DoD Awards $27.2M for V-22 Osprey Support, Engineering Services Contract
Contract Overview
Contract Amount: $27,237,763 ($27.2M)
Contractor: Sabre-Dcs-I3 Joint Venture
Awarding Agency: Department of Defense
Start Date: 2018-12-20
End Date: 2022-12-31
Contract Duration: 1,472 days
Daily Burn Rate: $18.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: V-22 OSPREY LIFE CYCLE PRODUCT SUPPORT SERVICES
Place of Performance
Location: WARRINGTON, BUCKS County, PENNSYLVANIA, 18976
Plain-Language Summary
Department of Defense obligated $27.2 million to SABRE-DCS-I3 JOINT VENTURE for work described as: V-22 OSPREY LIFE CYCLE PRODUCT SUPPORT SERVICES Key points: 1. Contract awarded to SABRE-DCS-I3 JOINT VENTURE for life cycle product support. 2. Significant funding allocated for engineering services related to the V-22 Osprey program. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract spans nearly four years, indicating a substantial support requirement.
Value Assessment
Rating: good
The contract value of $27.2M for a 4-year period appears reasonable for specialized aircraft life cycle support. Benchmarking against similar complex aerospace engineering contracts would provide further context.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition is a positive indicator for price discovery. This method allows multiple qualified vendors to bid, potentially driving down costs and ensuring fair market value.
Taxpayer Impact: The competitive nature of this award suggests that taxpayers are likely receiving a fair price for the essential support services provided to the V-22 Osprey fleet.
Public Impact
Ensures continued operational readiness of the V-22 Osprey fleet. Supports critical engineering and maintenance functions for a key military asset. Contributes to the long-term viability and effectiveness of the V-22 program.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in Cost Plus Fixed Fee contracts.
- Dependence on a single contractor for critical support services.
Positive Signals
- Full and open competition utilized.
- Clear contract duration and scope.
- Awarded by Department of the Army, indicating strategic importance.
Sector Analysis
This contract falls within the Engineering Services sector, specifically supporting aerospace and defense. Spending benchmarks for similar life cycle product support services for major aircraft platforms can vary widely based on complexity and duration.
Small Business Impact
The data does not indicate if small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation in this contract.
Oversight & Accountability
The Department of Defense's procurement process, including the use of full and open competition, provides a framework for oversight. However, ongoing monitoring of performance and costs under the Cost Plus Fixed Fee structure is crucial.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Cost Plus Fixed Fee contract type.
- Long contract duration.
- Specialized nature of V-22 Osprey support.
- Potential for scope creep.
Tags
engineering-services, department-of-defense, pa, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $27.2 million to SABRE-DCS-I3 JOINT VENTURE. V-22 OSPREY LIFE CYCLE PRODUCT SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is SABRE-DCS-I3 JOINT VENTURE.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $27.2 million.
What is the period of performance?
Start: 2018-12-20. End: 2022-12-31.
What is the specific breakdown of services included in the "life cycle product support" for the V-22 Osprey?
The "life cycle product support services" likely encompass a range of activities critical to maintaining the V-22 Osprey's operational readiness. This typically includes engineering support, maintenance, repair, overhaul, logistics, and technical data management. The specific details would be outlined in the contract's Statement of Work (SOW), detailing the exact deliverables and performance standards expected from SABRE-DCS-I3 JOINT VENTURE.
What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for complex defense systems like the V-22 Osprey?
The primary risk with CPFF contracts is the potential for cost overruns, as the contractor is reimbursed for allowable costs plus a fixed fee. While the fixed fee incentivizes efficiency, there's less direct pressure on the contractor to minimize costs compared to fixed-price contracts. For complex systems, unforeseen technical challenges can significantly increase costs, potentially impacting the overall budget and requiring close government oversight to manage.
How does the engineering services provided impact the long-term effectiveness and safety of the V-22 Osprey fleet?
The engineering services are crucial for ensuring the V-22 Osprey fleet remains safe, reliable, and effective throughout its operational life. These services address design improvements, maintenance procedures, troubleshooting complex issues, and implementing upgrades. High-quality engineering support directly contributes to mitigating operational risks, enhancing mission capabilities, and extending the service life of these vital aircraft.
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
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 125 COUNTY LINE RD STE 180, WARMINSTER, PA, 18974
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $27,237,763
Exercised Options: $27,237,763
Current Obligation: $27,237,763
Actual Outlays: $2,249,867
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NOT OBTAINED - WAIVED
Parent Contract
Parent Award PIID: N0042117D0009
IDV Type: IDC
Timeline
Start Date: 2018-12-20
Current End Date: 2022-12-31
Potential End Date: 2022-12-31 00:00:00
Last Modified: 2022-08-09
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