Forest Service Awards $4.4M Contract for Exclusive Air Transport to Coastal Helicopters, LLC

Contract Overview

Contract Amount: $4,400,055 ($4.4M)

Contractor: Coastal Helicopters, LLC

Awarding Agency: Department of Agriculture

Start Date: 2024-01-01

End Date: 2026-12-31

Contract Duration: 1,095 days

Daily Burn Rate: $4.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 25

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: TYPE II EXCLUSIVE USE FOR JOHN DAY, OR

Place of Performance

Location: JOHN DAY, GRANT County, OREGON, 97845

State: Oregon Government Spending

Plain-Language Summary

Department of Agriculture obligated $4.4 million to COASTAL HELICOPTERS, LLC for work described as: TYPE II EXCLUSIVE USE FOR JOHN DAY, OR Key points: 1. Contract awarded for exclusive use of air transport services. 2. Coastal Helicopters, LLC secured the contract. 3. The contract duration is 3 years, with a value of $4.4M. 4. The service is categorized under Nonscheduled Chartered Freight Air Transportation.

Value Assessment

Rating: fair

The contract value of $4.4M over three years for exclusive use of air transport appears high for a single provider. Benchmarking against similar contracts for charter freight air transportation is needed to assess if this price is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is positive for price discovery. However, the 'exclusive use' clause may limit the scope of competition for specific periods or operational needs.

Taxpayer Impact: Taxpayer funds are being used for this contract. The value suggests a significant investment in air transport services for the Forest Service.

Public Impact

Ensures critical air transport capabilities for the Forest Service in Oregon. Supports operations that may require specialized or exclusive aerial services. Potential for increased operational efficiency through dedicated air assets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Exclusive use clause may limit future competition or flexibility.
High contract value warrants careful monitoring of service delivery and necessity.

Positive Signals

Awarded through full and open competition.
Long-term contract provides service stability.

Sector Analysis

This contract falls under the Nonscheduled Chartered Freight Air Transportation sector. Spending in this sector can vary widely based on agency needs for emergency response, resource management, and remote access. Benchmarks are difficult without specific operational details.

Small Business Impact

The data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The contract is a delivery order under a larger agreement. Oversight should focus on performance metrics, adherence to the exclusive use terms, and justification for the contract's necessity and cost-effectiveness.

Related Government Programs

Nonscheduled Chartered Freight Air Transportation
Department of Agriculture Contracting
Forest Service Programs

Risk Flags

Potential for overpayment due to 'exclusive use' clause.
Lack of transparency on specific operational needs justifying exclusivity.
Limited information on small business participation.
High contract value requires robust performance monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $4.4 million to COASTAL HELICOPTERS, LLC. TYPE II EXCLUSIVE USE FOR JOHN DAY, OR

Who is the contractor on this award?

The obligated recipient is COASTAL HELICOPTERS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $4.4 million.

What is the period of performance?

Start: 2024-01-01. End: 2026-12-31.

What specific operational needs justify the 'exclusive use' provision for this air transport contract?

The 'exclusive use' provision likely stems from critical operational requirements of the Forest Service, such as sustained support for firefighting efforts, remote site access for resource management, or specialized surveillance missions where consistent and immediate availability of an aircraft is paramount. This ensures that the contracted helicopter is dedicated solely to Forest Service needs during the specified periods, preventing potential conflicts or delays that could arise from shared or on-demand services.

How does the $4.4M contract value compare to industry benchmarks for similar exclusive-use air charter services?

Benchmarking this $4.4M contract requires detailed comparison with similar exclusive-use contracts for helicopters of comparable size and capability, factoring in duration, operational hours, and geographic location. Without specific industry data on exclusive-use rates, it's challenging to definitively assess if the price is competitive. However, the 'exclusive use' aspect typically commands a premium over standard charter rates due to guaranteed availability and dedicated service.

What are the key performance indicators (KPIs) being used to measure the effectiveness of this contract?

Effectiveness is likely measured through KPIs such as on-time performance, mission completion rates, adherence to safety protocols, aircraft availability as per contract terms, and overall cost-efficiency in supporting Forest Service objectives. Regular performance reviews and operational reports from the Forest Service to Coastal Helicopters, LLC would track these metrics to ensure the contract delivers the intended value and operational support.

Industry Classification

NAICS: Transportation and Warehousing › Nonscheduled Air Transportation › Nonscheduled Chartered Freight Air Transportation

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCE CONSERVERVAT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 1202SA22R9202

Offers Received: 25

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2015 MCKINLEY AVE SUITE F4, LA VERNE, CA, 91750

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,400,055

Exercised Options: $4,400,055

Current Obligation: $4,400,055

Actual Outlays: $3,239,468

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 1202SA23T9258

IDV Type: IDC

Timeline