DoD's Civil Reserve Air Fleet contract awarded to Patriot Team for $115M, utilizing full and open competition

Contract Overview

Contract Amount: $115,238,083 ($115.2M)

Contractor: Patriot Team

Awarding Agency: Department of Defense

Start Date: 2022-10-01

End Date: 2024-09-30

Contract Duration: 730 days

Daily Burn Rate: $157.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: CIVIL RESERVE AIR FLEET - AIR TRANSPORTATION SERVICES

Place of Performance

Location: TULSA, TULSA County, OKLAHOMA, 74115

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $115.2 million to PATRIOT TEAM for work described as: CIVIL RESERVE AIR FLEET - AIR TRANSPORTATION SERVICES Key points: 1. Contract value of $115.2M over two years for air transportation services. 2. Awarded through full and open competition, suggesting a competitive bidding process. 3. Performance period spans from October 2022 to September 2024. 4. The contract is for nonscheduled chartered passenger air transportation. 5. Patriot Team is the sole contractor for this specific award. 6. The contract type is Firm Fixed Price, providing cost certainty. 7. The base contract value is $15.7M, with potential for significant task orders.

Value Assessment

Rating: good

The contract's total value of $115.2M over two years for air transportation services appears reasonable given the scope of supporting the Civil Reserve Air Fleet. Benchmarking against similar large-scale transportation contracts is challenging without more specific service details. However, the firm fixed-price structure suggests a degree of cost control. The base contract value of $15.7M with a significant potential for task orders indicates flexibility and responsiveness to demand.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a robust competitive process where all responsible sources were permitted to submit bids. The presence of 10 bidders (no) suggests a healthy level of competition for this requirement, which typically leads to better pricing and value for the government.

Taxpayer Impact: The competitive nature of this award is beneficial for taxpayers, as it likely drove down costs and ensured the government received competitive rates for essential air transportation services.

Public Impact

The primary beneficiaries are the Department of Defense and its personnel, ensuring reliable air transport for military operations and personnel movement. Services delivered include nonscheduled chartered passenger air transportation, crucial for logistical support and contingency operations. The geographic impact is broad, potentially supporting global military deployments and operations. Workforce implications include support for airline industry jobs and related aviation services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if task orders significantly exceed initial projections.
Dependence on a single contractor (Patriot Team) for this specific award, though the competition was broad.
Geopolitical events or fuel price volatility could impact service delivery costs.

Positive Signals

Awarded through full and open competition, indicating a competitive market.
Firm Fixed Price contract type provides cost predictability.
Contract duration of two years allows for stable planning.
The base contract value is relatively low compared to the total potential, suggesting efficient initial procurement.

Sector Analysis

The air transportation sector is critical for both commercial and government operations. This contract falls under the broader category of logistics and support services for the Department of Defense. The Civil Reserve Air Fleet program is a key component of national defense, ensuring the availability of commercial air assets during national emergencies. Spending in this area is subject to fluctuations based on global security needs and operational tempo.

Small Business Impact

The provided data does not indicate any specific small business set-aside or subcontracting requirements for this contract. The award to 'Patriot Team' does not inherently specify its size. Further analysis would be needed to determine the extent of small business participation, either as prime contractors or subcontractors, in fulfilling this requirement.

Oversight & Accountability

Oversight for this contract would primarily fall under the U.S. Transportation Command (USTRANSCOM), the contracting agency. The firm fixed-price nature of the contract provides a degree of accountability for the contractor to deliver services within the agreed-upon price. Transparency is facilitated by the contract award data being publicly available. Inspector General reviews may occur as part of broader DoD audits.

Related Government Programs

Military Sealift Command (MSC) contracts
Air Mobility Command (AMC) airlift services
Logistics and transportation support services
Defense Logistics Agency (DLA) contracts

Risk Flags

Contract performance risk
Operational disruption risk
Cost volatility risk (fuel prices)
Dependence on contractor availability

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $115.2 million to PATRIOT TEAM. CIVIL RESERVE AIR FLEET - AIR TRANSPORTATION SERVICES

Who is the contractor on this award?

The obligated recipient is PATRIOT TEAM.

Which agency awarded this contract?

Awarding agency: Department of Defense (USTRANSCOM).

What is the total obligated amount?

The obligated amount is $115.2 million.

What is the period of performance?

Start: 2022-10-01. End: 2024-09-30.

What is the historical spending pattern for the Civil Reserve Air Fleet - Air Transportation Services under USTRANSCOM?

Analyzing historical spending for the Civil Reserve Air Fleet (CRAF) air transportation services requires examining past contract awards and task orders issued by USTRANSCOM. While specific historical dollar amounts for this exact contract vehicle are not detailed in the provided data, CRAF contracts are typically awarded on a multi-year basis with a base value and potential for significant task orders to meet fluctuating operational demands. Historically, the U.S. military relies on CRAF to augment its organic airlift capabilities during contingencies, humanitarian missions, and wartime. Spending can vary significantly year-to-year based on global events, troop deployments, and the activation status of CRAF assets. The current contract's total potential of $115.2M over two years suggests a substantial but not unprecedented level of investment in ensuring this strategic capability.

How does the per-unit cost of this contract compare to similar air transportation services procured by the government?

Determining a precise per-unit cost comparison for this contract is challenging without detailed breakdowns of the services rendered (e.g., cost per passenger mile, cost per flight hour, cost per aircraft type). The contract is for 'Nonscheduled Chartered Passenger Air Transportation,' which can vary widely in price based on aircraft size, range, and demand. The firm fixed-price nature suggests that Patriot Team has factored in expected costs and profit margins. To benchmark effectively, one would need to compare specific task orders against other government contracts for similar charter services, considering factors like route, aircraft type, and urgency. The competitive award process, with 10 bidders, implies that the pricing achieved is likely within a competitive market range, but a definitive per-unit cost analysis requires more granular data.

What are the key performance indicators (KPIs) used to evaluate the contractor's performance under this award?

While the provided data does not explicitly list the Key Performance Indicators (KPIs) for this specific contract, typical performance metrics for air transportation services contracts with the Department of Defense often include on-time performance (departure and arrival), aircraft availability, passenger satisfaction, safety compliance, and adherence to mission requirements. For nonscheduled charter services, responsiveness to call-ups and flexibility in scheduling are also critical. The contract's status 'OK' for 'st' (Status) and 'sn' (Status Notes) suggests that, as of the data's timestamp, the contractor was meeting its obligations. USTRANSCOM would likely have defined specific metrics within the contract's Performance Work Statement (PWS) to monitor these aspects.

What is the track record of Patriot Team in providing similar air transportation services to the government?

The provided data identifies 'Patriot Team' as the contractor but does not offer details on their specific track record or past performance history with the government. To assess their reliability and experience, one would need to consult government contract databases (like SAM.gov or FPDS) for previous awards to Patriot Team, review past performance evaluations (if available), and examine their corporate history and capabilities in providing nonscheduled chartered passenger air transportation. A contractor's history of on-time performance, safety records, and successful completion of similar-sized contracts are crucial factors in evaluating their suitability for significant awards like this one.

What are the potential risks associated with this contract, and how are they being mitigated?

Potential risks for this contract include operational disruptions due to weather, mechanical issues, or geopolitical events impacting flight paths or availability. There's also a risk of cost overruns if fuel prices spike unexpectedly, although the firm fixed-price structure aims to mitigate this for the government. Contractor performance risk, such as failure to meet scheduling or service quality standards, is another concern. Mitigation strategies likely involve robust contract oversight by USTRANSCOM, clear performance standards in the contract, contingency planning by the contractor, and potentially requiring the contractor to maintain a fleet or have access to a diverse range of aircraft to ensure availability and flexibility. The competitive award process itself helps mitigate risks by selecting a contractor deemed capable and offering competitive terms.

Industry Classification

NAICS: Transportation and Warehousing › Nonscheduled Air Transportation › Nonscheduled Chartered Passenger Air Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3303 N SHERIDAN RD, TULSA, OK, 74115

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $115,238,083

Exercised Options: $115,238,083

Current Obligation: $115,238,083

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HTC71118DCC39

IDV Type: IDC

Timeline