DoD awards $22.2M for UAE dining facilities, with Vectrus Systems LLC managing services through June 2026

Contract Overview

Contract Amount: $22,190,757 ($22.2M)

Contractor: Vectrus Systems LLC

Awarding Agency: Department of Defense

Start Date: 2021-03-24

End Date: 2026-06-20

Contract Duration: 1,914 days

Daily Burn Rate: $11.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DINNING FACILITY (DFAC) SERVICES AT AL DHAFRA AIR BASE (ADAB), UNITED ARAB EMIRATES (UAE)

Plain-Language Summary

Department of Defense obligated $22.2 million to VECTRUS SYSTEMS LLC for work described as: DINNING FACILITY (DFAC) SERVICES AT AL DHAFRA AIR BASE (ADAB), UNITED ARAB EMIRATES (UAE) Key points: 1. Contract value appears reasonable given the extended duration and remote location. 2. Full and open competition suggests a competitive bidding process. 3. Potential risks include geopolitical instability and logistical challenges in the UAE. 4. Performance context is critical for ensuring quality of life for service members. 5. This contract falls within facilities support services, a common defense spending category.

Value Assessment

Rating: good

The contract's total value of approximately $22.2 million over its period of performance (roughly 5 years) suggests an average annual spend of around $4.4 million. Benchmarking this against similar remote DFAC contracts is challenging due to unique location factors. However, the firm-fixed-price structure generally indicates a predictable cost for the government, assuming the contractor can manage operational efficiencies. The value seems aligned with the scope of providing comprehensive dining services in a high-cost, remote operational environment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 4 bids suggests a healthy level of competition for this requirement. A competitive process like this is generally expected to drive down prices and ensure the government receives the best value proposition. The number of bidders provides a reasonable basis for price discovery and selection of a qualified contractor.

Taxpayer Impact: Taxpayers benefit from a competitive award process that aims to secure cost-effective services and prevent overpayment. The multiple bids likely resulted in a more favorable price than a sole-source or limited competition scenario.

Public Impact

Service members stationed at Al Dhafra Air Base in the UAE benefit from consistent and quality dining services. The contract ensures the provision of food preparation, serving, and related facility maintenance. Geographic impact is concentrated at Al Dhafra Air Base, UAE. Workforce implications include local employment opportunities for support staff in the UAE, managed by the prime contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Geopolitical risks in the UAE could impact service delivery or costs.
Logistical challenges for food and supply chain in a remote location.
Ensuring consistent food quality and safety standards in a demanding environment.

Positive Signals

Firm-fixed-price contract type provides cost certainty.
Full and open competition suggests a robust selection process.
Extended contract duration allows for stable service provision and potential economies of scale.

Sector Analysis

Facilities Support Services (NAICS 561210) is a broad category encompassing a wide range of services essential for the operation and maintenance of buildings and grounds. This contract specifically addresses the critical need for food services within a military installation. The global market for facility management is substantial, with significant government spending allocated to maintaining operational readiness and quality of life for personnel in various locations, especially overseas.

Small Business Impact

The data indicates this contract was not set aside for small businesses, and there is no information provided regarding small business subcontracting plans. Given the nature and location of the services, it is possible that larger, specialized contractors are better positioned to fulfill the requirements. Further investigation into subcontracting opportunities would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

The contract is managed by the Department of the Air Force, which has established oversight mechanisms for service contracts. Performance standards and reporting requirements are typically included in the contract terms. Transparency is generally maintained 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 (BOS)
Logistics and Supply Chain Management
Food Services Contracts
Overseas Military Support Contracts

Risk Flags

Geopolitical Risk
Logistical Complexity
Remote Operations
Food Safety Compliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.2 million to VECTRUS SYSTEMS LLC. DINNING FACILITY (DFAC) SERVICES AT AL DHAFRA AIR BASE (ADAB), UNITED ARAB EMIRATES (UAE)

Who is the contractor on this award?

The obligated recipient is VECTRUS SYSTEMS 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 $22.2 million.

What is the period of performance?

Start: 2021-03-24. End: 2026-06-20.

What is the contractor's track record with similar DFAC or food service contracts, particularly in overseas or contingency environments?

Vectrus Systems LLC has a significant history of providing base support services, including food services, to the U.S. military in various overseas locations. Their experience often includes managing complex logistical challenges and adhering to stringent quality and safety standards in remote or austere environments. While specific details on past DFAC performance metrics for Al Dhafra Air Base are not provided in this data snippet, their overall portfolio suggests a capability to handle such requirements. A deeper dive into past performance evaluations and customer feedback for similar contracts would offer a more comprehensive assessment of their reliability and effectiveness in delivering DFAC services.

How does the per-meal cost under this contract compare to similar DFAC contracts at other overseas bases?

Calculating a precise per-meal cost requires knowing the estimated number of meals served over the contract period, which is not provided. However, we can estimate an average annual value of approximately $4.4 million. DFAC costs can vary significantly based on location, labor rates, food sourcing, and the level of service required. Remote locations like the UAE often incur higher logistical and operational costs. Without specific meal volume data or comparable contract details from other bases, a direct per-meal cost comparison is not feasible. Generally, overseas DFACs tend to be more expensive than domestic ones due to these factors.

What are the primary risks associated with providing DFAC services at Al Dhafra Air Base, and how are they mitigated?

Key risks include geopolitical instability in the region, which could disrupt operations or supply chains; logistical challenges in sourcing and transporting food and supplies to a remote base; potential for foodborne illnesses requiring strict safety protocols; and fluctuations in local labor costs or availability. Mitigation strategies typically involve robust supply chain management, adherence to strict food safety and quality assurance plans, contingency planning for disruptions, and maintaining strong communication channels with base command. The firm-fixed-price contract structure also incentivizes the contractor to manage these risks efficiently.

What is the expected impact of this contract on the quality of life for U.S. military personnel stationed at Al Dhafra Air Base?

This contract is crucial for maintaining the quality of life for service members at Al Dhafra Air Base by ensuring reliable access to nutritious and varied meals. Consistent, high-quality food services are a significant morale booster and contribute to the overall well-being and operational readiness of personnel deployed in a remote overseas location. The contract's focus on providing these essential services directly supports the daily needs of the base population, reducing the burden on individuals and contributing to a more stable and comfortable living environment.

How has spending on DFAC services at Al Dhafra Air Base trended over the past five years?

Historical spending data for DFAC services specifically at Al Dhafra Air Base prior to this contract award is not available in the provided data. This contract, awarded in March 2021 with an end date in June 2026, represents a significant portion of recent spending. To analyze historical trends, one would need to access previous contract awards for similar services at this specific base or review broader Department of Defense spending patterns for overseas DFACs. Without that historical context, it's difficult to determine if current spending is higher, lower, or consistent with past levels.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Vectrus, Inc.

Address: 2424 GARDEN OF THE GODS RD STE 300, COLORADO SPRINGS, CO, 80919

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

Financial Breakdown

Contract Ceiling: $22,190,757

Exercised Options: $22,190,757

Current Obligation: $22,190,757

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA805120D0008

IDV Type: IDC

Timeline