Air Force awards $21.6M contract for Beale AFB dorm renovations to Insight Environmental Engineering & Construction

Contract Overview

Contract Amount: $21,660,689 ($21.7M)

Contractor: Insight Environmental Engineering & Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-07-30

End Date: 2026-05-08

Contract Duration: 1,013 days

Daily Burn Rate: $21.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: RENOVATE JR ENLISTED DORMS 24110 24114 BEALE AFB

Place of Performance

Location: BEALE AFB, YUBA County, CALIFORNIA, 95903

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $21.7 million to INSIGHT ENVIRONMENTAL ENGINEERING & CONSTRUCTION, INC. for work described as: RENOVATE JR ENLISTED DORMS 24110 24114 BEALE AFB Key points: 1. The contract focuses on renovating enlisted dormitories at Beale AFB, a critical infrastructure need. 2. Insight Environmental Engineering & Construction, Inc. secured the award, indicating potential market concentration. 3. The contract's 'Full and Open Competition After Exclusion of Sources' method warrants scrutiny regarding its impact on price discovery. 4. The project falls within the Commercial and Institutional Building Construction sector, a significant area of federal spending.

Value Assessment

Rating: fair

The award amount of $21.6 million for dormitory renovations appears within a reasonable range for large-scale construction projects. However, without specific details on the scope of work and comparable project costs, a precise valuation is difficult. Benchmarking against similar military housing renovation contracts would provide better context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method, 'Full and Open Competition After Exclusion of Sources,' suggests that while the competition was intended to be broad, certain sources were excluded. This could limit the pool of potential bidders and potentially impact the final price achieved compared to a truly unrestricted full and open competition.

Taxpayer Impact: The $21.6 million expenditure represents taxpayer funds allocated to improving military housing infrastructure. The effectiveness of the competition method in securing the best value for taxpayers is a key consideration.

Public Impact

Improved living conditions for junior enlisted personnel at Beale AFB. Potential for job creation within the construction sector in California. Modernization of aging military housing facilities, enhancing readiness and morale.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method may have restricted price discovery.
Lack of small business participation noted.

Positive Signals

Addresses critical infrastructure needs for military personnel.
Firm Fixed Price contract provides cost certainty.

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector, which is a substantial component of federal procurement. Spending in this sector often involves significant capital investment for government facilities and infrastructure.

Small Business Impact

The data indicates that small businesses were not involved in this contract (ss: false, sb: false). This suggests a missed opportunity to support small business participation in federal contracting, particularly in the construction sector where they often play a vital role.

Oversight & Accountability

The 'Full and Open Competition After Exclusion of Sources' method requires careful justification to ensure it serves the government's best interests. Oversight should focus on the rationale for excluding sources and the resulting price competitiveness.

Related Government Programs

Commercial and Institutional Building Construction
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Limited competition may have inflated costs.
Lack of small business participation.
Potential for scope creep in large renovation projects.
Dependency on a single contractor for a multi-year project.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.7 million to INSIGHT ENVIRONMENTAL ENGINEERING & CONSTRUCTION, INC.. RENOVATE JR ENLISTED DORMS 24110 24114 BEALE AFB

Who is the contractor on this award?

The obligated recipient is INSIGHT ENVIRONMENTAL ENGINEERING & CONSTRUCTION, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $21.7 million.

What is the period of performance?

Start: 2023-07-30. End: 2026-05-08.

What was the specific rationale for excluding certain sources in this 'Full and Open Competition After Exclusion of Sources' award, and how did it impact the final price?

The rationale for excluding sources under this procurement method typically relates to specific technical requirements, past performance, or unique capabilities needed for the project. Without detailed documentation, it's difficult to ascertain the exact reasons. However, limiting the bidder pool can potentially reduce competitive pressure, leading to a higher price than might be achieved in an unrestricted competition. Further investigation into the solicitation documents would be necessary to confirm the specific exclusions and their pricing implications.

How does the $21.6 million cost compare to similar dormitory renovation projects at other Air Force bases, considering the scope and duration?

Benchmarking this $21.6 million contract against similar Air Force dormitory renovation projects requires access to detailed cost data and project scopes. Factors like the number of dorms, square footage, specific renovation requirements (e.g., structural, HVAC, interior), and regional construction cost variations significantly influence pricing. A preliminary assessment suggests the amount is substantial, but a definitive value judgment necessitates a comparative analysis with projects of comparable scale and complexity across different installations.

What measures are in place to ensure the quality and timely completion of the dormitory renovations, given the 1013-day duration?

The Air Force likely employs a multi-faceted approach to ensure quality and timely completion. This typically includes robust contract oversight by contracting officers and technical representatives, regular site inspections, performance monitoring against milestones, and adherence to the Firm Fixed Price contract terms. The extended duration of 1013 days suggests a complex project, necessitating diligent project management and clear communication channels between the government and Insight Environmental Engineering & Construction, Inc. to mitigate risks and ensure successful delivery.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2749 SATURN ST, BREA, CA, 92821

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,660,689

Exercised Options: $21,660,689

Current Obligation: $21,660,689

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA890317D0009

IDV Type: IDC

Timeline