DoD's $330M Flight Training Contract Awarded to FlightSafety Defense Corporation Under Full and Open Competition

Contract Overview

Contract Amount: $329,692,154 ($329.7M)

Contractor: Flightsafety Defense Corporation

Awarding Agency: Department of Defense

Start Date: 1999-12-21

End Date: 2013-04-04

Contract Duration: 4,853 days

Daily Burn Rate: $67.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Place of Performance

Location: ENGLEWOOD, ARAPAHOE County, COLORADO, 80112

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $329.7 million to FLIGHTSAFETY DEFENSE CORPORATION for work described as: Key points: 1. Significant contract value of over $329 million for flight training services. 2. Awarded through full and open competition, suggesting a competitive bidding process. 3. Long contract duration of over 13 years indicates a substantial, long-term need. 4. The contract is for flight training, a critical component of military readiness.

Value Assessment

Rating: good

The contract was awarded under a firm fixed-price structure, which helps control costs for the government. The benchmark of $6,793,600 (BR) for this contract suggests a reasonable price point given the scale and duration.

Cost Per Unit: $67,936

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This process generally leads to better price discovery and value for the government.

Taxpayer Impact: The competitive nature of the award is expected to ensure taxpayer funds are used efficiently for essential flight training services.

Public Impact

Ensures continued readiness and proficiency for Air Force pilots. Supports advanced training technologies and methodologies. Provides long-term stability for a critical defense service provider.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long contract duration could lead to potential cost increases if not managed effectively.
  • Reliance on a single contractor for such a critical service poses a risk.
  • Potential for scope creep over the extended contract period.

Positive Signals

  • Firm fixed-price contract provides cost certainty.
  • Awarded through full and open competition, maximizing value.
  • Long-term commitment ensures consistent training capabilities.

Sector Analysis

The Department of Defense is a major spender in the IT and services sectors, with flight training being a specialized but crucial area. Benchmarks for similar large-scale training contracts can vary significantly based on complexity and duration.

Small Business Impact

The data indicates this contract was not awarded to small businesses (SB: false). Further analysis would be needed to determine if subcontracting opportunities were provided to small businesses.

Oversight & Accountability

The long duration and significant value of this contract warrant robust oversight to ensure performance standards are met and costs remain controlled. Regular performance reviews and audits are essential.

Related Government Programs

  • Flight Training
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Long contract duration increases risk of obsolescence and cost escalation.
  • Sole reliance on one contractor for critical training.
  • Lack of small business participation noted.
  • Potential for contractor lock-in due to specialized training.

Tags

flight-training, department-of-defense, co, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $329.7 million to FLIGHTSAFETY DEFENSE CORPORATION. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is FLIGHTSAFETY DEFENSE CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $329.7 million.

What is the period of performance?

Start: 1999-12-21. End: 2013-04-04.

What specific flight training capabilities are covered under this contract, and how do they align with current Air Force operational needs?

This contract covers flight training services, likely encompassing initial pilot training, recurrent training, and potentially specialized mission training. The alignment with current needs would depend on the specific syllabus, simulator technology, and aircraft types utilized. A review of the contract's Statement of Work (SOW) and any subsequent modifications would be necessary to confirm the precise scope and its relevance to evolving Air Force requirements and threats.

Given the 13-year duration, what mechanisms are in place to ensure the training remains technologically relevant and cost-effective over time?

Mechanisms to ensure technological relevance and cost-effectiveness over a 13-year period typically include contract clauses for periodic reviews, potential for equitable adjustments based on technological advancements, and performance-based metrics. The firm fixed-price nature provides initial cost certainty, but the government should have provisions for incorporating new training technologies or methodologies through contract modifications, ensuring the training evolves without excessive cost overruns.

How does the government assess the performance and quality of the flight training provided by FlightSafety Defense Corporation to ensure mission readiness?

Performance and quality are typically assessed through a combination of methods. This includes adherence to the contract's Statement of Work (SOW), achievement of specific training objectives and milestones, and pilot proficiency metrics. The Air Force likely employs Contracting Officer's Representatives (CORs) and technical monitors to oversee training delivery, conduct regular performance evaluations, and gather feedback from trainees and instructors to ensure the training effectively supports mission readiness.

Industry Classification

NAICS: Educational ServicesTechnical and Trade SchoolsFlight Training

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: Berkshire Hathaway Inc. (UEI: 001024314)

Address: 3333 S BANNOCK ST STE 100, ENGLEWOOD, CO, 80110

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 1999-12-21

Current End Date: 2013-04-04

Potential End Date: 2013-04-04 00:00:00

Last Modified: 2016-05-25

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