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Army’s $82B LOGCAP V Logistics Contract Awarded

For decades, United States regional combatant commands, service component commands and other military organizations have leveraged the Logistics Civil Augmentation Program, aka LOGCAP, to acquire construction, supply, logistics and other services. The first three LOGCAP contracts were awarded to single bidders in each round of competition. LOGCAP IV, awarded in June 2007, was split between three companies. Now in 2019, four prime contractors have been awarded positions on the fifth iteration of the 10-year (five year and five option years), $82B LOGCAP V.

The $82 billion ceiling on V may be slightly misleading, as IV, which has a $150 billion ceiling, has had about $24 billion spent on task orders so far. Unless there is armed conflict which necessitates heavy expenditure for the deployment of troops, LOGCAP V is unlikely to reach its maximum spending level.

The awardees include Fluor Corporation, KBR, Inc. (formerly Kellogg, Brown and Root), Vectrus, Inc. and PAE-Parsons Global Logistics Services (P2GLS, a joint venture formed specifically for LOGCAP V). Each of the prime awards for LOGCAP V are assigned to a specific regional command area aside from Afghanistan, which counts as its own assignment. Fluor’s award is Africa Command, KBR’s award is European and Northern Commands, and Afghanistan, P2GLS’ award is Southern Command, and Vectrus’ award is Pacific Command and Central Command. A total of six companies bid for a place on this latest iteration.

Fluor Corporation, KBR, Inc. and DynCorp are the current incumbents on LOGCAP IV which expires on April 2020. The Army expects contract work for LOGCAP V to be completed by April 11, 2029.

LOGCAP V Awarded

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