Dyncorp International awarded $60.8M for aircraft component maintenance, with a significant portion for engine parts

Contract Overview

Contract Amount: $36,332,891 ($36.3M)

Contractor: Dyncorp Technical Services Inc

Awarding Agency: Department of Defense

Start Date: 2005-06-24

End Date: 2010-09-16

Contract Duration: 1,910 days

Daily Burn Rate: $19.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: Defense

Official Description: 200510!001052!5700!FA8108!OC-ALC/LAD CFT !F3460197D0422 !A!N! !N!0155 ! !20050624!20070623!608461898!003242013!009581091!N!DYNCORP INTERNATIONAL LLC !6500 WEST FWY STE 500 !FORT WORTH !TX!76116!26736!027!48!FORT HOOD !BELL !TEXAS !+000000555745!N!N!000000000000!J016!MAINT & REPAIR OF EQ/AIRCRAFT COMPS & ACCYS !A1B!AIRCRAFT ENGINES AND SPARES !000 !* !336413!E! !5!B!M! !A! !20200930!B! ! !A! !A!U!Y!2!004!B! !C!Y!Z! ! !N!C!N! ! ! !C!A!A!A!000!A!C!N! ! ! !Y!2100! !0001! !

Place of Performance

Location: FORT WORTH, TARRANT County, TEXAS, 76116

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $36.3 million to DYNCORP TECHNICAL SERVICES INC for work described as: 200510!001052!5700!FA8108!OC-ALC/LAD CFT !F3460197D0422 !A!N! !N!0155 ! !20050624!20070623!608461898!003242013!009581091!N!DYNCORP INTERNATIONAL LLC !6500 WEST FWY STE 500 !FORT WORTH !TX!76116!26736!027!48!FORT HOOD !BELL… Key points: 1. Contract value of $60.8 million for aircraft component maintenance and repair. 2. Focus on 'Aircraft Engines and Spares' suggests specialized, high-value components. 3. Contract duration of approximately 5 years indicates a long-term need for these services. 4. Awarded under 'Full and Open Competition', suggesting a competitive bidding process. 5. The contract's primary service is 'Maintenance & Repair of Equipment/Aircraft Components & Accessories'. 6. Dyncorp Technical Services Inc. is the contractor, with a history in defense services. 7. Geographic focus appears to be Texas, based on contractor location and potential operational areas.

Value Assessment

Rating: good

The total contract value of $60.8 million over roughly five years averages to about $12 million annually. This figure needs to be benchmarked against similar contracts for aircraft component maintenance and repair. Without specific per-unit cost data or comparisons to other service providers for similar components, a precise value-for-money assessment is challenging. However, the competitive nature of the award suggests that pricing was likely scrutinized.

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 presence of 4 bids suggests a reasonable level of competition for this service. A higher number of bidders generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by driving down prices through market forces.

Public Impact

The primary beneficiaries are the U.S. Air Force units requiring maintenance and repair of aircraft components. Services delivered include the upkeep and repair of critical aircraft parts, ensuring operational readiness. The contract supports the sustainment of military aviation assets. Workforce implications include employment opportunities for skilled technicians and support staff within Dyncorp Technical Services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if repair complexity is underestimated.
  • Dependence on a single contractor for critical component maintenance could pose supply chain risks.
  • Ensuring consistent quality across all repairs over the contract's lifespan.

Positive Signals

  • Awarded through full and open competition, indicating a robust selection process.
  • Contractor has experience in similar defense maintenance services.
  • Clear definition of services required for aircraft components and accessories.

Sector Analysis

This contract falls within the aerospace and defense sector, specifically focusing on the maintenance, repair, and overhaul (MRO) of aircraft components. The market for aircraft MRO is substantial, driven by the need to maintain aging fleets and ensure operational readiness. Spending in this area is critical for national defense, supporting the readiness of military aviation assets. Comparable spending benchmarks would involve analyzing other contracts for similar MRO services across different military branches and aircraft types.

Small Business Impact

There is no explicit indication of small business set-asides for this contract. The contract was awarded to Dyncorp Technical Services Inc., a large business. Subcontracting opportunities for small businesses may exist, but this would depend on Dyncorp's subcontracting plan, which is not detailed in the provided data. The impact on the small business ecosystem is likely minimal unless significant subcontracting occurs.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance. Accountability measures are embedded in the contract terms, including performance standards and payment schedules tied to successful delivery. Transparency is facilitated through contract award databases, though detailed performance metrics are often not publicly disclosed.

Related Government Programs

  • Aircraft Maintenance Services
  • Aviation Component Repair
  • Defense Logistics Support
  • Air Force Equipment Sustainment
  • Aerospace MRO Contracts

Risk Flags

  • Potential for cost growth
  • Contractor performance risk
  • Supply chain dependency

Tags

defense, department-of-defense, dyncorp-international-llc, aircraft-maintenance, component-repair, full-and-open-competition, time-and-materials, texas, defense-contract-management-agency, aerospace, engines-and-spares

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.3 million to DYNCORP TECHNICAL SERVICES INC. 200510!001052!5700!FA8108!OC-ALC/LAD CFT !F3460197D0422 !A!N! !N!0155 ! !20050624!20070623!608461898!003242013!009581091!N!DYNCORP INTERNATIONAL LLC !6500 WEST FWY STE 500 !FORT WORTH !TX!76116!26736!027!48!FORT HOOD !BELL !TEXAS !+000000555745!N!N!000000000000!J016!MAINT & REPAIR OF EQ/AIRCRAFT COMPS & ACCYS !A1B!AIRCRAFT ENGINES AND SPARES !000 !* !336413!E! !5!B!M! !A! !202

Who is the contractor on this award?

The obligated recipient is DYNCORP TECHNICAL SERVICES INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $36.3 million.

What is the period of performance?

Start: 2005-06-24. End: 2010-09-16.

What is Dyncorp Technical Services Inc.'s track record with similar defense maintenance contracts?

Dyncorp Technical Services Inc., and its parent company DynCorp International, have a long history of providing aviation and logistics support services to the U.S. military and government agencies. They have held numerous contracts for aircraft maintenance, modification, and repair, often involving complex systems and components. Their experience spans various aircraft platforms and operational environments. While specific performance details for past contracts are not provided here, their sustained presence in the defense contracting space suggests a generally accepted capability to perform such services. However, like many large contractors, they have also faced scrutiny and contract disputes on various engagements over the years, highlighting the importance of ongoing performance monitoring.

How does the awarded amount compare to the estimated value or previous spending on similar services?

The awarded value of $60.8 million for this contract needs to be contextualized against the estimated value and historical spending for similar aircraft component maintenance and repair services. Without access to the original solicitation's estimated value or data on prior contracts for these specific components or services, a direct comparison is difficult. However, the duration of approximately five years suggests a significant, ongoing requirement. Annual spending would average around $12 million. Benchmarking this against industry averages for MRO of similar components or against contracts awarded to competitors for comparable services would provide a clearer picture of whether this represents a competitive price point or potentially higher/lower spending.

What are the primary risks associated with this contract, and how are they being mitigated?

Primary risks include potential cost overruns due to unforeseen complexities in component repair, delays in turnaround times impacting aircraft availability, and ensuring consistent quality of service over the contract's lifespan. Mitigation strategies likely involve detailed technical specifications in the contract, performance metrics, defined turnaround times, and quality assurance protocols. The government would also monitor contractor performance closely, with potential penalties for non-compliance. The competitive nature of the award may also incentivize the contractor to manage risks effectively to ensure profitability and future contract opportunities.

How effective is the 'Full and Open Competition' process in ensuring value for taxpayer money in this specific case?

The 'Full and Open Competition' process is generally considered the most effective method for ensuring value for taxpayer money as it allows the widest possible pool of potential offerors to compete. In this case, with 4 bids received, there was a degree of competition, which typically drives prices down and encourages innovation. The effectiveness is further realized if the evaluation criteria strongly emphasize price and technical merit, ensuring the best value is selected, not just the lowest price. However, the true measure of effectiveness would be a post-award analysis comparing the final costs and performance against the initial bids and industry benchmarks.

What is the historical spending pattern for aircraft component maintenance and repair within the Department of Defense?

Historical spending on aircraft component maintenance and repair within the Department of Defense is substantial and represents a significant portion of the defense budget allocated to aviation readiness and sustainment. The DoD consistently spends billions of dollars annually on MRO services across all branches, covering a vast array of aircraft types and components, from engines and airframes to avionics and weaponry. This spending is driven by the operational tempo, the age of the existing fleet, and the continuous need to ensure aircraft are mission-capable. Contracts like this one, awarded to Dyncorp, are part of this larger, ongoing investment in maintaining military aviation capabilities.

Are there specific performance metrics or KPIs tied to this contract, and how are they monitored?

While specific performance metrics (KPIs) are not detailed in the provided data, contracts of this nature typically include stringent performance requirements. These often encompass metrics such as on-time delivery of repaired components, quality acceptance rates (percentage of repairs passing inspection without defects), turnaround time for repairs, and adherence to technical specifications. Monitoring is usually conducted by the contracting officer's representative (COR) or the Defense Contract Management Agency (DCMA), who review contractor reports, conduct inspections, and assess performance against the contract's stated requirements. Failure to meet KPIs can result in penalties, reduced payments, or contract termination.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 6500 WEST FWY STE 600, FORT WORTH, TX, 90

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: F3460197D0422

IDV Type: IDC

Timeline

Start Date: 2005-06-24

Current End Date: 2010-09-16

Potential End Date: 2010-09-16 00:00:00

Last Modified: 2010-06-06

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