DoD's $122M Marine Charter Contract Awarded to Evergreen Helicopters for 1032 Days

Contract Overview

Contract Amount: $31,157,125 ($31.2M)

Contractor: Erickson Helicopters, Inc.

Awarding Agency: Department of Defense

Start Date: 2004-12-02

End Date: 2007-09-30

Contract Duration: 1,032 days

Daily Burn Rate: $30.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200503!045372!1700!N00033!MILITARY SEALIFT COMMAND !N0003304C1000 !A!N! !N! !P00005!20041202!20050930!122379696!027676006!097009625!N!EVERGREEN HELICOPTERS OF ALASK!1936 MERRILL FIELD DR !ANCHORAGE !AK!99501!03000!020!02!ANCHORAGE !ANCHORAGE !ALASKA !+000005456500!N!N!000000000000!V124!MARINE CHARTER FOR THINGS !S1 !SERVICES !000 !* !488390!E! !3! ! !C! ! !20200930!B! ! !A! !A!U!J!2!002!B! !C!N!Z! ! !N!C!N! ! ! !A!D!A!A!000!A!C!N! ! ! ! !1700!N00033!0001! !

Place of Performance

Location: MCMINNVILLE, YAMHILL County, OREGON, 97128

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $31.2 million to ERICKSON HELICOPTERS, INC. for work described as: 200503!045372!1700!N00033!MILITARY SEALIFT COMMAND !N0003304C1000 !A!N! !N! !P00005!20041202!20050930!122379696!027676006!097009625!N!EVERGREEN HELICOPTERS OF ALASK!1936 MERRILL FIELD DR !ANCHORAGE !AK!99501!03000!020!02!ANCHORAGE !ANCH… Key points: 1. The contract value is $122,379,696, awarded for a duration of 1032 days. 2. Competition was full and open, indicating a competitive bidding process. 3. The contract is for marine charter services, falling under 'Other Support Activities for Water Transportation'. 4. The award was made by the Department of the Navy, part of the Department of Defense.

Value Assessment

Rating: good

The contract value of $122,379,696 for 1032 days suggests a daily rate of approximately $118,536. This appears reasonable for specialized marine charter services, especially considering the potential operational costs and risks involved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically leads to more competitive pricing as multiple vendors are encouraged to bid. This process aims to ensure the government receives the best value for its expenditure.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down costs through market forces, ensuring efficient use of public funds.

Public Impact

Ensures critical marine transportation services for military operations. Supports the operational readiness of naval assets. Provides employment opportunities within the aviation and maritime sectors. Contributes to the economic activity in Alaska where the vendor is located.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if operational demands exceed initial projections.
Dependence on a single vendor for critical services could pose a risk if performance issues arise.

Positive Signals

Awarded through full and open competition, suggesting fair pricing.
Long-term contract provides stability for service provision.
Supports a specific niche in maritime logistics.

Sector Analysis

This contract falls within the 'Other Support Activities for Water Transportation' sector, which is a niche area. Benchmarking against similar contracts can be challenging due to the specialized nature of marine charter services, but the value appears substantial for the duration.

Small Business Impact

While the contract was awarded to Evergreen Helicopters of Alaska, the data does not explicitly indicate if this is a small business. Further analysis would be needed to determine the impact on small businesses in this sector.

Oversight & Accountability

The Department of the Navy's oversight is crucial to ensure Evergreen Helicopters meets the terms of the contract, including service quality, safety standards, and timely delivery of marine charter services.

Related Government Programs

Other Support Activities for Water Transportation
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Potential for service disruptions due to the specialized nature of the service.
Dependence on a single contractor for critical logistical support.
Risk of cost escalation if fuel prices or operational demands increase significantly.
Ensuring consistent quality and safety standards over the contract duration.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.2 million to ERICKSON HELICOPTERS, INC.. 200503!045372!1700!N00033!MILITARY SEALIFT COMMAND !N0003304C1000 !A!N! !N! !P00005!20041202!20050930!122379696!027676006!097009625!N!EVERGREEN HELICOPTERS OF ALASK!1936 MERRILL FIELD DR !ANCHORAGE !AK!99501!03000!020!02!ANCHORAGE !ANCHORAGE !ALASKA !+000005456500!N!N!000000000000!V124!MARINE CHARTER FOR THINGS !S1 !SERVICES !000 !* !488390!E! !3! ! !C! ! !202

Who is the contractor on this award?

The obligated recipient is ERICKSON HELICOPTERS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $31.2 million.

What is the period of performance?

Start: 2004-12-02. End: 2007-09-30.

What specific types of 'marine charter' services are included in this contract, and how do they directly support military operations?

The contract specifies 'MARINE CHARTER FOR THINGS,' implying the transportation of goods, equipment, or personnel via chartered vessels or aircraft. These services are vital for logistical support, enabling the movement of resources to operational areas, maintaining supply chains, and facilitating personnel deployment, thereby ensuring the readiness and effectiveness of naval and other military units.

What are the key performance indicators (KPIs) for this contract, and how is Evergreen Helicopters' performance being measured?

While specific KPIs are not detailed in the provided data, typical performance metrics for marine charter services include on-time delivery, cargo integrity, vessel/aircraft availability, safety compliance, and adherence to operational schedules. The Department of the Navy would likely have established reporting requirements and inspection protocols to monitor these aspects throughout the contract's duration.

Are there any contingency plans or alternative providers identified in case of Evergreen Helicopters' failure to perform or unforeseen disruptions?

The data does not explicitly mention contingency plans or alternative providers. However, standard government contracting practices often include clauses for default, termination for convenience, and potentially options for re-competition or utilizing other contract vehicles if a primary contractor fails to meet obligations or if circumstances change significantly.

Industry Classification

NAICS: Transportation and Warehousing › Support Activities for Water Transportation › Other Support Activities for Water Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Evergreen Holdings, Inc (UEI: 097009625)

Address: 3850 THREE MILE LN, MCMINNVILLE, OR, 06

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline