DoD awards $16.1M for facilities support services to Cherokee Nation Armored Solutions, LLC

Contract Overview

Contract Amount: $16,140,891 ($16.1M)

Contractor: Cherokee Nation Armored Solutions, LLC

Awarding Agency: Department of Defense

Start Date: 2024-03-12

End Date: 2026-03-13

Contract Duration: 731 days

Daily Burn Rate: $22.1K/day

Competition Type: NOT COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: CLIN 0001 SUSTAINMENT LABOR SUPPORT: FUNDING FOR SUSTAINMENT SUPPORT FFP LABOR CLINS AND COST TYPE CLINS.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $16.1 million to CHEROKEE NATION ARMORED SOLUTIONS, LLC for work described as: CLIN 0001 SUSTAINMENT LABOR SUPPORT: FUNDING FOR SUSTAINMENT SUPPORT FFP LABOR CLINS AND COST TYPE CLINS. Key points: 1. Contract awarded for sustainment labor support, encompassing both firm-fixed-price and cost-type CLINs. 2. The contract duration is 731 days, indicating a medium-term commitment for ongoing services. 3. Awarded as a delivery order under a larger contract, suggesting a phased or task-based approach. 4. The contract is not competed under the Simplified Acquisition Procedures (SAP), implying a potentially larger or more complex requirement. 5. The contractor, Cherokee Nation Armored Solutions, LLC, is based in Alabama. 6. The primary service category is Facilities Support Services, a broad area essential for operational readiness.

Value Assessment

Rating: fair

The total award amount is $16.1 million for a period of 731 days. Without specific performance metrics or benchmarks for facilities support services in this sector, it is difficult to definitively assess value for money. The contract type is a mix of FFP and cost-type CLINs, which can introduce cost control challenges if not managed carefully. Further analysis would require comparison to similar contracts for sustainment labor support and an understanding of the specific services required.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was not competed under the Simplified Acquisition Procedures (SAP). The specific competition method used for the parent contract or this delivery order is not detailed. A 'NOT COMPETED UNDER SAP' designation often means it was either competed under different, potentially more restrictive, procedures or was a sole-source award. Without more information on the competition, it's impossible to assess the number of bidders or the implications for price discovery.

Taxpayer Impact: The lack of clear competition information raises concerns about whether taxpayers received the best possible price for these essential sustainment services.

Public Impact

The primary beneficiaries are the Department of Defense and the Missile Defense Agency, which will receive essential sustainment labor support. Services delivered include labor support for sustainment activities, crucial for maintaining operational facilities. The geographic impact is primarily within Alabama, where the contractor is located and likely where services will be performed. Workforce implications include the potential for employment opportunities for individuals with facilities support and labor skills.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed competition information hinders assessment of fair pricing.
Mixed contract types (FFP and cost-type) can present challenges in cost control and oversight.
The broad nature of 'Facilities Support Services' requires careful definition of scope to ensure effective service delivery.

Positive Signals

Award to a specific entity (Cherokee Nation Armored Solutions, LLC) suggests a focused approach to meeting a particular need.
The contract duration of over two years indicates a commitment to sustained support, potentially leading to efficiencies.
The contract is for sustainment labor, which is critical for maintaining readiness and operational capabilities.

Sector Analysis

Facilities Support Services (NAICS 561210) is a significant sector within government contracting, encompassing a wide range of services from building maintenance to operational support. The total addressable market for these services is substantial, with agencies like the Department of Defense being major consumers. This contract fits within the broader defense sector's need for reliable operational support to maintain its infrastructure and readiness. Benchmarking this specific award against other similar facilities support contracts would require detailed analysis of scope, location, and duration.

Small Business Impact

This contract does not appear to have a small business set-aside designation (ss: false, sb: false). Therefore, the direct impact on small businesses through this specific award is likely minimal. However, the prime contractor, Cherokee Nation Armored Solutions, LLC, may engage small businesses as subcontractors, depending on the subcontracting plan requirements and the nature of the services. Further investigation into subcontracting opportunities would be necessary to fully assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Defense and the Missile Defense Agency. Specific oversight mechanisms would depend on the contract's terms and conditions, including performance monitoring, quality assurance, and financial reporting. Transparency is facilitated by contract award databases, but detailed performance data and Inspector General jurisdiction would be contingent on the specific contract clauses and any ongoing audits or investigations.

Related Government Programs

Defense Facilities Maintenance Contracts
Sustainment Support Services
Missile Defense Agency Operations Support
Government Facilities Management

Risk Flags

Lack of competition details
Mixed contract type (FFP/Cost-Type) requires careful oversight
Broad service category may lead to scope creep

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.1 million to CHEROKEE NATION ARMORED SOLUTIONS, LLC. CLIN 0001 SUSTAINMENT LABOR SUPPORT: FUNDING FOR SUSTAINMENT SUPPORT FFP LABOR CLINS AND COST TYPE CLINS.

Who is the contractor on this award?

The obligated recipient is CHEROKEE NATION ARMORED SOLUTIONS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Missile Defense Agency).

What is the total obligated amount?

The obligated amount is $16.1 million.

What is the period of performance?

Start: 2024-03-12. End: 2026-03-13.

What is the specific scope of 'sustainment labor support' covered by this contract?

The provided data indicates that 'CLIN 0001 SUSTAINMENT LABOR SUPPORT' includes funding for both Firm Fixed Price (FFP) labor CLINs and Cost Type CLINs. This suggests a broad range of labor activities aimed at maintaining and supporting existing facilities and systems. Without access to the full contract details, the precise nature of these services remains unspecified. However, typical sustainment labor support in a defense context can encompass tasks such as routine maintenance, repair, operational assistance, logistical support for personnel, and potentially specialized technical labor required to keep critical infrastructure and equipment functioning. The mix of FFP and cost-type CLINs implies that some labor may be priced at a fixed rate per unit or hour, while other, potentially less predictable, labor costs might be reimbursed based on actual incurred expenses, requiring careful monitoring and justification.

How does the pricing of $16.1 million for 731 days compare to similar facilities support contracts?

Benchmarking the $16.1 million award for 731 days (approximately 2 years) for facilities support services requires comparison with contracts of similar scope, duration, and geographic location, ideally within the Department of Defense or similar large federal agencies. The provided data lacks sufficient detail to perform a direct comparison. Factors such as the specific services rendered (e.g., janitorial, security, technical maintenance, groundskeeping), the level of security clearance required for personnel, the complexity of the facilities supported, and the prevailing labor rates in the contract's performance location (Alabama) would significantly influence pricing. Without these comparative data points, it is difficult to ascertain if $16.1 million represents excellent, fair, or questionable value for money. A comprehensive analysis would involve reviewing historical contract awards for similar services and assessing the contractor's proposed pricing against established cost models or market rates.

What are the primary risks associated with this contract, given its structure and the contractor?

Several risks are associated with this contract. Firstly, the 'NOT COMPETED UNDER SAP' designation, coupled with an 'unknown' competition level, raises concerns about potential price inflation and lack of robust market vetting. Secondly, the mix of Firm Fixed Price (FFP) and Cost Type CLINs presents inherent risks. While FFP provides cost certainty for defined tasks, Cost Type CLINs carry the risk of cost overruns if not meticulously managed and audited, potentially leading to expenditures exceeding initial estimates. Thirdly, the broad nature of 'Facilities Support Services' can lead to scope creep if not clearly defined and managed, increasing costs and potentially impacting performance. Finally, while Cherokee Nation Armored Solutions, LLC is the awardee, their specific track record in delivering large-scale facilities support services for the Department of Defense, particularly for complex missile defense infrastructure, would need to be assessed to identify any performance-related risks.

What is the expected performance effectiveness of Cherokee Nation Armored Solutions, LLC based on available data?

The provided data does not include specific performance metrics or historical performance ratings for Cherokee Nation Armored Solutions, LLC on this particular contract or similar engagements. Therefore, assessing their expected performance effectiveness is challenging. The award itself, being a delivery order, suggests they were deemed capable of fulfilling the requirement at the time of selection. However, the 'fair' rating for value assessment indicates a need for careful monitoring. Key indicators of effectiveness will include their ability to deliver the required sustainment labor support reliably, meet service level agreements (if any are defined), manage costs effectively under the mixed contract type structure, and adapt to any evolving needs of the Missile Defense Agency. Without post-award performance data or a detailed pre-award assessment of their capabilities, predicting effectiveness remains speculative.

How has federal spending in Facilities Support Services (NAICS 561210) trended, and how does this contract fit?

Federal spending in Facilities Support Services (NAICS 561210) has historically been substantial, driven by the extensive infrastructure needs of agencies like the Department of Defense, General Services Administration, and others. Spending in this sector typically trends upwards due to the continuous need for maintenance, repair, and operational support of government facilities, as well as the aging of existing infrastructure. This $16.1 million contract for sustainment labor support awarded to Cherokee Nation Armored Solutions, LLC fits within this broader trend. It represents a specific allocation of resources by the Missile Defense Agency to ensure the operational readiness and upkeep of its facilities. While this single contract is a modest portion of the overall federal spending in this category, it highlights the ongoing reliance on contractors to provide essential support services that enable agency missions.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2 W 2ND ST STE 1500-35, TULSA, OK, 74103

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, 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: $48,570,640

Exercised Options: $18,639,588

Current Obligation: $16,140,891

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ086724D0001

IDV Type: IDC

Timeline