DoD awards $23.5M for C-12 Fleet Logistics Support to Vertex Aerospace LLC

Contract Overview

Contract Amount: $23,481,677 ($23.5M)

Contractor: Vertex Aerospace LLC

Awarding Agency: Department of Defense

Start Date: 2016-09-01

End Date: 2017-08-31

Contract Duration: 364 days

Daily Burn Rate: $64.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: IGF::OT::IGF CONTRACTOR LOGISTICS SUPPORT (CLS) SERVICES FOR THE C-12 FLEET OF AIRCRAFT.

Place of Performance

Location: MADISON, MADISON County, MISSISSIPPI, 39110

State: Mississippi Government Spending

Plain-Language Summary

Department of Defense obligated $23.5 million to VERTEX AEROSPACE LLC for work described as: IGF::OT::IGF CONTRACTOR LOGISTICS SUPPORT (CLS) SERVICES FOR THE C-12 FLEET OF AIRCRAFT. Key points: 1. Vertex Aerospace LLC secured a significant contract for C-12 aircraft logistics. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. The firm fixed-price contract type aims to control costs for the Department of Defense. 4. This spending falls under 'Other Support Activities for Air Transportation' within the Air Force.

Value Assessment

Rating: good

The contract value of $23.5M for a one-year period appears reasonable for specialized aircraft logistics. Benchmarking against similar support contracts for military aircraft would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Awarded under full and open competition, this method likely fostered competitive pricing. The delivery order structure suggests it was part of a larger indefinite-delivery contract, allowing for flexibility while still seeking competitive bids for specific needs.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, aiming to secure the best value for the funds expended on essential aircraft support.

Public Impact

Ensures continued operational readiness for the C-12 aircraft fleet. Supports critical logistics and maintenance functions for the U.S. Air Force. Contributes to the aerospace and defense sector's service capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if scope expands beyond initial delivery order.
  • Dependence on a single contractor for critical logistics functions.

Positive Signals

  • Firm fixed-price contract helps manage cost certainty.
  • Awarded through full and open competition.
  • Supports essential military aviation assets.

Sector Analysis

This contract falls within the aerospace and defense sector, specifically focusing on support activities for air transportation. Spending benchmarks for similar logistics support contracts for military aircraft fleets can vary widely based on aircraft type, age, and operational tempo.

Small Business Impact

The data indicates the award went to Vertex Aerospace LLC, a large business. There is no explicit indication of small business subcontracting in the provided data, which could be an area for further review to ensure small business participation.

Oversight & Accountability

The Department of the Air Force awarded this contract. Standard oversight mechanisms for defense contracts would apply, including performance monitoring and financial audits to ensure compliance and value for money.

Related Government Programs

  • Other Support Activities for Air Transportation
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Contract awarded through full and open competition.
  • Firm fixed-price contract type.
  • Supports critical military aviation assets.
  • Potential for future contract renewals.
  • No explicit small business subcontracting noted.

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 $23.5 million to VERTEX AEROSPACE LLC. IGF::OT::IGF CONTRACTOR LOGISTICS SUPPORT (CLS) SERVICES FOR THE C-12 FLEET OF AIRCRAFT.

Who is the contractor on this award?

The obligated recipient is VERTEX AEROSPACE 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 $23.5 million.

What is the period of performance?

Start: 2016-09-01. End: 2017-08-31.

What is the long-term cost-effectiveness of this logistics support model for the C-12 fleet?

Assessing long-term cost-effectiveness requires analyzing trends in maintenance, repair, and operational costs over multiple contract periods. Factors like aircraft utilization, parts availability, and technological obsolescence play a crucial role. Comparing the total cost of ownership under this contract versus alternative support strategies, such as in-house maintenance or different contract structures, would provide a clearer picture of its sustained value.

What are the primary risks associated with relying on Vertex Aerospace for C-12 fleet logistics?

Key risks include potential supply chain disruptions affecting parts availability, contractor performance issues leading to aircraft downtime, and the possibility of price increases in future contract renewals. Over-reliance on a single provider can also reduce negotiating leverage. Furthermore, ensuring robust cybersecurity for sensitive operational data managed by the contractor is a growing concern in defense logistics.

How effectively does this contract ensure the operational readiness of the C-12 aircraft?

The contract's effectiveness in ensuring operational readiness hinges on Vertex Aerospace's ability to provide timely and high-quality maintenance, repair, and logistical support. Key performance indicators (KPIs) within the contract, such as aircraft availability rates and turnaround times for repairs, are critical metrics. Consistent achievement of these KPIs, validated through government oversight, would indicate effective support for the C-12 fleet's mission readiness.

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

Solicitation ID: N0001909R0243

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Vertex Aerospace Services Corp.

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: $36,277,479

Exercised Options: $23,481,677

Current Obligation: $23,481,677

Actual Outlays: $5,744

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA810611D0002

IDV Type: IDC

Timeline

Start Date: 2016-09-01

Current End Date: 2017-08-31

Potential End Date: 2017-08-31 00:00:00

Last Modified: 2025-06-20

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