DoD Awards $28.4M for Augmentee Support Teams at Davis-Monthan AFB
Contract Overview
Contract Amount: $28,437,322 ($28.4M)
Contractor: Powerhouse Resources International LLC
Awarding Agency: Department of Defense
Start Date: 2019-03-01
End Date: 2020-08-31
Contract Duration: 549 days
Daily Burn Rate: $51.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: PROVIDE AUGMENTEE SUPPORT TEAMS TO DAVIS MONTHAN AIR FORCE BASE IN ARIZONA
Place of Performance
Location: TUCSON, PIMA County, ARIZONA, 85707
State: Arizona Government Spending
Plain-Language Summary
Department of Defense obligated $28.4 million to POWERHOUSE RESOURCES INTERNATIONAL LLC for work described as: PROVIDE AUGMENTEE SUPPORT TEAMS TO DAVIS MONTHAN AIR FORCE BASE IN ARIZONA Key points: 1. Contract awarded to Powerhouse Resources International LLC for augmentee support. 2. Spending is within the range of similar aircraft manufacturing support contracts. 3. Full and open competition was used, but sources were excluded. 4. The contract duration is 549 days, ending in August 2020.
Value Assessment
Rating: good
The contract value of $28.4 million for 549 days of support appears reasonable when compared to similar augmentee support services in the defense sector. Benchmarking against other Air Force base support contracts would provide further context.
Cost Per Unit: $51,798
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may have impacted price discovery, potentially leading to higher costs than a truly open competition.
Taxpayer Impact: Taxpayers funded $28.4 million for essential support services, with the limited competition potentially affecting the final price paid.
Public Impact
Ensures operational readiness and support for critical Air Force missions at Davis-Monthan AFB. Supports personnel needs for specialized tasks, potentially reducing strain on permanent military staff. Economic impact in Arizona through contract services and potential local employment.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition methodology
- Exclusion of sources
- Contract duration and potential for follow-on needs
Positive Signals
- Awarded to a single entity for specialized support
- Supports critical Air Force operations
- Fixed price contract type
Sector Analysis
The defense sector, particularly aircraft manufacturing and support services, often involves complex requirements and specialized personnel. Spending benchmarks for augmentee support can vary significantly based on the base, mission, and duration of the requirement.
Small Business Impact
The data indicates this contract was not awarded to a small business. Analysis of subcontracting opportunities for small businesses within this large contract would be beneficial.
Oversight & Accountability
The contract was awarded by the Department of the Air Force, a component of the DoD. Oversight would typically involve program managers and contracting officers ensuring performance and adherence to terms.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Limited competition
- Exclusion of sources
- Lack of small business participation
- Potential for cost overruns due to limited competition
- Need for further justification on source exclusion
Tags
aircraft-manufacturing, department-of-defense, az, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $28.4 million to POWERHOUSE RESOURCES INTERNATIONAL LLC. PROVIDE AUGMENTEE SUPPORT TEAMS TO DAVIS MONTHAN AIR FORCE BASE IN ARIZONA
Who is the contractor on this award?
The obligated recipient is POWERHOUSE RESOURCES INTERNATIONAL 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 $28.4 million.
What is the period of performance?
Start: 2019-03-01. End: 2020-08-31.
What was the justification for excluding sources in the full and open competition?
The justification for excluding sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award is not provided in the data. Understanding this rationale is crucial to assessing whether the exclusion was necessary for mission accomplishment or if it unduly limited competition and potentially increased costs for taxpayers.
How does the per-unit cost of $51,798 compare to industry benchmarks for similar augmentee support services?
The per-unit cost of $51,798 needs to be contextualized against specific industry benchmarks for augmentee support teams. Without knowing what constitutes a 'unit' (e.g., per person per day, per team per month), a direct comparison is difficult. Further research into similar contracts and service level agreements is required for a robust assessment.
What was the specific nature of the augmentee support provided, and how critical was it to base operations?
The specific nature of the augmentee support provided is not detailed, beyond being for 'TEAMS TO DAVIS MONTHAN AIR FORCE BASE'. Understanding the specialized skills and the criticality of these teams to base operations is essential for evaluating the necessity and value of the $28.4 million expenditure.
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: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 6 NE 6TH ST, OKLAHOMA CITY, OK, 73104
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $28,859,135
Exercised Options: $28,859,135
Current Obligation: $28,437,322
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA822419D0010
IDV Type: IDC
Timeline
Start Date: 2019-03-01
Current End Date: 2020-08-31
Potential End Date: 2020-08-31 00:00:00
Last Modified: 2025-04-24
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