DOT awards $14.3M for RWSL program support, with 2 bidders competing

Contract Overview

Contract Amount: $14,266,554 ($14.3M)

Contractor: Constellation Aviation Solutions, LLC

Awarding Agency: Department of Transportation

Start Date: 2022-04-14

End Date: 2027-04-14

Contract Duration: 1,826 days

Daily Burn Rate: $7.8K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: CONTRACTOR SUPPORT FOR THE RWSL PROGRAM UNDER THE EFAST CONTRACT.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $14.3 million to CONSTELLATION AVIATION SOLUTIONS, LLC for work described as: CONTRACTOR SUPPORT FOR THE RWSL PROGRAM UNDER THE EFAST CONTRACT. Key points: 1. Value for money appears reasonable given the 2-bidder competition and time-and-materials contract type. 2. Competition dynamics show a limited but present level of market engagement. 3. Risk indicators are moderate, with contract duration and time-and-materials pricing requiring careful monitoring. 4. Performance context is tied to the RWSL program, suggesting specialized engineering services. 5. Sector positioning is within engineering services, a critical component of transportation infrastructure.

Value Assessment

Rating: good

The contract value of $14.3 million over five years for engineering services is within a reasonable range for specialized support. Benchmarking against similar contracts for aviation program support indicates that the pricing structure, while time-and-materials, is not inherently excessive, especially given the limited competition. The total value suggests a moderate scale of effort, and without more granular cost data, a precise value-for-money assessment is challenging, but it does not immediately raise red flags.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under SAP (Simplified Acquisition Procedures), with two bids received. While not a full and open competition, the presence of two bidders suggests some level of market interest and a degree of price discovery. The limited number of bidders could potentially lead to less aggressive pricing than a broader competition, but it also indicates that the requirement was likely well-defined and met by at least two capable firms.

Taxpayer Impact: The limited competition means taxpayers may not have benefited from the most aggressive pricing possible. However, the existence of two bids suggests a competitive tension that likely prevented the highest possible price from being awarded.

Public Impact

The primary beneficiaries are the Department of Transportation and the Federal Aviation Administration, receiving essential engineering support for the RWSL program. Services delivered include critical engineering and technical support necessary for the successful execution of the RWSL program. The geographic impact is primarily within the District of Columbia, where the contractor is located. Workforce implications include the employment of skilled engineers and technical personnel by Constellation Aviation Solutions, LLC.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time-and-materials pricing can lead to cost overruns if not closely managed.
Limited competition may result in less favorable pricing for the government.
Contract duration of five years requires ongoing performance monitoring to ensure continued value.

Positive Signals

The contract is with a known entity, Constellation Aviation Solutions, LLC.
The award was made under a BPA Call, suggesting a pre-negotiated framework agreement.
The contract supports a specific program (RWSL), indicating a focused and potentially well-defined need.

Sector Analysis

The engineering services sector is a vital component of the federal contracting landscape, particularly for agencies like the FAA that manage complex infrastructure and technological programs. This contract falls within the broader category of professional, scientific, and technical services. Comparable spending benchmarks for engineering support on aviation-related programs vary widely based on scope, but contracts in the multi-million dollar range over several years are common for specialized technical expertise.

Small Business Impact

This contract was not set aside for small businesses, and the contractor, Constellation Aviation Solutions, LLC, is not identified as a small business. There is no explicit information regarding subcontracting plans for small businesses within this award. Therefore, the direct impact on the small business ecosystem from this specific contract appears minimal, though the prime contractor's overall subcontracting practices would need further investigation.

Oversight & Accountability

Oversight for this contract would primarily fall under the Federal Aviation Administration's contracting officers and program managers. Accountability measures are inherent in the contract terms, including performance requirements and payment schedules tied to deliverables. Transparency is facilitated by contract databases, though detailed performance metrics and cost breakdowns may not be publicly available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Aviation Administration (FAA) Contracts
Engineering Services Contracts
Transportation Department Contracts
Research, Development, Test, and Evaluation (RDT&E) Support

Risk Flags

Potential for cost overruns due to T&M contract type.
Limited competition may impact price competitiveness.
Contract duration requires sustained oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $14.3 million to CONSTELLATION AVIATION SOLUTIONS, LLC. CONTRACTOR SUPPORT FOR THE RWSL PROGRAM UNDER THE EFAST CONTRACT.

Who is the contractor on this award?

The obligated recipient is CONSTELLATION AVIATION 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 $14.3 million.

What is the period of performance?

Start: 2022-04-14. End: 2027-04-14.

What is the specific nature of the RWSL program and Constellation Aviation Solutions' role within it?

The RWSL program likely refers to a specific initiative within the Federal Aviation Administration (FAA) related to aviation safety, infrastructure, or technology. Without further declassification or specific program details, the exact nature remains proprietary. Constellation Aviation Solutions, LLC, as the contractor, is providing 'Contractor Support' which typically involves specialized engineering, technical, and potentially program management services. Their role is to augment the government's capabilities in executing the RWSL program's objectives, ensuring technical requirements are met, and potentially assisting in development, testing, or implementation phases. The 'TIME AND MATERIALS' contract type suggests their effort is billed based on the hours worked by their personnel and the cost of materials used, rather than a fixed price for a defined outcome.

How does the $14.3 million contract value compare to similar engineering support contracts for aviation programs?

The $14.3 million contract value over a five-year period (approximately $2.86 million per year) for engineering services is moderate within the context of large federal aviation programs. Major system procurements or extensive infrastructure projects can involve engineering support contracts worth tens or hundreds of millions of dollars. However, for specialized support to a specific program like RWSL, this value is not unusual. Benchmarking requires comparing the specific services rendered, the level of expertise required, and the duration. Given that this was competed under SAP with two bidders, it suggests a requirement that was not of the highest urgency or complexity to warrant a full and open competition, but still significant enough to require dedicated engineering resources.

What are the primary risks associated with a Time and Materials (T&M) contract of this duration?

The primary risk with a Time and Materials (T&M) contract, especially one spanning five years, is the potential for cost overruns and a lack of defined scope leading to inefficiencies. Unlike fixed-price contracts, T&M contracts do not incentivize the contractor to complete work quickly or efficiently, as they are paid for time and materials. This can lead to 'scope creep' where tasks expand beyond the original intent, or contractors may bill for excessive hours or unnecessary materials. For the government, effective oversight is crucial to monitor labor hours, material costs, and ensure that the work performed is necessary and directly contributes to program objectives. Without robust oversight, T&M contracts can become significantly more expensive than initially anticipated.

What does the limited competition (2 bidders) imply about the contractor's track record and the market for these services?

The fact that this contract was competed under Simplified Acquisition Procedures (SAP) and received two bids suggests that the market for these specific RWSL program engineering services might be relatively niche, or that the requirement was structured in a way that attracted a limited pool of qualified bidders. It implies that Constellation Aviation Solutions, LLC, likely possesses specialized capabilities or existing knowledge relevant to the RWSL program, making them a strong contender. While two bidders indicate some competition, it is less than ideal for ensuring the most competitive pricing. It could mean that only a few companies have the necessary security clearances, technical expertise, or prior experience with the FAA's systems and programs required for this particular support role.

How has historical spending on engineering services for the FAA or similar programs trended?

Historical spending on engineering services by the FAA and the Department of Transportation generally trends upwards, driven by the need to modernize air traffic control systems, maintain infrastructure, ensure safety, and adapt to new technologies. The FAA, in particular, invests heavily in research, development, and sustainment of its National Airspace System (NAS). Spending on engineering support contracts fluctuates based on specific program lifecycles, major system upgrades (like NextGen), and evolving regulatory requirements. While this specific $14.3 million award is a single data point, it aligns with the broader pattern of significant federal investment in specialized technical and engineering expertise to manage and advance complex aviation initiatives.

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: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 400 VIRGINIA AVE SW STE C-110, WASHINGTON, DC, 20024

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

Financial Breakdown

Contract Ceiling: $27,760,724

Exercised Options: $14,266,554

Current Obligation: $14,266,554

Actual Outlays: $11,044,560

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 693KA918A00215

IDV Type: BPA

Timeline