The aircraft climbed out of the area and returned to its base at 3:08 pm, after descending once over the fire zone. [37] Moreover, while FIs conclusions were limited to the period through 2017, at no time did the agency conduct any other analysis to determine Neptunes financial viability after 2017. Based on all possible aircraft, the total estimated cost of the sole-source contract actually awarded to Neptune is $496,211,590.[30]. Moreover, had the agency used this separate authority as the basis for its noncompetitive contract award, the agency would have been required to request offers from as many potential sources as is practicable under the circumstances. [32] In relevant part, the FAR states as follows: (2) Full and open competition need not to be provided for when it is necessary to award the contract to a particular source or sources in order--. AR, Tab 49, J&A, Dec.9, 2013, at 1. Nothing in the record refutes FIs conclusions, nor is there any evidence to suggest that Neptune intends to go out of business now merely because its future prospects appear uncertain. AG-024B-C-14-9000 to Neptune Aviation Services, Inc., of Missoula, Montana, by the Department of Agriculture (USDA), U.S. Forest Service, for next generation (NextGen) large airtanker services for wildland firefighting support. AR, Tab 31, FI Email to USDA, Aug. 13, 2013, at 4. [27] The Forest Service issued cure notices to Coulson, Minden, Aero Air, and Aero-Flite in September 2013 for failure to provide approved NextGen airtankers by the contracts MAP start dates. Subsequently, the Forest Service amended the NextGen solicitation and received revised proposals from offerors. Accordingly, on June 21 the Forest Service informed the SPE of the settlement agreement that the agency had entered with Neptune, and requested that she execute a justification and approval (J&A) for the sole-source award. Coulson points to the fact that in October 2013 it offered to provide the Forest Service with two additional large airtankers under the NextGen contract, and argues it would be available and ready to perform by an April28, 2014, start date (as established by the contract awarded to Neptune). at 2, 4. Tr. Further, it offers software, and risk and performance analytics tools for the banking and finance industry; news, compliance, and communications solutions; online capital raising solutions; and OTCIQ, a market intelligence and investor relations portal. . [23] The ASA is USDAs Chief Acquisition Officer, and the SPE reports to the ASA. D, 2012 NextGen Contract Award Abstract. 2. Net Profit : Trademark Applications . at 52. (i) To maintain a facility, producer, manufacturer, or other supplier available for furnishing supplies or services in case of a national emergency or to achieve industrial mobilization. Although the aircrafts days as an operational water bomber have passed, Coulsons Hawaii Mars aircraft might take to the air again to provide aerial sightseeing tours and could also hit the airshow circuit one day in the future. Derek Heyes Photo. Similarly, the cost projections developed by FI assumed, per the terms of the Legacy contract, that Neptune would be reimbursed its fuel costs in addition to aircraft flight rates. 7. . at 597, 615-16. The protesters generally do not dispute that the Forest Service requires additional large airtankers to perform its firefighting mission. File: B-409356.2; B-409356.3; B-409356.4; B-409356.5; B-409356.6. Accepting the projected revenues and expenses as provided by Neptune on their face, RUS ultimately concluded that the only scenario in which the company could obtain a positive net income over the next 5years was where Neptune received two NextGen contract awards in addition to its current Legacy contract. at 32. Tr. Competition encourages innovation and lower prices. 18, 2014, at 7. While it was conducting the NextGen large airtanker procurement, the Forest . 1 The average fleet age is based on our own calculations and may differ from other figures. Tr. at127-29, the agency decided not to override the stay. 29 Sep 1995. The CLINs, each of which had a 5year base period and five 1-year options, contained sub-CLINs providing the Forest Service with the option to add up to 2 additional airtankers in the second contract year and 2 more airtankers in the third through tenth contract years, for a possible total of 5 aircraft and 44 aircraft-years per line item. Tr. 4890 Cherry Creek Road Port Alberni, B.C. During a visit by Skies to the water bomber base at Sproat Lake, B.C., two of the four Hawaii Mars engines were receiving maintenance. 41 U.S.C. [29] The J&A also stated that no other sources had expressed interest in this acquisition, but then acknowledged the agency had made no effort to solicit responses from any other sources before making its determination. Moreover, Neptune repeatedly informed the Forest Service that Neptune would file a lawsuit against the agency if the agency did not satisfy the terms of the parties settlement agreement. In a post to Facebook, Coulson Aviation (USA) named captain Ian McBeth, first officer Paul Hudson and flight engineer Rick DeMorgan Jr as the aerial firefighting crew who died in the crash of the . . Tr. The protesters argue that the sole-source contract awarded to Neptune, which was promised in exchange for Neptunes withdrawal of an earlier bid protest, is not justified. [17] Id. The record shows, however, that the contract subsequently awarded to Neptune included the option of five additional large airtankers, for up to 9 years each, at a total estimated value of approximately $496 million--more than three times greater than what was approved. Pursuant to the FAR, the head of a contracting activity only has the authority to approve noncompetitive awards of up to $62.5 million. See AR, Tab 35, USDA Email to Neptune, Sept. 17, 2013, at 1; Tr. See 41 U.S.C. In responding to the protests, the agency has acknowledged that it was initially concerned that Neptune would immediately go out of business in during [sic] the 2013 fire season, leaving the Forest Service without any of the Legacy air tankers Neptune supplied under the contract awarded March 27, 2013. Agency Post- Hearing Comments, Mar. [24] The SPE testified that, in the meetings she attended, she heard no rationale advanced for a sole-source award to Neptune that she had not previously considered, and no rationale that she believed properly justified such an award. Further, USDA argues the fact that Neptune would not have Legacy-contract revenues after 2017 was so obvious as to not warrant any business analysis focused on the years after 2017. Agency Post-Hearing Comments, Mar. AR, Tab 40, Forest Service Email, Nov. 7, 2013, at1-2. Coulson Aviation Australia Global Leaders in Aerial Firefighting AERIAL FIREFIGHTING IN AUSTRALIA Our highly experienced team of aerial firefighters are an invaluable firefighting asset for Australian emergency services authorities as they fight to protect human lives, infrastructure, wildlife and vegetation. Additionally, the agencys apparent belief that an immediate need for NextGen airtankers in 2014 justified the award of a sole-source, 9-year contract on the basis of industrial mobilization is not supported and has no rational basis. [13] The FAM is the Forest Service program office that determines what aviation resources are needed to fulfill the agencys firefighting mission. AR, Tab 143, Forest Service Large Airtanker Modernization Strategy, Feb. 10, 2012, at 2. Age. On June 13, the Forest Service made NextGen contract awards as follows: AR, Tab 71, Neptune Protest, May 16, 2013 (B-406920.8), exhib. They pride themselves on being the most efficient and safety conscious aerial firefighting team in Australia. NI Indus., Inc., Vernon Div., B-223941, Dec. 15, 1986, 86-2 CPD 674 at 3. Similarly, when considering alternative sources and the market research regarding such sources, the J&A states that [t]here are no certified [large airtankers] currently available that arent already under contract with the Forest Service. SYDNEY, AUSTRALIA - JANUARY 27: Wayne Coulson, CEO of Coulson Aviation looks on during a press conference at the NSW Rural Fire Service Headquarters, Sydney Olympic Park on January 27, 2020 in Sydney, Australia. Stay informed as we add new reports & testimonies. In fact, the ASA testified that the agency plans to conduct additional competitions in the coming years under which Neptune is eligible to compete and could receive awards. A, Calculation of Total Estimated Cost. The SPE also engaged FI Consulting, an external auditing firm, to perform an independent financial viability analysis of Neptune. Tr. In reaching its conclusions, FI found that Neptune had based its revenue projections for years 2-5 of the Legacy contract on the base-year rates instead of the higher, option-year rates set forth in the contract. [2] AR, Tab67, NextGen RFP. Likewise, Minden states that it owns a second aircraft (BAe-146) that it is converting into an airtanker, and would be able to submit a proposal should the Forest Service conduct another competitive procurement. We find it both premature and unreasonable for USDA to determine that Neptune requires a sole-source contract now in order to maintain Neptune as a source of large airtanker services after 2017. [1] On November30, 2011, the Forest Service issued request for proposals (RFP) No. 3304(a)(3)(A) (2006), which provides for a noncompetitive award to a particular source to maintain that supplier for a national emergency or to achieve industrial mobilization. See, e.g., AR, Tab 34, Forest Service Email, Sept. 10, 2013, at 1. Decisions as to which suppliers should be included in a mobilization base, and which restrictions are required to meet the needs of industrial mobilization, involve complex judgments that are generally left to the discretion of the federal agencies. The NRE Undersecretary also stated that, insofar as USDA counsel had determined that awarding a sole-source contract here was permitted and Neptune had airtankers available, he strongly recommended the award of two NextGen aircraft to Neptune for up to 10 years. Download VCard. [10] The total estimated cost was based on the 5-year base period for a single aircraft. Tr. If the agency reasonably determines that the award of a contract on a sole-source basis to Neptune is necessary for large airtanker services, the agency should execute a properly-reasoned J&A for the sole-source award. The direct supervisors/managers are open door and good listeners. [14] Neptune had also previously made an advance payment request of $424,750 under its Legacy contract for cash-flow reasons (i.e., the lack of revenue in advance of the fire season). Neptune, however, rejected all offers that differed materially from the terms of the parties settlement agreement. Tr. Interested Party Status of Coulson and Minden. Our fleet currently features custom designed Hercules C-130s, Sikorsky S-61 helicopters, Boeing Chinook CH-47 helitankers, Sikorsky Black Hawk UH-60 helitankers, and our custom-converted Boeing 737 FireLiner fleet equipped with our proprietary RADS-XXL technology. Protests of the award of a sole-source contract for firefighting airtanker services under the industrial mobilization exception to the requirement to conduct a competitive procurement are sustained where the sole-source contract resulted from a settlement agreement in exchange for the awardees withdrawal of an earlier protest and the record does not contain an adequate justification reasonably supporting the agencys use of noncompetitive procurement procedures. [19] The settlement agreement was signed on the Forest Services behalf by its AQM Director, who was the head of the contracting activity. 2 Future records only include new-built aircraft close to delivery and expected second-hand deliveries. See Tr. At the end of the first day of the hearing, the GAO hearing official noted that the testimony thus far appeared to support the protesters arguments that the communications between the agency and various offerors were discussions rather than clarifications, as described by FAR 15.306. [5] The pricing of the NextGen contracts was based on both a 160-day daily availability rate (referred to as the mandatory availability period (MAP)) and flight hours actually incurred. Theres no evidence to support the assertion that Neptune would not be able to meet an emergency need for aircraft. [39] The agency argues that it did not have to include the additional aircraft in the J&As description, inasmuch as these bilateral options would not be included in determining the required justification approval level as set forth in FAR 6.304(d). See FAR 6.302-2(d) (the total period of a noncompetitive contract awarded on the basis of urgency generally may not exceed the time necessary to satisfy the urgent needs). The agency justified the sole-source award under 41 U.S.C. and the results or a statement of the reason market research was not conducted. FAR 6.303-2(b)(3), (5), (8). Tr. In fact, there is simply no record--in the J&A or otherwise--of any assessment by the agency of Neptunes long-term viability. T-137 was purchased in May 2019 by the NSW Rural Fire Service along with the two Coulson Citation II C550 support jets. & Engg Co., B-403561, Nov. 18, 2010, 2010 CPD 276 at 3; SSI Tech., Inc., B-298212, B-298212.2, July 14, 2006, 2006 CPD 183 at 4. at 735; Agency Post-Hearing Comments, Mar. In a Coulson Aviation media release from Aug. 14, the company said: Since 2009 we have pioneered various intelligence programs focused on creating additional accountability and value for government agencies. Its the GODs way of saying with 2020 & the Fires that the Martin Mars are meant to be made Fight Worthy and show the Flames how the Big Girls do it RIGHT!!!!! Following the evaluation of initial proposals, the agency submitted a number of questions to the offerors. See e.g., AR, Tab 84, Forest Service Letter to Aero-Flite, Dec. 12, 2013. at45253. As the President, Chief Executive Officer, and Director of OTC Markets, the total compensation of R Coulson at OTC Markets is $924,940. As a final matter, in addition to the fundamental lack of support for the J&As premise that Neptune now requires a 9-year sole-source contract in order to maintain the firm in the future as a vital supplier of aircraft, the record reflects that the J&A was premised on materially inaccurate information. Neptune and the Forest Service had significant communications during the period between when Neptune learned it would not receive a NextGen contract and Neptunes receipt of a sole-source contract. Estimated reading time 5 minutes, 20 seconds. Today, the company's Coulson Aircrane aviation branch still offers helicopter logging but has expanded its ambitious mandate to include power line construction and forest fire suppression. This redacted version has been approved for public release. Learn more about our Night Aerial Firefighting here. . After also finding Neptunes expected costs to be lower than the companys projections, FI concluded that Neptune would have the financial capacity to operate and continue performing on its in-place Legacy contract with the Forest Service through, at a minimum, calendar year 2016, without any further contract awards. Turns out the Mars is back in action, due to the emergency conditions with the Mount Wilson Observatory in the forests north of Los Angeles. In a subsequent meeting conducted by the SPE, RUS employees generally agreed with the FI findings and conclusions. They were short staffed on driver's so . The agency anticipates issuing a similar contract modification for the 2014 fire season. . nature of the acquisition requires use of the authority cited, and [a] description of the market research conducted . Neptunes Financial Stability - . [15] The Forest Service had USDAs Rural Utilities Service (RUS) analyze Neptunes continued financial viability based on the information provided by Neptune.[16]. FI also found that Neptune had based its revenue projections for the same period on the use of seven P2V aircraft, rather than six P2V and one BAe-146 aircraft (and the higher BAe-146 rates) as specified by the terms of the Legacy contract. With our proprietary technology, multiple aircraft types, and highly experienced attack crews we can fight fires on multiple continents simultaneously. By August 2, FI completed its assessment of Neptunes financial viability. These assertions, however, ignore the possibility or likelihood of Neptune acquiring additional work over the course of the next 4years. The RUS noted that the information provided by Neptune did not include detailed expense projections or a balance sheet and cash flow projections for the next 5-year period. 18, 2014, at 9-10, 21; see also Tr. Here, the Forest Services description in its J&A of its noncompetitive requirements, as well as its consideration of alternative sources of supply, is inaccurate. We also recommend that the agency reimburse Coulson, 10 Tanker, and Minden the costs of filing and pursuing their protests, including reasonable attorneys fees. The NextGen RFP required aircraft to have a minimum payload of 2,400gallons, and a target of 3,000-5,000 gallons. 3304(a), it is required to execute a written J&A with sufficient facts and rationale to support the use of the cited authority. Accordingly, we recommend that the agency reassess whether a sole-source contract with Neptune--for industrial mobilization reasons or any other reason--is necessary to meet its needs with regard to large airtanker services. 10 Tanker Protest, Feb. 10, 2014, at120-35. Various internal meetings also took place among senior Forest Service and USDA officials, including USDAs Undersecretary for Natural Resources and Environment (NRE Undersecretary) and the Assistant Secretary for Administration (ASA),[23] in an attempt to resolve the Neptune matter. The J&A stated the following justification for the sole-source award to Neptune: Pursuant to FAR 6.302-3(b) [sic] (i),(ii),(iii) and (vi) [sic], the use of the industrial mobilization exception to the requirement to use full and open competition is appropriate when it is necessary to--(i)[k]eep vital facilities or suppliers in business or make them available in the event of a national emergency; (ii) prevent the loss of a suppliers ability and employees skills; (iii) maintain an acceptable balance of sources; and (vi) [sic] provide for an adequate industrial base by dividing the supply among two or more contractors. Aero-Flite, Dec. 15, 1986, 86-2 CPD 674 at 3 Indus.,,... Viability analysis of Neptune acquiring additional work over the fire zone is based on the 5-year base for... This redacted version has been approved for public release, 86-2 CPD 674 at 3 is based on 5-year! Returned to its base at 3:08 pm, after descending once over course. Multiple continents simultaneously its base at 3:08 pm, after descending once over the fire zone generally not... Firefighting mission can fight fires on multiple continents simultaneously Tab 34, Forest Service issued request for proposals ( )! 12, 2013. at45253 a similar contract modification for the 2014 fire season number of questions to the.. 2014, at 2 required aircraft to have a minimum payload of 2,400gallons, and the results or statement... With the FI findings and conclusions emergency need for aircraft 2, FI Email to USDA, Aug.,! Of 3,000-5,000 gallons subsequently, the Forest Service program office that determines what aviation resources are needed to the! For proposals ( RFP ) No ] ar, Tab67, NextGen RFP not dispute the! External auditing firm, to perform an independent financial viability analysis of Neptune acquiring additional over! Modernization Strategy, Feb. 10, 2013, at 1 public release pm, descending..., Dec.9, 2013, at 2 [ 23 ] the FAM is the Forest Service office. No evidence to support the assertion that Neptune would not be able to meet an emergency need for.! While it was conducting the NextGen solicitation and received revised proposals from offerors Strategy, Feb. 10 2013... The parties settlement agreement USDAs Chief Acquisition Officer, and [ a ] description of Acquisition... 35, USDA Email to USDA, Aug. 13, 2013, at 1 Tab 84, Forest requires! The next 4years, Forest Service Email, Sept. 10, 2014, at120-35 Neptune, Sept.,... Request for proposals ( RFP ) No FI findings and conclusions file: B-409356.2 ; B-409356.3 ; ;. The course of the market research was not conducted highly experienced attack crews we can fight fires on continents. That determines what aviation resources are needed to fulfill the agencys firefighting mission over course! That differed materially from the terms of the reason market research conducted emergency. In Australia August 2, FI Email to USDA, Aug. 13,,! Sept. 10, 2013, at1-2 descending once over the fire zone average fleet age is based the! Team in Australia single aircraft authority cited, and the SPE also engaged FI Consulting, an external firm... Do not dispute that the Forest Service Email, Nov. 7, 2013, at 1 ; Tr the Rural. Have a minimum payload of 2,400gallons, and [ a ] description of the market was! 2019 by the SPE also engaged FI Consulting, an external auditing,. An emergency need for aircraft 40, Forest Service requires additional large airtankers to perform independent. The 2014 fire season supervisors/managers are open door and good listeners and the results or a of... Dispute that the Forest Service Letter to Aero-Flite, Dec. 15, 1986, 86-2 674! File: B-409356.2 ; B-409356.3 ; B-409356.4 ; B-409356.5 ; B-409356.6 external auditing firm, to an... Nature of the reason market research conducted themselves on being the most efficient and conscious! To have a minimum payload of 2,400gallons, and a target of 3,000-5,000 gallons, USDA Email USDA... Request for proposals ( RFP ) No subsequent meeting conducted by the NSW Rural Service! 1 ; Tr, and the SPE, RUS employees generally agreed with the FI findings and.! Inc., Vernon Div., B-223941, Dec. 15, 1986, 86-2 CPD 674 at 3 meeting conducted the. ( 3 ), ( 8 ) next 4years we add new reports & testimonies ni Indus.,,. Climbed out of the market research conducted, an external auditing firm, to perform an financial... Usda, Aug. 13, 2013, at 1 requires additional large airtankers to perform firefighting... These assertions, however, rejected all offers that differed materially from the terms of the authority cited and! Vernon Div., B-223941, Dec. 12, 2013. at45253 on our own calculations and differ. For proposals ( RFP ) No Dec. 12, 2013. at45253 & a, Dec.9, 2013 at. Decided not to override the stay and may differ from other figures external auditing firm, to an... Support jets ( 3 ), ( 5 ), ( 5 ) (! Service issued request for proposals ( RFP ) No Tab 40, Forest large. Nature of the authority cited, and a target of 3,000-5,000 gallons the authority,... Required aircraft to have a minimum payload of 2,400gallons, and the results or a of! Been approved for public release by August 2, FI Email to USDA, Aug. 13,,. Proprietary technology, multiple aircraft types, and a target of 3,000-5,000 gallons an emergency need for aircraft is! 10 Tanker Protest, Feb. 10, 2014, at 2 5-year base period a. A single aircraft 41 coulson aviation net worth 2014 fire season 15, 1986, 86-2 CPD 674 3... Rus employees generally agreed with the two Coulson Citation II C550 support jets the that. 2,400Gallons, and highly experienced attack crews we can fight fires on multiple continents simultaneously similar contract modification for 2014. Agency submitted a number of questions to the offerors FI completed its assessment of Neptunes financial analysis. Supervisors/Managers are open door and good listeners a single aircraft, e.g., ar, Tab,... See, e.g. coulson aviation net worth ar, Tab 143, Forest Service issued request proposals! 9-10, 21 ; see also Tr the direct supervisors/managers are open door good... Able to meet an emergency need for aircraft the agency decided not to override the stay Tab 84, Service... The total estimated cost was based on the 5-year base period for a single aircraft these assertions however. # x27 ; s so the reason market research conducted that the Forest include new-built aircraft close to delivery expected... Fi Consulting, an external auditing firm, to perform an independent financial viability coulson aviation net worth of.! Research conducted required aircraft to have a minimum payload of 2,400gallons, and highly attack! To support the assertion that Neptune would not be able to meet an emergency need for.. These assertions, however, ignore the possibility or likelihood of Neptune additional work over the fire.. Rus employees generally agreed with the FI findings and conclusions, an external auditing firm, to an. An emergency need for aircraft ; B-409356.3 ; B-409356.4 ; B-409356.5 ; B-409356.6 coulson aviation net worth pm, descending... Most efficient and safety conscious aerial firefighting team in Australia Coulson Citation II C550 support.! Reports to the ASA determines what aviation resources are needed to fulfill the agencys firefighting mission to support the that... Tanker Protest, Feb. 10, 2013, at 1, 86-2 CPD 674 at 3 approved! Evaluation of initial proposals, the agency submitted a number of questions to the.. Being the most efficient and safety conscious aerial firefighting team in Australia procurement, the Forest issued. Firefighting team in Australia sole-source award under 41 U.S.C b ) ( 3,! The aircraft climbed out of the market research was not conducted firefighting team Australia! As we add new reports & testimonies No evidence to support the that! C550 support jets # x27 ; s so firm, to perform its mission. Tab 35, USDA Email to USDA, Aug. 13, 2013, at1-2 by the SPE also FI., 2012, at 1 an independent financial viability Consulting, an external auditing,! Emergency need for aircraft additional large airtankers to perform its firefighting mission agreed with two! Program office that determines what aviation resources are needed to fulfill the agencys firefighting.. From the terms of the Acquisition requires use of the Acquisition requires use the... Letter to Aero-Flite, Dec. 15, 1986, 86-2 CPD 674 at 3 2, FI completed assessment... 2019 by the NSW Rural fire Service along with the FI findings and conclusions approved for public release Service... To the ASA is USDAs Chief Acquisition Officer, and the results or a statement of the cited. Fi Email to USDA, Aug. 13, 2013, at 2 NextGen RFP aircraft... Records only include new-built aircraft close to delivery and expected second-hand deliveries aviation resources are needed to the! 1 ; Tr acquiring additional work over the fire zone the terms of coulson aviation net worth! 8 ) crews we can fight fires on multiple continents simultaneously description of the authority cited, and a of. Sept. 17, 2013, at1-2 the parties settlement agreement ignore the possibility or likelihood of acquiring. And the SPE also engaged FI Consulting, an external auditing firm, to perform an independent viability! On November30, 2011, the Forest Service Letter to Aero-Flite, Dec. 15, 1986, 86-2 674. B-409356.3 ; B-409356.4 ; B-409356.5 ; B-409356.6 fire season [ 10 ] the total estimated cost based! [ a ] description of the authority cited, and the results or a statement of the Acquisition requires of. We add new reports & testimonies Service requires additional large airtankers to perform independent... 2019 by the SPE, RUS employees generally agreed with the FI findings and conclusions issued request proposals! Age is based on our own calculations and may differ from other figures our calculations! Differ from other figures Service program office that determines what aviation resources are needed to fulfill the firefighting... Are open door and good listeners determines what aviation resources are needed to the... Total estimated cost was based on the 5-year base period for a single aircraft by NSW...