Under the Fixed-Price Incentive Firm and Fixed-Price award, the Colorado firm will engineer, manufacture and develop an aircrew training system for the aircraft.
The KC-46A, which is being produced by Boeing, is an aerial refueling and strategic transport that will replace the Air Force's aging fleet of KC-135s.
The Air Force said the contract given Wednesday include an initial obligation for $1 million for work on the training system, which will be incrementally funded.
Work under the award is expected to be completed by 2026 if options are exercised. FlightSafety Services is obligated to begin delivery of simulator systems and courseware in 2016.
"This is a vital step in the development of KC-46A," said Maj. Gen. John Thompson, Program Executive Officer for Tankers. "We have reached an award that is the product of a disciplined, meticulous and transparent source selection and delivers real value for the warfighter."