GSA awards $148.6K contract for steam line diversion at Denver Federal Center to Olgoonik Enterprises, LLC

Contract Overview

Contract Amount: $148,584 ($148.6K)

Contractor: Olgoonik Enterprises, LLC

Awarding Agency: General Services Administration

Start Date: 2026-03-16

End Date: 2026-07-12

Contract Duration: 118 days

Daily Burn Rate: $1.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS PROJECT IS TO DIVERT 12" STEAM LINE ON ALTERNATE / EXTERIOR ROUTE TO AVOID DAMAGES AND RISK FROM CURRENT LEAK KEEP BUILDING HEAT OPERATING AT BUILDING 67 OF THE DENVER FEDERAL CENTER.

Place of Performance

Location: DENVER, JEFFERSON County, COLORADO, 80225

State: Colorado Government Spending

Plain-Language Summary

General Services Administration obligated $148,583.53 to OLGOONIK ENTERPRISES, LLC for work described as: THIS PROJECT IS TO DIVERT 12" STEAM LINE ON ALTERNATE / EXTERIOR ROUTE TO AVOID DAMAGES AND RISK FROM CURRENT LEAK KEEP BUILDING HEAT OPERATING AT BUILDING 67 OF THE DENVER FEDERAL CENTER. Key points: 1. Contract focuses on critical infrastructure maintenance to prevent damage and ensure continuous building heat. 2. The fixed-price contract type suggests a defined scope and predictable cost for the government. 3. Limited competition raises questions about potential price overruns and the best value achieved. 4. The project duration of 118 days indicates a focused, short-term effort. 5. The contract is a delivery order, implying it's part of a larger, pre-existing agreement. 6. Geographic focus on Denver, Colorado, highlights localized infrastructure needs.

Value Assessment

Rating: fair

The contract value of $148,583.53 for diverting a 12" steam line appears reasonable for specialized construction work. However, without a competitive bidding process, it is difficult to benchmark against market rates or determine if this represents the best value. The fixed-price nature provides cost certainty, but the lack of competition limits the ability to assess pricing efficiency. Further analysis would require comparing this to similar infrastructure repair projects in the Denver area.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not openly competed. This approach is typically used when only one contractor possesses the necessary qualifications, or in urgent situations. The lack of competition means the General Services Administration (GSA) did not benefit from multiple bids, which could have driven down the price and potentially led to a more innovative solution. The rationale for the sole-source award needs further justification to ensure taxpayer funds were used efficiently.

Taxpayer Impact: Sole-source awards can lead to higher prices for taxpayers as there is no competitive pressure to offer the lowest possible bid. This limits the government's ability to secure the most cost-effective solution.

Public Impact

Federal employees and operations at Building 67 of the Denver Federal Center benefit from maintained heating services. The project ensures the continued operational integrity of a critical federal facility. The primary service delivered is infrastructure repair and maintenance. The geographic impact is localized to the Denver Federal Center in Colorado.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in a higher price than if the contract were competed.
Sole-source awards can reduce transparency and accountability in the procurement process.
Potential for scope creep or cost overruns if the initial assessment of work is incomplete.

Positive Signals

The contract addresses a critical infrastructure need, preventing potential damage and service disruption.
Fixed-price contract provides cost certainty for the government.
The contractor, Olgoonik Enterprises, LLC, is performing the work, indicating a need for their specific capabilities.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically addressing facility maintenance and repair. The market for such services is competitive, but specialized infrastructure projects like steam line diversion may involve fewer qualified bidders. Benchmarking would typically involve comparing costs for similar repair work on federal or large commercial properties in the Denver metropolitan area. The General Services Administration (GSA) manages a vast portfolio of federal buildings, making infrastructure maintenance a significant and ongoing expenditure.

Small Business Impact

Information regarding small business set-asides or subcontracting is not available for this specific award. As the contract was awarded to Olgoonik Enterprises, LLC, further investigation would be needed to determine if they are a small business and if any subcontracting opportunities were offered to other small businesses. The absence of explicit small business considerations in the provided data warrants attention.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Public Buildings Service. Accountability measures are inherent in the fixed-price contract type, which obligates the contractor to complete the work for the agreed-upon price. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Building Maintenance
Infrastructure Repair Contracts
Public Works Projects
Energy Infrastructure Maintenance

Risk Flags

Sole-source award limits price competition.
Lack of detailed scope in summary data.
Potential for cost overruns if unforeseen issues arise.
Need for justification of sole-source procurement.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $148,583.53 to OLGOONIK ENTERPRISES, LLC. THIS PROJECT IS TO DIVERT 12" STEAM LINE ON ALTERNATE / EXTERIOR ROUTE TO AVOID DAMAGES AND RISK FROM CURRENT LEAK KEEP BUILDING HEAT OPERATING AT BUILDING 67 OF THE DENVER FEDERAL CENTER.

Who is the contractor on this award?

The obligated recipient is OLGOONIK ENTERPRISES, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $148,583.53.

What is the period of performance?

Start: 2026-03-16. End: 2026-07-12.

What is the track record of Olgoonik Enterprises, LLC with the federal government, particularly with the GSA?

Olgoonik Enterprises, LLC has a history of federal contracting, primarily with agencies like the GSA and Department of Defense. Their contract awards often fall within construction, maintenance, and facility support services. Analyzing their past performance, including any reported issues or successes on similar projects, is crucial for assessing their capability to execute this steam line diversion effectively. A review of their contract history would reveal their experience with fixed-price contracts and sole-source awards, providing context for their current engagement. Data on past performance evaluations, if available, would offer further insight into their reliability and quality of work.

How does the awarded amount compare to similar steam line repair or diversion projects in the Denver area?

Benchmarking this $148,583.53 contract against similar projects is challenging without more specific data on the scope and complexity of comparable work. However, projects involving critical infrastructure repair, especially in a federal setting, often command higher prices due to stringent requirements, security protocols, and specialized labor. If similar projects in the Denver area for commercial or municipal facilities were found to be significantly lower, it would raise concerns about the value for money in this sole-source award. Conversely, if comparable federal projects have similar price points, it might suggest the pricing is within an acceptable range for this type of specialized work.

What are the specific risks associated with diverting a 12" steam line, and how are they mitigated by this contract?

The primary risks associated with diverting a steam line include potential leaks, pressure fluctuations, damage to adjacent infrastructure, and disruption of heating services, as noted in the contract description. The contract aims to mitigate these risks by proactively rerouting the line to avoid current damage and leaks, thereby preventing further deterioration and ensuring continuous building heat. The fixed-price nature of the contract incentivizes the contractor, Olgoonik Enterprises, LLC, to complete the work efficiently and safely within the agreed budget. However, the sole-source award means the government relies heavily on the contractor's expertise to identify and manage all potential risks effectively.

What is the historical spending pattern for steam line maintenance and repair at the Denver Federal Center?

Historical spending data for steam line maintenance and repair at the Denver Federal Center is not provided in the current dataset. To assess this contract's significance, a review of past GSA expenditures for similar infrastructure projects at this specific facility or comparable federal centers would be necessary. Understanding the frequency and cost of previous repairs or upgrades would help determine if this $148,583.53 award represents a typical investment, an increase, or a decrease in spending for such services. Analyzing trends over several fiscal years would provide valuable context for evaluating the current contract's financial implications.

What is the justification for the sole-source award, and were any efforts made to explore competitive options?

The provided data indicates the contract was 'NOT AVAILABLE FOR COMPETITION,' suggesting a sole-source justification was made. Typically, sole-source awards are justified under specific circumstances, such as when only one responsible source can provide the required supply or service, or in cases of urgent and compelling need. Without the official justification document (e.g., a Justification and Approval document), it's impossible to ascertain the precise reasons. It is crucial for agencies to demonstrate that competitive options were thoroughly explored and found unviable before resorting to a sole-source procurement to ensure fair and open competition.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 47PJ0023D0002

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5055 MARK DABLING BLVD, COLORADO SPRINGS, CO, 80918

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

Financial Breakdown

Contract Ceiling: $148,584

Exercised Options: $148,584

Current Obligation: $148,584

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47PJ0023D0002

IDV Type: IDC

Timeline