DTS AVIATION SERVICES LLC awarded $30.1M contract for Facilities Support Services by Department of the Army

Contract Overview

Contract Amount: $30,149,015 ($30.1M)

Contractor: DTS Aviation Services LLC

Awarding Agency: Department of Defense

Start Date: 2005-06-30

End Date: 2006-06-30

Contract Duration: 365 days

Daily Burn Rate: $82.6K/day

Competition Type: FOLLOW ON TO COMPETED ACTION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Place of Performance

Location: FORT HOOD, BELL County, TEXAS, 76544

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $30.1 million to DTS AVIATION SERVICES LLC for work described as: Key points: 1. Contract awarded as a follow-on to a competed action, suggesting prior competition. 2. The contract type is Cost Plus Award Fee, which incentivizes performance but can lead to higher costs if not managed carefully. 3. The duration of 365 days indicates a relatively short-term service requirement. 4. The base value of $82,600 appears to be a placeholder or initial amount, with the total award significantly higher. 5. The contract is for Facilities Support Services, a broad category that can encompass various operational needs. 6. The award was made by the Department of the Army, a major component of the Department of Defense.

Value Assessment

Rating: fair

The total award amount of $30.1 million for a 365-day contract for Facilities Support Services is substantial. Without specific performance metrics or a breakdown of services, it's difficult to benchmark value effectively. The Cost Plus Award Fee structure means the final cost is tied to performance, which can be a positive if performance is excellent, but introduces uncertainty. Comparing this to similar facilities support contracts across the DoD would be necessary for a more precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract is described as a 'FOLLOW ON TO COMPETED ACTION,' indicating that the original contract was competed. This suggests that there was an opportunity for multiple bidders to participate in the initial award. As a follow-on, it implies that DTS AVIATION SERVICES LLC was the incumbent or a successful bidder in a previous competitive process. The level of competition for the original award would determine the extent to which price discovery was optimized.

Taxpayer Impact: A follow-on to a competed action generally suggests that taxpayers benefited from competitive pricing in the initial award. However, the specifics of the follow-on competition (if any) are not detailed here.

Public Impact

The Department of the Army benefits from the provision of essential facilities support services, ensuring operational readiness. The services delivered likely include maintenance, repair, and operational support for government facilities. The geographic impact is concentrated in Texas, where the contractor is based. Workforce implications may include employment opportunities for personnel performing these support services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contracts can sometimes lead to higher overall costs if award fees are consistently met without stringent cost controls.
The broad nature of 'Facilities Support Services' could lead to scope creep if not clearly defined and managed.
Lack of detailed performance metrics in the provided data makes it challenging to assess the efficiency of the award fee structure.

Positive Signals

The contract being a 'FOLLOW ON TO COMPETED ACTION' suggests a history of successful competition and potentially a proven track record for the contractor.
The award fee mechanism, if managed well, can incentivize high performance and efficient service delivery.
The contract is awarded by a major branch of the Department of Defense, indicating a level of established trust and capability.

Sector Analysis

Facilities Support Services fall under the broader commercial and professional services sector. This sector is characterized by a wide range of providers, from small specialized firms to large diversified companies. Government contracts in this area often involve long-term maintenance, operations, and management of physical infrastructure. Benchmarking spending in this sector requires comparing contract values against the scope of services and the specific needs of the agency, considering factors like facility size, complexity, and geographic location.

Small Business Impact

There is no indication from the provided data that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. The contractor, DTS AVIATION SERVICES LLC, is not explicitly identified as a small business. Further investigation would be needed to determine if small business participation is a requirement or has occurred through subcontracting.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program management office within the Department of the Army. Accountability measures are often tied to the performance metrics within the Cost Plus Award Fee structure. Transparency would depend on the agency's policies regarding the release of contract details and performance reports. Inspector General jurisdiction may apply if fraud, waste, or abuse is suspected.

Related Government Programs

Department of Defense Facilities Maintenance
Army Base Operations Support
Government Facilities Management Contracts
Commercial Services for Federal Agencies

Risk Flags

Potential for cost overruns in CPAF structure if not managed tightly.
Scope definition for 'Facilities Support Services' needs clear delineation to prevent creep.
Performance metrics for award fee need rigorous and objective assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $30.1 million to DTS AVIATION SERVICES LLC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is DTS AVIATION SERVICES 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 $30.1 million.

What is the period of performance?

Start: 2005-06-30. End: 2006-06-30.

What is the specific scope of 'Facilities Support Services' covered under this contract?

The provided data only specifies 'Facilities Support Services' (NAICS code 561210) and does not detail the specific tasks included. Typically, this category can encompass a wide range of activities such as building operations and maintenance, groundskeeping, custodial services, pest control, and potentially minor repairs. To understand the full scope, one would need to review the contract's Statement of Work (SOW) or Performance Work Statement (PWS). This document would outline the exact deliverables, performance standards, and any exclusions. Without the SOW/PWS, the $30.1 million award is difficult to contextualize beyond its broad categorization.

How does the $30.1 million award compare to historical spending on similar facilities support contracts by the Department of the Army?

To compare this $30.1 million award to historical spending, we would need to analyze past contracts for Facilities Support Services awarded by the Department of the Army, ideally with similar scopes and durations. A 365-day contract at this value suggests a significant level of service or a high-cost operating environment. Benchmarking would involve looking at the average cost per facility, cost per square foot, or cost per service type for comparable contracts over the last 3-5 fiscal years. Without access to a comprehensive contract database and analytical tools, a precise comparison is not feasible. However, $30.1 million for a single year of comprehensive facilities support is a substantial figure, indicating a large or complex operational requirement.

What are the key performance indicators (KPIs) and award fee criteria for DTS AVIATION SERVICES LLC under this contract?

The contract type is 'COST PLUS AWARD FEE' (CPAF), which means that DTS AVIATION SERVICES LLC's compensation includes a base cost reimbursement plus an award fee determined by the government based on performance against specific criteria. The provided data does not list these criteria or KPIs. These are typically detailed in the contract's Performance Work Statement (PWS) or a separate award fee plan. Common KPIs for facilities support might include response times for service requests, quality of maintenance, energy efficiency targets, safety compliance, and customer satisfaction. The 'award fee' portion incentivizes the contractor to exceed minimum performance standards, but the exact metrics and their weighting are crucial for assessing value and contractor motivation.

What is the track record of DTS AVIATION SERVICES LLC in performing similar government contracts?

The data indicates that this is a 'FOLLOW ON TO COMPETED ACTION,' suggesting that DTS AVIATION SERVICES LLC may have previously held a contract for similar services, potentially with the Department of the Army or another agency. To assess their track record, one would need to examine past contract performance evaluations (e.g., CPARS - Contractor Performance Assessment Reporting System), any past performance issues or commendations, and the company's history with government contracting. A follow-on award often implies satisfactory past performance, but a deeper dive into specific performance metrics, timeliness, and cost control on previous contracts would provide a more complete picture of their reliability and capability.

What are the potential risks associated with a Cost Plus Award Fee contract for facilities support?

Cost Plus Award Fee (CPAF) contracts carry inherent risks. For the government, the primary risk is that costs can escalate if the contractor does not manage expenses diligently, as costs are reimbursed. The 'award fee' component, while intended to incentivize performance, can also lead to higher overall costs if the contractor consistently achieves high scores, potentially paying a premium for performance. There's also a risk of subjectivity in evaluating performance for the award fee, which could lead to disputes. For the contractor, the risk lies in not meeting the performance criteria, thus forfeiting the award fee. Effective oversight, clear performance metrics, and robust cost monitoring are essential to mitigate these risks for both parties.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

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

Competition & Pricing

Extent Competed: FOLLOW ON TO COMPETED ACTION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cerberus Capital Management, L.P. (UEI: 014784388)

Address: 6500 W FRWY STE 500, FORT WORTH, TX, 90

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Contract Characteristics

Cost or Pricing Data: YES

Timeline