Boeing Secures $24.3M Contract for C-32/C-40 Aircraft Logistics Support
Contract Overview
Contract Amount: $24,269,018 ($24.3M)
Contractor: THE Boeing Company
Awarding Agency: Department of Defense
Start Date: 2024-03-01
End Date: 2025-02-28
Contract Duration: 364 days
Daily Burn Rate: $66.7K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: CONTRACTOR LOGISTICS SUPPORT FOR THE C-32/C-40 AIRCRAFT FLEETS.
Place of Performance
Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73135
State: Oklahoma Government Spending
Plain-Language Summary
Department of Defense obligated $24.3 million to THE BOEING COMPANY for work described as: CONTRACTOR LOGISTICS SUPPORT FOR THE C-32/C-40 AIRCRAFT FLEETS. Key points: 1. Contract awarded to The Boeing Company for essential logistics support. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract value is significant, reflecting the complexity of supporting military aircraft. 4. Focus on aircraft fleet support highlights critical operational readiness for the Air Force.
Value Assessment
Rating: good
The contract value of $24.3 million for one year of support appears reasonable given the specialized nature of military aircraft logistics. Benchmarking against similar contracts for fleet support 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, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The competitive nature of the award is expected to yield a fair price, maximizing taxpayer value for essential defense logistics services.
Public Impact
Ensures continued operational readiness for critical C-32 and C-40 aircraft. Supports the U.S. Air Force's global transportation and logistics capabilities. Maintains the safety and airworthiness of vital military assets.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen maintenance issues arise.
- Dependence on a single contractor for critical support functions.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract type limits cost uncertainty.
- Supports critical national defense assets.
Sector Analysis
This contract falls within the aerospace and defense sector, specifically focusing on support activities for air transportation. Spending in this area is crucial for maintaining military readiness and operational capabilities.
Small Business Impact
The contract was awarded to The Boeing Company, a large prime contractor. There is no indication of small business participation in this specific award, which is common for large, specialized defense contracts.
Oversight & Accountability
The Department of the Air Force is responsible for overseeing this contract. Standard oversight mechanisms for defense contracts, including performance monitoring and financial audits, should be in place.
Related Government Programs
- Other Support Activities for Air Transportation
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole reliance on a large prime contractor.
- Potential for scope creep or unpriced work orders.
- Dependence on specific technical expertise held by the contractor.
- Geopolitical factors impacting supply chain for parts.
Tags
other-support-activities-for-air-transpo, department-of-defense, ok, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $24.3 million to THE BOEING COMPANY. CONTRACTOR LOGISTICS SUPPORT FOR THE C-32/C-40 AIRCRAFT FLEETS.
Who is the contractor on this award?
The obligated recipient is THE BOEING COMPANY.
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 $24.3 million.
What is the period of performance?
Start: 2024-03-01. End: 2025-02-28.
What is the historical cost trend for similar logistics support contracts for these aircraft fleets?
Analyzing historical cost data for C-32/C-40 logistics support is crucial for assessing value. If current pricing is significantly higher than previous contracts, adjusted for inflation and scope changes, it could indicate potential overspending or a need for renegotiation. Conversely, stable or decreasing costs would suggest effective cost management and competitive pricing.
What are the key performance indicators (KPIs) for this contract, and how will they be monitored?
Key performance indicators likely include aircraft availability rates, response times for maintenance requests, and adherence to safety and airworthiness standards. Robust monitoring of these KPIs by the Air Force is essential to ensure the contractor meets performance expectations and that taxpayer funds are used effectively to maintain operational readiness.
Are there any contingency plans in place should The Boeing Company be unable to fulfill its contractual obligations?
Contingency planning is vital for critical defense logistics. The Air Force should have pre-defined strategies, potentially involving alternative contractors or internal capabilities, to ensure continuity of support if Boeing faces significant disruptions. This mitigates risk to operational readiness and protects the investment in these aircraft fleets.
Industry Classification
NAICS: Transportation and Warehousing › Support Activities for Air Transportation › Other Support Activities for Air Transportation
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, 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: 6001 S AIR DEPOT BLVD, OKLAHOMA CITY, OK, 73135
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $24,269,018
Exercised Options: $24,269,018
Current Obligation: $24,269,018
Subaward Activity
Number of Subawards: 41
Total Subaward Amount: $9,066,820
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA813423DB004
IDV Type: IDC
Timeline
Start Date: 2024-03-01
Current End Date: 2025-02-28
Potential End Date: 2025-02-28 00:00:00
Last Modified: 2025-07-07
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