintenance contracts across various military branches.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside criterion for this particular delivery order. This suggests that the competition was open to all responsible contractors, regardless of size. There is no explicit information regarding subcontracting plans for small businesses within this delivery order. The impact on the small business ecosystem would depend on whether Amentum Services, Inc. utilizes small businesses as subcontractors, which is not detailed here.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Department of the Army and potentially the Department of Defense's Inspector General. Accountability measures would be tied to the performance standards outlined in the contract and the delivery order terms. Transparency is facilitated by the contract award notice, but detailed performance metrics and financial breakdowns are often not publicly disclosed for individual delivery orders.

Related Government Programs

Military Equipment Maintenance
Logistical Support Services
Depot Operations
General Automotive Repair
Defense Readiness Contracts

Risk Flags

Potential for cost overruns due to unforeseen repair complexities.
Risk of schedule delays impacting military readiness.
Dependence on contractor's skilled workforce availability.
Ensuring adequate government oversight for performance and financial accountability.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.3 million to AMENTUM SERVICES, INC.. IGF::OT::IGF MILITARY AND PRODUCTION EQUIPMENT MAINTENANCE, LOGISTICAL SUPPORT AND GENERAL SUPPLY SUPPORT TO BE PERFORMED AT RED RIVER ARMY DEPOT.

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 $25.3 million.

What is the period of performance?

Start: 2016-01-17. End: 2016-05-15.

What is Amentum Services, Inc.'s track record with similar Department of Defense maintenance contracts?

Amentum Services, Inc. has a significant history of performing large-scale maintenance, logistics, and support services for the Department of Defense and other government agencies. They are known for managing complex operations at various military installations and depots. Their portfolio often includes services similar to those required for depot maintenance, vehicle repair, and supply chain management. Analyzing their past performance on comparable contracts, including contract values, durations, and any reported performance issues or accolades, would provide a clearer picture of their capabilities and reliability in executing this specific delivery order. Publicly available contract databases and agency performance reports can offer insights into their broader track record.

How does the value of this delivery order compare to similar depot maintenance contracts awarded by the Army?

Comparing the $25.2 million value of this delivery order to similar Army depot maintenance contracts requires access to a broader dataset of recent awards. However, for a duration of approximately four months, this value suggests a substantial scope of work, likely encompassing a significant volume of equipment and complex repair/maintenance tasks. Contracts for depot-level maintenance can vary widely based on the type of equipment, the extent of repairs needed (e.g., routine maintenance vs. major overhauls), and the specific services included (e.g., parts, labor, specialized technical support). Without specific details on the equipment serviced and the nature of the support, a direct comparison is difficult. However, this figure appears to be within the range for significant, specialized military maintenance operations.

What are the primary risks associated with this type of depot maintenance contract?

Key risks for this type of depot maintenance contract include potential cost overruns due to unforeseen equipment issues or parts availability, schedule delays caused by complex repairs or supply chain disruptions, and performance deficiencies in meeting required maintenance standards. There's also a risk related to the availability of skilled labor and specialized technical expertise. For the government, risks also include ensuring adequate oversight to prevent waste, fraud, and abuse, and ensuring the contractor maintains the necessary security protocols for handling sensitive military equipment and information. The short duration might also pose a risk if the scope of work is underestimated, leading to a need for rapid follow-on actions or contract modifications.

How effective is full and open competition in ensuring value for money for depot maintenance services?

Full and open competition is generally considered the most effective method for ensuring value for money in government contracting, including for depot maintenance services. By allowing all responsible sources to compete, it fosters a competitive environment that incentivizes contractors to offer their best pricing and most efficient solutions. This process helps establish a market-based price for the services. However, the effectiveness is contingent on the clarity of the solicitation requirements, the number and capability of the bidders, and the government's ability to accurately evaluate proposals. In complex technical areas like military depot maintenance, ensuring that evaluators can properly assess technical merit alongside price is crucial for realizing the full value-for-money benefits of competition.

What is the historical spending pattern for Red River Army Depot maintenance and support?

Analyzing historical spending patterns for Red River Army Depot maintenance and support would require accessing multi-year contract data specific to the depot. Generally, military depots require consistent funding for maintenance, repair, and logistical operations to sustain readiness. Spending can fluctuate based on military modernization programs, equipment lifecycle, and specific operational demands. Contracts for such services are often awarded through IDIQ vehicles or competitive firm-fixed-price or labor-hour contracts. Understanding historical spending would involve looking at the total value of contracts awarded to various entities over several fiscal years, identifying trends in service types, and noting any significant increases or decreases in expenditure that might correlate with broader defense policy shifts or equipment sustainment needs.

Industry Classification

NAICS: Other Services (except Public Administration) › Automotive Repair and Maintenance › General Automotive Repair

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Amentum Government Services Holdings LLC

Address: 4800 WESTFIELDS BLVD STE 400, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $25,261,019

Exercised Options: $25,261,019

Current Obligation: $25,261,019

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W56HZV15DER17

IDV Type: IDC

Timeline