Boeing awarded $2.28M for C-32/C-40 sustainment training, ensuring critical Air Force readiness

Contract Overview

Contract Amount: $2,279,008 ($2.3M)

Contractor: THE Boeing Company

Awarding Agency: Department of Defense

Start Date: 2026-01-01

End Date: 2026-12-31

Contract Duration: 364 days

Daily Burn Rate: $6.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: C-32/C-40 SUSTAINMENT TRAINING 2026

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73135

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $2.3 million to THE BOEING COMPANY for work described as: C-32/C-40 SUSTAINMENT TRAINING 2026 Key points: 1. Training services are essential for maintaining the operational readiness of specialized Air Force aircraft. 2. The contract's firm-fixed-price structure aims to control costs and provide predictable expenditures. 3. Full and open competition suggests a robust market with potential for competitive pricing. 4. The duration of the contract aligns with the need for ongoing sustainment support. 5. Oklahoma is the performance location, potentially impacting local technical workforce demand. 6. This award represents a small portion of the overall defense training budget.

Value Assessment

Rating: good

The contract value of $2.28 million for a one-year sustainment training period appears reasonable given the specialized nature of C-32 and C-40 aircraft. Benchmarking against similar specialized aircraft training contracts would provide a more precise value-for-money assessment. However, the firm-fixed-price type suggests cost certainty for the government. Without specific per-unit training metrics or detailed cost breakdowns, a definitive value assessment is challenging, but the overall award size is not indicative of overspending for this type of service.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. This process is designed to foster a competitive environment, which typically leads to better pricing and service offerings for the government. The specific number of bidders is not provided, but the designation suggests a healthy level of market interest and capability for providing these specialized training services.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down prices through market forces and ensuring the government receives the best value available. It reduces the risk of inflated costs associated with less competitive procurement methods.

Public Impact

The primary beneficiaries are the U.S. Air Force personnel who operate and maintain the C-32 and C-40 aircraft, ensuring their proficiency. The services delivered include specialized training crucial for the sustainment and operational readiness of these VIP and cargo transport aircraft. The contract's performance is located in Oklahoma, potentially creating or sustaining skilled technical jobs in that region. This contract supports the Air Force's strategic airlift and executive transport capabilities, vital for national security and government operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for vendor lock-in if training becomes highly specialized and difficult to transfer to other providers.
  • Reliance on a single awardee for critical sustainment training could pose a risk if performance issues arise.
  • The effectiveness of training is dependent on the quality of instructors and curriculum, which requires ongoing monitoring.

Positive Signals

  • Firm-fixed-price contract provides cost predictability and limits the government's financial exposure.
  • Full and open competition suggests a competitive market, likely leading to a fair price.
  • The contract duration aligns with the need for continuous sustainment support for active aircraft fleets.

Sector Analysis

The aerospace and defense sector is characterized by high technological complexity and significant government investment. Sustainment training, particularly for specialized platforms like the C-32 (Boeing 757) and C-40 (Boeing 737 variants), is a critical component of maintaining fleet readiness. This contract fits within the broader category of aviation support services, which includes maintenance, repair, and operational training. Comparable spending benchmarks for similar aircraft sustainment training can vary widely based on platform age, complexity, and required training hours, but typically represent a significant portion of an aircraft's total lifecycle cost.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. The prime contractor, The Boeing Company, is a large aerospace firm. While there is no direct set-aside, large prime contractors are often required to meet subcontracting goals with small businesses. The specific subcontracting plan for this delivery order would determine the extent of small business participation and its impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Air Force's contracting and program management offices. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified training services. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction may apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

  • Air Mobility Command Training Programs
  • Special Operations Forces Training
  • Fleet Readiness Support Contracts
  • Aerospace Maintenance Training
  • Defense Logistics Agency Support Services

Risk Flags

  • Contractor performance risk
  • Training effectiveness measurement
  • Budgetary constraints impact
  • Reliance on sole-source expertise for specific aircraft systems

Tags

defense, department-of-defense, us-air-force, training-services, firm-fixed-price, full-and-open-competition, aircraft-sustainment, boeing, c-32, c-40, oklahoma, delivery-order

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $2.3 million to THE BOEING COMPANY. C-32/C-40 SUSTAINMENT TRAINING 2026

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 $2.3 million.

What is the period of performance?

Start: 2026-01-01. End: 2026-12-31.

What is the historical spending trend for C-32 and C-40 sustainment training by the Department of Defense?

Analyzing historical spending for C-32 and C-40 sustainment training requires accessing detailed contract databases over multiple fiscal years. While this specific award is for $2.28 million in 2026, prior years' spending would reveal trends in demand, pricing, and contractor performance. Factors such as fleet size, operational tempo, and aircraft modernization programs influence these trends. A review of past contracts would indicate if this award represents an increase, decrease, or stable level of investment in sustainment training for these platforms. Understanding these patterns is crucial for budget forecasting and identifying potential cost efficiencies or emerging needs.

How does the per-unit cost of this training compare to similar specialized aircraft sustainment training contracts?

A precise per-unit cost comparison is challenging without specific metrics like cost per training hour, cost per student, or cost per simulation module for this contract. However, the total award of $2.28 million for a year of sustainment training for specialized aircraft like the C-32 and C-40 suggests a significant investment. To benchmark, one would compare this to contracts for similar VIP or specialized transport aircraft training, considering factors like aircraft complexity, technology integration, and instructor-to-student ratios. If comparable contracts show significantly lower or higher per-unit costs for similar services, it would indicate potential overpricing or exceptional value, respectively. The firm-fixed-price nature aims for predictability, but value is ultimately determined by the quality and effectiveness of the training delivered relative to its cost.

What is The Boeing Company's track record in providing sustainment training for military aircraft?

The Boeing Company has an extensive track record in designing, manufacturing, and supporting military aircraft, including platforms like the C-17, F-15, and various versions of the 737 and 757 families, which the C-40 and C-32 are based upon. Their experience encompasses providing comprehensive training solutions, from initial pilot and maintenance training to ongoing sustainment and upgrade training. Historically, Boeing has been a primary contractor for many U.S. military aircraft sustainment programs. Performance reviews and past contract awards would offer specific insights into their reliability, quality of training, and responsiveness in fulfilling similar sustainment training requirements for the Department of Defense and other international customers.

What are the key performance indicators (KPIs) used to measure the effectiveness of this sustainment training?

Key performance indicators for sustainment training typically focus on ensuring personnel proficiency and operational readiness. For this contract, KPIs likely include metrics such as student pass rates, instructor qualifications and performance evaluations, adherence to training schedules, and the successful completion of required training modules. Additionally, feedback from trainees and their supervisors regarding the relevance and effectiveness of the training in preparing them for real-world operational tasks is crucial. The Air Force may also track indirect indicators, such as reduced aircraft downtime due to maintenance errors or improved mission success rates, which can be partially attributed to effective sustainment training.

Are there any identified risks associated with this specific contract award or the contractor?

Risks associated with this contract could include potential performance deficiencies by the contractor, such as inadequate training quality, scheduling delays, or failure to meet specified training objectives. Given that The Boeing Company is the sole provider for many aspects of these aircraft, there's a degree of reliance. Economic risks, such as unexpected cost increases not covered by the fixed-price structure (though unlikely with FFP), or geopolitical factors impacting supply chains for training materials, could also pose challenges. Furthermore, changes in Air Force operational requirements or budget constraints could necessitate modifications or adjustments to the training program, introducing programmatic risk.

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: 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: $2,279,008

Exercised Options: $2,279,008

Current Obligation: $2,279,008

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA813423DB004

IDV Type: IDC

Timeline

Start Date: 2026-01-01

Current End Date: 2026-12-31

Potential End Date: 2026-12-31 00:00:00

Last Modified: 2026-01-06

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