Navy awards $16.8M contract to modernize Marine aircrew trainers, including relocation and logistics support

Contract Overview

Contract Amount: $16,829,814 ($16.8M)

Contractor: Cymstar LLC

Awarding Agency: Department of Defense

Start Date: 2024-09-19

End Date: 2027-09-06

Contract Duration: 1,082 days

Daily Burn Rate: $15.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: THE REQUIREMENT WILL MODERNIZE SEVEN MARINE COMMON AIRCREW TRAINER (MCAT) DEVICES (2H166A-3, 2H166A-5, 2H166B-1, 2H166A-1, 2H166A-6, 2H166A-2, AND 2H166A-4), RELOCATE DEVICE 2H166A-2 AND PROCURE THREE MONTHS OF CONTRACTOR LOGISTIC SUPPORT (CLS).

Place of Performance

Location: BROKEN ARROW, TULSA County, OKLAHOMA, 74012

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $16.8 million to CYMSTAR LLC for work described as: THE REQUIREMENT WILL MODERNIZE SEVEN MARINE COMMON AIRCREW TRAINER (MCAT) DEVICES (2H166A-3, 2H166A-5, 2H166B-1, 2H166A-1, 2H166A-6, 2H166A-2, AND 2H166A-4), RELOCATE DEVICE 2H166A-2 AND PROCURE THREE MONTHS OF CONTRACTOR LOGISTIC SUPPORT (CLS). Key points: 1. The contract focuses on modernizing existing training equipment, indicating a need to update aging systems for improved effectiveness. 2. A significant portion of the award covers contractor logistic support, highlighting the ongoing operational needs beyond initial modernization. 3. The firm-fixed-price structure suggests a defined scope and cost control, though potential for cost overruns exists if unforeseen issues arise. 4. The award is a delivery order against an existing contract, implying a pre-established relationship and procurement vehicle. 5. The modernization effort aims to enhance training capabilities for Marine aircrews, directly impacting operational readiness. 6. The relocation of a specific trainer device suggests a strategic reassessment of training infrastructure or operational requirements.

Value Assessment

Rating: good

The total award of $16.8 million for modernizing seven trainer devices and providing logistics support appears reasonable given the scope. Benchmarking against similar complex training system upgrades and long-term support contracts is necessary for a definitive value assessment. The firm-fixed-price nature provides cost certainty, but the duration of the contract (over three years) means potential for price escalation or unforeseen support needs should be monitored.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but this procurement method generally fosters competitive pricing and encourages innovation. The Navy's decision to use full and open competition suggests confidence in the market's ability to meet the requirement effectively and at a fair price.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down costs through market forces, ensuring the government receives the best value for its investment in critical training systems.

Public Impact

Marine Corps aircrews will benefit from modernized training devices, leading to enhanced skill development and operational readiness. The services delivered include the modernization of seven critical training systems and ongoing contractor logistic support. The geographic impact is primarily focused on the locations where these training devices are housed and operated, with a specific relocation of one unit. Workforce implications include the potential for skilled technicians and support staff required for the modernization and ongoing maintenance of the training equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if modernization requirements expand beyond the initial definition.
Reliance on contractor for critical logistic support could pose risks if performance falters.
Aging infrastructure for trainer devices might present unforeseen technical challenges during modernization.

Positive Signals

Modernization of training equipment directly supports enhanced pilot proficiency and safety.
Firm-fixed-price contract provides cost predictability for the government.
Full and open competition suggests a robust market response and potential for competitive pricing.

Sector Analysis

This contract falls within the broader aerospace and defense training sector, specifically focusing on simulation and training devices. The market for such specialized equipment and associated support services is competitive, with a mix of large defense contractors and niche providers. Spending in this area is crucial for maintaining pilot proficiency and readiness across various military branches, and contracts often involve long-term sustainment and upgrades.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions or subcontracting requirements for this contract. As a full and open competition, it's possible that small businesses could participate as prime contractors or subcontractors if they possess the necessary capabilities. However, without explicit set-aside goals, the direct impact on the small business ecosystem is not clearly defined.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Navy's contracting and program management offices. Accountability measures are embedded within the firm-fixed-price contract terms, requiring delivery of specified modernized equipment and ongoing support. Transparency is facilitated through contract award announcements and public contract databases, though detailed performance metrics may not be publicly available.

Related Government Programs

Marine Corps Aviation Training Systems
Aircrew Simulation and Training
Defense Contractor Logistics Support
Military Training Equipment Modernization

Risk Flags

Potential for schedule delays during modernization and relocation.
Risk of performance issues with contractor logistic support.
Dependency on contractor expertise for specialized equipment maintenance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.8 million to CYMSTAR LLC. THE REQUIREMENT WILL MODERNIZE SEVEN MARINE COMMON AIRCREW TRAINER (MCAT) DEVICES (2H166A-3, 2H166A-5, 2H166B-1, 2H166A-1, 2H166A-6, 2H166A-2, AND 2H166A-4), RELOCATE DEVICE 2H166A-2 AND PROCURE THREE MONTHS OF CONTRACTOR LOGISTIC SUPPORT (CLS).

Who is the contractor on this award?

The obligated recipient is CYMSTAR 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 $16.8 million.

What is the period of performance?

Start: 2024-09-19. End: 2027-09-06.

What is the historical spending pattern for Marine Common Aircrew Trainer (MCAT) devices and related support services?

Analyzing historical spending for MCAT devices and similar training systems reveals a consistent need for modernization and sustainment due to technological advancements and operational demands. The Department of the Navy and Marine Corps allocate significant budgets towards ensuring aircrew proficiency through advanced simulators. Past contracts often involve multi-year periods for upgrades, maintenance, and logistic support, with costs fluctuating based on the complexity of the systems, the number of devices, and the scope of services. Benchmarking this $16.8 million award against previous investments in comparable training platforms will provide context on whether current spending represents an increase, decrease, or stable trend in this acquisition category.

How does the cost of modernizing these seven MCAT devices compare to industry benchmarks for similar simulation technology upgrades?

To assess the value for money, the cost per device modernization needs to be benchmarked against industry standards. Modernizing complex simulation systems, especially those with high-fidelity requirements for aviation training, can range significantly. Factors influencing cost include the extent of hardware and software upgrades, integration with new systems, and the required level of realism. Without specific details on the scope of modernization (e.g., avionics upgrades, visual system enhancements, software updates), a precise comparison is difficult. However, if the $16.8 million covers modernization and three months of support for seven devices, it suggests an average of approximately $2.4 million per device for modernization and initial support. This figure should be compared to recent procurements of similar training simulators or upgrade contracts within the defense sector to determine if it aligns with market rates.

What are the key performance indicators (KPIs) used to measure the success of the contractor's logistic support (CLS) for the MCAT devices?

Effective Contractor Logistic Support (CLS) for critical training systems like the MCAT devices typically relies on a set of Key Performance Indicators (KPIs) designed to ensure system availability, reliability, and responsiveness. Common KPIs include Mean Time Between Failures (MTBF), Mean Time To Repair (MTTR), system uptime percentage, and response times for maintenance requests. For this contract, the Navy likely established specific targets for these metrics within the contract's Performance Work Statement (PWS). Success would be measured by the contractor consistently meeting or exceeding these targets, ensuring that the training devices are available for use by aircrews as scheduled, thereby minimizing disruptions to training pipelines and maintaining operational readiness.

What is the track record of CYMSTAR LLC in providing similar logistic support and modernization services for defense training systems?

CYMSTAR LLC has a history of providing contractor logistic support and technical services to various government agencies, including the Department of Defense. Their experience often encompasses maintenance, repair, overhaul, and sustainment of complex equipment. To evaluate their suitability for this specific contract, a review of their past performance on similar defense training system contracts would be beneficial. This includes examining past performance evaluations, any documented instances of contract disputes or performance issues, and their demonstrated ability to manage large-scale support operations. A strong track record in delivering timely and effective support for aviation simulators or other high-tech training platforms would indicate a lower risk for this award.

What are the potential risks associated with the relocation of MCAT device 2H166A-2, and how are they being mitigated?

Relocating complex and sensitive training equipment like the MCAT device 2H166A-2 presents several potential risks. These include damage during transit, recalibration challenges post-relocation, potential downtime impacting training schedules, and unforeseen costs associated with disassembly, transport, and reassembly. Mitigation strategies typically involve detailed planning, specialized moving equipment, experienced technical personnel for disassembly and reassembly, rigorous testing and calibration procedures upon arrival at the new location, and contingency plans for unexpected delays or issues. The contract's scope likely includes provisions for the safe and successful relocation, with the contractor responsible for managing these risks and ensuring the device is fully operational post-move.

Industry Classification

NAICS: Manufacturing › Commercial and Service Industry Machinery Manufacturing › Other Commercial and Service Industry Machinery Manufacturing

Product/Service Code: TRAINING AIDS AND DEVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6134024R0007

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: HZE

Contractor Details

Address: 1700 W ALBANY ST STE 500, BROKEN ARROW, OK, 74012

Business Categories: Category Business, HUBZone Firm, Limited Liability Corporation, Manufacturer of Goods, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $16,829,814

Exercised Options: $16,829,814

Current Obligation: $16,829,814

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6134018D5006

IDV Type: IDC

Timeline