DoD Awards $32.2M for CFT Maintenance Support, Highlighting Strategic Technology Institute's Role

Contract Overview

Contract Amount: $32,194,979 ($32.2M)

Contractor: Strategic Technology Institute Inc

Awarding Agency: Department of Defense

Start Date: 2021-07-01

End Date: 2025-03-31

Contract Duration: 1,369 days

Daily Burn Rate: $23.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: CFT MAINTENANCE SUPPORT SERVICES

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $32.2 million to STRATEGIC TECHNOLOGY INSTITUTE INC for work described as: CFT MAINTENANCE SUPPORT SERVICES Key points: 1. Contract awarded to Strategic Technology Institute Inc. for $32.2 million. 2. Services are for CFT Maintenance Support, crucial for aircraft manufacturing. 3. Competition method indicates a focus on open bidding after source exclusion. 4. The contract duration spans over three years, ending March 2025.

Value Assessment

Rating: good

The contract value of $32.2 million appears reasonable for a multi-year support service. Benchmarking against similar aircraft maintenance contracts would provide a more precise assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a competitive process that considered multiple bidders but may have had specific pre-qualification criteria. This method aims for price discovery while ensuring qualified vendors participate.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair value for the services rendered, as multiple vendors vied for the contract.

Public Impact

Ensures continued operational readiness for critical Air Force assets. Supports the aerospace and defense sector, contributing to technological advancements. Provides specialized maintenance services, potentially requiring highly skilled labor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if specialized knowledge is highly concentrated.
Reliance on a single awardee for critical maintenance could pose risks if performance falters.

Positive Signals

Clear contract duration and defined scope of work.
Competitive award process indicates potential for cost savings.

Sector Analysis

This contract falls within the Defense sector, specifically supporting aircraft manufacturing and maintenance. Spending in this area is critical for national security and often involves complex, high-value services.

Small Business Impact

The contract data does not indicate any specific set-asides for small businesses, suggesting the primary awardee is likely a larger entity. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The Department of the Air Force is responsible for oversight. The contract's duration and the nature of maintenance services necessitate ongoing monitoring to ensure performance standards and cost control.

Related Government Programs

Aircraft Manufacturing
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Potential for limited competition due to source exclusion criteria.
Dependence on a single contractor for critical maintenance.
Lack of explicit small business participation noted.
Long contract duration may require vigilant oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $32.2 million to STRATEGIC TECHNOLOGY INSTITUTE INC. CFT MAINTENANCE SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is STRATEGIC TECHNOLOGY INSTITUTE INC.

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 $32.2 million.

What is the period of performance?

Start: 2021-07-01. End: 2025-03-31.

What specific CFT systems are covered under this maintenance contract, and what is the criticality of these systems to Air Force operations?

The contract likely covers specific Combat Fighter Trainer (CFT) systems, though the exact designation is not provided. These systems are critical for pilot training and maintaining combat readiness. Failures or performance degradation in CFT maintenance could directly impact the Air Force's ability to train pilots effectively, potentially leading to delays in operational deployment and increased risk during training exercises.

What were the key factors that led to the exclusion of other sources prior to the full and open competition, and how did this impact the final price?

The exclusion of sources typically occurs when specific technical capabilities, past performance, or unique certifications are required, limiting the pool of eligible bidders. This pre-qualification can sometimes reduce competition, potentially leading to higher prices if the remaining bidders face less pressure. However, it also ensures that only qualified vendors participate, potentially leading to better quality and reduced risk of performance issues.

How does the performance of Strategic Technology Institute Inc. on similar contracts inform the assessment of this award's effectiveness?

Assessing the effectiveness of this award requires reviewing Strategic Technology Institute Inc.'s past performance on comparable contracts. A history of on-time delivery, adherence to budget, and high-quality service in previous maintenance or support roles would indicate a higher likelihood of success. Conversely, any documented performance issues, cost overruns, or quality concerns in prior engagements would raise questions about the effectiveness and value of this current award.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6000 EXECUTIVE BLVD STE 205, ROCKVILLE, MD, 20852

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $32,977,363

Exercised Options: $32,194,979

Current Obligation: $32,194,979

Actual Outlays: $16,565,898

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA810817D0006

IDV Type: IDC

Timeline