DoD's $111M Contract for CONUS Schools Aviation and Ground Services Awarded to Vinnell Arabia, LLC
Contract Overview
Contract Amount: $11,102,306 ($11.1M)
Contractor: Vinnell Arabia, LLC
Awarding Agency: Department of Defense
Start Date: 2023-07-01
End Date: 2024-12-31
Contract Duration: 549 days
Daily Burn Rate: $20.2K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: CONUS SCHOOLS - AVIATION AND GROUND
Plain-Language Summary
Department of Defense obligated $11.1 million to VINNELL ARABIA, LLC for work described as: CONUS SCHOOLS - AVIATION AND GROUND Key points: 1. The contract value is substantial at $111,023,060. 2. Competition is limited, with the contract type noted as 'NOT AVAILABLE FOR COMPETITION'. 3. Potential risks include lack of competitive pricing and reliance on a single source. 4. The sector appears to be administrative services within the defense industry.
Value Assessment
Rating: questionable
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed tightly. Without competitive bidding, it's difficult to assess if the fixed fee represents fair value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract is explicitly stated as 'NOT AVAILABLE FOR COMPETITION', indicating a sole-source or limited competition scenario. This significantly impacts price discovery, as there is no market pressure to drive down costs.
Taxpayer Impact: The lack of competition raises concerns about taxpayer value, as the government may be paying a premium for these services.
Public Impact
Impacts educational support services for CONUS schools. Potential for increased costs to taxpayers due to limited competition. Ensures continuity of aviation and ground services for military educational facilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of Competition
- Cost-Plus Contract Type
- Limited Transparency
Positive Signals
- Essential Service Provision
- Defined Contract Duration
Sector Analysis
This contract falls under administrative services, specifically supporting educational facilities within CONUS. Benchmarks for similar contracts are difficult to ascertain due to the limited competition noted.
Small Business Impact
The data indicates that small business participation is not a factor in this award (ss: false, sb: false).
Oversight & Accountability
Oversight will be crucial to ensure Vinnell Arabia, LLC meets the terms of the Cost Plus Fixed Fee contract and that costs remain within reasonable bounds, especially given the lack of competition.
Related Government Programs
- Office Administrative Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for inflated costs due to lack of competition.
- Risk of contractor not performing optimally without competitive pressure.
- Limited transparency in cost breakdown for a CPFF contract.
- Dependency on a single contractor for critical services.
Tags
office-administrative-services, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.1 million to VINNELL ARABIA, LLC. CONUS SCHOOLS - AVIATION AND GROUND
Who is the contractor on this award?
The obligated recipient is VINNELL ARABIA, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $11.1 million.
What is the period of performance?
Start: 2023-07-01. End: 2024-12-31.
What specific aviation and ground services are included in this contract, and how were they defined to justify limited competition?
The contract details 'CONUS SCHOOLS - AVIATION AND GROUND' services. Without further clarification on the specific nature of these services, it's challenging to definitively assess why they were deemed unavailable for full and open competition. Typically, justifications for limited competition involve unique capabilities, urgent needs, or specific security requirements that only one vendor can meet.
What is the projected total cost and profit margin for Vinnell Arabia, LLC under this Cost Plus Fixed Fee contract?
As a Cost Plus Fixed Fee (CPFF) contract, the government reimburses the contractor for allowable costs plus a predetermined fixed fee representing profit. While the total contract value is $111M, the exact breakdown between costs and the fixed fee is not provided. Effective oversight is needed to ensure the 'costs' are reasonable and the 'fixed fee' is fair, preventing excessive profit.
How will the Department of the Army ensure effective service delivery and cost control without competitive pressure?
The Department of the Army must implement robust contract management and oversight. This includes detailed performance metrics, regular progress reviews, and strict auditing of contractor expenses to ensure compliance with the contract terms. Proactive communication and clear performance expectations are vital to mitigate risks associated with a non-competitive award.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Office Administrative Services › Office Administrative Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W519TC23R2050
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 8884 KING KHALID INT'L AIPORT UNIT NO. 47, RIYADH
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $11,102,306
Exercised Options: $11,102,306
Current Obligation: $11,102,306
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-07-01
Current End Date: 2024-12-31
Potential End Date: 2024-12-31 00:00:00
Last Modified: 2025-09-02
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