DoD Awards $18.9M for VIP Black Hawk Helicopter Modifications to Sabreliner Aviation LLC
Contract Overview
Contract Amount: $18,899,592 ($18.9M)
Contractor: Sabreliner Aviation LLC
Awarding Agency: Department of Defense
Start Date: 2011-03-24
End Date: 2014-07-31
Contract Duration: 1,225 days
Daily Burn Rate: $15.4K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: VERY IMPORTANT PERSON (VIP) INTERIOR MODIFICATION OF TWO UH-60M BLACK HAWK HELICOPTERS.
Place of Performance
Location: SAINT LOUIS, ST. LOUIS County, MISSOURI, 63105
State: Missouri Government Spending
Plain-Language Summary
Department of Defense obligated $18.9 million to SABRELINER AVIATION LLC for work described as: VERY IMPORTANT PERSON (VIP) INTERIOR MODIFICATION OF TWO UH-60M BLACK HAWK HELICOPTERS. Key points: 1. High-value contract for specialized aircraft modification. 2. Sole-source award limits competitive pricing. 3. Potential risk in single-vendor reliance for critical modifications. 4. Sector: Defense - Aircraft Manufacturing.
Value Assessment
Rating: questionable
Pricing for VIP interior modifications on military helicopters is highly specialized and difficult to benchmark without detailed cost breakdowns. The firm-fixed-price contract aims to control costs, but the lack of competition makes a direct comparison to similar contracts challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded on a sole-source basis, indicating a lack of competition. This method may lead to higher prices as the contractor faces no pressure from competing bids. The 'NOT AVAILABLE FOR COMPETITION' status suggests specific justifications were likely made.
Taxpayer Impact: Taxpayer funds are used for a specialized modification with limited transparency on cost-effectiveness due to the sole-source nature of the award.
Public Impact
Modification of essential military assets for VIP transport. Potential for cost overruns due to sole-source award. Impact on operational readiness if modifications are delayed or flawed.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- High contract value for specialized service
Positive Signals
- Firm-fixed-price contract type
- Specific aircraft type (UH-60M Black Hawk)
Sector Analysis
The defense sector, particularly aircraft manufacturing and modification, often involves high-value, specialized contracts. Benchmarks for VIP interior modifications are scarce due to their custom nature, making cost assessment difficult.
Small Business Impact
The contract was awarded to Sabreliner Aviation LLC, a company that may or may not be a small business. The data provided does not specify small business participation or set-asides for this contract.
Oversight & Accountability
Oversight would typically be managed by the Defense Contract Management Agency (DCMA). Ensuring proper execution and adherence to specifications within the firm-fixed-price structure is key to accountability.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Sole-source award limits price competition.
- High value for specialized, non-standard modifications.
- Potential for scope creep or cost overruns.
- Lack of clear small business participation.
Tags
aircraft-manufacturing, department-of-defense, mo, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $18.9 million to SABRELINER AVIATION LLC. VERY IMPORTANT PERSON (VIP) INTERIOR MODIFICATION OF TWO UH-60M BLACK HAWK HELICOPTERS.
Who is the contractor on this award?
The obligated recipient is SABRELINER AVIATION LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $18.9 million.
What is the period of performance?
Start: 2011-03-24. End: 2014-07-31.
What specific justification was provided for the sole-source award, and how does it ensure fair pricing?
Sole-source awards are typically justified when only one responsible source can provide the required supplies or services. For VIP modifications, this might be due to proprietary technology, unique expertise, or specific integration requirements with the existing airframe. However, fair pricing in such scenarios relies heavily on robust negotiation, cost analysis by the agency, and potentially market research to establish a reasonable price range.
What are the risks associated with modifying critical military assets like Black Hawk helicopters for VIP use?
Modifying critical military assets for VIP use introduces several risks. These include potential degradation of original performance specifications, increased maintenance complexity, and the diversion of resources from primary military missions. Furthermore, the specialized nature of VIP interiors might not align with standard military operational requirements, potentially leading to vulnerabilities or reduced utility in combat or tactical scenarios.
How does this contract contribute to the overall effectiveness and readiness of the UH-60M fleet?
The effectiveness and readiness impact depend on the specific purpose of the VIP modifications. If these helicopters are intended for essential command and control, high-level personnel transport during critical operations, or diplomatic missions, the modifications could enhance effectiveness. However, if they detract from the helicopter's core military capabilities or lead to extended downtime for modifications, readiness could be negatively impacted.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W58RGZ11R0212
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1390 HWY H, PERRYVILLE, MO, 08
Business Categories: Category Business, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $18,899,592
Exercised Options: $18,899,592
Current Obligation: $18,899,592
Contract Characteristics
Cost or Pricing Data: YES
Timeline
Start Date: 2011-03-24
Current End Date: 2014-07-31
Potential End Date: 2014-07-31 00:00:00
Last Modified: 2014-09-09
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