DoD's $132.8M Afghanistan Rotary Wing Airlift Contract Awarded to AAR Airlift Group

Contract Overview

Contract Amount: $132,758,706 ($132.8M)

Contractor: AAR Airlift Group, Inc.

Awarding Agency: Department of Defense

Start Date: 2010-12-01

End Date: 2011-11-30

Contract Duration: 364 days

Daily Burn Rate: $364.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: AFGHANISTAN ROTARY WING AIRLIFT

Plain-Language Summary

Department of Defense obligated $132.8 million to AAR AIRLIFT GROUP, INC. for work described as: AFGHANISTAN ROTARY WING AIRLIFT Key points: 1. Contract value of $132.8 million for specialized airlift services. 2. AAR Airlift Group, Inc. secured the award. 3. The contract falls under the Department of Defense's USTRANSCOM. 4. Services provided are nonscheduled chartered passenger air transportation. 5. Awarded via full and open competition.

Value Assessment

Rating: fair

The contract's total value is $132.8 million. Without specific per-unit cost data or benchmarks for similar rotary-wing airlift services in Afghanistan during this period, a precise value assessment is difficult. The firm fixed-price structure aims to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process that should have led to a fair market price. The use of a delivery order indicates a specific task order under a broader contract vehicle.

Taxpayer Impact: Taxpayer funds are utilized for critical logistical support in a high-cost operational environment. Competitive bidding aims to ensure efficient use of these funds.

Public Impact

Ensures vital transportation for personnel and potentially cargo in Afghanistan. Supports military operations and logistical needs in a challenging theater. AAR Airlift Group's role highlights the reliance on private contractors for specialized services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Geopolitical risk in Afghanistan impacting service delivery.
  • Potential for cost overruns if operational conditions change significantly.
  • Dependence on a single contractor for critical airlift.

Positive Signals

  • Awarded through full and open competition.
  • Firm fixed-price contract type helps manage cost certainty.
  • Supports critical military operations.

Sector Analysis

This contract falls within the transportation and logistics sector, specifically focusing on aviation services. Spending benchmarks for similar airlift contracts in conflict zones are highly variable due to operational complexity and risk.

Small Business Impact

The data indicates the prime contractor is AAR Airlift Group, Inc. There is no explicit information provided regarding subcontracting to small businesses for this specific delivery order.

Oversight & Accountability

USTRANSCOM, as the contracting agency, is responsible for overseeing this contract. The firm fixed-price nature and competitive award suggest a degree of accountability, but ongoing operational oversight is crucial.

Related Government Programs

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

Risk Flags

  • High-risk operational environment (Afghanistan).
  • Potential for scope creep or changes in mission requirements.
  • Dependence on a single contractor for critical services.
  • Limited visibility into specific cost breakdowns and performance metrics.

Tags

nonscheduled-chartered-passenger-air-tra, department-of-defense, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $132.8 million to AAR AIRLIFT GROUP, INC.. AFGHANISTAN ROTARY WING AIRLIFT

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 $132.8 million.

What is the period of performance?

Start: 2010-12-01. End: 2011-11-30.

What was the average cost per flight hour or per passenger mile for this contract, and how does it compare to industry benchmarks for similar services in Afghanistan during 2010-2011?

The provided data does not include specific cost-per-hour or cost-per-mile metrics. To assess value, a comparison with industry benchmarks for rotary-wing airlift in similar operational theaters during that period would be necessary. Such benchmarks are often proprietary or require specialized market research.

What were the primary risks identified during the solicitation process, and what mitigation strategies were put in place by USTRANSCOM and AAR Airlift Group?

Key risks likely included operational hazards in Afghanistan (security, weather, terrain), potential for equipment downtime, and logistical challenges. Mitigation strategies would typically involve robust security protocols, detailed maintenance schedules, contingency planning for diversions, and clear communication channels between the contractor and the government.

How effective was the nonscheduled chartered passenger air transportation provided by AAR Airlift Group in meeting the operational requirements of USTRANSCOM in Afghanistan?

Effectiveness would be measured by on-time performance, mission completion rates, safety records, and overall support to USTRANSCOM's objectives. Without performance reports or post-contract reviews, a definitive assessment of effectiveness is not possible from the provided data alone.

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, 27921

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

Financial Breakdown

Contract Ceiling: $132,758,706

Exercised Options: $132,758,706

Current Obligation: $132,758,706

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HTC71109D0021

IDV Type: IDC

Timeline

Start Date: 2010-12-01

Current End Date: 2011-11-30

Potential End Date: 2011-11-30 00:00:00

Last Modified: 2017-10-30

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