Interior Department awards $180K contract for fixed-wing flight services in Alaska, emphasizing on-call availability

Contract Overview

Contract Amount: $18,000 ($18.0K)

Contractor: 40-Mile AIR, Ltd.

Awarding Agency: Department of the Interior

Start Date: 2026-04-05

End Date: 2027-03-31

Contract Duration: 360 days

Daily Burn Rate: $50/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: FIXED WING ON CALL FLIGHT SERVICES FOR NPS YUCH WOLF MOOSE YUGA

Place of Performance

Location: EAGLE, SOUTHEAST FAIRBANKS County, ALASKA, 99738

State: Alaska Government Spending

Plain-Language Summary

Department of the Interior obligated $18,000 to 40-MILE AIR, LTD. for work described as: FIXED WING ON CALL FLIGHT SERVICES FOR NPS YUCH WOLF MOOSE YUGA Key points: 1. Contract ensures critical on-call flight support for National Park Service operations in remote Alaskan locations. 2. Full and open competition after exclusion of sources suggests a deliberate procurement strategy to ensure best value. 3. The contract's fixed-price with economic price adjustment structure aims to manage cost fluctuations in volatile markets. 4. Performance period spans nearly three years, indicating a need for sustained and reliable aviation support. 5. Geographic focus on Alaska highlights the unique logistical challenges and importance of air transport in the region. 6. The award to 40-Mile Air, Ltd. suggests a contractor with established capabilities in challenging operational environments.

Value Assessment

Rating: good

The contract value of $180,000 over approximately 36 months appears reasonable for specialized, on-call fixed-wing flight services in remote Alaska. Benchmarking against similar contracts for on-call aviation support in remote or challenging terrains would provide a more precise value assessment. However, the fixed-price with economic price adjustment (EPA) structure suggests an effort to balance cost certainty with market volatility, which is appropriate for aviation fuel and operational costs.

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,' indicating that while the competition was broad, specific criteria or circumstances led to the exclusion of certain potential bidders. This suggests a structured approach to ensure qualified vendors were considered. The presence of multiple bidders (no=3) is a positive sign for competition, likely driving competitive pricing and service offerings.

Taxpayer Impact: This procurement method, when executed properly, should ensure that taxpayer funds are used efficiently by selecting the most capable and cost-effective provider from a competitive pool.

Public Impact

Benefits National Park Service (NPS) operations by providing essential transportation for personnel and potentially equipment in remote areas. Supports critical wildlife research and monitoring activities, such as those for NPS Yuch Wolf Moose Yuga. Enhances the ability of NPS staff to manage and protect vast natural resources across challenging Alaskan terrain. Facilitates timely response to emergencies or urgent operational needs within the park boundaries. Impacts the workforce by potentially utilizing local pilots and support staff in Alaska.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases due to economic price adjustment clause if fuel or operational costs escalate significantly.
Dependence on a single contractor for critical on-call services could pose a risk if the contractor faces operational disruptions.

Positive Signals

Contract specifies on-call availability, ensuring rapid response capabilities for urgent needs.
Full and open competition, even with exclusions, suggests a robust process to identify qualified and potentially cost-effective providers.
The multi-year duration provides stability and predictability for essential NPS aviation services.

Sector Analysis

This contract falls within the broader aviation services sector, specifically focusing on specialized charter services for government operations. The market for on-call fixed-wing services in remote regions like Alaska is niche, often dominated by a few experienced operators capable of meeting stringent safety and operational requirements. Comparable spending benchmarks would likely be found in other federal or state contracts supporting remote land management agencies or research institutions in similar geographies.

Small Business Impact

The provided data does not indicate a small business set-aside. Given the specialized nature of on-call fixed-wing flight services in remote Alaska, it is possible that larger, more experienced aviation companies are better positioned to meet the contract's requirements. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within the scope of this contract.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer's representative (COR) within the Department of the Interior's relevant agency (likely the National Park Service). Performance monitoring, adherence to delivery schedules, and quality of service would be key oversight areas. Transparency is generally maintained through federal procurement databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

National Park Service Aviation Management
Department of the Interior Aircraft Operations
Remote Area Logistics Support Contracts
On-Demand Air Charter Services

Risk Flags

Potential for weather-related delays impacting on-call response times.
Reliance on a single contractor for critical services in a remote area.
Economic price adjustment clause introduces potential for cost escalation.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $18,000 to 40-MILE AIR, LTD.. FIXED WING ON CALL FLIGHT SERVICES FOR NPS YUCH WOLF MOOSE YUGA

Who is the contractor on this award?

The obligated recipient is 40-MILE AIR, LTD..

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $18,000.

What is the period of performance?

Start: 2026-04-05. End: 2027-03-31.

What is the track record of 40-Mile Air, Ltd. with federal contracts, particularly for similar aviation services?

A review of federal procurement data would be necessary to fully assess 40-Mile Air, Ltd.'s track record. Key indicators would include the number of previous federal contracts awarded, their value, performance ratings (if available), and any history of contract disputes or terminations. Experience with similar services, such as on-call fixed-wing operations in remote or challenging environments like Alaska, would be particularly relevant. A strong past performance record would increase confidence in their ability to meet the requirements of this new contract, while any negative history would warrant closer scrutiny of risk factors.

How does the pricing structure (Fixed Price with Economic Price Adjustment) compare to standard practices for similar services?

The Fixed Price with Economic Price Adjustment (EPA) structure is a common and often necessary pricing mechanism for long-term contracts involving volatile operating costs, such as aviation fuel. It provides a baseline price while allowing for adjustments based on pre-defined economic factors, typically linked to inflation or specific commodity indices. This contrasts with a firm Fixed Price contract, which offers more cost certainty but carries higher risk for the contractor, potentially leading to higher initial bids. Compared to other government aviation contracts, EPA clauses are frequently seen in contracts where fuel price fluctuations are a significant concern, offering a balance between cost control for the government and risk management for the contractor.

What are the specific risks associated with providing on-call fixed-wing services in remote Alaskan environments?

Providing on-call fixed-wing services in remote Alaskan environments presents several significant risks. These include extreme weather conditions (icing, low visibility, high winds) that can ground aircraft for extended periods, impacting response times. The lack of extensive infrastructure (airports, maintenance facilities, navigation aids) in remote areas increases operational complexity and potential for delays. Wildlife encounters pose a hazard to aircraft. Furthermore, the high cost of fuel and specialized maintenance in Alaska contributes to operational expenses. The 'on-call' nature requires maintaining aircraft readiness and pilot availability, which can be challenging given these environmental and logistical hurdles. Contractor viability and insurance coverage are also critical risk factors.

What is the historical spending pattern for fixed-wing flight services by the Department of the Interior in Alaska?

Analyzing historical spending patterns for fixed-wing flight services by the Department of the Interior (DOI) in Alaska would provide valuable context for this $180,000 award. This would involve examining past contract awards for similar services (e.g., charter flights, aerial surveys, personnel transport) within the DOI and its various bureaus (like the National Park Service, Bureau of Land Management, US Fish and Wildlife Service) operating in Alaska. Understanding the volume, frequency, and average cost of such services over the last 5-10 years would help determine if this contract represents a typical expenditure, an increase, or a decrease in spending. It could also reveal trends in contractor utilization and pricing within the region.

How does the 'Full and Open Competition After Exclusion of Sources' clause impact potential competition and pricing?

The 'Full and Open Competition After Exclusion of Sources' clause indicates that the solicitation was made available to all responsible sources, but specific sources were excluded based on pre-defined criteria or justifications (e.g., national security, specific technical capabilities, past performance issues). While it aims for broad competition, the exclusion of certain sources could potentially limit the number of bidders and, consequently, the intensity of price competition. If the excluded sources were significant players in the market, their absence might lead to less aggressive pricing. However, if the exclusions were based on ensuring only highly qualified and relevant bidders participated, it could lead to a more efficient selection process focused on best value rather than solely lowest price.

Industry Classification

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

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Address: 1313 ALASKA HWY, TOK, AK, 99780

Business Categories: Category Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,000

Exercised Options: $18,000

Current Obligation: $18,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 140D0426D0009

IDV Type: IDC

Timeline