DOT awards $140M for engineering support, with a focus on FAA's AJW-1434 program

Contract Overview

Contract Amount: $140,000 ($140.0K)

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: $400/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-1434

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73169

State: Oklahoma Government Spending

Plain-Language Summary

Department of Transportation obligated $140,000 to ASRC FEDERAL ADVANCED RESEARCH, LLC for work described as: SECOND LEVEL ENGINEERING SUPPORT SERVICES FOR AJW-1434 Key points: 1. Contract value of $140 million over its period of performance. 2. Competition was conducted under 'full and open competition after exclusion of sources'. 3. The contract is a Delivery Order with a Firm Fixed Price type. 4. The period of performance spans from April 2026 to March 2027. 5. The primary contractor is ASRC FEDERAL ADVANCED RESEARCH, LLC. 6. The contract falls under Engineering Services (NAICS 541330).

Value Assessment

Rating: fair

The contract value of $140 million for approximately one year of service appears to be within a reasonable range for specialized engineering support. However, without specific benchmarks for 'SECOND LEVEL ENGINEERING SUPPORT SERVICES FOR AJW-1434', a precise value-for-money assessment is challenging. The firm fixed-price structure suggests that cost overruns are the contractor's responsibility, which is a positive indicator for cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'full and open competition after exclusion of sources'. This indicates that while the competition was intended to be broad, specific sources may have been excluded based on certain criteria. The number of bidders is not specified, making it difficult to fully assess the level of competition and its impact on price discovery. Further details on the exclusion criteria would be needed for a comprehensive analysis.

Taxpayer Impact: The limited competition may mean that taxpayers did not benefit from the lowest possible price achievable through a wider bidding process. However, if the exclusion was based on necessary qualifications, it could ensure specialized expertise.

Public Impact

The Federal Aviation Administration (FAA) will benefit from enhanced engineering support for its AJW-1434 program. Services delivered will include second-level engineering support, crucial for program continuity and technical problem-solving. The contract's geographic impact is centered in Oklahoma, where the contractor is based. The contract supports specialized engineering roles, potentially impacting the technical workforce in the aerospace and defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition could lead to higher prices than a fully open process.
The specific nature of 'second level engineering support' requires detailed understanding to ensure value.
Potential for contractor lock-in if specialized knowledge becomes proprietary.

Positive Signals

Firm Fixed Price contract type mitigates cost overrun risks for the government.
ASRC Federal Advanced Research, LLC is a known entity in federal contracting.
The contract duration is clearly defined, allowing for focused execution.

Sector Analysis

The engineering services sector is a critical component of government contracting, supporting a wide array of federal agencies. This contract for specialized engineering support for the FAA's AJW-1434 program fits within the broader aerospace and defense engineering services market. Comparable spending benchmarks for similar specialized engineering support contracts would provide further context for value assessment.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. The primary contractor, ASRC Federal Advanced Research, LLC, is likely a large business, and its subcontracting practices would need to be monitored separately if applicable.

Oversight & Accountability

Oversight for this contract will likely be managed by the Federal Aviation Administration (FAA) contracting officers and program managers. The firm fixed-price nature of the contract provides a degree of accountability by placing cost risk on the contractor. Transparency would be enhanced by public reporting of contract performance and any modifications. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

FAA Engineering Services Contracts
Aerospace Engineering Support
Department of Transportation IT and Engineering Services
Federal Aviation Administration Program Support

Risk Flags

Limited competition may impact price discovery.
Need for clear performance metrics to ensure value for money.
Potential for knowledge transfer gaps if not managed properly.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $140,000 to ASRC FEDERAL ADVANCED RESEARCH, LLC. SECOND LEVEL ENGINEERING SUPPORT SERVICES FOR AJW-1434

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 $140,000.

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 FOR AJW-1434' or similar services within the FAA?

Analyzing historical spending for the AJW-1434 program or comparable engineering support services within the FAA is crucial for context. Without specific historical data for this exact service, we can look at broader trends in FAA engineering support contracts. Typically, such services are procured through a mix of competitive and sole-source vehicles, with values fluctuating based on program needs and complexity. A review of past FAA solicitations and awards for similar engineering support would reveal average contract values, durations, and the types of contractors typically engaged. This analysis helps determine if the current $140 million award is an outlier, a continuation of established spending, or a significant increase/decrease, providing a baseline for value assessment.

How does the contractor, ASRC FEDERAL ADVANCED RESEARCH, LLC, perform on similar federal contracts?

ASRC Federal Advanced Research, LLC has a track record in federal contracting, often involved in research, development, and engineering services. To assess their performance on similar contracts, one would examine their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any past disputes or contract terminations, and their ability to meet cost, schedule, and performance requirements. A review of their portfolio would highlight experience with aviation-related projects or complex engineering support. Positive performance indicators would include consistent high ratings, successful completion of prior government contracts, and a history of on-time, within-budget delivery. Conversely, negative indicators might include unresolved performance issues or significant contract disputes.

What are the specific risks associated with 'second level engineering support' in the context of FAA programs?

Second-level engineering support typically involves addressing complex technical issues that cannot be resolved at the first level of support. In the context of FAA programs, which are critical for aviation safety and efficiency, risks can include delays in resolving technical problems, which could impact program timelines or operational readiness. There's also a risk of inadequate technical expertise if the contractor's personnel are not sufficiently skilled or experienced. Furthermore, if the support involves proprietary systems or processes, there's a risk of knowledge transfer gaps or intellectual property issues. Ensuring robust technical documentation, clear escalation procedures, and strong government oversight are key to mitigating these risks.

What is the typical market rate or benchmark for 'second level engineering support services' in the aerospace and defense sector?

Determining the precise market rate for 'second level engineering support services' requires detailed knowledge of the specific technologies, expertise, and deliverables involved. However, in the aerospace and defense sector, specialized engineering support is often priced based on labor categories (e.g., senior engineers, subject matter experts), overhead rates, and profit margins. Benchmarking would involve comparing the proposed labor rates and total contract value against industry standards and rates paid for similar services by other government agencies or large aerospace companies. Factors like the security clearance requirements, the need for specialized certifications, and the criticality of the systems being supported will influence these rates. A firm fixed-price contract, as in this case, aims to establish a clear ceiling, but the underlying cost structure is still benchmarked against market realities.

How does the 'full and open competition after exclusion of sources' clause impact the potential for cost savings for taxpayers?

The 'full and open competition after exclusion of sources' clause presents a nuanced impact on taxpayer savings. While it aims for broad competition, the exclusion of specific sources means that the government may not be considering all potential offerors. If the excluded sources could have offered competitive pricing or superior solutions, taxpayers might miss out on potential cost savings or better value. However, if the exclusion is based on legitimate technical requirements, past performance issues, or national security concerns, it could be a necessary step to ensure the selection of a qualified and reliable contractor, potentially avoiding higher costs associated with contract failures or subpar performance. The degree of competition among the remaining eligible sources is critical in determining the final price.

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: $4,155,180

Exercised Options: $140,000

Current Obligation: $140,000

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