DoD Awards $37M for Core Labor Support to Arrows Edge LLC
Contract Overview
Contract Amount: $37,097,560 ($37.1M)
Contractor: Arrows Edge LLC
Awarding Agency: Department of Defense
Start Date: 2024-08-01
End Date: 2025-07-31
Contract Duration: 364 days
Daily Burn Rate: $101.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: PROVIDE FUNDING FOR CORE LABOR
Place of Performance
Location: SOLOMONS, CALVERT County, MARYLAND, 20688
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $37.1 million to ARROWS EDGE LLC for work described as: PROVIDE FUNDING FOR CORE LABOR Key points: 1. Contract value of $37.1M for core labor support. 2. Arrows Edge LLC awarded the contract. 3. Department of the Navy is the contracting agency. 4. Contract duration is 364 days. 5. PSC code is not specified, indicating potential data gap.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The fixed fee component provides some cost control, but the overall value needs to be benchmarked against similar labor support contracts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', suggesting a limited competition. This method may not have resulted in the most competitive pricing possible.
Taxpayer Impact: The limited competition raises questions about whether taxpayers received the best possible value for this $37.1M award.
Public Impact
Essential core labor support for the Department of the Navy. Potential for cost efficiencies through competitive bidding. Impact on readiness and operational capabilities of naval forces.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may have inflated costs.
- Cost Plus Fixed Fee contract type carries inherent cost risk.
- Lack of specific PSC code hinders detailed analysis.
Positive Signals
- Contract provides essential labor support.
- Fixed fee element offers some cost predictability.
Sector Analysis
This contract falls under 'Other Support Activities for Air Transportation' (ND code). While the specific sector is not explicitly IT, Defense, or Healthcare, it supports critical defense operations. Benchmarking against similar support service contracts within the DoD is crucial for assessing value.
Small Business Impact
The data indicates the awardee is 'ARROWS EDGE LLC'. Further analysis is needed to determine if this is a small business and if the contract contributed to small business utilization goals.
Oversight & Accountability
The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method suggests a specific justification was required. Oversight should focus on the rationale for excluding other sources and ensuring fair pricing was achieved.
Related Government Programs
- Other Support Activities for Air Transportation
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Limited competition may lead to higher prices.
- Cost Plus Fixed Fee structure carries inherent cost risk.
- Lack of detailed PSC code hinders benchmarking.
- Need to verify small business status of awardee.
Tags
other-support-activities-for-air-transpo, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $37.1 million to ARROWS EDGE LLC. PROVIDE FUNDING FOR CORE LABOR
Who is the contractor on this award?
The obligated recipient is ARROWS EDGE 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 $37.1 million.
What is the period of performance?
Start: 2024-08-01. End: 2025-07-31.
What was the specific justification for excluding other sources in this limited competition?
The justification for excluding other sources would typically be documented in the contract file. Common reasons include specific technical capabilities, urgent needs, or prior performance. Without access to the full contract documentation, the precise reason remains unknown, but it implies that only one or a limited number of sources were deemed capable of meeting the requirement.
How does the Cost Plus Fixed Fee structure impact the risk of cost overruns for this contract?
Cost Plus Fixed Fee (CPFF) contracts share risk between the government and the contractor. The government bears the risk of cost overruns beyond the estimated cost, while the contractor is incentivized to control costs to maximize their fixed fee. However, if the initial cost estimate is inaccurate or scope creep occurs, significant cost overruns are still possible, requiring diligent government oversight.
What is the expected impact of this core labor support on the operational effectiveness of the Department of the Navy?
Core labor support is vital for maintaining the operational readiness and efficiency of naval forces. This contract likely provides personnel essential for functions such as maintenance, logistics, or administrative tasks that directly enable the Navy's mission. The effectiveness of this support hinges on the quality of personnel provided by Arrows Edge LLC and the seamless integration of their services.
Industry Classification
NAICS: Transportation and Warehousing › Support Activities for Air Transportation › Other Support Activities for Air Transportation
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N6852022R0029
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 620 DISCOVERY DR NW, HUNTSVILLE, AL, 35806
Business Categories: American Indian Owned Business, Category Business, Joint Venture Economically Disadvantaged Women Owned Small Business, Joint Venture Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $37,097,560
Exercised Options: $37,097,560
Current Obligation: $37,097,560
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N6852023D0012
IDV Type: IDC
Timeline
Start Date: 2024-08-01
Current End Date: 2025-07-31
Potential End Date: 2025-07-31 00:00:00
Last Modified: 2025-12-04
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