DoD Awards Vertex Aerospace $49.4M for KC/KDC 10 CLS Airframe Support

Contract Overview

Contract Amount: $49,423,252 ($49.4M)

Contractor: Vertex Aerospace LLC

Awarding Agency: Department of Defense

Start Date: 2019-10-01

End Date: 2022-12-30

Contract Duration: 1,186 days

Daily Burn Rate: $41.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: KC/KDC 10 CLS AIRFRAME

Place of Performance

Location: MADISON, MADISON County, MISSISSIPPI, 39110

State: Mississippi Government Spending

Plain-Language Summary

Department of Defense obligated $49.4 million to VERTEX AEROSPACE LLC for work described as: KC/KDC 10 CLS AIRFRAME Key points: 1. Significant contract value of $49.4 million awarded to Vertex Aerospace. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration is substantial at 1186 days. 4. The contract is for 'Other Support Activities for Air Transportation'.

Value Assessment

Rating: good

The award amount of $49.4 million for airframe support appears reasonable given the contract's duration and scope. Benchmarking against similar large-scale aerospace support contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The specific price discovery mechanisms within this competition are not detailed.

Taxpayer Impact: The use of full and open competition aims to maximize taxpayer value by driving down costs through market forces.

Public Impact

Ensures continued operational readiness for critical KC/KDC 10 aircraft. Supports jobs within the aerospace sector, specifically with Vertex Aerospace. Potential for follow-on contracts based on performance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics in provided data.
  • Potential for cost overruns in long-term support contracts.

Positive Signals

  • Awarded through full and open competition.
  • Supports critical military aviation assets.

Sector Analysis

This contract falls within the aerospace and defense sector, specifically focusing on aircraft sustainment. Spending in this area is crucial for maintaining military readiness and can be benchmarked against historical sustainment costs for similar aircraft platforms.

Small Business Impact

The data indicates the prime contractor is Vertex Aerospace LLC. There is no information provided on subcontracting opportunities for small businesses within this contract.

Oversight & Accountability

The Department of Defense, through the Defense Contract Management Agency, is responsible for overseeing this contract. Standard oversight procedures would apply to ensure compliance and performance.

Related Government Programs

  • Other Support Activities for Air Transportation
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Contract duration is lengthy, increasing potential for cost escalation.
  • Lack of detailed service breakdown makes value assessment difficult.
  • No explicit mention of small business subcontracting goals.
  • Potential for performance issues over the contract term.

Tags

other-support-activities-for-air-transpo, department-of-defense, ms, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $49.4 million to VERTEX AEROSPACE LLC. KC/KDC 10 CLS AIRFRAME

Who is the contractor on this award?

The obligated recipient is VERTEX AEROSPACE LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $49.4 million.

What is the period of performance?

Start: 2019-10-01. End: 2022-12-30.

What is the specific breakdown of services provided under this contract and how do they align with the total cost?

The provided data identifies the contract as 'Other Support Activities for Air Transportation' for the KC/KDC 10 CLS Airframe. A detailed breakdown of services, such as maintenance, repair, overhaul, parts provisioning, and technical support, would be necessary to fully assess the value proposition against the $49.4 million award. Without this granularity, it's difficult to definitively ascertain if the pricing is optimized for the specific tasks.

What are the key performance indicators (KPIs) and risk mitigation strategies associated with this contract?

The provided data does not specify the key performance indicators (KPIs) or explicit risk mitigation strategies for this contract. For a contract of this magnitude and duration, robust KPIs related to aircraft availability, turnaround time for repairs, and quality of service are expected. Effective risk management would involve identifying potential supply chain disruptions, technical obsolescence, and personnel availability issues, with pre-defined plans to address them.

How does the cost of this contract compare to industry benchmarks for similar long-term aircraft sustainment programs?

Direct comparison to industry benchmarks is challenging without more specific details on the scope of work and the exact nature of the 'Other Support Activities'. However, the $49.4 million award over nearly four years suggests a significant investment in maintaining these specific aircraft. Benchmarking would require analyzing data on sustainment costs per flight hour or per aircraft for comparable large transport/tanker aircraft fleets, considering factors like age, complexity, and operational tempo.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Air TransportationOther Support Activities for Air Transportation

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 555 INDUSTRIAL DR S, MADISON, MS, 39110

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $49,423,252

Exercised Options: $49,423,252

Current Obligation: $49,423,252

Actual Outlays: $1,697,400

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA810516D0003

IDV Type: IDC

Timeline

Start Date: 2019-10-01

Current End Date: 2022-12-30

Potential End Date: 2022-12-30 00:00:00

Last Modified: 2025-07-22

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