Air Force Awards $66.9M for Installation Support Services in Alaska

Contract Overview

Contract Amount: $66,877,371 ($66.9M)

Contractor: Asrc Communications, Ltd.

Awarding Agency: Department of Defense

Start Date: 2023-06-30

End Date: 2024-09-29

Contract Duration: 457 days

Daily Burn Rate: $146.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CONTINUED CONTRACT FROM FA521518C9003 IAW DFARS 204.1601(C). INSTALLATION SUPPORT SERVICES FOR GEOGRAPHICALLY SEPARATED LOCATIONS

Place of Performance

Location: JBER, ANCHORAGE County, ALASKA, 99506

State: Alaska Government Spending

Plain-Language Summary

Department of Defense obligated $66.9 million to ASRC COMMUNICATIONS, LTD. for work described as: CONTINUED CONTRACT FROM FA521518C9003 IAW DFARS 204.1601(C). INSTALLATION SUPPORT SERVICES FOR GEOGRAPHICALLY SEPARATED LOCATIONS Key points: 1. Significant contract for essential facilities support services in a geographically dispersed region. 2. ASRC Communications, Ltd. is the incumbent contractor, suggesting potential for continuity and established performance. 3. The contract's duration of 457 days indicates a substantial, ongoing need for these services. 4. The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method warrants scrutiny regarding its impact on price discovery.

Value Assessment

Rating: fair

The contract value of $66.9M over approximately 15 months appears substantial for facilities support. Benchmarking against similar large-scale installation support contracts would be necessary to definitively assess value, especially given the remote locations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests that while open competition was intended, specific circumstances led to excluding certain potential bidders. This could limit price discovery and potentially lead to higher costs than a truly unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential base support. The effectiveness of the competition method in securing competitive pricing will directly impact the overall taxpayer value.

Public Impact

Ensures continued operational readiness and support for Air Force installations in Alaska. Supports critical infrastructure maintenance and services necessary for military personnel and operations. Potential for economic impact in Alaska through contractor employment and resource utilization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method may impact price competitiveness.
Geographically separated locations could increase logistical costs and complexity.
Incumbent contractor may have an advantage.

Positive Signals

Essential service for military operations.
Contract awarded to a specific company, indicating a known entity.
Firm Fixed Price contract provides cost certainty.

Sector Analysis

Facilities Support Services (NAICS 561210) are crucial for maintaining government installations. Spending in this sector can vary widely based on the scale and location of facilities. This contract represents a significant investment in supporting Air Force operations in a challenging, remote environment.

Small Business Impact

The data indicates this contract was not awarded to a small business (sb: false). There is no information provided on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The contract's continuation from a previous award and its specific justification under DFARS suggest existing oversight mechanisms. However, the limited competition aspect warrants close monitoring to ensure fair pricing and performance.

Related Government Programs

Facilities Support Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Limited competition may lead to suboptimal pricing.
Geographic isolation increases logistical complexity and potential cost overruns.
Reliance on a single contractor for essential services presents a risk if performance issues arise.
Need for detailed justification of source exclusion.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $66.9 million to ASRC COMMUNICATIONS, LTD.. CONTINUED CONTRACT FROM FA521518C9003 IAW DFARS 204.1601(C). INSTALLATION SUPPORT SERVICES FOR GEOGRAPHICALLY SEPARATED LOCATIONS

Who is the contractor on this award?

The obligated recipient is ASRC COMMUNICATIONS, LTD..

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 $66.9 million.

What is the period of performance?

Start: 2023-06-30. End: 2024-09-29.

What specific factors necessitated the exclusion of sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' process, and how did this impact the final price?

The exclusion of sources typically occurs due to specific requirements, security concerns, or unique capabilities needed for the contract. Understanding these factors is crucial to determine if the exclusion was justified and if it limited competitive pressure, potentially leading to a higher price than if all qualified sources had been allowed to compete.

How does the cost per unit for these installation support services compare to similar contracts in other geographically challenging or remote locations?

Benchmarking the cost per unit against similar contracts in remote or geographically challenging areas is essential for assessing value. Factors like transportation, labor costs, and specialized equipment needs in Alaska could justify higher costs, but a comparative analysis is needed to ensure the pricing is reasonable and reflects efficient service delivery.

What performance metrics are in place to ensure the effectiveness and efficiency of ASRC Communications, Ltd. in delivering these installation support services?

Effective oversight requires clearly defined performance metrics and service level agreements. Understanding these metrics, such as response times, quality of maintenance, and adherence to safety standards, is key to evaluating the contractor's performance and ensuring taxpayer funds are delivering the intended operational support and value.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA521517R9002

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 6731 COLUMBIA GATEWAY DRIVE, COLUMBIA, MD, 21046

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $1,614,870,327

Exercised Options: $314,964,380

Current Obligation: $66,877,371

Subaward Activity

Number of Subawards: 49

Total Subaward Amount: $9,056,886

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline