Army Lift Station Repair Contract Awarded for $5.37M to Heritage-M2C1 JV
Contract Overview
Contract Amount: $5,366,947 ($5.4M)
Contractor: Heritage-M2c1 Joint Venture
Awarding Agency: Department of Defense
Start Date: 2025-12-16
End Date: 2027-12-01
Contract Duration: 715 days
Daily Burn Rate: $7.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: FTQW 23-1401: REPAIR ARMY LIFT STATION
Place of Performance
Location: EIELSON AFB, FAIRBANKS NORTH STAR County, ALASKA, 99702
State: Alaska Government Spending
Plain-Language Summary
Department of Defense obligated $5.4 million to HERITAGE-M2C1 JOINT VENTURE for work described as: FTQW 23-1401: REPAIR ARMY LIFT STATION Key points: 1. Contract awarded to Heritage-M2C1 Joint Venture for $5.37M. 2. Competition method was 'Full and Open Competition After Exclusion of Sources'. 3. The contract type is Firm Fixed Price, indicating defined costs. 4. The project duration is 715 days, ending December 1, 2027. 5. The contract is for Industrial Building Construction in Alaska.
Value Assessment
Rating: good
The awarded amount of $5.37M appears reasonable for a complex repair project of this nature. Benchmarking against similar Army lift station repair contracts would provide a more precise assessment, but the fixed-price structure suggests a degree of cost control.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The competition was 'Full and Open Competition After Exclusion of Sources', suggesting that while the competition was open, specific sources were initially excluded. This method can impact price discovery if the pool of bidders is unnecessarily restricted.
Taxpayer Impact: The use of a competitive process, even with exclusions, aims to secure a fair price for taxpayers. The final price will be evaluated against market rates for similar construction services.
Public Impact
Ensures critical Army infrastructure remains operational. Supports construction jobs in Alaska. Potential for improved environmental controls at the lift station. Project completion by December 2027 is crucial for Army readiness.
Waste & Efficiency Indicators
Waste Risk Score: 75 / 10
Warning Flags
- Potential impact of source exclusion on competition.
- Durability and long-term effectiveness of repairs.
Positive Signals
- Firm Fixed Price contract provides cost certainty.
- Clear end date for project completion.
- Awarded to a joint venture, potentially bringing specialized expertise.
Sector Analysis
This contract falls under Industrial Building Construction, a sector critical for maintaining government facilities. Spending benchmarks for similar repair and construction projects within the Department of Defense can vary significantly based on location and complexity.
Small Business Impact
The data indicates that small business participation was not a stated requirement or outcome for this specific contract. Further analysis would be needed to determine if any subcontracting opportunities exist for small businesses.
Oversight & Accountability
The 'Full and Open Competition After Exclusion of Sources' method implies a specific justification for excluding certain bidders. Oversight should ensure this exclusion was appropriate and did not unduly limit competition or inflate costs.
Related Government Programs
- Industrial Building Construction
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for limited competition due to source exclusion.
- Risk of unforeseen issues in aging infrastructure.
- Dependence on contractor's ability to meet quality standards.
- Geographic challenges in Alaska impacting project timeline or costs.
Tags
industrial-building-construction, department-of-defense, ak, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $5.4 million to HERITAGE-M2C1 JOINT VENTURE. FTQW 23-1401: REPAIR ARMY LIFT STATION
Who is the contractor on this award?
The obligated recipient is HERITAGE-M2C1 JOINT VENTURE.
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 $5.4 million.
What is the period of performance?
Start: 2025-12-16. End: 2027-12-01.
What was the justification for excluding specific sources in the competition?
The justification for excluding specific sources would typically be documented in the contract's acquisition plan or solicitation documents. Reasons could include specialized capabilities, past performance issues with certain contractors, or specific security requirements that only a limited number of firms could meet. Understanding this rationale is key to assessing the fairness of the competition.
What are the key performance indicators for the lift station repair's effectiveness?
Key performance indicators for the lift station repair's effectiveness would likely include operational uptime, reduced maintenance calls post-repair, compliance with environmental discharge standards, and energy efficiency improvements. The contract should specify metrics for measuring the success of the repairs and the contractor's adherence to quality standards.
How does the $5.37M cost compare to similar projects in Alaska?
Benchmarking the $5.37M cost against similar Army lift station repair projects in Alaska is essential. Factors like the specific scope of work, the age and condition of the existing infrastructure, and local labor and material costs in Alaska will influence this comparison. Without specific comparable data, a definitive assessment of cost-effectiveness is challenging.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Industrial 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: SEALED BID
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: HC 60 BOX 4690-1, DELTA JUNCTION, AK, 99737
Business Categories: Category Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $5,366,947
Exercised Options: $5,366,947
Current Obligation: $5,366,947
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2025-12-16
Current End Date: 2027-12-01
Potential End Date: 2027-12-31 00:00:00
Last Modified: 2026-01-20
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)