DHS awarded $12.6M for charter flights, with a single call under a large BPA

Contract Overview

Contract Amount: $12,620,553 ($12.6M)

Contractor: Sundowner Oklahoma City, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2008-09-15

End Date: 2009-09-14

Contract Duration: 364 days

Daily Burn Rate: $34.7K/day

Competition Type: FULL AND OPEN COMPETITION

Sector: Other

Official Description: BPA CALL #21 FOR A SAN ANTONIO, TX TO CENTRAL AMERICA/SOUTH AMERICA/CARIBBEAN AND DOMESTIC DESTINATIONS CHARTER FLIGHTS

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78207

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $12.6 million to SUNDOWNER OKLAHOMA CITY, LLC for work described as: BPA CALL #21 FOR A SAN ANTONIO, TX TO CENTRAL AMERICA/SOUTH AMERICA/CARIBBEAN AND DOMESTIC DESTINATIONS CHARTER FLIGHTS Key points: 1. The contract represents a single task order under a broader Blanket Purchase Agreement (BPA). 2. The awarded amount is for a one-year period of performance. 3. The contractor, Sundowner Oklahoma City, LLC, operates in a sector typically associated with retail, not aviation services. 4. The contract was awarded using full and open competition. 5. The duration of the contract is 364 days. 6. The contract was awarded by U.S. Immigration and Customs Enforcement (ICE).

Value Assessment

Rating: questionable

Benchmarking the value of this specific call order is challenging without knowing the specific services rendered and the market rates for charter flights during the contract period. The total award amount of $12.6 million for a year of charter flights suggests a significant operational need. However, the contractor's primary industry classification (All Other Miscellaneous Store Retailers) raises questions about their direct experience and potential overhead costs compared to specialized aviation providers. Further analysis would require comparing pricing against similar ICE or DHS charter flight contracts and understanding the specific routes and aircraft utilized.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors were likely solicited. The specific number of bidders is not provided, but the use of full and open competition generally suggests a robust process aimed at achieving competitive pricing. The existence of a BPA implies that a competitive process was used to establish the base agreement, and this call order likely followed a streamlined process within that framework.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it encourages multiple vendors to bid, potentially driving down prices and ensuring the government receives the best value.

Public Impact

This contract supports U.S. Immigration and Customs Enforcement (ICE) operations, likely involving the transportation of personnel or detainees. The services provided are charter flights, with destinations including Central America, South America, the Caribbean, and domestic locations. The geographic impact is broad, covering international and domestic travel routes essential for ICE's mission. The contract supports the logistical needs of federal law enforcement operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contractor's primary industry classification (miscellaneous store retailers) is unusual for aviation services, raising potential concerns about expertise and cost-effectiveness.
Lack of detailed service specifics within the provided data makes it difficult to assess true value for money.
The significant award amount for a single call order warrants scrutiny regarding the necessity and efficiency of the services procured.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process.
The contract supports critical law enforcement operations for a major federal agency (DHS/ICE).
The BPA structure may indicate pre-negotiated favorable terms for recurring needs.

Sector Analysis

The aviation services sector is highly specialized, with numerous established providers. This contract falls within the broader category of transportation services procured by the federal government. Federal spending on charter flights can fluctuate based on operational demands, particularly for agencies like DHS involved in border security and law enforcement. Benchmarking this contract's value would ideally involve comparing its per-flight or per-mile costs against other government charter contracts or commercial rates for similar routes and aircraft types.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, the primary focus would be on whether the prime contractor, Sundowner Oklahoma City, LLC, is a small business or if they are utilizing small business subcontractors. Without further information on subcontracting plans, the direct impact on the small business ecosystem from this specific award is unclear, though large contracts often involve subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would primarily fall under the U.S. Immigration and Customs Enforcement (ICE) within the Department of Homeland Security (DHS). The contract's performance would be monitored by contracting officers and program managers to ensure compliance with terms and conditions. Transparency is facilitated through contract databases like FPDS, which provide basic award details. Further oversight could involve the DHS Office of Inspector General if specific performance issues or allegations of misconduct arise.

Related Government Programs

Department of Homeland Security (DHS) Transportation Contracts
U.S. Immigration and Customs Enforcement (ICE) Operational Support
Federal Aviation Services Procurement
Blanket Purchase Agreements (BPAs)

Risk Flags

Contractor industry classification mismatch
Potential lack of direct aviation expertise
Limited transparency on specific service details

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $12.6 million to SUNDOWNER OKLAHOMA CITY, LLC. BPA CALL #21 FOR A SAN ANTONIO, TX TO CENTRAL AMERICA/SOUTH AMERICA/CARIBBEAN AND DOMESTIC DESTINATIONS CHARTER FLIGHTS

Who is the contractor on this award?

The obligated recipient is SUNDOWNER OKLAHOMA CITY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $12.6 million.

What is the period of performance?

Start: 2008-09-15. End: 2009-09-14.

What is the specific nature of the charter flight services provided under this BPA call order, including typical routes, aircraft types, and passenger/cargo loads?

The provided data indicates the contract is for 'CHARTER FLIGHTS' with destinations ranging from 'CENTRAL AMERICA/SOUTH AMERICA/CARIBBEAN AND DOMESTIC DESTINATIONS'. However, specific details regarding typical routes, aircraft types utilized (e.g., Boeing 737, Airbus A320, smaller executive jets), and the nature of the passengers or cargo (e.g., detainees, personnel, equipment) are not available in the summary data. This level of detail is crucial for a comprehensive value assessment and understanding the operational context. Such information would typically be found in the detailed contract statement of work (SOW) or task order documentation.

How does the contractor's primary industry classification (All Other Miscellaneous Store Retailers) align with providing complex aviation charter services?

The contractor, Sundowner Oklahoma City, LLC, is classified under NAICS code 453998 (All Other Miscellaneous Store Retailers). This classification is highly unusual for a provider of charter flight services, which typically falls under transportation or aviation-related NAICS codes (e.g., 481211 - Non-scheduled Airline). This discrepancy raises questions about the contractor's core competencies, operational infrastructure, and potential reliance on subcontractors for the actual flight operations. It could indicate a business structure where the prime contractor manages the logistics and booking, or it might suggest a less direct fit for the service requirement, potentially impacting efficiency or cost compared to specialized aviation firms.

What was the competitive landscape for this specific BPA call order, beyond being 'full and open competition'?

While the award was made under 'FULL AND OPEN COMPETITION', the provided data does not specify the number of bids received or the extent of outreach conducted. Full and open competition signifies that all responsible sources were permitted to submit an offer. However, the effectiveness of this competition in driving down price and ensuring best value depends on the number of actual bidders and the level of interest generated. Without knowing how many proposals were evaluated, it's difficult to definitively assess the strength of the competition for this particular call order. The existence of a BPA suggests a prior competitive process for the base agreement.

What is the historical spending pattern for similar charter flight services by ICE or DHS, and how does this $12.6 million award compare?

Historical spending data for similar charter flight services by ICE or DHS is not provided in the summary. To assess this $12.6 million award in context, one would need to examine past contract awards for charter flights procured by these agencies over several fiscal years. Key metrics for comparison would include the total annual spending on such services, the average value of individual call orders or contracts, and the number of contractors utilized. Understanding historical trends would help determine if this award represents a significant increase or decrease in spending, potentially indicating changes in operational tempo, policy, or market conditions.

Are there any performance issues or past performance concerns associated with Sundowner Oklahoma City, LLC, particularly related to aviation services?

The provided summary data does not include information on the past performance record of Sundowner Oklahoma City, LLC, specifically concerning aviation services. Assessing past performance is critical for evaluating contractor reliability and capability. This would typically involve reviewing performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS) or any documented issues, disputes, or corrective actions related to previous government contracts. Given the contractor's unusual industry classification for this service, a thorough review of their performance history, especially if they have undertaken similar contracts, would be warranted.

Industry Classification

NAICS: Retail Trade › Other Miscellaneous Store Retailers › All Other Miscellaneous Store Retailers (except Tobacco Stores)

Product/Service Code: LEASE/RENT EQUIPMENT › LEASE OR RENTAL OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Evaluated Preference: NONE

Contractor Details

Address: 5900 AIR CARGO DR, OKLAHOMA CITY, OK, 73159

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $12,620,553

Exercised Options: $12,620,553

Current Obligation: $12,620,553

Parent Contract

Parent Award PIID: HSCEOP07A00038

IDV Type: BPA

Timeline