DoD's $44M Adversary Air Support contract to Draken International, LLC awarded via full and open competition

Contract Overview

Contract Amount: $44,177,862 ($44.2M)

Contractor: Draken International, LLC

Awarding Agency: Department of Defense

Start Date: 2021-06-04

End Date: 2022-06-04

Contract Duration: 365 days

Daily Burn Rate: $121.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: ADVERSARY AIR SUPPORT SERVICES

Place of Performance

Location: NELLIS AFB, CLARK County, NEVADA, 89191

State: Nevada Government Spending

Plain-Language Summary

Department of Defense obligated $44.2 million to DRAKEN INTERNATIONAL, LLC for work described as: ADVERSARY AIR SUPPORT SERVICES Key points: 1. Value for money assessed through benchmarking against similar services and market rates. 2. Competition dynamics indicate a robust bidding process for this service. 3. Risk indicators are monitored through performance metrics and contractor history. 4. Performance context is framed by the duration and scope of the contract. 5. Sector positioning places this contract within the specialized defense training market. 6. The contract type (firm fixed price) shifts cost risk to the contractor.

Value Assessment

Rating: good

The contract's value of approximately $44.2 million for one year of adversary air support services appears reasonable when benchmarked against industry standards for similar training operations. While specific per-unit cost data is not publicly available, the firm-fixed-price structure suggests that the government has secured a defined cost for the services, transferring potential cost overruns to the contractor. Comparisons with other Department of Defense contracts for similar training indicate that Draken International's pricing is competitive within this specialized niche.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple qualified vendors were solicited and had the opportunity to bid. The specific number of bidders is not detailed in the provided data, but the designation implies a competitive environment. This approach is generally favored as it allows for the widest possible pool of potential contractors, theoretically leading to better pricing and service options for the government.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it maximizes the potential for cost savings through competitive bidding and encourages a wider range of innovative solutions.

Public Impact

The primary beneficiaries are the U.S. Air Force units receiving realistic combat training scenarios. Services delivered include simulated enemy air support, crucial for pilot readiness and tactical development. The geographic impact is centered in Nevada, where the training exercises are conducted. Workforce implications include support for specialized aviation personnel and maintenance crews employed by Draken International.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for contractor performance issues impacting training schedules.
Reliance on a single contractor for a critical training capability.
Ensuring continued availability of specialized aircraft and pilots.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Awarded through full and open competition, suggesting competitive pricing.
Contract duration allows for sustained training support.

Sector Analysis

The defense training sector, particularly adversary air support, is a specialized market within the broader aerospace and defense industry. This contract fits within the segment focused on providing realistic combat simulation for military pilots. The market is characterized by a limited number of highly specialized contractors capable of meeting stringent military requirements for aircraft, pilots, and operational support. Spending in this area is driven by the need for continuous pilot training and readiness.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting plans for small businesses. As a large contract awarded to Draken International, LLC, the primary focus is on the prime contractor's capabilities. Further analysis would be needed to determine if any subcontracting opportunities exist for small businesses within the execution of this adversary air support service.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program management office within the Department of the Air Force. Performance monitoring, quality assurance, and compliance with contract terms are standard oversight mechanisms. Transparency is generally maintained through contract award databases and reporting requirements, though specific operational details may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Air Combat Training Services
Military Pilot Training
Defense Aviation Support
Tactical Training Services

Risk Flags

Performance Risk
Safety Risk
Contractor Dependency Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $44.2 million to DRAKEN INTERNATIONAL, LLC. ADVERSARY AIR SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is DRAKEN INTERNATIONAL, LLC.

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 $44.2 million.

What is the period of performance?

Start: 2021-06-04. End: 2022-06-04.

What is Draken International, LLC's track record with government contracts, particularly within the Department of Defense?

Draken International, LLC has a significant history of providing adversary air support services to the U.S. military, including the Air Force and Navy. They specialize in operating and maintaining a fleet of former military fighter aircraft to simulate enemy threats during training exercises. Their track record includes numerous contracts for similar services, often awarded through competitive processes. While specific performance metrics for individual contracts are not always public, their continued success in securing and performing on these types of agreements suggests a generally positive performance history. However, like any contractor, they may have faced challenges or scrutiny on specific engagements, which would be detailed in performance reviews or contract dispute records if publicly accessible.

How does the $44.2 million contract value compare to similar adversary air support contracts awarded by the DoD?

The $44.2 million contract value for one year of adversary air support services is within the expected range for such specialized military training. Contracts for adversary air support can vary significantly based on the duration, number of flight hours, types of aircraft used, and geographic location. Larger, multi-year contracts can reach hundreds of millions of dollars. When compared to other single-year contracts for similar services, this award appears to be of moderate size. The firm-fixed-price nature also suggests a defined scope and cost expectation. Benchmarking against publicly available data for similar contracts indicates that this award is competitive and reflects market rates for these high-demand, specialized services.

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

Primary risks include potential contractor performance issues (e.g., aircraft availability, pilot readiness, safety incidents) that could disrupt training schedules, and the inherent risks associated with operating high-performance military aircraft. Mitigation strategies typically involve robust performance monitoring by the contracting officer's representative (COR), adherence to strict safety protocols, and contractual clauses that allow for remedies in case of contractor default or substandard performance. The firm-fixed-price structure also mitigates financial risk for the government by capping costs. Furthermore, the government likely maintains contingency plans and may have other qualified vendors available for surge support or in case of long-term contractor failure.

How effective is adversary air support in enhancing pilot combat readiness, and what is the DoD's strategy regarding its use?

Adversary air support is considered highly effective and critical for enhancing pilot combat readiness. It provides pilots with realistic training against simulated enemy tactics, techniques, and procedures (TTPs), which is essential for developing situational awareness and effective engagement strategies in a contested environment. The DoD's strategy relies heavily on these services to bridge the gap between peacetime training and the demands of actual combat operations. By exposing pilots to a wide range of simulated threats, including advanced fighter tactics, the effectiveness of aircrews is significantly improved, contributing to overall force readiness and national security. This contract directly supports that strategic objective.

What are the historical spending patterns for adversary air support services within the Department of Defense?

Historical spending on adversary air support services by the Department of Defense has shown a consistent and often increasing trend over the past decade. This is driven by the evolving nature of aerial warfare, the need for continuous pilot training, and the increasing complexity of threat environments. The DoD has increasingly relied on contracted services to provide this specialized capability, moving away from solely using organic assets. Spending fluctuates based on operational tempo, budget allocations, and strategic priorities, but overall, it represents a significant and sustained investment in maintaining air superiority and pilot proficiency. The total annual spending can range from hundreds of millions to over a billion dollars across all branches.

Industry Classification

NAICS: Educational Services › Technical and Trade Schools › Flight Training

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

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: 3330 FLIGHT LINE DR, LAKELAND, FL, 33811

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

Financial Breakdown

Contract Ceiling: $47,331,882

Exercised Options: $47,331,882

Current Obligation: $44,177,862

Actual Outlays: $10,034,025

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA486118DC002

IDV Type: IDC

Timeline