DHS Coast Guard awards $7.2M delivery order to LOGMET LLC for aircraft manufacturing support

Contract Overview

Contract Amount: $7,196,306 ($7.2M)

Contractor: Logmet LLC

Awarding Agency: Department of Homeland Security

Start Date: 2025-04-04

End Date: 2026-02-03

Contract Duration: 305 days

Daily Burn Rate: $23.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: LABOR HOURS

Sector: Defense

Official Description: THIS IS THE TASK ORDER FOR FUNDING OF 04/04/2025 TO 02/03/2026 DURING OPTION PERIOD ONE (1) FOR CONTRACT 70Z03824DH0000001.

Place of Performance

Location: ELIZABETH CITY, PASQUOTANK County, NORTH CAROLINA, 27909

State: North Carolina Government Spending

Plain-Language Summary

Department of Homeland Security obligated $7.2 million to LOGMET LLC for work described as: THIS IS THE TASK ORDER FOR FUNDING OF 04/04/2025 TO 02/03/2026 DURING OPTION PERIOD ONE (1) FOR CONTRACT 70Z03824DH0000001. Key points: 1. Contract value represents a significant investment in maintaining aviation readiness. 2. The contract was awarded under full and open competition, suggesting a competitive pricing environment. 3. Performance period of 305 days indicates a focused, short-term need for specialized services. 4. The North Carolina location of the contractor may have implications for regional economic impact. 5. This task order falls within the broader category of aircraft manufacturing and support services. 6. The use of labor hours suggests a need for flexible staffing based on evolving requirements.

Value Assessment

Rating: good

The contract value of approximately $7.2 million for a 305-day period appears reasonable for specialized aircraft manufacturing support. Benchmarking against similar contracts for aviation maintenance and manufacturing services would provide a more precise value assessment. The use of labor hours allows for flexibility, which can be cost-effective if managed efficiently, but also carries a risk of cost overruns if not closely monitored.

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 multiple bidders were likely considered. This competitive process is expected to drive fair market pricing and ensure the government receives the best value. The specific number of bidders is not provided, but the designation suggests a robust competition.

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

Public Impact

The U.S. Coast Guard benefits from enhanced aviation readiness and operational capabilities. Services delivered likely include specialized manufacturing, repair, or modification of aircraft components. The geographic impact is primarily centered around the U.S. Coast Guard's aviation operations. Workforce implications may include specialized technical roles within LOGMET LLC and potential support for the North Carolina economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost creep due to the labor hours pricing model if not rigorously managed.
Dependence on a single contractor for critical aviation manufacturing support could pose a risk if performance falters.
Limited visibility into the specific technical expertise and capacity of LOGMET LLC without further data.

Positive Signals

Awarded under full and open competition, suggesting a competitive and potentially cost-effective solution.
Clear performance period (305 days) indicates a defined scope and timeline for deliverables.
Contracting agency (DHS Coast Guard) is a critical entity with a clear mission need for aviation support.

Sector Analysis

This contract falls within the broader aerospace and defense manufacturing sector, specifically focusing on aircraft components and support. The market for specialized aviation manufacturing services is highly technical and often involves stringent quality and regulatory requirements. Spending in this area is critical for national security and operational readiness across various government agencies. Comparable spending benchmarks would typically be found within defense and homeland security aviation procurement data.

Small Business Impact

The contract data indicates that small business participation was not a primary set-aside consideration for this specific award (ss: false, sb: false). While LOGMET LLC's size is not specified, the nature of the contract suggests it may be awarded to a mid-to-large-sized firm. There is no explicit information on subcontracting plans for small businesses, which could represent a missed opportunity to engage the small business ecosystem in this specialized manufacturing area.

Oversight & Accountability

Oversight for this contract would primarily reside with the U.S. Coast Guard contracting officers and program managers. Accountability measures are embedded in the contract terms, including delivery schedules and performance standards. Transparency is facilitated through contract award databases, though detailed performance metrics are typically internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

U.S. Coast Guard Aviation Logistics
Department of Homeland Security Aircraft Procurement
Defense Contract Management Agency Services
Federal Aviation Administration (FAA) Support Contracts

Risk Flags

Potential for cost overruns due to labor hour pricing model.
Dependence on contractor performance for critical aviation support.
Limited public information on specific performance metrics and deliverables.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $7.2 million to LOGMET LLC. THIS IS THE TASK ORDER FOR FUNDING OF 04/04/2025 TO 02/03/2026 DURING OPTION PERIOD ONE (1) FOR CONTRACT 70Z03824DH0000001.

Who is the contractor on this award?

The obligated recipient is LOGMET LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $7.2 million.

What is the period of performance?

Start: 2025-04-04. End: 2026-02-03.

What is the historical spending pattern of the U.S. Coast Guard on aircraft manufacturing and support services over the past five years?

Analyzing the U.S. Coast Guard's historical spending on aircraft manufacturing and support services over the past five years would reveal trends in investment and identify key areas of focus. This data could indicate whether spending has been consistent, increasing, or decreasing, and whether it is concentrated in specific types of aircraft or support functions. Understanding these patterns helps contextualize the current $7.2 million award, assessing if it aligns with historical investment levels or represents a significant shift. It also informs future budget planning and resource allocation for aviation readiness. Without specific historical data, it's difficult to provide precise figures, but such analysis would typically involve reviewing annual procurement reports and contract databases to aggregate spending on related North American Industry Classification System (NAICS) codes, such as 336411 (Aircraft Manufacturing) and related maintenance, repair, and overhaul services.

How does the per-unit cost or labor rate for LOGMET LLC compare to industry benchmarks for similar aircraft manufacturing support services?

To assess the value for money, a comparison of LOGMET LLC's per-unit costs or labor rates against industry benchmarks for similar aircraft manufacturing support services is crucial. This involves identifying comparable contracts awarded to other entities for equivalent services, considering factors like the type of aircraft, complexity of the work, and required certifications. Benchmarking can be done using data from government contract databases (e.g., FPDS, SAM.gov) or industry market research reports. If LOGMET LLC's rates are significantly higher than benchmarks without a justifiable reason (e.g., unique expertise, specialized equipment), it could indicate potential overpricing. Conversely, rates below benchmarks might suggest aggressive pricing or potential quality concerns. The 'labor hours' pricing structure (PT: LABOR HOURS) necessitates a close examination of the estimated hours and the hourly rates to ensure overall cost-effectiveness.

What is LOGMET LLC's track record and past performance on government contracts, particularly those involving aviation manufacturing or complex technical services?

Evaluating LOGMET LLC's track record and past performance is essential for understanding their reliability and capability in delivering on this contract. This involves reviewing their performance history on previous government contracts, looking for indicators of successful project completion, adherence to schedules, quality of work, and client satisfaction. Databases like the Contractor Performance Assessment Reporting System (CPARS) can provide insights into past performance evaluations. A history of strong performance on similar aviation manufacturing or technical services contracts would increase confidence in LOGMET LLC's ability to meet the U.S. Coast Guard's requirements. Conversely, a record of performance issues, contract disputes, or failures could signal higher risk for this current award. Specific details on past performance are often proprietary but can be inferred from contract award histories and any publicly available performance reviews.

What are the specific deliverables and performance metrics outlined in this contract, and how will they be measured?

The specific deliverables and performance metrics for this contract are critical for ensuring the U.S. Coast Guard receives the intended value and that LOGMET LLC meets its obligations. While the provided data does not detail these, a typical delivery order for aircraft manufacturing support would include specifications for manufactured parts, repair services, or modifications, along with associated documentation. Performance metrics would likely focus on quality (e.g., defect rates, adherence to specifications), timeliness (e.g., on-time delivery of parts or completion of services), and potentially cost control if applicable. Measurement methods would involve inspections, testing, acceptance reviews by the Coast Guard, and potentially contractor self-reporting against defined Key Performance Indicators (KPIs). The effectiveness of the contract hinges on clearly defined, measurable, achievable, relevant, and time-bound (SMART) objectives.

What is the strategic importance of this contract to the U.S. Coast Guard's overall aviation readiness and mission capabilities?

This contract's strategic importance to the U.S. Coast Guard's aviation readiness and mission capabilities is likely significant, given the critical nature of aircraft maintenance and manufacturing support. The Coast Guard relies on its aviation assets for a wide range of missions, including search and rescue, maritime law enforcement, and homeland security operations. Ensuring these aircraft are operational, well-maintained, and potentially upgraded through manufacturing support is paramount. This $7.2 million award, covering a period of 305 days, suggests a focused effort to address specific needs related to aircraft availability or capability enhancement. The contract's success directly impacts the Coast Guard's ability to execute its core missions effectively and respond to evolving threats and operational demands in the maritime domain.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing

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: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 9600 GREAT HILLS TRL, AUSTIN, TX, 78759

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $7,196,306

Exercised Options: $7,196,306

Current Obligation: $7,196,306

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z03824DH0000001

IDV Type: IDC

Timeline