DoD's $17.2M Building Repair Contract Awarded to RCI Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $17,199,231 ($17.2M)

Contractor: RCI Inc.

Awarding Agency: Department of Defense

Start Date: 2006-09-30

End Date: 2011-08-07

Contract Duration: 1,772 days

Daily Burn Rate: $9.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Construction

Official Description: BUILDING REPAIR AFRRI

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20814

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $17.2 million to RCI INC. for work described as: BUILDING REPAIR AFRRI Key points: 1. The contract, valued at $17.2 million, was awarded by the Department of the Army. 2. RCI Inc. secured the contract through full and open competition after exclusion of sources. 3. The contract duration was 1772 days, indicating a long-term project. 4. The project falls under the Commercial and Institutional Building Construction sector. 5. The award was a delivery order under a larger contract.

Value Assessment

Rating: fair

The contract's value of $17.2 million for building repair over approximately five years suggests a moderate per-year expenditure. Benchmarking against similar large-scale construction and repair contracts would be necessary for a precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a competitive process where multiple sources were considered, but specific exclusions were applied. This method aims for price discovery but the exclusions might limit the breadth of competition.

Taxpayer Impact: The competitive award process is intended to secure fair pricing for taxpayers, though the specific exclusions could potentially impact the final cost compared to unrestricted full and open competition.

Public Impact

Taxpayers funded a significant infrastructure repair project managed by the Department of the Army. The project's duration suggests a substantial impact on the local Maryland facility where the repairs were conducted. The use of Time and Materials pricing could lead to cost overruns if not closely monitored. The contract's completion indicates a resolved need for building repairs at the specified Army facility.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns due to Time and Materials pricing.
  • The 'exclusion of sources' in the competition method warrants further investigation.
  • Lack of specific details on the nature of the building repairs.

Positive Signals

  • Awarded through a competitive process, suggesting potential for good value.
  • Project completed, indicating successful delivery of required services.
  • Managed by the Department of Defense, implying adherence to established procurement standards.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a broad category encompassing various repair and maintenance activities for non-residential structures. Spending in this sector can vary significantly based on infrastructure needs and government investment cycles.

Small Business Impact

The data indicates that neither small business set-aside nor subcontracting was a factor in this contract award. This suggests that the primary awardee, RCI Inc., is likely a larger entity, and opportunities for small businesses may have been limited in this specific procurement.

Oversight & Accountability

The contract was awarded by the Department of the Army, a component of the Department of Defense, which typically has robust oversight mechanisms. However, the specific oversight applied to this delivery order, especially concerning the Time and Materials aspect, is not detailed.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Time and Materials pricing can lead to cost uncertainty.
  • Potential for limited competition due to source exclusions.
  • Lack of detail on the specific nature of building repairs.
  • No indication of small business participation.

Tags

commercial-and-institutional-building-co, department-of-defense, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.2 million to RCI INC.. BUILDING REPAIR AFRRI

Who is the contractor on this award?

The obligated recipient is RCI INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $17.2 million.

What is the period of performance?

Start: 2006-09-30. End: 2011-08-07.

What was the specific justification for excluding certain sources in the 'Full and Open Competition After Exclusion of Sources' method, and did this exclusion impact the final price?

The justification for excluding specific sources under this procurement method is not provided in the data. Such exclusions can sometimes limit the competitive landscape, potentially leading to higher prices than if all potential sources were allowed to bid. Further investigation into the solicitation documents would be required to understand the rationale and its financial implications.

Given the Time and Materials pricing structure, what measures were in place to control costs and prevent potential overruns during the 1772-day contract period?

The provided data does not detail the specific cost control measures implemented for this Time and Materials contract. Effective oversight typically involves detailed tracking of labor hours and material costs, establishing not-to-exceed limits, and regular reviews of expenditures to ensure taxpayer funds are used efficiently and prevent unexpected cost escalations.

How does the $17.2 million expenditure for building repairs compare to industry benchmarks for similar projects of comparable scale and complexity within the Department of Defense?

Without specific details on the scope and nature of the building repairs, a direct comparison to industry benchmarks is challenging. However, $17.2 million over nearly five years for a single facility's repairs suggests a significant investment. Benchmarking would require detailed project specifications, location, and the type of construction involved to assess if the cost was competitive.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Contractor Details

Address: 812 LYNDON LANE, LOUISVILLE, KY, 40222

Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations

Financial Breakdown

Contract Ceiling: $17,199,231

Exercised Options: $17,199,231

Current Obligation: $17,199,231

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DACA8703D0004

IDV Type: IDC

Timeline

Start Date: 2006-09-30

Current End Date: 2011-08-07

Potential End Date: 2011-08-07 00:00:00

Last Modified: 2021-02-26

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