Interior Department awards $19.5M for Wichita Mountains wildlife refuge building, exceeding initial estimates

Contract Overview

Contract Amount: $19,498,866 ($19.5M)

Contractor: Chickasaw Defense Logistics, LLC

Awarding Agency: Department of the Interior

Start Date: 2021-10-11

End Date: 2025-06-02

Contract Duration: 1,330 days

Daily Burn Rate: $14.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AWARD TO DESIGN-BUILD AN ADMINISTRATIVE BUILDING AND SHOP COMPLEX AT WICHITA MOUNTAINS WILDLIFE REFUGE.

Place of Performance

Location: INDIAHOMA, COMANCHE County, OKLAHOMA, 73552

State: Oklahoma Government Spending

Plain-Language Summary

Department of the Interior obligated $19.5 million to CHICKASAW DEFENSE LOGISTICS, LLC for work described as: AWARD TO DESIGN-BUILD AN ADMINISTRATIVE BUILDING AND SHOP COMPLEX AT WICHITA MOUNTAINS WILDLIFE REFUGE. Key points: 1. The contract value of $19.5 million appears to be a significant investment for a single administrative building and shop complex. 2. The procurement method, 'Full and Open Competition After Exclusion of Sources,' suggests a potentially limited competitive landscape. 3. The contract duration of 1330 days (approximately 3.6 years) indicates a substantial, long-term project. 4. The fixed-price contract type aims to control costs, but potential for change orders exists over the project's lifespan. 5. The project's location in Oklahoma may influence labor costs and material availability. 6. The awarding agency, U.S. Fish and Wildlife Service, suggests a focus on conservation and operational support infrastructure.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific details on the building's size, scope, and complexity. However, $19.5 million for an administrative building and shop complex could be on the higher end, depending on the specifications. Further analysis would require comparing it to similar construction projects in the region and for federal agencies with comparable facility needs. The fixed-price nature of the contract provides some cost certainty, but the total expenditure could increase if significant change orders are issued.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which implies that while the competition was intended to be open, certain sources were excluded. This could be due to specific requirements or pre-qualification processes. With 6 bidders, the competition level appears moderate, but the exclusion of sources might have limited the overall pool of potential offerors. This could potentially impact price discovery and lead to a less competitive outcome than a truly unrestricted full and open competition.

Taxpayer Impact: While a moderate number of bidders can lead to competitive pricing, the exclusion of certain sources might mean taxpayers did not benefit from the widest possible range of offers, potentially leading to a higher-than-optimal price.

Public Impact

The primary beneficiaries are the U.S. Fish and Wildlife Service personnel who will utilize the new administrative building and shop complex for operational support. The contract delivers essential infrastructure for managing and maintaining the Wichita Mountains Wildlife Refuge. The geographic impact is localized to the Wichita Mountains Wildlife Refuge in Oklahoma. The project will likely create temporary construction jobs in the Oklahoma region, supporting the local workforce during the construction phase.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Exclusion of Sources' clause in the competition type warrants scrutiny to ensure it was justified and did not unduly restrict competition.
The total contract value of $19.5 million for a single building complex could indicate potential cost overruns or scope creep if not managed tightly.
The long contract duration (1330 days) increases the risk of unforeseen economic fluctuations impacting material and labor costs, despite the fixed-price nature.

Positive Signals

The use of a Firm Fixed Price contract type provides a degree of cost certainty for the government.
The award to Chickasaw Defense Logistics, LLC, may indicate a focus on supporting businesses with ties to specific regions or communities.
The U.S. Fish and Wildlife Service's clear need for operational infrastructure suggests the project addresses a genuine requirement for refuge management.

Sector Analysis

The construction sector, particularly commercial and institutional building construction, is a significant part of the federal contracting landscape. Federal agencies frequently procure construction services for a wide range of facilities, from administrative offices to specialized research labs and operational support buildings. Spending in this sector can fluctuate based on infrastructure needs, agency budgets, and national priorities. Comparable projects would include other federal building constructions, especially those for land management or conservation agencies, where costs can range widely based on location, size, and specialized requirements.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While the prime contractor, Chickasaw Defense Logistics, LLC, may be a small business, the contract itself was not designated as a small business set-aside. This means that subcontracting opportunities for small businesses will depend on the prime contractor's own subcontracting plan and decisions. There is no explicit indication of a focus on maximizing small business involvement through this specific award.

Oversight & Accountability

Oversight for this contract would primarily fall under the U.S. Fish and Wildlife Service's contracting and program management offices. The Department of the Interior's Office of Inspector General (OIG) would have jurisdiction to investigate any allegations of fraud, waste, or abuse related to this award. Transparency is facilitated through contract award databases like FPDS, which provide basic details of the contract. However, detailed project oversight, progress monitoring, and quality assurance would be managed by the agency's on-site representatives and contracting officers.

Related Government Programs

Federal Building Construction
Wildlife Refuge Management
Department of the Interior Construction Contracts
U.S. Fish and Wildlife Service Facilities

Risk Flags

Potential for cost overruns due to long contract duration.
Limited competition due to source exclusion.
Need for detailed review of contractor performance history.
Scope definition and potential for change orders.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $19.5 million to CHICKASAW DEFENSE LOGISTICS, LLC. AWARD TO DESIGN-BUILD AN ADMINISTRATIVE BUILDING AND SHOP COMPLEX AT WICHITA MOUNTAINS WILDLIFE REFUGE.

Who is the contractor on this award?

The obligated recipient is CHICKASAW DEFENSE LOGISTICS, LLC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (U.S. Fish and Wildlife Service).

What is the total obligated amount?

The obligated amount is $19.5 million.

What is the period of performance?

Start: 2021-10-11. End: 2025-06-02.

What is the specific scope of work and detailed specifications for the administrative building and shop complex?

The provided data offers a high-level description: 'AWARD TO DESIGN-BUILD AN ADMINISTRATIVE BUILDING AND SHOP COMPLEX AT WICHITA MOUNTAINS WILDLIFE REFUGE.' To fully assess the value and appropriateness of the $19.5 million award, detailed specifications are crucial. This would include the square footage of the buildings, the types of facilities required (e.g., office space, workshops, storage, vehicle maintenance areas), specific construction materials, energy efficiency standards, security requirements, and any specialized equipment to be integrated. Without these details, it is difficult to benchmark the cost per square foot or compare it accurately to similar construction projects. The 'design-build' aspect indicates the contractor is responsible for both the design and construction phases, which can offer efficiencies but also requires careful oversight to ensure the final design meets all functional and regulatory needs within the awarded budget.

How does the $19.5 million award compare to the estimated cost or budget for this project?

The provided data does not include the original estimated cost or budget for the administrative building and shop complex. The award amount of $19.5 million represents the final negotiated price. To assess value for money, this award amount should be compared against the government's independent cost estimate (ICE) or the agency's allocated budget for the project. If the award is significantly higher than the ICE, it could indicate issues with the bidding process, the realism of the estimates, or the contractor's pricing strategy. Conversely, if it is well within the estimated range, it suggests a potentially competitive outcome. Understanding the relationship between the award and the initial budget is key to evaluating fiscal responsibility.

What were the specific reasons for excluding certain sources in the 'Full and Open Competition After Exclusion of Sources' procurement?

The 'Full and Open Competition After Exclusion of Sources' (F&O CAES) designation implies that while the competition was intended to be open to all responsible sources, specific criteria or circumstances led to the exclusion of some potential bidders. Common reasons for such exclusions include specific technical requirements that only a limited number of firms possess, unique capabilities, or prior performance issues with certain contractors. Without further documentation (e.g., Justification and Approval for Other Than Full and Open Competition, or detailed solicitation documents), the exact rationale remains unclear. Understanding these exclusions is vital because it directly impacts the level of competition achieved and could potentially affect the final price and quality of the outcome for taxpayers.

What is the track record of Chickasaw Defense Logistics, LLC, in completing similar federal construction projects?

Information on the track record of Chickasaw Defense Logistics, LLC, for similar federal construction projects is not detailed in the provided data. While the award amount is $19.5 million, and the contract type is Firm Fixed Price for a definitive contract, this does not reveal the company's past performance history, project completion success rate, or experience with projects of comparable scale and complexity. A thorough assessment would require reviewing past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), other federal contract awards to this entity, and any reported issues or disputes on previous projects. This information is critical for evaluating the risk associated with awarding this significant contract to the chosen vendor.

What are the potential risks associated with a 1330-day (approx. 3.6 years) fixed-price construction contract?

A fixed-price contract for a project spanning 1330 days carries several inherent risks. While the fixed price aims to cap the government's cost, the long duration increases the likelihood of unforeseen economic changes, such as inflation in material costs, labor rate increases, or supply chain disruptions. If the contract does not include robust escalation clauses or mechanisms for adjusting prices based on significant market shifts, the contractor might face financial strain, potentially leading to quality compromises or disputes. Conversely, if the contractor priced aggressively anticipating stable conditions, they might seek change orders to recoup unexpected costs. Furthermore, the extended timeline increases the risk of design obsolescence or changes in regulatory requirements during the project lifecycle, necessitating costly modifications.

How does this contract fit into the broader spending patterns for federal wildlife refuge infrastructure?

This $19.5 million contract for an administrative building and shop complex represents a specific investment in the operational infrastructure of the Wichita Mountains Wildlife Refuge. To understand its place in broader spending patterns, one would need to analyze historical federal spending on refuge infrastructure, particularly by the U.S. Fish and Wildlife Service. This includes examining trends in the number and value of construction contracts awarded for similar facilities (visitor centers, maintenance depots, administrative offices) across the National Wildlife Refuge System. Comparing this award to the average cost of such facilities, the frequency of major infrastructure projects, and the overall budget allocated to refuge operations and maintenance would provide context. A single $19.5 million project could be a significant capital investment or a routine replacement, depending on the agency's overall capital improvement plan and historical spending levels.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 140F0821R0005

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2600 JOHN SAXON BLVD STE 302, NORMAN, OK, 73071

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, Government, Native American Tribal Government, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,498,866

Exercised Options: $19,498,866

Current Obligation: $19,498,866

Actual Outlays: $19,498,866

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline