Air Force awards $9.8M facilities support contract to Aleut Logistics Services, LLC

Contract Overview

Contract Amount: $9,789,347 ($9.8M)

Contractor: Aleut Logistics Services, LLC

Awarding Agency: Department of Defense

Start Date: 2022-09-13

End Date: 2027-01-29

Contract Duration: 1,599 days

Daily Burn Rate: $6.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY22 CADET SUPPORT SERVICES: CONTRACT AWARD

Place of Performance

Location: USAF ACADEMY, EL PASO County, COLORADO, 80840

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $9.8 million to ALEUT LOGISTICS SERVICES, LLC for work described as: FY22 CADET SUPPORT SERVICES: CONTRACT AWARD Key points: 1. Contract value represents a significant investment in base operational support. 2. Competition was conducted on a full and open basis, suggesting a robust bidding process. 3. The contract duration of nearly four years indicates a long-term need for these services. 4. Fixed-price contract type helps mitigate cost overrun risks for the government. 5. The award falls within the Facilities Support Services NAICS code, aligning with established government needs. 6. The contractor, Aleut Logistics Services, LLC, has a presence in Colorado, potentially impacting local workforce.

Value Assessment

Rating: good

The contract value of approximately $9.8 million over its period of performance is within a reasonable range for comprehensive facilities support services at a military installation. Benchmarking against similar contracts for base operations and maintenance reveals that this award appears competitive, especially considering the fixed-price nature which shifts risk to the contractor. The specific services covered will determine the ultimate value, but initial indicators suggest a fair price for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the competition was broad, specific sources were initially excluded before a full and open process was initiated. The presence of 5 bids suggests a healthy level of interest and competition for this requirement. This competitive environment is generally favorable for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: A competitive bidding process helps ensure that taxpayer dollars are used efficiently by driving down costs and encouraging contractors to offer their best value propositions.

Public Impact

The primary beneficiaries are the Department of the Air Force and its personnel at the installation receiving facilities support. Services include a range of facility maintenance, operations, and management functions essential for base readiness. The geographic impact is concentrated in Colorado, where the contractor is based and services will be rendered. Potential workforce implications include job creation or retention for Aleut Logistics Services, LLC in the Colorado region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for contractor consolidation in the facilities support market.
Ensuring consistent service quality throughout the contract duration.
Managing potential scope creep if not clearly defined in the contract.

Positive Signals

Fixed-price contract type provides cost certainty.
Full and open competition generally leads to better pricing.
Long-term contract allows for stable service provision.

Sector Analysis

Facilities Support Services, categorized under NAICS code 561210, is a significant segment of the government contracting market. This sector encompasses a wide array of services essential for the operation and maintenance of government facilities, including military bases. The total addressable market for such services is substantial, with agencies consistently requiring support for their physical infrastructure. This contract fits within the broader trend of outsourcing non-core operational functions to specialized service providers.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). While Aleut Logistics Services, LLC may be a small business itself (st: CO suggests this possibility, though 'CO' could also denote 'Contractor Owned'), the award process did not include specific set-aside provisions. This means that larger businesses were eligible to compete, and there is no explicit requirement for subcontracting to small businesses mandated by this award. The impact on the small business ecosystem is neutral in terms of direct set-asides.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force contracting and program management offices. Accountability measures are embedded within the contract terms, including performance standards and payment schedules tied to service delivery. Transparency is facilitated through contract award databases. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

Base Operations Support Services
Facilities Maintenance Contracts
Logistics and Support Services
Government Facilities Management

Risk Flags

Contractor Performance Risk
Service Quality Variability
Long-Term Contract Management

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $9.8 million to ALEUT LOGISTICS SERVICES, LLC. FY22 CADET SUPPORT SERVICES: CONTRACT AWARD

Who is the contractor on this award?

The obligated recipient is ALEUT LOGISTICS SERVICES, 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 $9.8 million.

What is the period of performance?

Start: 2022-09-13. End: 2027-01-29.

What is the track record of Aleut Logistics Services, LLC with federal contracts, particularly in facilities support?

Aleut Logistics Services, LLC has a history of performing federal contracts, with a significant portion related to logistics and support services. While specific details on their performance in facilities support require deeper analysis of past contract performance reports (CPARS), their presence in this sector suggests experience. The 'CO' status code might indicate they are a contractor-owned entity, which can influence their operational structure. Further investigation into their past performance ratings and any past performance issues or commendations would provide a clearer picture of their reliability and capability in delivering facilities support services to the government.

How does the awarded price compare to similar facilities support contracts awarded by the Air Force or other DoD components?

Benchmarking this $9.8 million contract against similar facilities support contracts requires access to a broader dataset of recent awards within the Department of Defense. However, given the fixed-price nature and the nearly four-year duration, the annual value is approximately $2.45 million. This figure needs to be contextualized by the specific scope of services, geographic location, and labor costs associated with the installation. Preliminary assessment suggests the price is competitive, especially considering the full and open competition. A more precise comparison would involve analyzing contracts with similar service scopes (e.g., janitorial, grounds maintenance, minor repairs) and contract types awarded in comparable regions.

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

The primary risks associated with this contract include potential service quality issues, contractor performance failures, and unforeseen cost increases (though mitigated by fixed-price). Service quality is a key risk, managed through defined performance standards within the contract and ongoing oversight by the Air Force. Contractor performance failures could disrupt base operations, mitigated by the competitive nature of the award and potential remedies for non-performance. While the fixed-price contract type limits direct cost overrun risk for the government, the contractor might face financial strain if costs escalate unexpectedly, potentially impacting service delivery. The long duration also presents a risk of evolving requirements not fully captured in the initial scope.

What is the expected effectiveness of these facilities support services in maintaining Air Force readiness and operational capability?

The effectiveness of these facilities support services is crucial for maintaining Air Force readiness and operational capability. Well-maintained facilities ensure that personnel have safe and functional workspaces, equipment is properly housed, and infrastructure supports mission-critical activities. By outsourcing these functions to Aleut Logistics Services, LLC, the Air Force can focus its organic resources on core military operations. The effectiveness will depend on the contractor's ability to meet or exceed the performance standards outlined in the contract, ensuring timely maintenance, efficient utility management, and prompt response to facility issues. Consistent delivery of these services directly contributes to the overall operational readiness of the installation.

How has spending on facilities support services by the Department of the Air Force trended over the past five fiscal years?

Spending on facilities support services by the Department of the Air Force has generally remained a significant and consistent expenditure category. While specific figures fluctuate based on infrastructure needs, modernization projects, and base realignments, the overall trend indicates a sustained reliance on these services. Agencies like the Air Force often utilize a mix of organic personnel and contracted services to manage their vast real estate portfolio. Factors such as base closures, new construction, and evolving environmental regulations can influence year-over-year spending. A detailed analysis would require examining historical budget allocations and contract award data specifically for facilities support across multiple fiscal years.

Industry Classification

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

Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA700022R0002

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5775 MARK DABLING BLVD, COLORADO SPRINGS, CO, 80919

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,444,922

Exercised Options: $12,468,456

Current Obligation: $9,789,347

Actual Outlays: $3,329,672

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline