DoD awards $74.6M for helicopter maintenance at Kirtland AFB, with Amentum Services Inc. securing the contract

Contract Overview

Contract Amount: $74,599,144 ($74.6M)

Contractor: Amentum Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2020-11-04

End Date: 2026-08-31

Contract Duration: 2,126 days

Daily Burn Rate: $35.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 11

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: HELICOPTER MAINTENANCE AT KIRTLAND AFB.

Place of Performance

Location: KIRTLAND AFB, BERNALILLO County, NEW MEXICO, 87117

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $74.6 million to AMENTUM SERVICES, INC. for work described as: HELICOPTER MAINTENANCE AT KIRTLAND AFB. Key points: 1. Contract value of $74.6M over its period of performance. 2. Full and open competition was utilized for this award. 3. The contract has a duration of 2126 days. 4. This award falls under 'Other Support Activities for Air Transportation'. 5. The contract is firm-fixed-price, indicating defined costs. 6. The contractor, Amentum Services, Inc., is a significant player in government contracting.

Value Assessment

Rating: good

The contract value of $74.6 million for helicopter maintenance over approximately 5.8 years appears reasonable given the scope of services. Benchmarking against similar maintenance contracts for large aircraft fleets would provide a more precise value-for-money assessment. The firm-fixed-price structure suggests that cost overruns are primarily the contractor's responsibility, which is a positive indicator for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. With 11 bidders, this suggests a healthy level of competition, which typically drives down prices and encourages innovation. The number of bidders provides a strong basis for price discovery and ensures the government receives competitive proposals.

Taxpayer Impact: The robust competition for this contract is beneficial for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition award. The government was able to leverage market forces to secure the best value.

Public Impact

The primary beneficiaries are the U.S. Air Force units operating helicopters at Kirtland Air Force Base, ensuring operational readiness. Services include essential maintenance, repair, and overhaul for rotary-wing aircraft. The geographic impact is concentrated at Kirtland AFB in New Mexico. The contract supports a workforce skilled in aviation maintenance and logistics.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep if maintenance requirements are not clearly defined.
  • Dependence on a single contractor for critical helicopter maintenance could pose a risk if performance issues arise.

Positive Signals

  • Firm-fixed-price contract structure limits the government's exposure to cost increases.
  • Full and open competition with multiple bidders suggests a competitive pricing environment.
  • Long-term contract provides stability for both the government and the contractor.

Sector Analysis

Helicopter maintenance falls within the broader aerospace and defense services sector. This sector is characterized by high technical expertise, stringent quality standards, and significant government spending. The market size for aviation maintenance, repair, and overhaul (MRO) is substantial, with government contracts forming a key segment. This contract represents a portion of the Department of Defense's overall investment in maintaining its aviation fleet readiness.

Small Business Impact

The data indicates that small business participation was not a primary set-aside consideration for this contract, as 'sb' is false. However, Amentum Services, Inc., as a large prime contractor, may engage small businesses as subcontractors to fulfill specific aspects of the maintenance requirements. The extent of subcontracting to small businesses will depend on Amentum's strategy and the availability of specialized small business capabilities within the New Mexico region.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force contracting and program management offices at Kirtland AFB. Performance will be monitored against the terms and conditions of the firm-fixed-price delivery order. Accountability measures are embedded in the contract through performance standards and payment schedules. Transparency is generally maintained through contract award announcements and reporting requirements, though specific operational details may be sensitive.

Related Government Programs

  • Air Force Helicopter Fleet Support
  • Aviation Maintenance Services
  • Kirtland AFB Operations Support
  • Defense Logistics Agency Aviation Support

Risk Flags

  • Performance Risk
  • Contract Duration Risk
  • Technical Complexity Risk

Tags

defense, department-of-defense, air-force, kirtland-afb, helicopter-maintenance, aviation-support, full-and-open-competition, firm-fixed-price, amentum-services-inc, new-mexico, long-term-contract, other-support-activities-for-air-transportation

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $74.6 million to AMENTUM SERVICES, INC.. HELICOPTER MAINTENANCE AT KIRTLAND AFB.

Who is the contractor on this award?

The obligated recipient is AMENTUM SERVICES, INC..

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 $74.6 million.

What is the period of performance?

Start: 2020-11-04. End: 2026-08-31.

What is Amentum Services, Inc.'s track record with similar helicopter maintenance contracts for the Department of Defense?

Amentum Services, Inc. has a substantial track record in providing a wide range of support services to the Department of Defense, including aviation maintenance. While specific details on past helicopter maintenance contracts would require deeper analysis of historical contract data, the company's overall experience suggests a capacity to handle complex aviation support requirements. Their portfolio often includes base operations, logistics, and technical services, which are relevant to helicopter maintenance. It is advisable to review past performance evaluations and any reported issues on similar DoD contracts to fully assess their reliability and expertise in this specific domain.

How does the awarded price compare to industry benchmarks for helicopter maintenance services?

A precise comparison of the $74.6 million contract value to industry benchmarks for helicopter maintenance requires detailed knowledge of the specific helicopter models, the scope of services (e.g., scheduled maintenance, unscheduled repairs, component overhauls), and the labor rates in the New Mexico region. However, for large-scale fleet maintenance over several years, this figure appears within a plausible range, especially considering the specialized nature of military aviation. A more granular analysis would involve comparing the per-hour maintenance costs or the cost per aircraft against publicly available data or reports from aviation industry analysts. The firm-fixed-price nature suggests that the government has negotiated a ceiling, but the actual value realization depends on the efficiency of the contractor's operations.

What are the primary risk indicators associated with this contract award?

Key risk indicators for this contract include potential performance issues if the contractor, Amentum Services, Inc., fails to meet stringent maintenance schedules or quality standards, impacting aircraft readiness. Dependence on a single contractor for critical support creates a performance risk. Furthermore, the complexity of modern helicopter systems means that unforeseen technical challenges or parts obsolescence could lead to delays or increased costs, despite the firm-fixed-price structure. The long duration of the contract (over 5 years) also introduces risks related to potential changes in technology, threat environments, or budgetary priorities that might necessitate contract modifications or adjustments.

How effective is the firm-fixed-price contract type in managing costs for helicopter maintenance?

The firm-fixed-price (FFP) contract type is generally considered effective in managing costs for services like helicopter maintenance, as it shifts the primary cost risk to the contractor. Under an FFP agreement, the contractor is obligated to perform the specified work for a predetermined price, regardless of their actual costs. This incentivizes the contractor to be efficient and control their expenses. For the government, it provides cost certainty and predictability. However, the effectiveness hinges on the initial negotiation of a fair and realistic price and the clarity of the contract's scope of work to prevent disputes or change orders that could inflate the total cost.

What are the historical spending patterns for helicopter maintenance at Kirtland AFB?

Analyzing historical spending patterns for helicopter maintenance at Kirtland AFB would require accessing historical contract databases. Without that specific data, it's difficult to provide precise figures. However, it's reasonable to assume that Kirtland AFB, as a significant Air Force installation, has consistently required helicopter maintenance services. Spending levels would likely fluctuate based on the size and operational tempo of the helicopter fleet stationed there, as well as the specific maintenance contracts awarded in previous years. The current $74.6 million award over approximately 5.8 years suggests a sustained annual expenditure in the range of $10-13 million for these services, which can be compared to prior contract values if available.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Air TransportationOther Support Activities for Air Transportation

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA680019RA002

Offers Received: 11

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: PAE Government Services Inc.

Address: 4800 WESTFIELDS BLVD STE 400, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $79,288,340

Exercised Options: $74,777,562

Current Obligation: $74,599,144

Actual Outlays: $2,616,878

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $35,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA680021D0001

IDV Type: IDC

Timeline

Start Date: 2020-11-04

Current End Date: 2026-08-31

Potential End Date: 2026-08-31 00:00:00

Last Modified: 2025-07-28

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