DoD Awards $19.8M for Air Transportation Support to Arrows Edge LLC

Contract Overview

Contract Amount: $19,800,000 ($19.8M)

Contractor: Arrows Edge LLC

Awarding Agency: Department of Defense

Start Date: 2025-08-01

End Date: 2026-01-30

Contract Duration: 182 days

Daily Burn Rate: $108.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: CORE LABOR, MATERIAL AND TRAVEL FUNDING

Place of Performance

Location: SOLOMONS, CALVERT County, MARYLAND, 20688

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $19.8 million to ARROWS EDGE LLC for work described as: CORE LABOR, MATERIAL AND TRAVEL FUNDING Key points: 1. Contract awarded for "Other Support Activities for Air Transportation" to Arrows Edge LLC. 2. The contract has a duration of 182 days, ending January 30, 2026. 3. Awarded under "Full and Open Competition After Exclusion of Sources," indicating a specific justification for limited competition. 4. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully.

Value Assessment

Rating: fair

The contract value of $19.8 million for 182 days of support is substantial. Benchmarking against similar contracts for specialized air transportation support is difficult without more detailed scope information. The Cost Plus Fixed Fee structure requires close monitoring to ensure value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The award was made under "Full and Open Competition After Exclusion of Sources." This suggests that while competition was sought, specific circumstances led to excluding certain potential sources. The impact on price discovery is likely negative, as a smaller pool of bidders may result in less competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for this contract. The specific justification for excluding sources and the resulting price will determine the ultimate taxpayer impact.

Public Impact

Ensures continued operational support for air transportation activities within the Department of the Navy. Potential for increased costs due to the Cost Plus Fixed Fee contract type. Limited competition may mean taxpayers are not receiving the most cost-effective solution. The specific nature of "Other Support Activities" is not detailed, impacting public understanding of the spending.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type
Limited competition justification
Short contract duration may indicate a stop-gap measure or specialized need

Positive Signals

Awarded to a specific company, indicating a known entity for the service
Clear end date for the contract

Sector Analysis

The "Other Support Activities for Air Transportation" category falls under general government services, potentially related to logistics or operational support. Benchmarks for this specific niche are hard to establish without more context on the services provided.

Small Business Impact

The data does not indicate if small businesses were involved in this specific award, either as prime contractors or subcontractors. Further investigation would be needed to assess small business participation.

Oversight & Accountability

The "Full and Open Competition After Exclusion of Sources" clause warrants scrutiny to ensure the exclusion was justified and properly documented. Oversight of the Cost Plus Fixed Fee structure is critical to prevent cost overruns.

Related Government Programs

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

Risk Flags

Limited competition
Cost Plus Fixed Fee contract type
Lack of detailed service description
Potential for cost overruns

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.8 million to ARROWS EDGE LLC. CORE LABOR, MATERIAL AND TRAVEL FUNDING

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 $19.8 million.

What is the period of performance?

Start: 2025-08-01. End: 2026-01-30.

What specific services are included under "Other Support Activities for Air Transportation" and how do they align with the Department of the Navy's mission requirements?

The specific services are not detailed in the provided data. However, "Other Support Activities for Air Transportation" typically encompasses a range of services essential for the efficient operation of air facilities and aircraft. This could include maintenance, ground support, logistics, air traffic control assistance, or specialized technical support. Understanding these specifics is crucial for assessing the necessity and value of the $19.8 million expenditure.

What was the justification for excluding other sources during the "Full and Open Competition" process, and what was the competitive landscape like?

The justification for excluding other sources is critical for understanding the procurement's integrity and potential impact on pricing. If the exclusion was based on unique capabilities or proprietary technology, it might be warranted. However, if it limited the bidder pool unnecessarily, it could have led to a higher price for taxpayers. The competitive landscape prior to exclusion needs to be assessed to determine if adequate price discovery occurred.

How does the Cost Plus Fixed Fee structure for this contract ensure cost control and value for money, given the $19.8 million award?

The Cost Plus Fixed Fee (CPFF) structure allows the contractor to recover all allowable costs plus a predetermined fixed fee. While it incentivizes the contractor to complete the work, it places a significant burden on the government to meticulously audit costs. Effective oversight and robust cost accounting standards are essential to prevent cost overruns and ensure that the fixed fee represents fair compensation for the effort, thereby safeguarding taxpayer funds.

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: $19,800,000

Exercised Options: $19,800,000

Current Obligation: $19,800,000

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