DHS Coast Guard awards $3.18M contract for aeronautical instrument manufacturing to Tyonek Aircraft Overhaul, LLC

Contract Overview

Contract Amount: $3,182,530 ($3.2M)

Contractor: Tyonek Aircraft Overhaul, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2025-09-16

End Date: 2026-09-15

Contract Duration: 364 days

Daily Burn Rate: $8.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: OPTION PERIOD 1

Place of Performance

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

State: North Carolina Government Spending

Plain-Language Summary

Department of Homeland Security obligated $3.2 million to TYONEK AIRCRAFT OVERHAUL, LLC for work described as: OPTION PERIOD 1 Key points: 1. Contract awarded for specialized aeronautical and nautical systems manufacturing. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. 4. Fixed-price contract type aims to control costs for the government. 5. The period of performance is one year, indicating a defined scope of work. 6. The contractor, Tyonek Aircraft Overhaul, LLC, specializes in aircraft maintenance and overhaul.

Value Assessment

Rating: good

The contract value of $3.18 million for a one-year period for specialized instrument manufacturing appears reasonable given the niche nature of the work. Benchmarking against similar contracts for aeronautical systems manufacturing is challenging without more specific details on the instruments and services required. However, the firm fixed-price structure provides cost certainty for the government, mitigating risk of cost overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but the open competition suggests a healthy market for these specialized services. This approach generally leads to better price discovery and potentially lower costs for the government compared to limited or sole-source procurements.

Taxpayer Impact: A full and open competition maximizes the opportunity for multiple companies to bid, which typically drives down prices and ensures taxpayers receive the best value for their investment.

Public Impact

The U.S. Coast Guard benefits from the acquisition of critical aeronautical and nautical systems. These systems are essential for the Coast Guard's search, detection, navigation, and guidance operations. The contract supports the operational readiness and effectiveness of Coast Guard aviation assets. The geographic impact is primarily national, supporting Coast Guard missions across various regions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for increased demand on specialized manufacturing capabilities.
Reliance on a single delivery order for specific instrument needs.

Positive Signals

Award to a company with demonstrated experience in aircraft overhaul and maintenance.
Firm fixed-price contract type provides cost predictability.
Full and open competition ensures market engagement.

Sector Analysis

The contract falls within the aerospace and defense manufacturing sector, specifically focusing on navigation and guidance systems. This sector is characterized by high technological requirements, stringent quality control, and often long production lead times. The market size for such specialized components is significant, driven by government and commercial aviation needs. This contract represents a specific procurement within the broader ecosystem of aerospace component manufacturing and maintenance.

Small Business Impact

The provided 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 stemming from a set-aside requirement. However, the prime contractor, Tyonek Aircraft Overhaul, LLC, may engage small businesses as subcontractors if it aligns with their procurement strategy and the specific needs of the contract.

Oversight & Accountability

Oversight for this contract will be managed by the U.S. Coast Guard, a component of the Department of Homeland Security. Standard procurement regulations and contract management practices will apply. The firm fixed-price nature of the contract simplifies some aspects of financial oversight by establishing a ceiling cost. Transparency is maintained through contract award databases and reporting mechanisms.

Related Government Programs

Aeronautical Systems Manufacturing
Navigation and Guidance Systems
Coast Guard Aviation Support
Defense Industrial Base

Risk Flags

Potential for supply chain disruptions
Reliance on specialized manufacturing expertise

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $3.2 million to TYONEK AIRCRAFT OVERHAUL, LLC. OPTION PERIOD 1

Who is the contractor on this award?

The obligated recipient is TYONEK AIRCRAFT OVERHAUL, 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 $3.2 million.

What is the period of performance?

Start: 2025-09-16. End: 2026-09-15.

What is the specific nature of the 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' being procured?

The specific nature of the systems and instruments is not detailed in the provided data. However, the North American Industry Classification System (NAICS) code 334511, 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing,' typically covers establishments primarily engaged in manufacturing electronic systems and instruments for military and commercial aviation, including radar, sonar, GPS, flight control systems, and related components. The U.S. Coast Guard's use of these systems suggests they are critical for maritime surveillance, search and rescue, navigation safety, and operational command and control.

How does the $3.18 million award compare to historical spending on similar aeronautical instrument manufacturing contracts by the Coast Guard or DHS?

Without access to a comprehensive database of historical contracts specifically for 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' by the U.S. Coast Guard or DHS, a direct comparison is difficult. However, $3.18 million for a one-year delivery order is a moderate-sized award. Larger, multi-year IDIQ contracts in this sector can range from tens to hundreds of millions of dollars. This specific award likely represents a defined need for a particular set of instruments or manufacturing services, rather than a broad, long-term acquisition program.

What are the key performance indicators (KPIs) or quality assurance measures for this contract?

The provided data does not specify the key performance indicators (KPIs) or quality assurance (QA) measures for this contract. However, for contracts involving the manufacturing of aeronautical and nautical systems, typical KPIs would likely include on-time delivery, adherence to technical specifications, defect rates, and compliance with stringent aerospace quality standards (e.g., AS9100). The U.S. Coast Guard would have a Quality Assurance Surveillance Plan (QASP) outlining how contract performance will be monitored and evaluated to ensure the delivered products meet all requirements.

What is Tyonek Aircraft Overhaul, LLC's track record with government contracts, particularly with the Department of Homeland Security or U.S. Coast Guard?

Tyonek Aircraft Overhaul, LLC has a history of receiving government contracts, primarily related to aircraft maintenance, repair, and overhaul services. While specific details on their performance with DHS or the U.S. Coast Guard for manufacturing are not provided in this data snippet, their presence in the defense and aerospace contracting space suggests experience with government procurement processes and requirements. A deeper dive into contract databases would reveal the volume and types of contracts they have held previously, including any awards for manufacturing or system integration.

What are the potential risks associated with this contract, and how are they being mitigated?

Potential risks include supply chain disruptions for specialized components, technical challenges in manufacturing complex systems, and potential delays in delivery. Mitigation strategies often involve robust quality control processes, clear communication channels with the contractor, and contingency planning for material sourcing. The firm fixed-price contract type also mitigates financial risk for the government by setting a clear cost ceiling. The one-year duration limits the exposure to long-term market or technological shifts.

How does this contract align with the U.S. Coast Guard's broader modernization or operational readiness goals?

This contract likely supports the U.S. Coast Guard's ongoing need to maintain and potentially upgrade its aviation assets and associated systems. Aeronautical and nautical instruments are critical for the safe and effective operation of aircraft used in surveillance, interdiction, search and rescue, and other vital missions. Ensuring access to reliable, high-quality manufactured systems contributes directly to the Coast Guard's operational readiness and its ability to fulfill its diverse maritime safety and security responsibilities.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 229 PALMER ROAD, MADISON, AL, 35758

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, 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: $3,182,530

Exercised Options: $3,182,530

Current Obligation: $3,182,530

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z03824DS0000005

IDV Type: IDC

Timeline