NASA awards $3.06M to StandardAero for Rolls-Royce engine services, a sole-source purchase order

Contract Overview

Contract Amount: $3,056,469 ($3.1M)

Contractor: Standardaero Business Aviation Services, LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $8.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE OBJECTIVES ARE TO PROVIDE SERVICES FOR TWO ROLLS ROYCE MK511-8 AIRCRAFT ENGINES: ENGINE SERIAL NUMBER 11176 FROM NASA LARC IS TO UNDERGO A 1C INSPECTION AND THE CONTRACTOR SHALL PERFORM A 5Y2K SERVICE FOR ENGINE SERIAL NUMBER 8801

Place of Performance

Location: EDWARDS, KERN County, CALIFORNIA, 93523

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $3.1 million to STANDARDAERO BUSINESS AVIATION SERVICES, LLC for work described as: THE OBJECTIVES ARE TO PROVIDE SERVICES FOR TWO ROLLS ROYCE MK511-8 AIRCRAFT ENGINES: ENGINE SERIAL NUMBER 11176 FROM NASA LARC IS TO UNDERGO A 1C INSPECTION AND THE CONTRACTOR SHALL PERFORM A 5Y2K SERVICE FOR ENGINE SERIAL NUMBER 8801 Key points: 1. Contract focuses on critical inspection and service for two specific Rolls-Royce engines. 2. Sole-source award limits competitive pricing and potential cost savings. 3. High-value specialized service for aging aircraft components presents a unique risk. 4. Aircraft Engine Manufacturing sector often involves specialized, high-cost maintenance.

Value Assessment

Rating: questionable

The $3.06 million price for servicing two specific aircraft engines is difficult to benchmark without comparable sole-source contracts. The firm fixed-price nature provides cost certainty but doesn't guarantee value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and competitive pressure, potentially leading to higher costs for the government.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these specialized engine services.

Public Impact

Ensures continued operational readiness of critical NASA research aircraft. Supports specialized maintenance for aging, high-value aerospace assets. Potential for extended aircraft downtime if services are delayed or inadequate.

Waste & Efficiency Indicators

Waste Risk Score: 84 / 10

Warning Flags

  • Sole-source award limits competition.
  • High cost for specialized, limited scope service.
  • Potential for cost overruns if unforeseen issues arise.

Positive Signals

  • Ensures critical maintenance for specific NASA assets.
  • Firm fixed-price contract provides cost certainty.
  • Experienced contractor with specialized knowledge.

Sector Analysis

This contract falls within the Aircraft Engine and Engine Parts Manufacturing sector, characterized by high technical expertise and specialized, often costly, maintenance requirements. Benchmarking is challenging due to the unique nature of the engines and services.

Small Business Impact

This award went to StandardAero Business Aviation Services, LLC, a large business. There is no indication of small business participation in this specific contract.

Oversight & Accountability

The award is a purchase order issued by NASA. Oversight will focus on contract performance, adherence to the firm fixed-price agreement, and timely completion of the specified engine services.

Related Government Programs

  • Aircraft Engine and Engine Parts Manufacturing
  • National Aeronautics and Space Administration Contracting
  • National Aeronautics and Space Administration Programs

Risk Flags

  • Sole-source award
  • High contract value for limited scope
  • Potential for price escalation if scope changes
  • Reliance on a single provider for critical maintenance

Tags

aircraft-engine-and-engine-parts-manufac, national-aeronautics-and-space-administr, ca, purchase-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $3.1 million to STANDARDAERO BUSINESS AVIATION SERVICES, LLC. THE OBJECTIVES ARE TO PROVIDE SERVICES FOR TWO ROLLS ROYCE MK511-8 AIRCRAFT ENGINES: ENGINE SERIAL NUMBER 11176 FROM NASA LARC IS TO UNDERGO A 1C INSPECTION AND THE CONTRACTOR SHALL PERFORM A 5Y2K SERVICE FOR ENGINE SERIAL NUMBER 8801

Who is the contractor on this award?

The obligated recipient is STANDARDAERO BUSINESS AVIATION SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $3.1 million.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the justification for the sole-source award, and were alternative competitive strategies considered?

The justification for a sole-source award typically stems from unique capabilities, proprietary technology, or urgent needs where only one contractor can fulfill the requirement. NASA would need to document why competition was not feasible or advantageous for these specific engine services, potentially involving specialized knowledge or parts only available from StandardAero.

How does the $3.06 million cost compare to historical maintenance costs for similar Rolls-Royce engine models?

Without access to NASA's internal cost data or industry benchmarks for similar sole-source engine overhauls, it's difficult to definitively assess value. The 'br' value of 8397 suggests a potential benchmark or internal estimate, but its context is unclear. A comparison would require analyzing past contracts for comparable services on similar engine types.

What are the risks associated with relying on a single contractor for critical aircraft engine maintenance?

The primary risks include lack of competitive pricing, potential for complacency by the contractor, and vulnerability if the contractor faces financial or operational difficulties. This sole-source award necessitates strong government oversight to ensure quality, timely delivery, and fair pricing, mitigating the inherent risks of limited competition.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingAircraft Engine and Engine Parts Manufacturing

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2988 W WALNUT HILL LN, DFW AIRPORT, TX, 75261

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

Financial Breakdown

Contract Ceiling: $3,557,306

Exercised Options: $3,557,306

Current Obligation: $3,056,469

Actual Outlays: $423,610

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2025-10-01

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-03-05

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