DoD Awards $25.4M for V-22 Training Systems Support to Island Creek Associates

Contract Overview

Contract Amount: $25,370,076 ($25.4M)

Contractor: Island Creek Associates, LLC

Awarding Agency: Department of Defense

Start Date: 2017-09-14

End Date: 2024-07-31

Contract Duration: 2,512 days

Daily Burn Rate: $10.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGF::OT::IGF TRAINING SUPPORT SERVICES FOR JOINT PROGRAM OFFICE TRAINING INTEGRATED PRODUCT TEAM V-22 TRAINING SYSTEMS.

Place of Performance

Location: PATUXENT RIVER, SAINT MARYS County, MARYLAND, 20670

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $25.4 million to ISLAND CREEK ASSOCIATES, LLC for work described as: IGF::OT::IGF TRAINING SUPPORT SERVICES FOR JOINT PROGRAM OFFICE TRAINING INTEGRATED PRODUCT TEAM V-22 TRAINING SYSTEMS. Key points: 1. Contract awarded to Island Creek Associates, LLC for V-22 training systems support. 2. The contract has a total value of $25.4 million and runs until July 2024. 3. Competition method was 'FULL AND OPEN COMPETITION', suggesting a competitive bidding process. 4. The sector is Engineering Services, with a North American Industry Classification System (NAICS) code of 541330.

Value Assessment

Rating: good

The contract's Cost Plus Fixed Fee (CPFF) pricing structure is common for complex engineering services. Benchmarking against similar DoD contracts for specialized training support would be necessary for a precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds are being utilized efficiently through a market-driven price discovery process.

Public Impact

Ensures continued training for V-22 Osprey aircrews, critical for national defense readiness. Supports specialized engineering services, contributing to the technological advancement of military training. Island Creek Associates, LLC, a small business, is a recipient of this significant federal contract. The contract duration extends over several years, providing stability for both the contractor and the government's training needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns with CPFF contract type if not closely monitored.
Dependence on a single contractor for critical training support services.
Long contract duration could lead to price escalation if not managed proactively.

Positive Signals

Awarded through full and open competition, indicating a competitive process.
Supports a critical defense platform (V-22 Osprey).
Contractor is a small business, aligning with federal small business goals.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting defense training systems. Spending benchmarks for similar specialized engineering support contracts within the Department of Defense can vary widely based on complexity and duration.

Small Business Impact

Island Creek Associates, LLC is listed as a small business. Awarding contracts to small businesses is a key federal objective, promoting economic growth and competition within the defense industrial base.

Oversight & Accountability

The contract's oversight would typically involve the Department of the Navy's contracting officers and program managers to ensure performance, cost control, and adherence to contract terms. Regular performance reviews and audits are standard oversight mechanisms.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Cost control risks associated with CPFF contract type.
Potential for contractor performance issues impacting training readiness.
Long-term reliance on a single provider for critical support.
Need for robust government oversight to manage scope and costs effectively.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.4 million to ISLAND CREEK ASSOCIATES, LLC. IGF::OT::IGF TRAINING SUPPORT SERVICES FOR JOINT PROGRAM OFFICE TRAINING INTEGRATED PRODUCT TEAM V-22 TRAINING SYSTEMS.

Who is the contractor on this award?

The obligated recipient is ISLAND CREEK ASSOCIATES, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.4 million.

What is the period of performance?

Start: 2017-09-14. End: 2024-07-31.

What is the specific breakdown of costs within the Cost Plus Fixed Fee structure, and how are indirect costs managed?

The Cost Plus Fixed Fee (CPFF) structure involves the government reimbursing the contractor for allowable costs plus a predetermined fixed fee. Effective oversight requires detailed review of incurred costs, including direct labor, materials, and overhead, to ensure they are reasonable and allocable to the contract. The fixed fee provides the contractor with an incentive to control costs, as it does not increase with actual expenses.

How does the government ensure the quality and effectiveness of the training support services provided by Island Creek Associates?

Quality and effectiveness are typically ensured through performance metrics outlined in the contract's Performance Work Statement (PWS). The Department of the Navy would monitor key performance indicators (KPIs) related to training delivery, system maintenance, and support responsiveness. Regular progress meetings, user feedback, and potential site visits would also contribute to ongoing assessment and assurance of service quality.

What are the long-term implications of this contract for V-22 training capabilities and potential future requirements?

This contract ensures continuity of essential V-22 training support services through July 2024. Its successful execution could inform future requirements for training system sustainment and upgrades. The government may consider options for extending or re-competing the contract based on evolving V-22 operational needs and technological advancements in training simulation and support.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0042117R3101

Offers Received: 8

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3805 LLOYD BOWEN RD, SAINT LEONARD, MD, 20685

Business Categories: 8(a) Program Participant, Category Business, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $25,609,332

Exercised Options: $25,573,010

Current Obligation: $25,370,076

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017810D6120

IDV Type: IDC

Timeline