Transportation awards $1.1M for engineering support, with a 350-day duration

Contract Overview

Contract Amount: $1,116,200 ($1.1M)

Contractor: Asrc Federal Advanced Research, LLC

Awarding Agency: Department of Transportation

Start Date: 2026-04-02

End Date: 2027-03-18

Contract Duration: 350 days

Daily Burn Rate: $3.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SECOND LEVEL ENGINEERING SUPPORT SERVICES FOR AJW-143

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73169

State: Oklahoma Government Spending

Plain-Language Summary

Department of Transportation obligated $1.1 million to ASRC FEDERAL ADVANCED RESEARCH, LLC for work described as: SECOND LEVEL ENGINEERING SUPPORT SERVICES FOR AJW-143 Key points: 1. Value for money appears reasonable given the scope of specialized engineering services. 2. The contract was awarded under full and open competition, suggesting a competitive market. 3. Risk indicators are low, with a stable contractor performance rating. 4. This contract supports critical aviation infrastructure maintenance and development. 5. The engineering services sector is characterized by specialized expertise and high demand. 6. The firm-fixed-price structure aligns costs with defined deliverables.

Value Assessment

Rating: good

The contract value of $1.116 million for approximately one year of service appears to be within a reasonable range for specialized engineering support. Benchmarking against similar contracts for second-level engineering services in the aviation sector would provide a more precise value assessment. The firm-fixed-price contract type suggests that the government has a clear understanding of the scope and associated costs, which can lead to better cost control compared to cost-plus contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, indicating that multiple vendors were likely solicited and allowed to bid. The competitive process is expected to drive down prices and ensure the government receives the best value. The specific details of the bidding process, such as the number of bids received, would further clarify the intensity of the competition.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure services at the most advantageous price point, preventing potential overspending and ensuring efficient allocation of public funds.

Public Impact

The Federal Aviation Administration (FAA) benefits from enhanced engineering support for its critical aviation programs. Services delivered include second-level engineering support, crucial for maintaining and improving air traffic systems. The contract's impact is primarily national, supporting the safety and efficiency of the U.S. airspace. Workforce implications include the utilization of specialized engineering talent, potentially supporting a skilled labor pool.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Contractor has a 'OK' performance rating, indicating satisfactory past performance.
Firm-fixed-price contract type provides cost certainty.
Full and open competition suggests a healthy market and potential for competitive pricing.

Sector Analysis

The engineering services sector is a vital component of the U.S. economy, providing specialized expertise for infrastructure, defense, and technology projects. The Federal Aviation Administration (FAA) relies heavily on these services to maintain and modernize the national airspace system. Spending in this sector is often driven by government investments in infrastructure upgrades, research and development, and operational support. Comparable spending benchmarks would typically involve analyzing other large-scale engineering support contracts within federal agencies like the Department of Defense or Department of Transportation.

Small Business Impact

This contract does not appear to have a small business set-aside. The prime contractor, ASRC Federal Advanced Research, LLC, is a large business. There is no explicit information provided regarding subcontracting plans for small businesses. Further analysis would be needed to determine if subcontracting opportunities exist and what their potential impact on the small business ecosystem might be.

Oversight & Accountability

Oversight for this contract is likely managed by the Federal Aviation Administration (FAA) contracting officers and program managers. Accountability measures are embedded in the firm-fixed-price contract structure, which ties payment to specific deliverables. Transparency is generally maintained through federal procurement databases, though detailed performance metrics and internal oversight reports may not be publicly accessible. The Inspector General for the Department of Transportation may have jurisdiction for audits and investigations if concerns arise.

Related Government Programs

FAA Air Traffic Control Modernization
Aviation Systems Engineering Support
Federal Engineering Services Contracts

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $1.1 million to ASRC FEDERAL ADVANCED RESEARCH, LLC. SECOND LEVEL ENGINEERING SUPPORT SERVICES FOR AJW-143

Who is the contractor on this award?

The obligated recipient is ASRC FEDERAL ADVANCED RESEARCH, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $1.1 million.

What is the period of performance?

Start: 2026-04-02. End: 2027-03-18.

What is the historical spending pattern for second-level engineering support services by the FAA?

Analyzing historical spending for similar second-level engineering support services by the FAA is crucial for understanding trends and establishing appropriate budget allocations. While specific data for this exact service category over multiple years is not provided, the FAA consistently invests significant funds in maintaining and upgrading its complex air traffic management systems. This includes contracts for systems engineering, technical support, and specialized analysis. Past spending often reflects the pace of technological adoption, regulatory changes, and the overall health of the aviation industry. A review of previous contract awards for similar services would reveal fluctuations in annual spending, identify key contractors, and highlight any shifts in service requirements or pricing over time, providing context for the current $1.116 million award.

How does the contractor's past performance rating ('OK') translate to risk for this contract?

A 'OK' performance rating from the contractor, ASRC Federal Advanced Research, LLC, generally indicates satisfactory past performance. This rating suggests that the contractor has met the contractual requirements on previous engagements without significant issues. For this specific contract, an 'OK' rating implies a moderate level of confidence in their ability to deliver the required second-level engineering support services. While not an 'Exceptional' rating, it does not signal major red flags that would typically warrant a 'concerning' risk assessment. However, it is important to note that 'OK' is not the highest possible rating, and a deeper dive into the specifics of past performance evaluations, if available, could reveal areas where improvements were noted or where the contractor merely met minimum expectations, thus presenting a slightly elevated, though still manageable, risk profile compared to a contractor with an 'Exceptional' rating.

What is the typical duration for similar engineering support contracts awarded by the FAA?

The typical duration for similar engineering support contracts awarded by the FAA can vary significantly based on the scope and complexity of the services required. Contracts for ongoing operational support or maintenance might extend for several years, often with option periods. Projects focused on specific system upgrades or research and development might have shorter, more defined timelines. The current contract's duration of approximately 350 days (from March 18, 2027, to April 2, 2026, assuming a typo and it's within a year) is relatively standard for a defined task order or a specific phase of a larger program. Longer-term, multi-year contracts are also common, especially for services requiring deep institutional knowledge or continuous support. Benchmarking against other FAA engineering services contracts would reveal a range, but a duration of around one year is not unusual for specialized, task-oriented support.

What are the potential implications of a firm-fixed-price contract for engineering services?

A firm-fixed-price (FFP) contract for engineering services, like the one awarded to ASRC Federal Advanced Research, LLC, establishes a set price for the defined scope of work. This structure offers the greatest cost certainty for the government, as the contractor assumes the risk of cost overruns. For the FAA, this means the total cost of the second-level engineering support is known upfront, simplifying budgeting and financial planning. However, FFP contracts require a very well-defined scope of work before award. If the scope is unclear or subject to significant change, it can lead to disputes or the need for costly contract modifications. For specialized engineering services, where unforeseen technical challenges can arise, contractors may build in higher contingency amounts into their FFP bids to mitigate their risk, potentially leading to a higher initial price compared to other contract types if the scope is not perfectly defined.

How does the NAICS code 541330 (Engineering Services) typically perform in federal contracting regarding competition?

The NAICS code 541330, encompassing Engineering Services, generally experiences a competitive federal contracting landscape. This sector attracts a wide range of firms, from large, established engineering conglomerates to smaller, specialized consultancies. The 'full and open competition' award for this specific contract aligns with this trend, suggesting that the market is robust enough to support multiple bidders. Factors influencing competition levels within this NAICS code include the specific engineering discipline required (e.g., civil, mechanical, aerospace), the geographic location of the work, and the overall dollar value of the contract. While some highly specialized niches might see limited competition, the broad category of engineering services typically benefits from a healthy number of qualified offerors, which is advantageous for government price discovery and value acquisition.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7000 MUIRKIRK MEADOWS DR STE 100, BELTSVILLE, MD, 20705

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $9,356,500

Exercised Options: $1,116,200

Current Obligation: $1,116,200

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 6973GH26D00022

IDV Type: IDC

Timeline