Air Force awards $17.3M for Kuwait base engineering support, with Amentum Services Inc. as prime

Contract Overview

Contract Amount: $17,298,277 ($17.3M)

Contractor: Amentum Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-07-30

End Date: 2026-09-24

Contract Duration: 1,882 days

Daily Burn Rate: $9.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ENGINEERING SUPPORT SERVICES AT ALI AL SALEM AIR BASE KUWAIT

Plain-Language Summary

Department of Defense obligated $17.3 million to AMENTUM SERVICES, INC. for work described as: ENGINEERING SUPPORT SERVICES AT ALI AL SALEM AIR BASE KUWAIT Key points: 1. Contract value represents a significant investment in maintaining critical infrastructure at a forward-deployed location. 2. The firm-fixed-price structure shifts cost risk to the contractor, potentially incentivizing efficiency. 3. Competition dynamics for this contract are crucial for ensuring fair pricing and optimal service delivery. 4. Performance context is vital, as consistent service delivery is paramount for operational readiness. 5. This contract falls within the facilities support services sector, a common requirement for overseas military installations.

Value Assessment

Rating: good

The contract's value of $17.3 million over its period of performance appears reasonable for comprehensive engineering support services at a major overseas base. Benchmarking against similar contracts for base operations support in comparable geographic regions would provide a more definitive assessment of value for money. The firm-fixed-price (FFP) contract type suggests that the contractor bears the primary cost risk, which can be advantageous for the government if managed effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely considered. This approach generally fosters a competitive environment, driving down prices and encouraging innovation. The presence of two bidders suggests a moderate level of competition, which is positive for price discovery and service quality.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it increases the likelihood of securing services at competitive market rates, preventing potential overpayment and promoting efficient use of public funds.

Public Impact

The primary beneficiaries are the U.S. Air Force personnel and operations at Ali Al Salem Air Base, Kuwait, who rely on consistent engineering support. Services delivered include essential facilities maintenance, engineering, and operational support critical for base functionality. The geographic impact is concentrated at Ali Al Salem Air Base, Kuwait, supporting U.S. military presence in the region. Workforce implications may include the employment of both U.S. and local national personnel by the contractor to fulfill service requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep is not managed effectively under the firm-fixed-price structure.
Ensuring consistent service quality and performance across the entire contract duration requires robust oversight.
Geopolitical instability in the region could impact contractor operations and necessitate contingency planning.

Positive Signals

Firm-fixed-price contract type aligns incentives for contractor efficiency and cost control.
Full and open competition suggests a competitive bidding process, likely resulting in favorable pricing.
The contract duration provides stability for essential base support services.

Sector Analysis

This contract falls within the Facilities Support Services sector, a broad category encompassing maintenance, repair, and operational support for physical infrastructure. The market for these services is substantial, particularly for government and military installations globally. This specific contract supports a critical overseas operating base, highlighting the importance of reliable service providers in maintaining readiness and operational capability in challenging environments.

Small Business Impact

The data indicates that small business participation was not a specific set-aside requirement for this contract (ss: false, sb: false). Therefore, the primary contractor, Amentum Services, Inc., is likely responsible for managing all aspects of the service delivery. There is no explicit information on subcontracting plans to small businesses, which could be a missed opportunity for engaging the small business ecosystem in supporting this contract.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and their representatives within the Department of the Air Force. Accountability measures are embedded in the firm-fixed-price contract terms, with performance standards likely defined in the statement of work. Transparency is generally maintained through contract award notices and reporting requirements, though specific performance metrics may not be publicly disclosed.

Related Government Programs

Base Operations Support (BOS)
Logistics and Maintenance Services
Overseas Contingency Operations Support
Facilities Engineering and Management

Risk Flags

Potential for performance issues given the critical nature of base operations.
Risk of cost escalation if contract scope is not tightly managed.
Geopolitical instability in the region could impact service delivery.
Limited competition may reduce price pressure and innovation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.3 million to AMENTUM SERVICES, INC.. ENGINEERING SUPPORT SERVICES AT ALI AL SALEM AIR BASE KUWAIT

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 $17.3 million.

What is the period of performance?

Start: 2021-07-30. End: 2026-09-24.

What is Amentum Services, Inc.'s track record with similar government contracts, particularly in overseas environments?

Amentum Services, Inc. has a substantial history of performing large-scale government contracts, including extensive experience in base operations support and facilities management for the Department of Defense, often in overseas locations. Their portfolio includes contracts for services similar to those required at Ali Al Salem Air Base, such as maintenance, logistics, and engineering support. Analyzing their past performance on similar contracts, including any reported issues or successes, would provide valuable insight into their capability to execute this specific award effectively. Reviewing contract performance reports and any past performance questionnaires (PPQs) associated with their previous awards can offer a clearer picture of their reliability and quality of service.

How does the awarded price of $17.3 million compare to market rates for similar engineering support services at overseas military installations?

The $17.3 million contract value for engineering support services at Ali Al Salem Air Base, Kuwait, needs to be benchmarked against comparable contracts to assess its value for money. Factors such as the scope of services, duration (1882 days), location, and prevailing labor costs in the region significantly influence pricing. While a direct comparison is difficult without specific details on service levels and market conditions, the firm-fixed-price nature suggests a negotiated rate. If similar contracts for base support in the Middle East have been awarded at lower or higher price points for comparable scope, it would indicate whether this award is competitive. The presence of two bidders suggests some level of market validation, but a deeper analysis of historical contract data for similar services would be necessary for a definitive conclusion on price competitiveness.

What are the primary risks associated with this contract, and what mitigation strategies are likely in place?

Key risks for this contract include potential performance deficiencies by the contractor, unforeseen cost increases not covered by the firm-fixed-price (FFP) structure (e.g., through contract modifications), and operational disruptions due to the volatile geopolitical environment in Kuwait. Mitigation strategies likely involve robust contract oversight by the Air Force, including regular performance reviews, site inspections, and adherence to strict quality control measures. The FFP contract itself mitigates cost risk for the government, provided the scope is well-defined. For operational disruptions, contingency planning and clear communication channels between the contractor and the base command are essential. The limited competition (two bidders) could also pose a risk if the chosen contractor underperforms, as re-competing the contract could be time-consuming and costly.

How effective is the firm-fixed-price contract type in ensuring value for money for this type of service?

The firm-fixed-price (FFP) contract type is generally effective in ensuring value for money for services where the scope of work is well-defined and stable, such as routine facilities support and maintenance. It places the primary cost risk on the contractor, incentivizing them to manage resources efficiently and control costs to maximize profit. For the government, this means a predictable price ceiling. However, if the scope is subject to change or unforeseen complexities arise, FFP contracts can sometimes lead to contractors being less flexible or seeking modifications, potentially increasing costs. Robust contract administration and change management are crucial to realizing the full value-for-money benefits of an FFP award in this context.

What are the historical spending patterns for engineering support services at Ali Al Salem Air Base or similar facilities?

Historical spending patterns for engineering support services at Ali Al Salem Air Base, or similar facilities, would provide crucial context for evaluating the current $17.3 million award. Analyzing past contract values, durations, and the number of bidders over several years can reveal trends in pricing, competition levels, and the types of services procured. Significant year-over-year increases or decreases in spending, or a consistent reliance on a single contractor, might warrant further investigation. Understanding these historical patterns helps determine if the current contract represents a fair market price, if spending is escalating, or if competition has changed over time. Without specific historical data for this base, comparisons to broader spending trends for base operations support in the U.S. Air Force's Middle East operations can offer a general benchmark.

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: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pae-Parsons Global Logistics Services, LLC

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: $17,443,215

Exercised Options: $17,443,215

Current Obligation: $17,298,277

Actual Outlays: $2,742,418

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA805120D0002

IDV Type: IDC

Timeline