Air Force Awards $52.9M Facilities Support Contract to KBR Services, LLC

Contract Overview

Contract Amount: $52,921,796 ($52.9M)

Contractor: KBR Services, LLC

Awarding Agency: Department of Defense

Start Date: 2025-02-24

End Date: 2026-05-01

Contract Duration: 431 days

Daily Burn Rate: $122.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AIR FORCE CONTRACT AUGMENTATION PROGRAM (AFCAP) V - BASIC CONTRACT KBR

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77002

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $52.9 million to KBR SERVICES, LLC for work described as: AIR FORCE CONTRACT AUGMENTATION PROGRAM (AFCAP) V - BASIC CONTRACT KBR Key points: 1. Contract Value: $52.9 million for facilities support services. 2. Contractor: KBR Services, LLC. 3. Agency: Department of the Air Force. 4. Competition: Full and open competition. 5. Period of Performance: February 2025 to May 2026.

Value Assessment

Rating: good

The contract value of $52.9 million appears reasonable for a multi-year facilities support services contract. Benchmarking against similar large-scale government facilities management contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple qualified vendors can bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down costs through market forces.

Public Impact

Ensures continued operation and maintenance of Air Force facilities. Supports military readiness and personnel well-being. Provides essential services like maintenance, repair, and operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if scope expands beyond initial estimates.
  • Reliance on a single contractor for critical facility functions.

Positive Signals

  • Awarded through full and open competition.
  • Clear period of performance with defined end date.
  • Firm fixed price contract type limits cost uncertainty.

Sector Analysis

Facilities Support Services (NAICS 561210) is a broad category encompassing maintenance, operation, and management of facilities. Spending in this sector is consistently high across government agencies to ensure operational readiness.

Small Business Impact

While KBR Services, LLC is the prime contractor, the contract details do not specify any subcontracting goals for small businesses. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract is managed by the Department of the Air Force. Standard oversight mechanisms for federal contracts, including performance monitoring and financial audits, should be in place.

Related Government Programs

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

Risk Flags

  • Contract awarded under full and open competition.
  • Firm fixed price contract type.
  • Defined period of performance.
  • Contractor is a well-established entity.
  • Supports critical Air Force operations.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $52.9 million to KBR SERVICES, LLC. AIR FORCE CONTRACT AUGMENTATION PROGRAM (AFCAP) V - BASIC CONTRACT KBR

Who is the contractor on this award?

The obligated recipient is KBR 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 $52.9 million.

What is the period of performance?

Start: 2025-02-24. End: 2026-05-01.

What is the historical performance of KBR Services, LLC on similar government contracts?

Historical performance data for KBR Services, LLC on similar government contracts is crucial for assessing reliability and value. Past performance reviews, contract close-out data, and any documented issues or commendations would provide insight into their capability to deliver on this $52.9 million facilities support contract effectively and efficiently.

Are there any identified risks associated with KBR's ability to meet the performance requirements within the specified timeframe?

Potential risks include unforeseen facility issues, supply chain disruptions affecting repair materials, or labor availability challenges. The Air Force should have contingency plans and closely monitor KBR's performance metrics, resource allocation, and proactive problem-solving to mitigate any emerging risks to service delivery.

How does the firm fixed price structure impact the government's ability to achieve cost savings or manage scope changes?

A firm fixed price contract provides cost certainty for the government, as the price is set regardless of the contractor's actual costs. However, it can limit flexibility for scope changes, potentially requiring contract modifications that could increase the overall price if not managed carefully. This structure incentivizes the contractor to control costs.

Industry Classification

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

Product/Service Code: AMMUNITION AND EXPLOSIVES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Brown & Root Industrial Services Holdings, LLC

Address: 601 JEFFERSON ST, HOUSTON, TX, 77002

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

Financial Breakdown

Contract Ceiling: $87,212,425

Exercised Options: $52,921,796

Current Obligation: $52,921,796

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $41,923,988

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA805120D0005

IDV Type: IDC

Timeline

Start Date: 2025-02-24

Current End Date: 2026-05-01

Potential End Date: 2026-05-01 00:00:00

Last Modified: 2025-10-27

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