DoD's $99.7M Civil Reserve Air Fleet contract awarded to Patriot Team for air transportation services

Contract Overview

Contract Amount: $99,674,778 ($99.7M)

Contractor: Patriot Team

Awarding Agency: Department of Defense

Start Date: 2023-10-01

End Date: 2026-09-30

Contract Duration: 1,095 days

Daily Burn Rate: $91.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 13

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: CIVIL RESERVE AIR FLEET - AIR TRANSPORTATION SERVICES

Plain-Language Summary

Department of Defense obligated $99.7 million to PATRIOT TEAM for work described as: CIVIL RESERVE AIR FLEET - AIR TRANSPORTATION SERVICES Key points: 1. Contract provides essential air transportation capabilities for national defense. 2. The award was made under full and open competition, suggesting a competitive market. 3. A firm-fixed-price contract type helps manage cost certainty for the government. 4. The duration of the contract is three years, indicating a medium-term need. 5. This contract supports the strategic mobility requirements of USTRANSCOM.

Value Assessment

Rating: good

The total contract value of $99.7 million over three years appears reasonable for specialized air transportation services supporting military needs. Benchmarking against similar large-scale charter contracts is challenging due to the unique nature of military readiness requirements. However, the firm-fixed-price structure provides a degree of cost control. The base award value of $9.1 million suggests an initial commitment, with the potential for significant task orders over the contract period.

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 that while the competition was broad, specific exclusions were applied, which warrants further investigation into the rationale. The presence of 10 bids suggests a healthy level of interest and competition for this specialized service. A competitive environment generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The competitive bidding process is beneficial for taxpayers as it drives down prices and ensures the government receives competitive market rates for essential air transportation services.

Public Impact

Benefits the Department of Defense by ensuring access to critical air transport capacity during national emergencies. Provides scheduled and nonscheduled chartered passenger air transportation. Geographic impact is global, supporting worldwide military operations. Workforce implications include pilots, flight crews, and support staff within the contracting company and potentially related aviation industries.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'after exclusion of sources' clause in the competition type requires scrutiny to ensure no undue restrictions limited potential bidders.
Lack of specific performance metrics in the provided data makes it difficult to assess the efficiency and effectiveness of services rendered.
The significant contract value could indicate a critical but potentially high-cost capability.

Positive Signals

Awarded under full and open competition, indicating a robust market response.
Firm-fixed-price contract type provides cost certainty.
Long-term contract duration allows for sustained readiness and planning.

Sector Analysis

The Civil Reserve Air Fleet (CRAF) program is a vital component of national defense, ensuring the availability of commercial aircraft for military use during emergencies. This contract falls within the broader air transportation and logistics sector, which is critical for supporting global military operations. The market for specialized charter services, particularly those meeting stringent military requirements, is competitive but also requires significant investment in fleet readiness and compliance.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this specific contract award. Therefore, the direct impact on small businesses through set-asides is likely minimal. However, the prime contractor may engage small businesses as subcontractors for specific services or support functions, which would be detailed in subcontracting plans not included here.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the U.S. Transportation Command (USTRANSCOM) and potentially the Department of Defense's Inspector General. Mechanisms likely include regular performance reviews, audits, and compliance checks to ensure adherence to contract terms and service level agreements. Transparency is facilitated through contract award databases, though detailed operational performance data may be restricted due to national security considerations.

Related Government Programs

Military Airlift Command
Air Mobility Command Contracts
Commercial Airlift Services
National Defense Contracts
Transportation Readiness Contracts

Risk Flags

Competition Clause Requires Scrutiny
Lack of Detailed Performance Metrics
Potential for High Operational Costs

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $99.7 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 $99.7 million.

What is the period of performance?

Start: 2023-10-01. End: 2026-09-30.

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

Historical spending data for the Civil Reserve Air Fleet (CRAF) program, specifically for air transportation services under USTRANSCOM, reveals a consistent need for these capabilities. While the exact figures for prior contract periods are not provided here, the program's existence signifies ongoing investment in ensuring commercial airlift capacity for national defense. Spending typically fluctuates based on geopolitical events, readiness exercises, and the specific needs of military deployments. The current award of approximately $99.7 million over three years suggests a sustained level of commitment to maintaining this strategic asset. Analyzing past awards would provide context on the scale and frequency of such contracts, helping to determine if current spending aligns with historical trends or represents a significant increase or decrease.

How does the pricing of this Patriot Team contract compare to similar government air charter contracts?

Directly comparing the pricing of this $99.7 million Civil Reserve Air Fleet contract to other government air charter contracts is complex due to the specialized nature of military requirements and the firm-fixed-price structure. Contracts for routine passenger or cargo charters may have different pricing models and cost drivers. The Patriot Team contract likely includes provisions for readiness, rapid deployment, and specific security protocols that differentiate it from standard commercial charters. Benchmarking would ideally involve comparing per-flight-hour rates, per-mile rates, or availability fees against contracts with similar service level agreements, fleet types, and operational demands. Without detailed breakdowns of services rendered and specific performance metrics, a precise value-for-money assessment against market rates is challenging, but the competitive award process suggests an effort to secure fair pricing.

What are the key performance indicators (KPIs) used to evaluate the performance of Patriot Team under this contract?

The provided contract data does not explicitly list the Key Performance Indicators (KPIs) for the Patriot Team's performance under the Civil Reserve Air Fleet contract. However, typical KPIs for such critical air transportation services would likely include on-time performance for flights, aircraft availability rates, adherence to safety and security protocols, passenger and cargo handling efficiency, and response times for activation during emergencies. USTRANSCOM would monitor these metrics to ensure the contractor meets the stringent requirements of military airlift. Failure to meet these KPIs could result in penalties, reduced payments, or contract termination, underscoring the importance of robust performance management for national security operations.

What is the track record of Patriot Team as a contractor for the Department of Defense or other federal agencies?

Information regarding Patriot Team's specific track record as a contractor for the Department of Defense or other federal agencies is not detailed in the provided data. To assess their reliability and past performance, one would typically examine contract databases for previous awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of contract disputes or terminations. A strong track record with similar complex logistical or transportation contracts would indicate a lower risk for this new award. Conversely, any past performance issues would raise concerns about their ability to meet the demanding requirements of the Civil Reserve Air Fleet program.

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

Potential risks associated with this $99.7 million Civil Reserve Air Fleet contract include operational disruptions (e.g., aircraft maintenance issues, weather delays), geopolitical instability impacting flight routes, cybersecurity threats to communication and navigation systems, and potential cost overruns if the firm-fixed-price structure proves inadequate for unforeseen circumstances. Mitigation strategies likely involve robust contingency planning by Patriot Team, strict adherence to maintenance schedules, comprehensive security protocols mandated by the contract, and close monitoring by USTRANSCOM. The contract's structure and the competitive award process aim to mitigate risks by selecting a capable provider and establishing clear performance expectations and financial 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: 13

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: $99,674,778

Exercised Options: $99,674,778

Current Obligation: $99,674,778

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