Army Awards $13.7M for Rock Island Arsenal Development Services

Contract Overview

Contract Amount: $15,436,956 ($15.4M)

Contractor: Rock Island Arsenal Development Group

Awarding Agency: Department of Defense

Start Date: 2003-09-30

End Date: 2008-04-15

Contract Duration: 1,659 days

Daily Burn Rate: $9.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200312!003630!2100!AA09 !U.S. ARMY INDUSTRIAL OPERATIONS !DAAA0903E3004 !A!N! !N! !20030930!20050929!137348764!137348764!137348764!N!ROCK ISLAND ARSENAL DEVELOPMEN!1830 2ND AVE STE 200 !ROCK ISLAND !IL!61201!65104!161!17!ROCK ISLAND ARSENAL !ROCK ISLAND !ILLINOIS !+000000200000!N!N!000000000020!R799!OTHER MANAGEMENT SUPPORT SERVICES !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !531390!E! !3! ! ! ! ! !99990909!B! ! !A! !D!U!J!1!001!N!3A!Z!N!Z! ! !Y!Z!N! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: ROCK ISLAND, ROCK ISLAND County, ILLINOIS, 61299

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $15.4 million to ROCK ISLAND ARSENAL DEVELOPMENT GROUP for work described as: 200312!003630!2100!AA09 !U.S. ARMY INDUSTRIAL OPERATIONS !DAAA0903E3004 !A!N! !N! !20030930!20050929!137348764!137348764!137348764!N!ROCK ISLAND ARSENAL DEVELOPMEN!1830 2ND AVE STE 200 !ROCK ISLAND !IL!61201!65104!161!17!ROCK ISLAND ARSENAL !ROCK … Key points: 1. Contract awarded for development services at Rock Island Arsenal. 2. The contract was not competed, raising potential concerns about price discovery. 3. Services are classified under 'Other Activities Related to Real Estate'. 4. The duration of the contract is over 4 years, indicating a significant commitment.

Value Assessment

Rating: questionable

The contract value of $13.7M over approximately 4.5 years averages around $3M annually. Without specific benchmarks for 'Other Management Support Services' or real estate development at military installations, a direct pricing comparison is difficult. However, the lack of competition suggests potential for overpayment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This method limits price discovery and may result in higher costs for taxpayers compared to a competitive bidding process. The specific justification for sole-sourcing is not detailed.

Taxpayer Impact: The lack of competition for a $13.7M contract could lead to inefficient use of taxpayer funds if the price is not optimized through market forces.

Public Impact

Taxpayers may be paying more than necessary due to the absence of competitive bidding. The specific nature of 'Other Management Support Services' for real estate development is unclear to the public. The long-term commitment of over 4 years suggests a sustained need for these services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for overpayment
Unclear service details

Positive Signals

Contract awarded to a specific entity for development services.

Sector Analysis

This contract falls under 'Other Management Support Services' related to real estate development at a military installation. Spending in this category can vary widely depending on the scale and complexity of development projects. Benchmarks are difficult without more specific service definitions.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. The sole-source nature of the award may limit opportunities for small business participation.

Oversight & Accountability

The lack of competition raises questions about the oversight applied to ensure fair pricing and value for money. Further investigation into the justification for the sole-source award and the negotiation process would be beneficial.

Related Government Programs

Other Activities Related to Real Estate
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Lack of competition
Potential for inflated pricing
Limited transparency on service details
Unclear justification for sole-source award

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.4 million to ROCK ISLAND ARSENAL DEVELOPMENT GROUP. 200312!003630!2100!AA09 !U.S. ARMY INDUSTRIAL OPERATIONS !DAAA0903E3004 !A!N! !N! !20030930!20050929!137348764!137348764!137348764!N!ROCK ISLAND ARSENAL DEVELOPMEN!1830 2ND AVE STE 200 !ROCK ISLAND !IL!61201!65104!161!17!ROCK ISLAND ARSENAL !ROCK ISLAND !ILLINOIS !+000000200000!N!N!000000000020!R799!OTHER MANAGEMENT SUPPORT SERVICES !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !531390!E! !3! ! ! ! ! !99990909!B

Who is the contractor on this award?

The obligated recipient is ROCK ISLAND ARSENAL DEVELOPMENT GROUP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $15.4 million.

What is the period of performance?

Start: 2003-09-30. End: 2008-04-15.

What specific real estate development services were provided under this contract, and how do they align with the Army's needs at Rock Island Arsenal?

The contract specifies 'Other Management Support Services' related to real estate development. Without further details, it's difficult to ascertain the exact nature of these services. They could range from planning and consulting to project management or oversight of construction activities. Understanding the specific deliverables is crucial for assessing the contract's necessity and effectiveness in supporting the Arsenal's operational or infrastructural goals.

What was the justification for awarding this $13.7M contract on a sole-source basis, and what steps were taken to ensure fair and reasonable pricing?

The justification for the sole-source award is not provided in the data. Typically, sole-source contracts are used when only one responsible source can provide the required supplies or services. Agencies must document this justification and conduct price analysis to ensure fair and reasonable pricing. Without this documentation, it's impossible to assess if competitive alternatives were adequately explored or if the pricing reflects market value.

How does the $13.7M contract value compare to similar real estate development services procured by other military branches or government agencies?

Direct comparison is challenging due to the broad 'Other Management Support Services' classification and the specific context of military installation development. Benchmarking would require identifying contracts with similar scopes of work, durations, and geographic locations. The lack of competition for this contract makes it harder to establish a reliable market price, potentially skewing any comparison towards a less favorable outcome for the government.

Industry Classification

NAICS: Real Estate and Rental and Leasing › Activities Related to Real Estate › Other Activities Related to Real Estate

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1775 EAST ST # 1, ROCK ISLAND, IL, 17

Business Categories: Category Business, Community Development Corporation, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline