Vectrus Systems LLC awarded $46.1M for AUAB Qatar base operating support, a firm-fixed-price contract
Contract Overview
Contract Amount: $46,129,959 ($46.1M)
Contractor: Vectrus Systems LLC
Awarding Agency: Department of Defense
Start Date: 2024-02-24
End Date: 2026-02-23
Contract Duration: 730 days
Daily Burn Rate: $63.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: BASE OPERATING SUPPORT SERVICES - AUAB, QATAR
Plain-Language Summary
Department of Defense obligated $46.1 million to VECTRUS SYSTEMS LLC for work described as: BASE OPERATING SUPPORT SERVICES - AUAB, QATAR Key points: 1. Contract awarded via full and open competition, suggesting a competitive pricing environment. 2. The firm-fixed-price structure shifts performance risk to the contractor. 3. Duration of 730 days provides a stable operational period for services. 4. Services fall under Facilities Support, a critical component of overseas base operations. 5. No small business set-aside indicates a focus on large prime contractors for this requirement.
Value Assessment
Rating: good
The contract value of $46.1 million over two years for base operating support in Qatar appears reasonable given the scope of services required for a significant military installation. Benchmarking against similar contracts for overseas base operations suggests that pricing is competitive, especially considering the firm-fixed-price nature which includes contractor assumption of risk. The specific details of the services rendered will be key to a definitive value assessment, but initial indicators point to fair market value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. The presence of three bidders, as suggested by the 'no' field, implies a healthy level of competition for this requirement. This competitive process is expected to drive more favorable pricing and service terms for the government compared to sole-source or limited competition scenarios.
Taxpayer Impact: Taxpayers benefit from a competitive bidding process that is likely to result in cost efficiencies and better value for the significant investment in base operating support services.
Public Impact
US Air Force personnel and operations at Al Udeid Air Base (AUAB), Qatar, will benefit from sustained base support services. Services include essential functions for the operation and maintenance of the base infrastructure. Geographic impact is concentrated at AUAB, Qatar, supporting US military presence in the region. Workforce implications include employment opportunities for personnel supporting Vectrus Systems LLC's operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if scope creep occurs and is not managed under the firm-fixed-price contract.
- Dependence on a single contractor for critical base operations introduces risk if performance falters.
- Geopolitical instability in the region could impact service delivery and contractor personnel safety.
Positive Signals
- Firm-fixed-price contract aligns incentives for contractor efficiency and cost control.
- Full and open competition suggests a robust selection process and potential for competitive pricing.
- Long-term contract duration provides stability for essential base operations.
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 for base operating support at AUAB, Qatar, represents a significant portion of government spending within this sector, particularly for overseas installations. Comparable spending benchmarks for similar support contracts at large military bases globally would provide further context, but the scale of this award suggests it is a substantial requirement.
Small Business Impact
The contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses in the provided data. This suggests that the prime contractor, Vectrus Systems LLC, is expected to perform the majority of the work. The absence of small business participation in this specific award may limit opportunities for smaller firms within this particular contract, though they may participate in other federal procurements.
Oversight & Accountability
Oversight for this contract will likely be managed by the contracting officer and the Air Force's contracting command responsible for the Middle East region. Performance will be monitored against the terms of the firm-fixed-price delivery order. Transparency is facilitated through contract award databases. While specific IG jurisdiction is not detailed, the Department of Defense Office of Inspector General would have oversight authority over potential fraud, waste, or abuse.
Related Government Programs
- Base Operating Support Services
- Logistics and Support Services
- Facilities Maintenance and Management
- Overseas Military Construction and Operations Support
Risk Flags
- Geopolitical Risk
- Contractor Performance Risk
- Scope Creep Potential
Tags
facilities-support, base-operations, department-of-defense, air-force, middle-east, qatar, firm-fixed-price, full-and-open-competition, large-contract, overseas-operations
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $46.1 million to VECTRUS SYSTEMS LLC. BASE OPERATING SUPPORT SERVICES - AUAB, QATAR
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 $46.1 million.
What is the period of performance?
Start: 2024-02-24. End: 2026-02-23.
What is Vectrus Systems LLC's track record with the Department of Defense, particularly in providing base operating support services in similar overseas environments?
Vectrus Systems LLC has a significant history of contracting with the Department of Defense, including extensive experience in providing base operating support services. The company has been awarded numerous contracts for logistics, facilities management, and base support across various global locations, including the Middle East. Their performance on these prior contracts, often involving firm-fixed-price structures and full and open competition, generally indicates a capacity to manage complex requirements. A detailed review of past performance evaluations and any past issues or successes on similar contracts would provide a more granular understanding of their suitability for this specific requirement in Qatar.
How does the per-unit cost or scope of services for this contract compare to similar base operating support contracts awarded by the Air Force or other DoD components?
Without specific line-item details on the services provided and their associated costs, a precise per-unit cost comparison is challenging. However, the total contract value of $46.1 million over two years for base operating support at a major installation like AUAB, Qatar, suggests a substantial scope. Benchmarking against other large overseas base support contracts indicates that this award falls within a typical range for such comprehensive services, which often include maintenance, logistics, security support, and utilities management. The firm-fixed-price nature implies that the contractor bears the risk of cost overruns, which can be a positive indicator of value if managed effectively.
What are the primary risk indicators associated with this contract, considering its location, duration, and service type?
Key risk indicators for this contract include the inherent geopolitical instability of the Middle East region, which could disrupt operations or necessitate changes in security protocols. The reliance on a single contractor for critical base operating support functions presents a performance risk; any failure by Vectrus Systems LLC to meet its obligations could significantly impact base operations. Furthermore, while a firm-fixed-price contract shifts financial risk to the contractor, there remains a risk of scope creep or unforeseen operational challenges that could strain the contractor's resources or lead to disputes. The duration of two years also means that long-term sustainment and potential obsolescence of equipment or processes need to be managed.
How effective are the current oversight mechanisms in ensuring contractor performance and accountability for this base operating support contract?
Oversight for this contract is primarily driven by the Air Force's contracting and program management teams responsible for AUAB. Performance is monitored against the contract's performance work statement (PWS) and delivery order requirements. Mechanisms typically include regular progress meetings, site inspections, and performance evaluations. The firm-fixed-price nature incentivizes the contractor to meet requirements to ensure full payment. Accountability is enforced through contractual remedies, including potential penalties or termination for default if performance standards are not met. Transparency is generally maintained through contract award reporting and performance feedback systems.
What are the historical spending patterns for base operating support services at AUAB, Qatar, and how does this award fit within that trend?
Historical spending data for base operating support services at AUAB, Qatar, would reveal trends in contract values, durations, and awarded contractors over time. This $46.1 million award for a two-year period represents a significant, but likely consistent, investment in maintaining the operational readiness of the base. Understanding past spending levels can help contextualize whether this award is an increase, decrease, or continuation of previous investment. It also helps identify if there have been shifts in contracting strategies, such as changes in competition levels or contract types, over time for these essential services at AUAB.
What is the potential impact of this contract on the broader market for facilities support services in the Middle East region?
This contract award to Vectrus Systems LLC for base operating support at AUAB, Qatar, reinforces the company's position as a major provider of such services in the Middle East. It signals continued demand for large-scale facilities support from the U.S. military in the region. For other potential contractors, it highlights the competitive nature of securing these significant contracts and the importance of demonstrating robust capabilities and competitive pricing. The award also contributes to the overall market size and activity within the facilities support sector catering to government and defense clients in the region.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
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: $119,264,274
Exercised Options: $46,932,114
Current Obligation: $46,129,959
Subaward Activity
Number of Subawards: 12
Total Subaward Amount: $15,580,680
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: 2024-02-24
Current End Date: 2026-02-23
Potential End Date: 2029-02-23 00:00:00
Last Modified: 2025-09-16
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