DOD Awards $352M Facilities Support Contract to Fluor Intercontinental, Inc. for Operation Allies Welcome
Contract Overview
Contract Amount: $352,082,925 ($352.1M)
Contractor: Fluor Intercontinental, Inc
Awarding Agency: Department of Defense
Start Date: 2021-08-22
End Date: 2022-11-25
Contract Duration: 460 days
Daily Burn Rate: $765.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: HAFB OPERATION ALLIES WELCOME (REFUGE) - O21R
Place of Performance
Location: HOLLOMAN AFB, OTERO County, NEW MEXICO, 88330
Plain-Language Summary
Department of Defense obligated $352.1 million to FLUOR INTERCONTINENTAL, INC for work described as: HAFB OPERATION ALLIES WELCOME (REFUGE) - O21R Key points: 1. Contract awarded to Fluor Intercontinental, Inc. for $352M. 2. Services fall under Facilities Support Services (NAICS 561210). 3. Full and open competition was utilized. 4. Contract duration is 460 days. 5. This contract supports Operation Allies Welcome (Refuge).
Value Assessment
Rating: good
The contract is a Cost Plus Fixed Fee type, which allows for flexibility but requires careful oversight to manage costs. The awarded amount of $352M for 460 days suggests a significant scope of work.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing.
Taxpayer Impact: Full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment for contractors.
Public Impact
Supports critical humanitarian mission for Afghan refugees. Provides essential facilities management services. Significant federal investment in supporting displaced persons.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contracts can incentivize cost overruns if not managed properly.
- Potential for scope creep in large-scale support operations.
- Reliance on a single contractor for critical support services.
Positive Signals
- Supports a vital national security and humanitarian initiative.
- Utilizes full and open competition to ensure value.
- Contract awarded to an experienced provider in the sector.
Sector Analysis
Facilities Support Services are crucial for maintaining operational readiness and infrastructure. Spending in this sector can fluctuate based on government needs, such as emergency operations like Operation Allies Welcome.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this contract award.
Oversight & Accountability
Cost Plus Fixed Fee contracts require diligent oversight from the contracting agency to ensure costs are reasonable and fixed fees are justified. Performance monitoring is key.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Cost Plus Fixed Fee contract type.
- Large contract value.
- Potential for undefined scope creep.
- Reliance on a single prime contractor.
Tags
facilities-support-services, department-of-defense, nm, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $352.1 million to FLUOR INTERCONTINENTAL, INC. HAFB OPERATION ALLIES WELCOME (REFUGE) - O21R
Who is the contractor on this award?
The obligated recipient is FLUOR INTERCONTINENTAL, 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 $352.1 million.
What is the period of performance?
Start: 2021-08-22. End: 2022-11-25.
What specific facilities support services are included under this contract?
The contract likely includes a broad range of services such as base operations support, maintenance, logistics, housing, and potentially security services. Detailed scope is usually outlined in the Performance Work Statement (PWS) which is not provided here, but the 'Facilities Support Services' NAICS code suggests comprehensive operational support.
How will the agency ensure cost control with a Cost Plus Fixed Fee contract?
The agency will likely implement rigorous financial oversight, regular audits, and performance reviews. They will monitor all incurred costs against the contract's ceiling and ensure the fixed fee is earned based on meeting performance objectives and adhering to the scope of work.
What is the potential long-term impact of this contract on the local economy in New Mexico?
This contract could provide a significant economic boost through job creation, subcontractor opportunities, and local procurement by Fluor Intercontinental, Inc. The duration and scale of the operation will determine the extent of the economic impact, potentially supporting local businesses and service providers.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Fluor Corporation
Address: 100 FLUOR DANIEL DR, GREENVILLE, SC, 29607
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $352,082,925
Exercised Options: $352,082,925
Current Obligation: $352,082,925
Actual Outlays: $330,417,440
Subaward Activity
Number of Subawards: 126
Total Subaward Amount: $402,156,136
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA805120D0004
IDV Type: IDC
Timeline
Start Date: 2021-08-22
Current End Date: 2022-11-25
Potential End Date: 2022-11-25 00:00:00
Last Modified: 2023-09-12
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- 200607!601203!2100!w912er!transatlantic Program Center !w912er04d0004 !A!N! !Y!0017 ! !20060410!20070514!140243291!140243291!006907190!n!fluor Intercontinental Inc !100 Fluor Daniel Drive !greenville !SC!29607!00000! !IZ! ! !iraq !+000059103585!n!n!000000000000!z299!maint/All Other Non-Building Facilities !S1 !services !000 !NOT Discernable !541330!E! !5!B!M! !A! !99990909!B! ! !A! !a!u!j!2!030!b! !Z!N!A! ! !N!M!N! ! ! ! ! !a!a!000!a!b!n! ! ! !Y! ! !0001! ! — $375.8M (Department of Defense)
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