FAA Awards $7M for Aircraft Structure Test Support to Diakon Solutions LLC

Contract Overview

Contract Amount: $7,022,821 ($7.0M)

Contractor: Diakon Solutions LLC

Awarding Agency: Department of Transportation

Start Date: 2020-08-19

End Date: 2025-08-31

Contract Duration: 1,838 days

Daily Burn Rate: $3.8K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Engineering Services

Official Description: SUPPORT SERVICES FOR THE FULL-SCALE AIRCRAFT STRUCTURE TEST AND EVALUATION RESEARCH (FASTER) AND STRUCTURES AND MATERIALS LABORATORY (SML)

Place of Performance

Location: ATLANTIC CITY, ATLANTIC County, NEW JERSEY, 08405

State: New Jersey Government Spending

Plain-Language Summary

Department of Transportation obligated $7.0 million to DIAKON SOLUTIONS LLC for work described as: SUPPORT SERVICES FOR THE FULL-SCALE AIRCRAFT STRUCTURE TEST AND EVALUATION RESEARCH (FASTER) AND STRUCTURES AND MATERIALS LABORATORY (SML) Key points: 1. Contract awarded to Diakon Solutions LLC for essential aircraft structure testing. 2. Competition method was 'Competed under SAP', indicating a potentially limited but competitive process. 3. Risk is moderate due to the long duration and time-and-materials pricing structure. 4. The sector is Engineering Services, crucial for aviation safety and development.

Value Assessment

Rating: fair

The contract value of $7.02M over 5 years appears reasonable for specialized engineering services. Benchmarking against similar FAA contracts for structural testing and evaluation is needed for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), suggesting a limited competition pool. While this can expedite the process, it may not always yield the lowest price compared to full and open competition.

Taxpayer Impact: Taxpayer funds are utilized for critical aviation safety research and development, aiming for long-term benefits in aircraft integrity and public safety.

Public Impact

Ensures continued research and testing for aircraft structural integrity. Supports advancements in aviation safety standards and regulations. Contributes to the development of more robust and reliable aircraft designs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost overruns if not closely monitored.
Limited competition under SAP may not guarantee the best value.
Long contract duration increases exposure to potential scope creep or changing requirements.

Positive Signals

Supports critical FAA mission for aviation safety.
Contract is for essential research and development.
Awarded to a single vendor, potentially indicating specialized capability.

Sector Analysis

This contract falls within the Engineering Services sector, specifically focusing on aerospace structural testing. Spending in this area is vital for maintaining high safety standards in the aviation industry and supporting technological advancements.

Small Business Impact

The contract was awarded to Diakon Solutions LLC, and there is no indication that small businesses were involved as subcontractors or prime contractors in this specific award. Further analysis would be needed to determine if small business participation was sought or achieved.

Oversight & Accountability

Oversight will be crucial to manage the Time and Materials aspect of the contract, ensuring that costs remain within budget and that the scope of work is adhered to. The FAA's contracting office is responsible for monitoring performance and compliance.

Related Government Programs

Engineering Services
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Time and Materials contract type
Limited competition (SAP)
Long contract duration (5 years)
Potential for cost overruns
Lack of explicit small business participation noted

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $7.0 million to DIAKON SOLUTIONS LLC. SUPPORT SERVICES FOR THE FULL-SCALE AIRCRAFT STRUCTURE TEST AND EVALUATION RESEARCH (FASTER) AND STRUCTURES AND MATERIALS LABORATORY (SML)

Who is the contractor on this award?

The obligated recipient is DIAKON SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $7.0 million.

What is the period of performance?

Start: 2020-08-19. End: 2025-08-31.

What is the specific technical expertise Diakon Solutions LLC brings to justify this award?

The data does not specify Diakon Solutions LLC's unique technical expertise. However, the nature of the contract suggests they possess specialized capabilities in aircraft structure testing and evaluation, likely demonstrated through past performance or specific certifications required by the FAA for FASTER and SML research.

How does the 'Competed under SAP' process ensure fair pricing for taxpayers?

Competing under SAP (Simplified Acquisition Procedures) allows for streamlined procurement, often involving fewer vendors than full and open competition. While it can be efficient, it relies on market research and established price lists to ensure fair pricing. The FAA likely used these methods, but the potential for better pricing through broader competition exists.

What are the key performance indicators (KPIs) for this contract to ensure effectiveness?

Key performance indicators would likely include timely completion of test reports, accuracy of test data, adherence to safety protocols during testing, and successful validation of aircraft structural integrity. The FAA would establish specific metrics to measure the contractor's performance against the research objectives.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 110 W BEAVER DR, CAPE MAY COURT HOUSE, NJ, 08210

Business Categories: Category Business, Emerging Small Business, Limited Liability Corporation, Manufacturer of Goods, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $9,915,382

Exercised Options: $7,022,821

Current Obligation: $7,022,821

Actual Outlays: $7,022,821

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: DTFAWA11A00046

IDV Type: BPA

Timeline