Agriculture Forest Service awards $2.2M contract for aerial firefighting support to AVCENTER INC

Contract Overview

Contract Amount: $2,240,537 ($2.2M)

Contractor: Avcenter Inc

Awarding Agency: Department of Agriculture

Start Date: 2024-05-20

End Date: 2025-12-31

Contract Duration: 590 days

Daily Burn Rate: $3.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ATGS SERVICES - COEUR D'ALENE PROVIDE PILOT AND AIRCRAFT FOR ATGS MISSION, FIRE

Place of Performance

Location: POCATELLO, POWER County, IDAHO, 83204

State: Idaho Government Spending

Plain-Language Summary

Department of Agriculture obligated $2.2 million to AVCENTER INC for work described as: ATGS SERVICES - COEUR D'ALENE PROVIDE PILOT AND AIRCRAFT FOR ATGS MISSION, FIRE Key points: 1. Contract provides essential aerial support for ATGS missions, crucial for wildfire management. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. Fixed-price contract type helps mitigate cost overruns for the government. 4. The duration of the contract extends into late 2025, ensuring continuity of services. 5. The award is a delivery order, indicating it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or similar vehicle. 6. The North American Industry Classification System (NAICS) code 481211 points to nonscheduled chartered air transportation services.

Value Assessment

Rating: good

The contract value of $2.24 million for approximately 590 days of service appears reasonable for specialized aerial firefighting support. Benchmarking against similar contracts for pilot and aircraft services in wildfire suppression is necessary for a definitive value assessment. However, the fixed-price nature of the contract provides cost certainty for the government, which is a positive indicator of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition after exclusion of sources,' which typically means that all responsible sources were permitted to submit offers. The presence of 10 bidders (no) indicates a healthy level of competition for this specialized service. This competitive environment is expected to drive more favorable pricing and service terms for the government.

Taxpayer Impact: A competitive bidding process ensures that taxpayer funds are used efficiently by securing the best possible price and service quality for essential aerial firefighting capabilities.

Public Impact

The primary beneficiaries are the US Forest Service and other agencies involved in wildfire suppression, enhancing their operational capacity. Services delivered include providing pilots and aircraft essential for Air Tactical Group Supervisor (ATGS) missions. The geographic impact is focused on the state of Idaho (st: ID, sn: IDAHO), a region prone to wildfires. This contract supports specialized aviation jobs within the aerial firefighting sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future contract renewals if competition diminishes.
Dependence on a single contractor for critical aerial support could pose a risk if performance issues arise.
Geographic concentration of the contract in Idaho might limit broader national resource allocation flexibility.

Positive Signals

Full and open competition suggests a robust market for these services.
Fixed-price contract type offers cost predictability.
Contract duration provides service continuity through multiple fire seasons.
The award to AVCENTER INC indicates a potentially established provider in this niche market.

Sector Analysis

The aerial firefighting sector is a critical component of national defense against wildfires, particularly in regions like the Western United States. This contract falls under nonscheduled chartered air transportation (NAICS 481211), a specialized niche within the broader aviation industry. Spending in this sector is highly seasonal and directly tied to wildfire activity, often involving significant government investment during peak seasons. Comparable spending benchmarks would involve analyzing other contracts for similar aerial support services provided to agencies like the Forest Service, BLM, or DOI.

Small Business Impact

There is no explicit indication that this contract was set aside for small businesses (sb: false). The presence of 10 bidders suggests that both large and small businesses may have participated. Further analysis would be needed to determine if small businesses were involved as subcontractors or if the prime contractor is a small business, which is not immediately apparent from the provided data.

Oversight & Accountability

Oversight for this contract would typically be managed by the US Forest Service contracting officer and administrative contracting officer. Performance monitoring, adherence to delivery schedules, and quality of service are key oversight areas. Transparency is generally maintained through contract databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Wildfire Management Programs
Aviation Support Services
Department of Agriculture Contracts
Forest Service Operations
Air Tactical Group Supervisor (ATGS) Support

Risk Flags

Potential for performance issues
Dependence on contractor availability
Geographic concentration risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $2.2 million to AVCENTER INC. ATGS SERVICES - COEUR D'ALENE PROVIDE PILOT AND AIRCRAFT FOR ATGS MISSION, FIRE

Who is the contractor on this award?

The obligated recipient is AVCENTER INC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $2.2 million.

What is the period of performance?

Start: 2024-05-20. End: 2025-12-31.

What is AVCENTER INC's track record with federal contracts, particularly for aerial firefighting services?

A review of federal procurement data would be necessary to fully assess AVCENTER INC's track record. This would involve examining past contract awards, performance evaluations (if available), and any history of contract disputes or terminations. Understanding their experience with similar services, contract types (e.g., fixed-price), and agencies like the Forest Service is crucial. A positive history with successful delivery of aerial support, adherence to safety standards, and timely performance would indicate a lower risk associated with this award. Conversely, any past performance issues would raise concerns about the reliability and effectiveness of the contractor for this critical ATGS mission support.

How does the awarded price compare to market rates for similar aerial firefighting support services?

To benchmark the value for money, the awarded price of $2.24 million for approximately 590 days of service needs comparison with similar contracts. This involves identifying contracts with comparable aircraft types, pilot services, mission profiles (ATGS support), and geographic locations. Data from sources like the General Services Administration (GSA) schedules, other agency solicitations, and industry reports can provide market rate context. If AVCENTER INC's pricing is significantly lower or higher than comparable contracts, it warrants further investigation into the reasons. Factors such as specialized equipment, pilot qualifications, operational tempo, and geographic remoteness can influence pricing, making direct comparisons challenging but essential for a thorough value assessment.

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

Key risks include potential performance failures (e.g., aircraft unserviceability, pilot availability), cost overruns (though mitigated by fixed-price), and dependence on a single provider for critical support. Mitigation strategies likely include performance clauses in the contract, requiring maintenance logs, pilot certifications, and adherence to strict operational standards. The Forest Service's oversight and the competitive nature of the initial award (suggesting alternatives exist) also serve as risk mitigators. Furthermore, the contract's duration allows for potential adjustments or contingency planning if issues arise. The fixed-price structure inherently shifts some cost risk to the contractor.

How effective is the Forest Service's use of aerial assets like ATGS in wildfire management, and does this contract enhance that effectiveness?

Aerial assets, including those supporting ATGS missions, are highly effective in wildfire management by providing real-time situational awareness, directing ground resources, and coordinating air attacks. ATGS platforms offer a critical vantage point for incident commanders. This contract directly enhances effectiveness by ensuring the availability of specialized aircraft and pilots for these vital roles. The continuity of service provided by the contract's duration (through late 2025) means that the Forest Service can rely on this support during critical fire seasons, improving response times, resource allocation, and overall incident management efficiency. The investment supports a key capability for mitigating wildfire damage.

What are the historical spending patterns for aerial firefighting support by the Forest Service or Department of Agriculture?

Historical spending on aerial firefighting support by the Forest Service and the broader Department of Agriculture typically fluctuates based on wildfire activity severity and duration year-over-year. These agencies consistently allocate significant budgets towards aviation resources, including fixed-wing aircraft, helicopters, and specialized support like ATGS platforms. Spending often peaks during years with extensive fire seasons. Analyzing past FPDS data would reveal trends in contract values, types of services procured (e.g., retardant drops, surveillance, personnel transport), and primary contractors. This contract's value of $2.24 million should be viewed within the context of these broader historical expenditures, which can range from tens to hundreds of millions annually depending on conditions.

What is the significance of the 'full and open competition after exclusion of sources' contract type?

The contract type 'full and open competition after exclusion of sources' (often referred to as FAR 15.306(a)(3) or similar) implies that while the competition was intended to be full and open, certain sources were excluded based on specific criteria, possibly related to capability, security, or prior performance, before the final solicitation was issued. This is distinct from a sole-source award or a standard full and open competition where all potential offerors are considered without prior exclusion. The key implication is that the government identified a pool of eligible responsible sources and then competed the requirement among them. The fact that 10 bids were received suggests that this exclusion process did not unduly limit the competitive pool, likely resulting in a fair market price and selection of a capable contractor.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1483 FLIGHTLINE, POCATELLO, ID, 83204

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

Financial Breakdown

Contract Ceiling: $6,079,377

Exercised Options: $2,240,537

Current Obligation: $2,240,537

Actual Outlays: $1,963,916

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 1202SA23T9402

IDV Type: IDC

Timeline