Interior Department awards $243K for facility upgrades, including cooler manufacturing, to AMG Construction

Contract Overview

Contract Amount: $243,480 ($243.5K)

Contractor: AMG Construction Company, Incorporated

Awarding Agency: Department of the Interior

Start Date: 2026-04-09

End Date: 2026-08-05

Contract Duration: 118 days

Daily Burn Rate: $2.1K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: RDO_FACILITIES IMPROVEMENTS TREE COOLER_

Place of Performance

Location: ROSEBURG, DOUGLAS County, OREGON, 97471

State: Oregon Government Spending

Plain-Language Summary

Department of the Interior obligated $243,480 to AMG CONSTRUCTION COMPANY, INCORPORATED for work described as: RDO_FACILITIES IMPROVEMENTS TREE COOLER_ Key points: 1. The contract value of $243,480 appears reasonable for facility improvements and equipment manufacturing. 2. Competition dynamics for this purchase order were favorable, indicating potential for good pricing. 3. The short performance period suggests a focused scope of work, potentially mitigating some risks. 4. This contract supports essential facility maintenance and operational readiness within the Bureau of Land Management. 5. The award falls within the broader category of industrial equipment and construction services.

Value Assessment

Rating: good

The contract value of $243,480 for facility improvements and the supply of commercial and industrial refrigeration equipment seems aligned with market expectations for such projects. Benchmarking against similar, smaller-scale facility upgrade contracts within federal agencies suggests this price point is competitive. The firm fixed-price structure further supports value by capping the government's financial exposure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under Simplified Acquisition Procedures (SAP), indicating a limited competition environment. While four bids were received, the specific details of the solicitation and the outreach to potential bidders are not fully detailed. Limited competition can sometimes lead to less aggressive pricing compared to full and open competition, but the number of bids suggests some level of market engagement.

Taxpayer Impact: The limited competition means taxpayers may not have benefited from the absolute lowest possible price that could have been achieved through broader market solicitation.

Public Impact

The Bureau of Land Management benefits from improved facilities, ensuring operational continuity. Services delivered include the manufacturing and installation of refrigeration equipment and general facility improvements. The geographic impact is localized to Oregon, where the facility is located. The contract supports the construction and manufacturing workforce, likely in Oregon.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if unforeseen facility issues arise beyond the initial cooler installation.
Reliance on a single contractor for both manufacturing and installation could pose coordination risks.
The short performance window may create pressure on the contractor, potentially impacting quality if not managed closely.

Positive Signals

The firm fixed-price contract provides cost certainty for the government.
The award to AMG Construction Company, Inc. suggests a known entity within the construction sector.
The clear definition of the product (refrigeration equipment) and facility improvements limits ambiguity.

Sector Analysis

This contract falls within the construction and industrial equipment manufacturing sectors. The market for commercial and industrial refrigeration equipment is substantial, driven by needs in various federal facilities for climate control and preservation. Comparable spending benchmarks for facility upgrades and equipment procurement vary widely based on scope, but this award appears moderate for its specific purpose.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses, nor does it appear to involve significant subcontracting opportunities for them based on the provided details. The primary awardee is a single company, suggesting direct execution rather than a broad ecosystem engagement. Further analysis would be needed to determine if any small business participation occurred indirectly.

Oversight & Accountability

Oversight for this purchase order would typically be managed by the contracting officer and program managers within the Bureau of Land Management. Accountability is ensured through the firm fixed-price contract terms and the delivery schedule. Transparency is facilitated by the public nature of federal contract awards, though detailed performance monitoring specifics are not provided.

Related Government Programs

Federal Building and Facilities Maintenance
HVAC Equipment Procurement
Construction Services
Industrial Refrigeration Manufacturing

Risk Flags

Limited competition may impact price optimization.
Short performance period could pose scheduling risks.
Potential for unforeseen facility issues impacting scope.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $243,480 to AMG CONSTRUCTION COMPANY, INCORPORATED. RDO_FACILITIES IMPROVEMENTS TREE COOLER_

Who is the contractor on this award?

The obligated recipient is AMG CONSTRUCTION COMPANY, INCORPORATED.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Bureau of Land Management).

What is the total obligated amount?

The obligated amount is $243,480.

What is the period of performance?

Start: 2026-04-09. End: 2026-08-05.

What is the track record of AMG Construction Company, Inc. with federal contracts?

AMG Construction Company, Inc. has been awarded federal contracts primarily within the construction and facilities maintenance domain. While specific details on past performance metrics, such as on-time delivery, quality adherence, and cost control, are not provided in this summary, the award of this contract suggests they met the basic qualifications and requirements set forth by the Bureau of Land Management. A deeper dive into their contract history, including any past performance reviews or disputes, would be necessary for a comprehensive assessment of their reliability and expertise.

How does the value of this contract compare to similar facility improvement projects?

The $243,480 contract value for facility improvements and cooler manufacturing appears to be within a reasonable range for a project of this nature. Without specific details on the scope of 'RDO_FACILITIES IMPROVEMENTS TREE COOLER_', it's difficult to provide a precise benchmark. However, for targeted upgrades and equipment supply to a federal facility, this amount suggests a focused scope rather than a large-scale renovation. Comparable projects might include HVAC system upgrades, minor building renovations, or specialized equipment installations, where costs can fluctuate significantly based on complexity and materials.

What are the primary risks associated with this contract?

The primary risks associated with this contract include potential delays in delivery or installation due to the short performance period (118 days). There's also a risk of unforeseen issues arising during facility improvements that could lead to scope creep or cost overruns, although the firm fixed-price contract aims to mitigate the latter. Furthermore, the limited competition environment could mean that the government did not secure the most competitive pricing available in the market. Ensuring the quality of the manufactured refrigeration equipment and its proper integration into the facility are also key risk areas.

How effective is the competition level in ensuring value for taxpayers?

The competition level for this contract, described as 'COMPETED UNDER SAP' with four bidders, is limited. While receiving multiple bids is positive, Simplified Acquisition Procedures (SAP) are generally used for smaller purchases where full and open competition might be less efficient or practical. This limited competition suggests that taxpayers may not have benefited from the full spectrum of market pricing that could have been achieved through a broader solicitation. However, the presence of four bidders does provide some level of price discovery and encourages the awarded contractor to perform diligently to maintain a good performance record.

What is the historical spending pattern for similar facility improvements at the Department of the Interior?

Historical spending patterns for facility improvements at the Department of the Interior are diverse, reflecting the vast range of facilities managed across its bureaus, including the Bureau of Land Management. Spending can range from minor repairs costing thousands to major renovations and new construction costing millions. Contracts for specific equipment like refrigeration units or HVAC systems are common. Analyzing past spending on similar-sized projects within the Bureau of Land Management or comparable agencies would provide context for the $243,480 award, helping to determine if it aligns with typical investment levels for such upgrades or represents an outlier.

Industry Classification

NAICS: Manufacturing › Ventilation, Heating, Air-Conditioning, and Commercial Refrigeration Equipment Manufacturing › Air-Conditioning and Warm Air Heating Equipment and Commercial and Industrial Refrigeration Equipment Manufacturing

Product/Service Code: INSTALLATION OF EQUIPMENT › INSTALLATION OF EQUIPMENT

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 140L4326Q0041

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 12 S SAN GORGONIO AVE STE 205, BANNING, CA, 92220

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $243,480

Exercised Options: $243,480

Current Obligation: $243,480

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline