DoD Awards Boeing $16.8M for C-32/C-40 Aircraft Logistics Support
Contract Overview
Contract Amount: $16,826,900 ($16.8M)
Contractor: THE Boeing Company
Awarding Agency: Department of Defense
Start Date: 2024-03-01
End Date: 2025-09-17
Contract Duration: 565 days
Daily Burn Rate: $29.8K/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 $16.8 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. The contract value is $16.8 million, covering a period of 565 days. 3. Competition was full and open, suggesting a competitive pricing environment. 4. The sector is primarily aviation support within the Department of Defense. 5. Potential risks include supply chain disruptions and performance issues.
Value Assessment
Rating: good
The contract value of $16.8M for 565 days of support appears reasonable given the specialized nature of aircraft logistics. Benchmarking against similar contracts for fleet support would provide a more definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically drives competitive pricing and ensures fair market value. The award method was a delivery order, indicating it's part of a larger contract vehicle.
Taxpayer Impact: The competitive award process is expected to ensure taxpayer funds are used efficiently for critical defense logistics.
Public Impact
Ensures operational readiness of C-32/C-40 aircraft, vital for government and military transport. Supports critical infrastructure within the Department of the Air Force. Potential for follow-on contracts if performance is satisfactory.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Reliance on a single contractor for critical support.
- Potential for cost overruns if unforeseen issues arise.
- Supply chain vulnerabilities impacting delivery timelines.
Positive Signals
- Awarded under full and open competition.
- Firm fixed price contract type limits cost risk.
- Contract duration is clearly defined.
Sector Analysis
This contract falls within the aerospace and defense sector, specifically focusing on aviation support services. Spending benchmarks for similar logistics contracts can vary widely based on aircraft type, fleet size, and service scope.
Small Business Impact
The contract was awarded to The Boeing Company, a large business. There is no indication of small business participation in this specific award, which could be an area for future consideration.
Oversight & Accountability
The Department of the Air Force is responsible for oversight. The firm fixed price contract type and defined period of performance provide clear accountability metrics.
Related Government Programs
- Other Support Activities for Air Transportation
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for supply chain disruptions impacting parts availability.
- Risk of performance degradation if contractor resources are diverted.
- Dependence on a single large contractor for critical support.
- Unforeseen technical issues requiring additional funding.
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 $16.8 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 $16.8 million.
What is the period of performance?
Start: 2024-03-01. End: 2025-09-17.
What is the historical performance of The Boeing Company in providing logistics support for similar aircraft fleets?
Assessing Boeing's past performance on comparable contracts is crucial. Reviewing their track record for on-time delivery, adherence to specifications, and cost control on previous aviation logistics contracts will provide insight into their reliability and potential risks for this current award. This historical data can inform future contract negotiations and performance evaluations.
Are there alternative providers or technologies that could offer more cost-effective logistics support for these aircraft in the future?
Exploring alternative providers and emerging technologies is essential for long-term cost efficiency. Investigating whether other companies possess the capability and certifications for C-32/C-40 support, or if advancements in predictive maintenance or automated logistics could reduce future contract costs, is a prudent step. This proactive approach can identify opportunities to optimize spending.
How does the current contract's pricing compare to industry benchmarks for similar aircraft fleet support services?
Benchmarking the current contract's pricing against industry standards is vital for value assessment. Analyzing the cost per flight hour, per maintenance action, or per unit of support against similar contracts for comparable aircraft (e.g., executive transport or medium-lift aircraft) will reveal if the $16.8 million award represents a fair market price or if there's potential for overpayment. This comparison informs future negotiation strategies.
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: $17,101,224
Exercised Options: $17,101,224
Current Obligation: $16,826,900
Subaward Activity
Number of Subawards: 15
Total Subaward Amount: $13,188,145
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: 2025-09-17
Potential End Date: 2025-09-17 00:00:00
Last Modified: 2025-09-17
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