DoD Awards $21.7M for Power Production Services to Vectrus Systems LLC

Contract Overview

Contract Amount: $21,675,999 ($21.7M)

Contractor: Vectrus Systems LLC

Awarding Agency: Department of Defense

Start Date: 2021-11-10

End Date: 2027-01-02

Contract Duration: 1,879 days

Daily Burn Rate: $11.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST NO FEE

Sector: Other

Official Description: POWER PRODUCTION SERVICES AT MSAB JORDAN

Plain-Language Summary

Department of Defense obligated $21.7 million to VECTRUS SYSTEMS LLC for work described as: POWER PRODUCTION SERVICES AT MSAB JORDAN Key points: 1. Contract awarded to Vectrus Systems LLC for power production services. 2. The contract has a total value of $21.7 million. 3. Awarded by the Department of the Air Force, part of the Department of Defense. 4. The contract duration is 1879 days, ending January 2, 2027. 5. This falls under Facilities Support Services.

Value Assessment

Rating: good

The contract type is Cost No Fee, which is common for services where costs are difficult to predict. The total award value of $21.7M over nearly 5 years suggests a reasonable annual spend.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The competitive nature of this award is expected to yield fair pricing, benefiting taxpayers by ensuring value for money spent on essential power production services.

Public Impact

Ensures continuous power supply for critical military operations at MSAB Jordan. Supports the Department of Defense's infrastructure and readiness in a key region. Provides essential facilities support services, contributing to mission accomplishment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns due to the 'Cost No Fee' contract type.
  • Geopolitical risks associated with operating in Jordan could impact service delivery.
  • Dependency on a single contractor for critical power infrastructure.

Positive Signals

  • Awarded through full and open competition, suggesting competitive pricing.
  • Long-term contract provides stability for power production services.
  • Supports critical mission requirements for the Air Force.

Sector Analysis

This contract falls under Facilities Support Services, a broad category encompassing maintenance, repair, and operational support for government facilities. Spending in this sector is significant across the DoD, with benchmarks varying widely based on location and specific service requirements.

Small Business Impact

The data indicates that the primary contractor is Vectrus Systems LLC, and there is no explicit mention of small business participation or subcontracting. Further analysis would be needed to determine if small businesses are involved in supporting this contract.

Oversight & Accountability

The award is managed by the Department of the Air Force. Oversight would typically involve contract performance monitoring, financial reviews, and ensuring compliance with terms and conditions to ensure accountability and effective service delivery.

Related Government Programs

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

Risk Flags

  • Contract type 'Cost No Fee' can lead to less price certainty.
  • Operating in a potentially volatile region (MSAB Jordan) presents inherent risks.
  • Lack of explicit small business participation noted.
  • Long contract duration may reduce flexibility for future technological advancements or cost savings.

Tags

facilities-support-services, department-of-defense, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.7 million to VECTRUS SYSTEMS LLC. POWER PRODUCTION SERVICES AT MSAB JORDAN

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 $21.7 million.

What is the period of performance?

Start: 2021-11-10. End: 2027-01-02.

What is the expected cost per kilowatt-hour for the power produced under this contract, and how does it compare to local commercial rates or other DoD installations?

The provided data does not include specific cost per kilowatt-hour metrics. A 'Cost No Fee' contract type makes direct per-unit cost benchmarking challenging without detailed cost breakdowns. Comparison to local commercial rates or other DoD installations would require access to additional pricing information and regional energy market data.

What are the specific risks associated with power production in MSAB Jordan, and what mitigation strategies are in place?

Risks could include geopolitical instability, logistical challenges in a remote location, potential equipment failure, and reliance on specific fuel sources. Mitigation strategies likely involve robust security protocols, contingency planning for supply chain disruptions, redundant systems, and regular maintenance schedules overseen by the contracting officer's representative.

How effectively does this contract support the overall mission readiness of the Air Force in the region, beyond just providing power?

Reliable power is fundamental to mission readiness, enabling communication systems, operational facilities, and personnel support. This contract's effectiveness is measured by its contribution to uninterrupted operations, the ability to scale power as needed, and its role in maintaining a secure and functional base environment, thereby directly impacting the Air Force's ability to execute its regional objectives.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: COST NO FEE (S)

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: $21,675,999

Exercised Options: $21,675,999

Current Obligation: $21,675,999

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

Start Date: 2021-11-10

Current End Date: 2027-01-02

Potential End Date: 2027-01-02 00:00:00

Last Modified: 2025-11-24

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