DoD Awards $12.4M for Heavy Lift Services to Action Logistics Company

Contract Overview

Contract Amount: $12,412,351 ($12.4M)

Contractor: Action Logistics Company

Awarding Agency: Department of Defense

Start Date: 2023-06-30

End Date: 2024-05-31

Contract Duration: 336 days

Daily Burn Rate: $36.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: HEAVY LIFT 9 (HL9) PROVIDES HEAVY LIFT, LINE HAUL, AND PERSONNEL TRANSPORTATION SERVICES THROUGHOUT CENTCOM AOR IN SUPPORT OF 1ST SUSTAINMENT COMMAND (THEATER) AND ARCENT.

Plain-Language Summary

Department of Defense obligated $12.4 million to ACTION LOGISTICS COMPANY for work described as: HEAVY LIFT 9 (HL9) PROVIDES HEAVY LIFT, LINE HAUL, AND PERSONNEL TRANSPORTATION SERVICES THROUGHOUT CENTCOM AOR IN SUPPORT OF 1ST SUSTAINMENT COMMAND (THEATER) AND ARCENT. Key points: 1. Contract awarded to Action Logistics Company for essential transportation services in CENTCOM AOR. 2. Services include heavy lift, line haul, and personnel transport, critical for military operations. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract duration is 336 days, ending May 31, 2024.

Value Assessment

Rating: good

The contract value of $12.4M for 336 days of specialized freight trucking appears reasonable given the operational scope and geographic area (CENTCOM AOR). Benchmarking against similar long-distance, specialized freight contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: Taxpayer funds are being used for essential logistical support in a critical operational theater, ensuring mission readiness.

Public Impact

Ensures critical supply chain and personnel movement in the CENTCOM Area of Responsibility. Supports the 1st Sustainment Command (Theater) and ARCENT operations. Provides vital transportation infrastructure for military readiness and effectiveness. The contract's success directly impacts the efficiency of deployed forces.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Geographic concentration in CENTCOM AOR may present logistical challenges.
  • Reliance on a single awardee for critical services.
  • Potential for unforeseen operational demands impacting cost or timeline.

Positive Signals

  • Full and open competition utilized.
  • Clear definition of services provided.
  • Supports critical military sustainment operations.

Sector Analysis

The transportation and logistics sector is vital for military operations, especially in complex environments like the CENTCOM AOR. Spending benchmarks for similar long-distance, specialized freight trucking services are essential for evaluating cost-effectiveness.

Small Business Impact

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

Oversight & Accountability

Oversight of this contract would involve monitoring performance, delivery schedules, and adherence to terms by the Department of the Army to ensure effective service delivery and responsible use of funds.

Related Government Programs

  • Specialized Freight (except Used Goods) Trucking, Long-Distance
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Geopolitical instability in CENTCOM AOR.
  • Potential for fuel price volatility impacting line haul costs.
  • Dependence on specific transportation infrastructure within the AOR.
  • Risk of equipment failure or maintenance issues impacting service delivery.
  • Personnel safety and security risks for transport crews.

Tags

specialized-freight-except-used-goods-tr, department-of-defense, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.4 million to ACTION LOGISTICS COMPANY. HEAVY LIFT 9 (HL9) PROVIDES HEAVY LIFT, LINE HAUL, AND PERSONNEL TRANSPORTATION SERVICES THROUGHOUT CENTCOM AOR IN SUPPORT OF 1ST SUSTAINMENT COMMAND (THEATER) AND ARCENT.

Who is the contractor on this award?

The obligated recipient is ACTION LOGISTICS COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $12.4 million.

What is the period of performance?

Start: 2023-06-30. End: 2024-05-31.

What is the cost per mile or per ton-mile for these heavy lift services?

The provided data does not include specific cost breakdowns such as cost per mile or per ton-mile. To assess the value more precisely, this granular cost information would be necessary. Without it, the evaluation relies on the overall contract value against the scope of services and duration.

What are the key performance indicators (KPIs) for this contract and how is performance being measured?

The provided data does not specify the Key Performance Indicators (KPIs) or the methods used for performance measurement. Effective oversight requires clearly defined KPIs related to on-time delivery, cargo condition, personnel transport safety, and operational availability to ensure the contractor meets contractual obligations.

Are there any surge capabilities or contingency plans in place if demand exceeds the contracted capacity?

The contract details do not explicitly mention surge capabilities or contingency plans for exceeding contracted capacity. Given the operational environment, it would be prudent to understand if the contract allows for modifications or if separate agreements are anticipated for increased demand to ensure mission continuity.

Industry Classification

NAICS: Transportation and WarehousingSpecialized Freight TruckingSpecialized Freight (except Used Goods) Trucking, Long-Distance

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: BLOCK 4, MANSOUR SAAD ALBANAQ STR PLOT 9334, JAHRA

Business Categories: Category Business, Foreign Owned, International Organization, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $12,412,351

Exercised Options: $12,412,351

Current Obligation: $12,412,351

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W519TC23D0033

IDV Type: IDC

Timeline

Start Date: 2023-06-30

Current End Date: 2024-05-31

Potential End Date: 2024-05-31 12:05:00

Last Modified: 2025-09-24

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