DoD awards $30.2M contract for UH-60L flight training to CAE USA Inc
Contract Overview
Contract Amount: $30,221,922 ($30.2M)
Contractor: CAE USA Inc.
Awarding Agency: Department of Defense
Start Date: 2022-10-01
End Date: 2026-07-17
Contract Duration: 1,385 days
Daily Burn Rate: $21.8K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ROYAL SAUDI LAND FORCES AVIATION COMMAND (RSLFAC) UH-60L OPERATIONAL FLIGHT TRAINER (OFT) INSTRUCTOR PILOT (I/P) AND CONTRACTOR LOGISTICS SUPPORT SERVICES
Plain-Language Summary
Department of Defense obligated $30.2 million to CAE USA INC. for work described as: ROYAL SAUDI LAND FORCES AVIATION COMMAND (RSLFAC) UH-60L OPERATIONAL FLIGHT TRAINER (OFT) INSTRUCTOR PILOT (I/P) AND CONTRACTOR LOGISTICS SUPPORT SERVICES Key points: 1. Contract awarded to CAE USA Inc. for specialized UH-60L flight training. 2. The contract value is $30.2 million over a period of 1385 days. 3. This is a definitive contract, indicating a clear agreement for services. 4. The North American Industry Classification System (NAICS) code is 611512, related to flight training.
Value Assessment
Rating: fair
The contract value of $30.2 million for operational flight trainer services appears reasonable given the specialized nature of UH-60L training. Benchmarking against similar advanced aviation training contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, suggesting a limited source selection process. This limits price discovery and potentially leads to higher costs compared to a fully competitive environment.
Taxpayer Impact: Taxpayer funds are utilized for specialized military training, with potential for cost savings if competition were pursued.
Public Impact
Ensures continued operational readiness for UH-60L helicopter crews. Supports the training needs of the Royal Saudi Land Forces Aviation Command. Provides specialized instruction and logistical support for advanced flight simulation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may result in suboptimal pricing.
- Lack of detailed cost breakdowns hinders full transparency.
Positive Signals
- Ensures critical training for aviation personnel.
- Contract duration provides stability for service provision.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically focusing on flight training. Spending in this area is crucial for maintaining military aviation proficiency and operational capabilities.
Small Business Impact
There is no indication that small businesses were involved in this contract award, as it was awarded directly to CAE USA Inc.
Oversight & Accountability
The definitive contract structure provides a clear framework for oversight. However, the limited competition aspect warrants scrutiny to ensure fair pricing and value for taxpayer money.
Related Government Programs
- Flight Training
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Limited competition
- Lack of detailed cost breakdown
- Potential for price inflation due to sole-source nature
- No clear indication of small business participation
Tags
flight-training, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $30.2 million to CAE USA INC.. ROYAL SAUDI LAND FORCES AVIATION COMMAND (RSLFAC) UH-60L OPERATIONAL FLIGHT TRAINER (OFT) INSTRUCTOR PILOT (I/P) AND CONTRACTOR LOGISTICS SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is CAE USA 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 $30.2 million.
What is the period of performance?
Start: 2022-10-01. End: 2026-07-17.
What is the justification for limiting competition on this significant flight training contract?
The justification for limited competition is not provided in the data. Typically, such limitations are based on factors like unique capabilities, urgent needs, or specific government requirements that only one or a few contractors can meet. Further investigation into the contract's justification document would be necessary to understand the rationale.
How does the cost per training hour compare to industry benchmarks for similar simulator training?
The provided data does not include a per-unit cost or cost per training hour. To assess this, one would need to divide the total contract value by the estimated number of training hours or simulator utilization days. This figure could then be compared to industry benchmarks for UH-60L simulator training, which can vary based on complexity and instructor qualifications.
What are the key performance indicators (KPIs) used to measure the effectiveness of this training contract?
Key performance indicators are not detailed in the provided contract information. Effective training contracts typically include metrics such as student pass rates, instructor performance evaluations, simulator uptime, and adherence to training schedules. The Department of the Army would likely have internal metrics to assess the contractor's performance against contract requirements.
Industry Classification
NAICS: Educational Services › Technical and Trade Schools › Flight Training
Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W900KK23RJH01
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: CAE Inc
Address: 2200 ARLINGTON DOWNS RD, ARLINGTON, TX, 76011
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $38,242,491
Exercised Options: $30,221,922
Current Obligation: $30,221,922
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $4,470,197
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2022-10-01
Current End Date: 2026-07-17
Potential End Date: 2026-07-17 00:00:00
Last Modified: 2025-12-16
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