DoD awards $10M+ logistics support contract to Alutiiq Solutions for space sensing products

Contract Overview

Contract Amount: $10,074,923 ($10.1M)

Contractor: Alutiiq Solutions, LLC

Awarding Agency: Department of Defense

Start Date: 2025-02-01

End Date: 2026-12-19

Contract Duration: 686 days

Daily Burn Rate: $14.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: AWARD OF LOGISTICS SUSTAINMENT SUPPORT FOR SPACE SENSING PRODUCT SUPPORT

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80914

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $10.1 million to ALUTIIQ SOLUTIONS, LLC for work described as: AWARD OF LOGISTICS SUSTAINMENT SUPPORT FOR SPACE SENSING PRODUCT SUPPORT Key points: 1. Contract value appears reasonable for specialized logistics support over its duration. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. Potential risks include performance continuity and effective inventory management. 4. This contract supports critical space sensing product sustainment for the Air Force. 5. The award falls within the Research and Development sector, specifically physical sciences. 6. No small business set-aside was applied, indicating larger prime contractor involvement.

Value Assessment

Rating: good

The contract value of approximately $10 million for a 686-day period (roughly 23 months) for logistics sustainment support seems within a reasonable range for specialized defense services. Benchmarking against similar logistics support contracts for complex systems would provide a more precise value-for-money assessment. However, given the specialized nature of space sensing products, the pricing is likely influenced by unique requirements and expertise.

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,' which implies that while the competition was broad, specific sources may have been excluded for defined reasons. The number of bidders is not specified, but the 'full and open' designation suggests a robust competitive environment was intended. This level of competition generally promotes price discovery and encourages competitive pricing.

Taxpayer Impact: A full and open competition aims to ensure that the government receives the best value by allowing all responsible sources to submit offers, potentially leading to lower costs for taxpayers.

Public Impact

The primary beneficiaries are the Department of Defense and the Air Force, ensuring the operational readiness of space sensing products. Services delivered include logistics sustainment, crucial for maintaining the functionality and lifespan of advanced technological assets. The geographic impact is likely concentrated around Air Force installations or facilities where these space sensing products are managed and maintained. Workforce implications may involve skilled logistics personnel, technicians, and supply chain specialists employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions impacting critical space assets.
Ensuring adequate technical expertise for specialized space sensing product maintenance.
Managing inventory levels effectively to avoid obsolescence or stockouts.

Positive Signals

Award to an established contractor (Alutiiq Solutions, LLC) suggests a degree of reliability.
Firm Fixed Price contract type can provide cost certainty for the government.
Long-term sustainment support indicates a commitment to product lifecycle management.

Sector Analysis

This contract falls under the Research and Development sector, specifically NAICS code 541715 (Research and Development in the Physical, Engineering, and Life Sciences). This indicates the contract is related to the scientific and technical aspects of developing or sustaining advanced physical systems. The market for specialized logistics support for defense-related R&D products is often characterized by a limited number of highly qualified contractors capable of meeting stringent requirements.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This suggests that the prime contractor, Alutiiq Solutions, LLC, is likely a larger entity, or that the contract requirements were not tailored for small business participation. There is no explicit information on subcontracting plans for small businesses, which would be a key area for further investigation to understand the broader impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force contracting and program management offices. Accountability measures are typically embedded within the contract terms, including performance metrics, delivery schedules, and quality standards. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Space Systems Command Logistics
Air Force Sustainment Programs
Defense Logistics Agency (DLA) Support Contracts
Research and Development Support Services
Aerospace Product Support

Risk Flags

Potential for limited competition due to specialized nature of services.
Risk of supply chain disruptions for critical space components.
Ensuring contractor maintains necessary technical expertise over contract duration.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.1 million to ALUTIIQ SOLUTIONS, LLC. AWARD OF LOGISTICS SUSTAINMENT SUPPORT FOR SPACE SENSING PRODUCT SUPPORT

Who is the contractor on this award?

The obligated recipient is ALUTIIQ SOLUTIONS, 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 $10.1 million.

What is the period of performance?

Start: 2025-02-01. End: 2026-12-19.

What is Alutiiq Solutions, LLC's track record with similar logistics sustainment contracts, particularly for space or advanced sensing products?

Alutiiq Solutions, LLC has a history of performing various government contracts, including those involving logistics and support services. While specific details on their experience with 'space sensing products' require deeper analysis of past performance reports and contract vehicles, their general presence in the defense contracting space suggests familiarity with government requirements. A review of their contract history within the FPDS database would reveal the types and scale of previous logistics sustainment awards, their performance ratings, and any relevant certifications or specializations they possess. This would help ascertain their capability and reliability in managing the complexities associated with sustaining advanced technological assets like space sensing products.

How does the awarded value of $10,074,922.78 compare to similar logistics sustainment contracts for space-related products within the Department of Defense?

Benchmarking this $10 million contract against similar logistics sustainment efforts for space-related products within the DoD is crucial for assessing value for money. Without direct comparative data points readily available, a preliminary assessment suggests the value is moderate for a contract spanning approximately 23 months. Factors influencing this value include the complexity of the space sensing products, the scope of logistics services (e.g., maintenance, repair, inventory management, transportation), and the specific performance period. A comprehensive comparison would involve analyzing contracts with similar Product Service Codes (PSCs) and NAICS codes, focusing on contracts awarded by the Air Force or other space-focused agencies over the past 3-5 years. This analysis would identify average contract values, durations, and the range of services provided to determine if this award represents a competitive and fair price.

What are the primary risks associated with this contract, and what mitigation strategies are likely in place?

Key risks for this logistics sustainment contract include potential supply chain disruptions for specialized components, ensuring the availability of highly skilled personnel for maintenance and repair of sensitive space sensing equipment, and managing the lifecycle of potentially aging or technologically evolving products. Performance continuity is also a risk, especially if the contractor faces staffing changes or operational challenges. Mitigation strategies likely involve robust inventory management systems, strong relationships with component suppliers, stringent quality assurance processes, and clear performance standards outlined in the contract. The firm fixed-price nature of the contract also incentivizes the contractor to manage costs and risks effectively to maintain profitability. The Air Force's oversight and potential for contract modifications or remedies would further mitigate risks.

How effective is the 'Full and Open Competition After Exclusion of Sources' approach in ensuring competitive pricing for specialized R&D support?

The 'Full and Open Competition After Exclusion of Sources' approach aims to balance broad competition with specific needs. While 'full and open' suggests an intention to solicit from all responsible sources, the 'exclusion of sources' clause indicates that certain entities were deliberately not considered, likely due to specific technical requirements, security clearances, or prior performance issues. This can potentially limit the number of bidders compared to a pure full and open competition. The effectiveness in ensuring competitive pricing hinges on whether a sufficient number of qualified bidders remained. If the exclusion criteria were narrowly defined and only a few companies could meet them, the competitive pressure might be reduced, potentially leading to less favorable pricing for the government. Conversely, if multiple capable firms were still able to compete, this method can still yield competitive results while ensuring specialized needs are met.

What is the historical spending pattern for logistics sustainment of space sensing products by the Department of the Air Force?

Analyzing historical spending patterns for logistics sustainment of space sensing products by the Department of the Air Force is essential for context. This involves examining past contract awards for similar services, potentially using keywords like 'logistics sustainment,' 'space sensing,' 'product support,' and relevant NAICS/PSC codes within government contract databases (e.g., FPDS). Understanding the volume, frequency, and average value of these contracts over several fiscal years can reveal trends in demand, technological evolution, and the typical duration and cost structures. It can also highlight key contractors that have historically secured such awards. Significant fluctuations or a consistent upward trend in spending could indicate increasing reliance on these assets or evolving sustainment needs, providing a baseline against which the current $10 million award can be evaluated.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Afognak Native Corporation

Address: 3909 ARCTIC BLVD STE 500, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $35,491,142

Exercised Options: $13,911,638

Current Obligation: $10,074,923

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $883,846

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAD21D8501

IDV Type: IDC

Timeline