GSA awards $5.1M construction contract for DOJ immigration review office renovation in Indiana

Contract Overview

Contract Amount: $5,149,844 ($5.1M)

Contractor: KEO & Associates Inc

Awarding Agency: General Services Administration

Start Date: 2023-05-05

End Date: 2024-12-29

Contract Duration: 604 days

Daily Burn Rate: $8.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION SERVICES FOR U.S. DEPARTMENT OF JUSTICE, EXECUTIVE OFFICE FOR IMMIGRATION REVIEW RENOVATION, MINTON CAPEHART FEDERAL BUILDING, INDIANAPOLIS, IN

Place of Performance

Location: INDIANAPOLIS, MARION County, INDIANA, 46204

State: Indiana Government Spending

Plain-Language Summary

General Services Administration obligated $5.1 million to KEO & ASSOCIATES INC for work described as: CONSTRUCTION SERVICES FOR U.S. DEPARTMENT OF JUSTICE, EXECUTIVE OFFICE FOR IMMIGRATION REVIEW RENOVATION, MINTON CAPEHART FEDERAL BUILDING, INDIANAPOLIS, IN Key points: 1. Contract value appears reasonable for a federal building renovation of this scope. 2. Full and open competition suggests a competitive bidding process. 3. Contract duration of 604 days indicates a substantial project timeline. 4. Fixed-price contract type shifts risk to the contractor. 5. Project is located in Indiana, impacting local construction workforce. 6. Contractor KEO & ASSOCIATES INC has a track record with federal projects.

Value Assessment

Rating: good

The contract value of approximately $5.1 million for the renovation of the Executive Office for Immigration Review space within the Minton Capehart Federal Building seems aligned with typical federal construction projects of similar scale and complexity. Benchmarking against other GSA-administered renovations for office spaces of comparable size and location would provide further context, but the initial assessment suggests fair pricing. The firm fixed-price structure indicates that the contractor is responsible for managing costs to meet the agreed-upon price, which is a standard practice for projects where the scope is well-defined.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the initial solicitation may have had some exclusions, the final award was made through a broad competitive process. The presence of 7 bidders suggests a healthy level of competition for this project. A higher number of bidders generally leads to more competitive pricing and a wider selection of qualified contractors, benefiting the government.

Taxpayer Impact: The robust competition for this renovation project is beneficial for taxpayers as it likely drove down the final contract price and ensured the selection of a capable contractor, maximizing the value of federal funds.

Public Impact

The primary beneficiaries are the Executive Office for Immigration Review (EOIR) personnel who will occupy the renovated space, leading to improved working conditions. The project delivers essential renovation and construction services to modernize federal office infrastructure. The geographic impact is concentrated in Indianapolis, Indiana, potentially creating local construction jobs. The contract supports the federal government's need for functional and updated office facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if renovation requirements evolve beyond initial specifications.
Risk of delays due to unforeseen site conditions common in older federal buildings.
Dependence on contractor's ability to manage subcontractors effectively.
Ensuring compliance with all federal building codes and accessibility standards.

Positive Signals

Firm fixed-price contract mitigates cost overrun risk for the government.
Full and open competition suggests a competitive pricing environment.
Contract duration is clearly defined, allowing for project planning.
Contractor KEO & ASSOCIATES INC has experience with federal projects.

Sector Analysis

This contract falls within the construction services sector, specifically focusing on commercial and institutional building construction. The General Services Administration (GSA) is a major procurer of construction and renovation services for federal buildings nationwide. The market for federal construction is substantial, with agencies like GSA consistently investing in maintaining and upgrading their real estate portfolio. This project represents a typical investment in facility modernization to ensure operational efficiency and compliance with modern standards.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false) and did not involve specific small business subcontracting goals (sb: false). This suggests that the primary award was made to a larger entity, KEO & ASSOCIATES INC. While this specific contract may not directly benefit small businesses through set-asides, the prime contractor may still engage small businesses as subcontractors, contributing to the broader small business ecosystem. Further analysis of subcontracting plans would be needed to fully assess the impact.

Oversight & Accountability

Oversight for this contract will likely be managed by the General Services Administration (GSA), specifically the Public Buildings Service. The firm fixed-price nature of the contract provides a degree of financial oversight by fixing the total cost. Accountability measures are typically embedded in the contract terms, including performance standards and delivery schedules. Transparency is facilitated through federal procurement databases where contract awards are reported. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Federal Building Renovations
GSA Office Space Modernization
Department of Justice Facilities
Immigration and Customs Enforcement Facilities
General Services Administration Construction Contracts

Risk Flags

Potential for unforeseen site conditions in older federal buildings.
Risk of construction delays impacting project completion.
Contractor performance and adherence to quality standards.
Ensuring compliance with all applicable federal regulations and codes.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $5.1 million to KEO & ASSOCIATES INC. CONSTRUCTION SERVICES FOR U.S. DEPARTMENT OF JUSTICE, EXECUTIVE OFFICE FOR IMMIGRATION REVIEW RENOVATION, MINTON CAPEHART FEDERAL BUILDING, INDIANAPOLIS, IN

Who is the contractor on this award?

The obligated recipient is KEO & ASSOCIATES INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $5.1 million.

What is the period of performance?

Start: 2023-05-05. End: 2024-12-29.

What is the track record of KEO & ASSOCIATES INC with federal contracts, particularly with the GSA?

KEO & ASSOCIATES INC has a history of performing federal construction and renovation projects. While specific details on their GSA contract performance require deeper database analysis, their selection for this $5.1 million project suggests they meet the qualifications and experience requirements set by the General Services Administration. Federal contractors are typically evaluated on past performance, technical capabilities, and financial stability. A review of their contract history would reveal the types of projects undertaken, their performance ratings on previous federal awards, and any significant issues encountered. This information is crucial for assessing their reliability and suitability for future federal work.

How does the $5.1 million contract value compare to similar federal office renovations in Indiana?

Benchmarking the $5.1 million contract value against similar federal office renovations in Indiana requires access to a comprehensive database of historical federal construction contracts. Factors such as square footage, complexity of the renovation (e.g., structural changes, MEP upgrades), and specific agency requirements significantly influence cost. Generally, federal projects tend to be more expensive than private sector counterparts due to stringent compliance, security, and reporting requirements. Without specific comparable project data, it's difficult to definitively state if this contract represents a premium or a discount. However, the presence of 7 bidders in a full and open competition suggests the price was likely competitive within the federal contracting landscape for this type of work in the region.

What are the primary risks associated with this specific construction project, and how are they mitigated?

The primary risks associated with this construction project include unforeseen site conditions (e.g., asbestos, structural issues in an older building), potential delays due to weather or supply chain disruptions, and contractor performance issues. Mitigation strategies are embedded within the contract. The firm fixed-price structure shifts the financial risk of cost overruns to the contractor, incentivizing efficient management. The defined contract duration (604 days) provides a timeline for performance, and the 'Full and Open Competition' process aims to select a contractor with a proven track record, reducing performance risk. GSA oversight and standard construction management practices are in place to monitor progress and address issues as they arise.

What is the expected impact of this renovation on the operational effectiveness of the Executive Office for Immigration Review?

This renovation is expected to significantly enhance the operational effectiveness of the Executive Office for Immigration Review (EOIR) by providing a modernized, functional, and potentially more secure workspace. Improved facilities can lead to better employee morale, increased productivity, and enhanced capacity to handle caseloads. Modernized infrastructure often incorporates better technology integration, improved lighting and climate control, and more efficient space utilization. For EOIR, which deals with critical legal processes, a well-designed and updated office environment is essential for maintaining efficiency, ensuring confidentiality, and supporting the demanding work of immigration judges and staff.

How has federal spending on construction services for office renovations trended in recent years, and does this contract align with that trend?

Federal spending on construction services for office renovations has generally remained robust, driven by the need to maintain and modernize aging federal facilities across various agencies. The General Services Administration (GSA) is a primary driver of this spending, managing a vast portfolio of government buildings. Trends often reflect priorities such as energy efficiency upgrades, security enhancements, and adapting spaces for modern work environments. This $5.1 million contract for the EOIR renovation aligns with the ongoing federal commitment to facility modernization. While specific year-over-year trends fluctuate based on budget appropriations and agency needs, such renovation projects are a consistent component of federal real estate management.

What does the 'Full and Open Competition After Exclusion of Sources' designation imply about the procurement process?

The designation 'Full and Open Competition After Exclusion of Sources' indicates a nuanced procurement approach. Initially, certain sources or types of contractors might have been excluded from consideration, perhaps due to specific requirements or pre-qualification steps. However, the 'Full and Open Competition' aspect means that after any initial exclusions, the remaining pool of eligible sources was subjected to a broad, competitive bidding process. This ensures that multiple qualified vendors had the opportunity to compete, aiming to achieve the best value for the government. It differs from a sole-source or limited competition where the pool of bidders is intentionally restricted from the outset.

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: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 47PF0023R0006

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 18286 WYOMING ST, DETROIT, MI, 48221

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $5,149,844

Exercised Options: $5,149,844

Current Obligation: $5,149,844

Actual Outlays: $5,038,599

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline