GSA awards $3.1M contract for Otay Mesa pedestrian walkway replacement to Guardian Construction, Inc

Contract Overview

Contract Amount: $3,072,946 ($3.1M)

Contractor: Guardian Construction, Inc.

Awarding Agency: General Services Administration

Start Date: 2024-09-18

End Date: 2026-03-31

Contract Duration: 559 days

Daily Burn Rate: $5.5K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AWARD OF 47PK1724C0019, OTAY MESA PEDESTRIAN WALKWAY REPLACEMENT, U.S. LAND PORT OF ENTRY- OTAY MESA MAIN BUILDING, 2500 PASEO INTERNACIONAL, SAN DIEGO, CA

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92154

State: California Government Spending

Plain-Language Summary

General Services Administration obligated $3.1 million to GUARDIAN CONSTRUCTION, INC. for work described as: AWARD OF 47PK1724C0019, OTAY MESA PEDESTRIAN WALKWAY REPLACEMENT, U.S. LAND PORT OF ENTRY- OTAY MESA MAIN BUILDING, 2500 PASEO INTERNACIONAL, SAN DIEGO, CA Key points: 1. Contract awarded for critical infrastructure upgrade at a major US-Mexico border port of entry. 2. The project aims to enhance pedestrian safety and flow at the Otay Mesa Land Port of Entry. 3. Guardian Construction, Inc. secured the contract, with performance expected over approximately 18 months. 4. The contract type is Firm Fixed Price, indicating a defined scope and cost. 5. This award represents a specific investment in border infrastructure modernization. 6. The General Services Administration (GSA) is overseeing the project through its Public Buildings Service.

Value Assessment

Rating: fair

The award amount of $3,072,945.76 for a pedestrian walkway replacement at a federal port of entry appears to be within a reasonable range for such specialized construction. However, without specific details on the scope of work, materials, and site conditions, a precise value-for-money assessment is challenging. Benchmarking against similar federal or large-scale commercial walkway projects would be necessary for a more definitive comparison. The fixed-price nature suggests a defined budget, but potential change orders could impact the final cost.

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. The justification for this approach is not provided in the available data, which raises questions about whether alternative contractors were considered or if specific circumstances necessitated a direct award. A sole-source award typically limits price discovery and may result in higher costs compared to a fully competed contract.

Taxpayer Impact: Taxpayers may not have received the benefit of competitive pricing, potentially leading to a higher overall expenditure for this infrastructure project.

Public Impact

Federal agencies operating at the Otay Mesa Land Port of Entry will benefit from improved pedestrian facilities. The project will deliver a safer and more efficient pedestrian crossing experience. The geographic impact is concentrated at the Otay Mesa, California port of entry, a key trade and travel hub. The construction work will likely involve local labor and subcontractors, providing economic stimulus to the San Diego region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may have led to a higher price than a competed contract.
The specific reasons for the sole-source award are not detailed, hindering transparency.
Potential for scope creep or change orders on a fixed-price contract if not managed tightly.

Positive Signals

Addresses a critical infrastructure need at a high-traffic border crossing.
Award to a single contractor streamlines project execution and management.
Firm Fixed Price contract provides cost certainty for the government.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically focusing on infrastructure upgrades at a federal facility. The market for federal construction projects, particularly those involving border infrastructure, is specialized and often involves stringent security and logistical requirements. The GSA's Public Buildings Service manages a vast portfolio of federal buildings and infrastructure, and projects like this are essential for maintaining operational capacity and security at critical government sites.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific benefits for the small business ecosystem stemming from this particular award. The prime contractor, Guardian Construction, Inc., would be responsible for its own workforce and any subcontracts it chooses to engage, but no set-aside requirements are noted.

Oversight & Accountability

Oversight for this contract will be provided by the General Services Administration (GSA), likely through its Public Buildings Service. As a federal contract, it is subject to standard government oversight mechanisms, including contract performance monitoring and financial accountability. While specific inspector general jurisdiction is not detailed, the GSA Office of Inspector General typically oversees GSA contracts for fraud, waste, and abuse.

Related Government Programs

Border Infrastructure Modernization Projects
Federal Port of Entry Upgrades
GSA Public Buildings Service Construction Contracts
Land Port of Entry Enhancements

Risk Flags

Sole-source award lacks competitive pricing.
Limited transparency on award justification.
Potential for cost overruns if scope is not tightly managed.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3.1 million to GUARDIAN CONSTRUCTION, INC.. AWARD OF 47PK1724C0019, OTAY MESA PEDESTRIAN WALKWAY REPLACEMENT, U.S. LAND PORT OF ENTRY- OTAY MESA MAIN BUILDING, 2500 PASEO INTERNACIONAL, SAN DIEGO, CA

Who is the contractor on this award?

The obligated recipient is GUARDIAN CONSTRUCTION, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3.1 million.

What is the period of performance?

Start: 2024-09-18. End: 2026-03-31.

What is the track record of Guardian Construction, Inc. with federal contracts, particularly with the GSA?

Guardian Construction, Inc. has been awarded this definitive contract by the General Services Administration (GSA). Further analysis would require accessing federal procurement databases like SAM.gov or FPDS to review their contract history. This would include examining the number of federal contracts awarded to them, the total value of those contracts, their performance ratings on past projects, and any history of contract disputes or terminations. Understanding their experience with similar construction projects, especially those involving federal facilities or infrastructure, is crucial for assessing their capability to successfully execute the Otay Mesa pedestrian walkway replacement.

How does the awarded amount compare to similar federal pedestrian walkway replacement projects?

Benchmarking the $3.1 million award for the Otay Mesa pedestrian walkway replacement against similar federal projects is challenging without more specific data on the scope of work, materials, and site complexity. However, federal construction projects, especially those at ports of entry, often incur higher costs due to security requirements, specialized materials, and logistical challenges. A comprehensive comparison would involve analyzing contracts for walkway replacements, sidewalk construction, or minor infrastructure upgrades at other federal facilities or ports of entry, considering factors like square footage, durability requirements, and any associated site preparation or utility work. The sole-source nature of this award also complicates direct value comparisons, as competitive bidding typically drives down costs.

What are the primary risks associated with this sole-source contract award?

The primary risk associated with this sole-source contract award is the potential for a lack of competitive pricing. When a contract is not competed, the government may not achieve the most favorable price possible, as there is no market pressure from multiple bidders. This could lead to overpayment for the services rendered. Additionally, sole-source awards can sometimes indicate a lack of available qualified contractors or a rushed procurement process, which might introduce risks related to contractor performance or project delays if not managed diligently. Transparency is also a concern, as the justification for the sole-source award is not readily available, making it difficult to assess if it was truly the best approach for the government.

How effective is the GSA's Public Buildings Service in managing infrastructure projects of this nature?

The GSA's Public Buildings Service (PBS) is responsible for managing a vast portfolio of federal buildings and infrastructure, including many critical facilities like ports of entry. PBS has extensive experience in overseeing construction and renovation projects, aiming to deliver value and maintain federal assets. Their effectiveness is generally considered good, with established processes for project management, quality assurance, and contract oversight. However, like any large organization, performance can vary by project and region. For this specific project, the effectiveness will depend on the PBS's ability to manage the contractor, control costs, ensure quality, and adhere to the schedule, especially given the sole-source nature of the award.

What is the historical spending pattern for pedestrian walkway replacements at federal ports of entry?

Historical spending patterns for pedestrian walkway replacements at federal ports of entry are not readily available as a distinct category in public procurement data. Such projects are often bundled within larger infrastructure improvement contracts or categorized under broader construction headings. However, it is understood that investments in border infrastructure, including pedestrian facilities, have been ongoing and often increase in response to security needs, trade volume, and modernization efforts. The General Services Administration (GSA) and U.S. Customs and Border Protection (CBP) are key agencies involved in such upgrades. Analyzing specific contract awards for similar projects over the past decade would be necessary to identify trends in cost, scope, and frequency.

What are the potential implications of the fixed-price contract type on project outcomes?

A Firm Fixed Price (FFP) contract type, like the one awarded here, establishes a set price for the defined scope of work. This offers cost certainty to the government, as the contractor assumes the risk of cost overruns. For the contractor, it incentivizes efficiency and cost control. However, if the scope of work is not clearly defined or if unforeseen issues arise, the contractor may seek change orders, which can increase the total contract cost. Effective management by the GSA is crucial to ensure the scope remains well-defined and that any changes are justified and properly priced. The FFP structure generally aims to protect the government from cost increases beyond the agreed-upon price.

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: 47PK1724R0050

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 360 SOUTH FORT LANE BLDG #1 , STE D, LAYTON, UT, 84041

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

Financial Breakdown

Contract Ceiling: $3,072,946

Exercised Options: $3,072,946

Current Obligation: $3,072,946

Actual Outlays: $911,661

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline