61682

Aero Tech Services Associates, Inc.

March 30, 2020Judge Thrasher
Denied / Government PrevailedQuantum / DamagesDCMA Involved

Aero Tech Services Associates, Inc. appealed a decision regarding reimbursement for labor costs under Contract No. FA8106-17-D-0009, which the Board denied.

Material Facts

  • ATSA sought reimbursement for labor costs incurred under Contract No. FA8106-17-D-0009.
  • The contract involved logistical support for two E-9A aircraft at Tyndall Air Force Base, Florida.
  • ATSA claimed that labor costs from vendors should be reimbursed under material costs.
  • The government argued that the contract defined vendors as subcontractors, capping labor costs at a fixed hourly rate.
  • The contract changed from cost to fixed price for Over & Above pricing compared to the previous contract.
  • ATSA's proposal distinguished between subcontractors and vendors, stating that vendors would be subcontracted as needed.
  • The Board found that ATSA entered into a subcontract agreement with Pratt & Whitney, classifying them as a subcontractor.

Parties

Appellant
Aero Tech Services Associates, Inc.
Respondent Agency
Department of the Air Force
Contract Number
FA8106-17-D-0009
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