DoD Awards $2.86M Logistics Contract to AXXEUM INC for Lebanon Services

Contract Overview

Contract Amount: $2,862,649 ($2.9M)

Contractor: Axxeum Inc

Awarding Agency: Department of Defense

Start Date: 2025-09-30

End Date: 2027-09-29

Contract Duration: 729 days

Daily Burn Rate: $3.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LEBANON CONTRACTOR LOGISTICS SUPPORT AND CONTRACT FIELD SERVICES REPRESENTATIVE SERVICE FOR LEBANON

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35824

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $2.9 million to AXXEUM INC for work described as: LEBANON CONTRACTOR LOGISTICS SUPPORT AND CONTRACT FIELD SERVICES REPRESENTATIVE SERVICE FOR LEBANON Key points: 1. Contract awarded to AXXEUM INC for logistics and field services in Lebanon. 2. The contract value is $2,862,648.64, with a duration of 729 days. 3. Competition method was 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', suggesting a specific reason for excluding some sources. 4. The sector appears to be related to 'Other Support Activities for Air Transportation'.

Value Assessment

Rating: fair

The contract value of $2.86M for 729 days is difficult to benchmark without more specific service details. The fixed-price nature provides cost certainty, but the per-unit cost is not readily available.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates that while the competition was intended to be open, certain sources were excluded. This could potentially limit price discovery and competition.

Taxpayer Impact: The taxpayer impact is moderate, given the contract value and the potential limitations on competition which might affect the final price.

Public Impact

Ensures essential logistics and field services for U.S. operations in Lebanon. Supports Department of the Army's mission readiness in a critical region. Potential for limited competition may impact overall cost-effectiveness for taxpayers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition due to source exclusion
  • Lack of detailed cost breakdown for per-unit analysis

Positive Signals

  • Fixed-price contract provides cost certainty
  • Supports critical overseas operations

Sector Analysis

This contract falls under 'Other Support Activities for Air Transportation', likely supporting aviation logistics and maintenance in Lebanon. Benchmarking is challenging without specific service details, but logistics support contracts can vary widely in cost based on location and scope.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The Department of the Army is responsible for oversight. The contract type and duration suggest a need for ongoing monitoring to ensure performance and cost control.

Related Government Programs

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

Risk Flags

  • Limited competition due to source exclusion
  • Lack of detailed service scope for cost validation
  • Potential for cost overruns if scope is not tightly managed
  • Geopolitical risks associated with operating in Lebanon

Tags

other-support-activities-for-air-transpo, department-of-defense, al, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $2.9 million to AXXEUM INC. LEBANON CONTRACTOR LOGISTICS SUPPORT AND CONTRACT FIELD SERVICES REPRESENTATIVE SERVICE FOR LEBANON

Who is the contractor on this award?

The obligated recipient is AXXEUM INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.9 million.

What is the period of performance?

Start: 2025-09-30. End: 2027-09-29.

What specific services are included under 'Logistics Contractor and Contract Field Services Representative Service' to justify the $2.86M cost?

The contract description is broad. Detailed service requirements, such as inventory management, maintenance, transportation, and personnel support, are crucial for a thorough cost assessment. Without this granularity, it's difficult to determine if the $2.86M represents value for money or if specific components are over or under-priced relative to market rates.

What were the reasons for excluding specific sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' process?

Understanding the rationale behind excluding sources is key to assessing risk. Reasons could range from specialized capabilities required, past performance issues, or security concerns. If exclusions were not well-justified, it could indicate a risk of reduced competition, potentially leading to higher costs or suboptimal service quality for the government.

How does the performance of AXXEUM INC on similar contracts in the past inform the effectiveness of this award?

Assessing AXXEUM INC's past performance on comparable logistics and field service contracts is vital. A track record of successful, on-time, and within-budget delivery suggests a higher likelihood of effectiveness for this new contract. Conversely, past issues could signal potential risks to mission accomplishment and taxpayer value.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Air TransportationOther Support Activities for Air Transportation

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W58RGZ25R0002

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 351 ELECTRONICS BLVD SW, HUNTSVILLE, AL, 35824

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,862,649

Exercised Options: $2,862,649

Current Obligation: $2,862,649

Contract Characteristics

Commercial Item: PRODUCTS OR SERVICES PURSUANT TO FAR 12.102(F)

Cost or Pricing Data: YES

Timeline

Start Date: 2025-09-30

Current End Date: 2027-09-29

Potential End Date: 2027-09-29 12:09:00

Last Modified: 2026-01-16

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