Embry-Riddle Aeronautical University awarded $7.4M contract for aviation maintenance training by the Navy

Contract Overview

Contract Amount: $7,409,684 ($7.4M)

Contractor: Embry-Riddle Aeronautical University, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-11-29

End Date: 2026-07-31

Contract Duration: 1,340 days

Daily Burn Rate: $5.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BASE YEAR - AVIATION MAINT.

Place of Performance

Location: DAYTONA BEACH, VOLUSIA County, FLORIDA, 32114

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $7.4 million to EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC. for work described as: BASE YEAR - AVIATION MAINT. Key points: 1. Contract provides essential aviation maintenance training services. 2. Competition was robust, indicating potential for competitive pricing. 3. The fixed-price contract type helps mitigate cost overrun risks. 4. Training duration spans over three years, ensuring sustained support. 5. The contract is a delivery order under a larger indefinite-delivery contract. 6. Services are crucial for maintaining the Navy's aviation readiness.

Value Assessment

Rating: good

The contract value of $7.4 million for aviation maintenance training over approximately three years appears reasonable when benchmarked against similar educational and training services provided to the Department of Defense. The firm fixed-price structure suggests that the contractor, Embry-Riddle Aeronautical University, has committed to delivering the specified training at a set cost, which is generally favorable for the government. Without specific per-unit training costs or detailed scope of work comparisons, a precise value-for-money assessment is challenging, but the overall award size is within expected ranges for specialized technical training.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of 4 bids suggests a healthy level of competition for this aviation maintenance training requirement. A competitive bidding process generally leads to better price discovery and can result in more favorable terms for the government, as contractors vie to win the award.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for the government's investment in critical aviation maintenance training.

Public Impact

Naval personnel will receive specialized training in aviation maintenance. Enhanced maintenance capabilities will improve the operational readiness of naval aircraft. The training is expected to be delivered in Florida, supporting the local economy. A skilled aviation maintenance workforce is developed, benefiting the broader aerospace sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if training requirements evolve beyond the initial delivery order.
Reliance on a single academic institution for specialized training could limit future options.
Ensuring consistent quality of instruction across all training modules.

Positive Signals

Embry-Riddle's established reputation in aviation education provides a strong signal of quality.
Firm fixed-price contract limits financial risk for the government.
Full and open competition suggests a well-defined requirement and market interest.

Sector Analysis

The aviation maintenance training sector is a critical component of the broader aerospace and defense industry. Educational institutions like Embry-Riddle play a vital role in supplying the skilled workforce necessary to maintain complex aircraft. Spending in this area is driven by the need for continuous training and upskilling of personnel to keep pace with technological advancements in aviation. Comparable spending benchmarks would typically involve other contracts for technical training, pilot instruction, or specialized maintenance courses within the DoD.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses within the provided data. The award to a large university suggests that the primary focus was on specialized expertise rather than small business participation. Further analysis would be needed to determine if any subcontracting opportunities were mandated or voluntarily pursued by the prime contractor.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Navy's contracting and program management offices. As a delivery order under a larger contract, it likely adheres to established oversight mechanisms for task execution and performance monitoring. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Department of Defense Training and Education Programs
Naval Aviation Maintenance Training
Higher Education Support Contracts
Technical Skill Development Contracts

Risk Flags

Contract duration exceeds 3 years.
Firm Fixed Price contract type.
Awarded under Full and Open Competition.
Contractor is a well-established educational institution.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $7.4 million to EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC.. BASE YEAR - AVIATION MAINT.

Who is the contractor on this award?

The obligated recipient is EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, 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 $7.4 million.

What is the period of performance?

Start: 2022-11-29. End: 2026-07-31.

What is Embry-Riddle Aeronautical University's track record with the Department of Defense for similar training contracts?

Embry-Riddle Aeronautical University has a long-standing relationship with the Department of Defense, frequently securing contracts for aviation-related education and training. Their expertise in aerospace sciences makes them a go-to institution for military branches requiring specialized instruction. Historical data indicates numerous awards for pilot training, maintenance technician certification, and engineering support across the Air Force, Navy, and Army. These contracts often involve significant dollar values and span multiple years, reflecting the university's capacity to deliver complex training programs. The current contract for aviation maintenance training aligns with their established capabilities and past performance with the DoD, suggesting a low risk associated with contractor capability.

How does the $7.4 million contract value compare to similar aviation maintenance training contracts awarded by the Navy or other branches?

The $7.4 million contract value for aviation maintenance training, spanning approximately 3.3 years (November 2022 to July 2026), translates to an average annual value of roughly $2.24 million. Benchmarking this against similar contracts is challenging without access to a comprehensive database of all DoD training awards. However, considering the specialized nature of aviation maintenance and the reputation of Embry-Riddle, this figure appears to be within a reasonable range. Contracts for advanced technical training, especially in high-demand fields like aviation, can range from hundreds of thousands to several million dollars annually, depending on the scope, duration, and number of personnel trained. The firm fixed-price nature also suggests that the government has secured a defined cost for the services.

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

Primary risks for this contract include potential instructor availability issues, curriculum relevance in the face of rapidly evolving aviation technology, and ensuring consistent training quality across all participants. The mitigation strategies are embedded within the contract structure and the contractor's established processes. The firm fixed-price (FFP) nature of the contract shifts the risk of cost overruns to the contractor, incentivizing efficient delivery. Embry-Riddle's established curriculum development and quality assurance processes are expected to maintain relevance and quality. Furthermore, the contract's duration allows for periodic reviews and potential adjustments to the training program if needed, although the FFP structure limits significant scope changes without modification. The Navy's oversight will also play a role in monitoring performance and addressing any emerging issues.

How effective is this contract likely to be in enhancing the Navy's aviation maintenance capabilities?

This contract is likely to be highly effective in enhancing the Navy's aviation maintenance capabilities, given the specialized expertise of Embry-Riddle Aeronautical University and the critical nature of aviation maintenance. By providing structured, professional training, the contract aims to ensure that naval personnel possess the necessary skills and knowledge to maintain complex aircraft systems. This directly contributes to improved aircraft readiness, reduced downtime, and potentially fewer maintenance-related incidents. The duration of the contract suggests a commitment to sustained skill development, which is crucial in a field where technology and procedures are constantly advancing. The effectiveness will ultimately depend on the specific curriculum, the quality of instruction, and the Navy's ability to integrate the trained personnel into its maintenance workforce.

What are the historical spending patterns for aviation maintenance training by the Department of the Navy?

Historical spending patterns for aviation maintenance training by the Department of the Navy show a consistent and significant investment in developing and maintaining a highly skilled workforce. The Navy relies heavily on specialized training providers, both internal and external, to ensure its vast fleet of aircraft remains operational. Spending in this category typically fluctuates based on fleet size, modernization programs, introduction of new aircraft types, and overall defense budgets. Contracts for such training are often awarded through competitive processes, with established institutions like Embry-Riddle frequently appearing as recipients. The total annual expenditure can range widely, but it consistently represents a substantial portion of the Navy's training and readiness budget, reflecting the high cost and critical importance of maintaining advanced aviation assets.

Industry Classification

NAICS: Educational Services › Colleges, Universities, and Professional Schools › Colleges, Universities, and Professional Schools

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 AEROSPACE BLVD, DAYTONA BEACH, FL, 32114

Business Categories: Category Business, Corporate Entity Tax Exempt, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Private)

Financial Breakdown

Contract Ceiling: $10,902,434

Exercised Options: $10,902,434

Current Obligation: $7,409,684

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0018920DZ831

IDV Type: IDC

Timeline