DLA recently awarded ADS an IDIQ (Indefinite Delivery, Indefinite Quantity) contract to deliver thousands of commercial fasteners to DoD customers worldwide. The contract includes a base term of three years and an additional two-year option with a total value of up to $84 million over five years. The Defense Ministry said Friday that the agreement to adjust fixed-price economic prices has a base period of four years and is expected to be completed by March 31, 2025. Virginia-based Atlantic Diving Supply has been awarded a contract by the Defense Logistics Agency for approximately $91.6 million in services to support the U.S. Air Force, Army, Marine Corps and Navy multi-weapon systems programs. POGO attributes ads` success in part to a ”revolving door culture” within the military and government agencies. Specifically, POGO claims that ads hire former high-ranking military personnel, including several members of Seal Team Six, the elite force that killed Osama bin Laden, to secure government contracts. POGO cites a 2012 Navy investigation into ADS and three other companies for ”potential conflicts of interest related to post-government employment” of SEAL Six team members. POGO also refers to an August 2011 law enforcement memo relating to a DLA employee`s complaint obtained through a FOIA request, stating that ”the revolving door between the military and ADS is a possible source of influence.” POGO also cites anonymous industry insiders who say ADS has the insider track to win DLA contracts, in part because a former senior DLA executive is on ADS` advisory board. Although none of these investigations resulted in an indictment of the ADS, questions remain about the influence of the ADS on the military procurement process. As small businesses in the U.S. struggle to survive the economic devastation caused by the COVID-19 pandemic, a company that claims to be a small business, but with hundreds of employees and annual sales of more than $3 billion, as well as a long history of fraud allegations and settlements, continues to reap huge profits through government contracts.
The company – Atlantic Diving Supply, Inc. (ADS) – is at the center of a recently released investigative report by the Project on Government Oversight (POGO), an independent, impartial oversight body. Based on interviews with ”more than a dozen industry insiders, including several former ADS employees,” internal government memos obtained through FOIA requests, and allegations in whistleblower complaints, POGO`s report is a ”case study of the government`s fight against procurement fraud surveillance.” Specifically, POGO`s investigation focuses on the need for greater oversight of how lucrative Defense Department contracts legally reserved for small businesses owned by veterans, women, and racial and ethnic minorities are actually awarded. Atlantic Diving Supply Inc.,* tätig als ADS, Virginia Beach, Virginie (SPE8EJ-21-D-0020); Federal Resources Supply Co.*, Stevensville, Maryland (SPE8EJ-21-D-0021); Noble Supply Co., Inc.*, Rockland, Massachusetts (SPE8EJ-21-D-0022); SupplyCore Inc.,* Rockford, Illinois (SPE8EJ-21-D-0023); Tactical Survival Specialties Inc.,* Harrisonburg, Virginie (SPE8EJ-21-D-0024); und W.S. Darley & Co.,* Itasca, Illinois (SPE8EJ-21-D-0025), teilen sich im Rahmen der Ausschreibung SPE8EJ-18-R-0001 für das Tailored Logistics Support (TLS)-Programm der fünften Generation Special Operations Equipment (SOE) Tailored Logistics Support (TLS) einen Festpreisvertrag mit unbestimmter Lieferung/unbestimmter Menge. The scope of work under the SOE TLS program includes all logistical support for the specific operational equipment needs of Defense Logistics Agency (DLA) customers, including military facilities, federal agencies, and other authorized DLA customers worldwide. This was a competitive acquisition with 29 bids received. These are two-year basic contracts with four two-year option terms. The venues are Virginia, Maryland, Massachusetts and Illinois with an end date of the order period of January 4, 2023. Customers are the Army, Navy, Air Force, Marine Corps and Coast Guard.
The type of allocation is the allocation of defence operating capital for the financial years 2021 to 2022. The contract activity is defense logistics agency troop support, Philadelphia, Pennsylvania. Premier Scaffold Inc.*, Bakersfield, California (N55236-21-D-0016); Vertical Horizon Marine LLC,* Santee, California (N55236-21-D-0017); W. V. Construction Co.,* Jamul, California (N55236-21-D-0018); and Leading Edge Scaffold Inc.*, Las Vegas, Nevada (N55236-21-D-0019), each receive fixed-price, perpetual supply and perpetual supply contracts, multi-awarded with a five-year base period to provide commercial industrial services – scaffolding services. The work will be conducted within a 50-mile radius of San Diego, California, for the Southwest Regional Maintenance Center (SWRMC). These contracts have a maximum total value of $31,028,750. These four companies have the opportunity to compete for individual supply contracts.
The work will be carried out in San Diego County, California. These contracts have a base order period of five years and the work is expected to be completed in January 2026. Funding of $40,000 ($40,000 for operations and maintenance (Marine) in fiscal year 2021 ($10,000 for minimum warranty per contract) will be committed in the initial delivery order of each contract and will expire at the end of the current fiscal year. These contracts were obtained in competition via the beta.SAM.gov website; six offers were received. The SWRMC, San Diego, California, is the contractual activity. Boeing Co., St. Louis, Missouri, will receive an amendment (P00008) of $20,864,609 to the previously awarded fixed price contract N00019-19-C-0033. This amendment adds new integrated logistics support capabilities for 22 F/A-18Es and six F/A-18F Super Hornets to support the Government of Kuwait. The work will be carried out in St. Louis, Missouri (86%); San Diego, California (8%); China Lake, California (5%); and Fort Walton, Florida (1%), and is expected to be completed in December 2023. Foreign military distribution funds of $20,864,609 are required at the time of issuance, none of which expire at the end of the current fiscal year.
The Naval Air Systems Command, Patuxent River, Maryland, is the activity of the order. .