DoD awards $22M contract for Afghanistan rotary wing airlift to AAR Airlift Group

Contract Overview

Contract Amount: $22,070,371 ($22.1M)

Contractor: AAR Airlift Group, Inc.

Awarding Agency: Department of Defense

Start Date: 2010-03-05

End Date: 2010-11-30

Contract Duration: 270 days

Daily Burn Rate: $81.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: AFGHANISTAN ROTARY WING

Plain-Language Summary

Department of Defense obligated $22.1 million to AAR AIRLIFT GROUP, INC. for work described as: AFGHANISTAN ROTARY WING Key points: 1. Contract awarded to AAR Airlift Group for $22.07M. 2. Service is Nonscheduled Chartered Passenger Air Transportation. 3. Full and open competition was utilized. 4. Contract duration was 270 days.

Value Assessment

Rating: fair

The contract value of $22.07M for 270 days of service appears reasonable given the operational context. Benchmarking against similar airlift contracts in austere environments is necessary for a definitive assessment.

Cost Per Unit: $81,742

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method generally leads to more competitive pricing.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best value.

Public Impact

Ensures critical airlift support for operations in Afghanistan. Supports troop movement and logistical needs in a challenging theater. AAR Airlift Group provides essential aviation services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Geopolitical instability in Afghanistan could impact service delivery.
  • Potential for cost overruns due to unforeseen operational challenges.

Positive Signals

  • Full and open competition likely secured competitive pricing.
  • Contract duration aligns with operational needs.

Sector Analysis

This contract falls under air transportation services, a critical component of logistics and support for military operations. Spending in this sector can fluctuate significantly based on deployment levels and operational requirements.

Small Business Impact

No specific information is provided regarding small business participation in this contract. Further analysis would be needed to determine if small businesses were involved or could have been.

Oversight & Accountability

The Department of Defense, specifically USTRANSCOM, is responsible for overseeing this contract. Standard oversight mechanisms for deployed contracts would apply.

Related Government Programs

  • Nonscheduled Chartered Passenger Air Transportation
  • Department of Defense Contracting
  • USTRANSCOM Programs

Risk Flags

  • Operational risks associated with the Afghanistan theater.
  • Potential for vendor performance issues in a high-demand environment.
  • Fluctuations in fuel costs could impact profitability and service continuity.
  • Dependence on a single awardee for critical airlift.

Tags

nonscheduled-chartered-passenger-air-tra, department-of-defense, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.1 million to AAR AIRLIFT GROUP, INC.. AFGHANISTAN ROTARY WING

Who is the contractor on this award?

The obligated recipient is AAR AIRLIFT GROUP, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (USTRANSCOM).

What is the total obligated amount?

The obligated amount is $22.1 million.

What is the period of performance?

Start: 2010-03-05. End: 2010-11-30.

What was the specific performance period and the number of aircraft/rotors utilized under this contract?

The contract was active from March 5, 2010, to November 30, 2010, a duration of 270 days. The data does not specify the exact number of aircraft or rotors deployed, but the contract value and service type suggest a significant operational capacity was required.

Were there any performance issues or contract modifications that impacted the final cost or delivery?

The provided data does not detail any performance issues or contract modifications. A review of contract performance reports and modification history would be necessary to assess if the final cost deviated from the initial award due to unforeseen circumstances or changes in scope.

How does the per-unit cost compare to similar airlift services in other conflict zones during the same period?

The per-unit cost of $81,742 is a key benchmark. Without comparative data from similar contracts in other conflict zones during 2010, it's difficult to definitively assess if this represents excellent or fair value. Such comparisons are crucial for robust cost analysis.

Industry Classification

NAICS: Transportation and WarehousingNonscheduled Air TransportationNonscheduled Chartered Passenger Air Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATIONTRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HTC71108R0020

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Aarcorp (UEI: 005425814)

Address: 114 HANGAR LN, CAMDEN, NC, 01

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $22,070,371

Exercised Options: $22,070,371

Current Obligation: $22,070,371

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HTC71109D0021

IDV Type: IDC

Timeline

Start Date: 2010-03-05

Current End Date: 2010-11-30

Potential End Date: 2010-11-30 00:00:00

Last Modified: 2014-04-21

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