DoD Awards $6.6M Contract for Beale Refueler Parking Lot Repairs to Chenega Reliable Services LLC
Contract Overview
Contract Amount: $6,601,082 ($6.6M)
Contractor: Chenega Reliable Services LLC
Awarding Agency: Department of Defense
Start Date: 2023-09-12
End Date: 2026-07-01
Contract Duration: 1,023 days
Daily Burn Rate: $6.5K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: BEALE REFUELER PARKING LOT REPAIRS
Place of Performance
Location: BEALE AFB, YUBA County, CALIFORNIA, 95903
Plain-Language Summary
Department of Defense obligated $6.6 million to CHENEGA RELIABLE SERVICES LLC for work described as: BEALE REFUELER PARKING LOT REPAIRS Key points: 1. Contract awarded for essential infrastructure repair at Beale Air Force Base. 2. Chenega Reliable Services LLC, a large business, secured the award. 3. The contract is for Oil and Gas Pipeline and Related Structures Construction. 4. The award value is $6,601,082.34 with a duration of 1023 days. 5. The contract was not available for competition.
Value Assessment
Rating: fair
The contract value of $6.6M for parking lot repairs appears high for the scope. Benchmarking against similar construction projects for airfield infrastructure is needed to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, indicating a limited procurement approach. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The lack of competition may result in a higher price than if multiple bids were solicited, impacting taxpayer funds.
Public Impact
Ensures operational readiness of refueling facilities at Beale AFB. Supports critical infrastructure maintenance for the U.S. Air Force. Potential for cost overruns due to limited competition.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- High contract value for scope
Positive Signals
- Supports critical infrastructure
- Long-term contract duration
Sector Analysis
This contract falls under the construction sector, specifically related to airfield infrastructure. Spending benchmarks for similar repair and construction projects would provide context for the $6.6M award.
Small Business Impact
The contract was awarded to Chenega Reliable Services LLC, a large business. There is no indication that small businesses were involved in this specific award.
Oversight & Accountability
The limited competition raises questions about oversight and accountability in the procurement process. Further review of the justification for other than full and open competition is warranted.
Related Government Programs
- Oil and Gas Pipeline and Related Structures Construction
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Limited competition may lead to inflated costs.
- Potential for inadequate price reasonableness determination.
- Lack of transparency in the procurement process.
- Risk of contractor not delivering best value due to reduced market pressure.
Tags
oil-and-gas-pipeline-and-related-structu, department-of-defense, ca, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $6.6 million to CHENEGA RELIABLE SERVICES LLC. BEALE REFUELER PARKING LOT REPAIRS
Who is the contractor on this award?
The obligated recipient is CHENEGA RELIABLE SERVICES LLC.
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 $6.6 million.
What is the period of performance?
Start: 2023-09-12. End: 2026-07-01.
What is the specific justification for awarding this contract on a limited competition basis, and what steps were taken to ensure fair pricing?
The justification for limited competition needs to be thoroughly reviewed. Agencies typically cite reasons like urgent and compelling needs or unique capabilities. Without this justification, it's difficult to assess if fair pricing was achieved. The government should have explored options to maximize competition or ensure the price was reasonable through independent cost estimates or market research.
How does the $6.6M cost compare to similar airfield parking lot repair projects, and what is the risk of cost overruns?
Benchmarking this $6.6M cost against similar projects is crucial. Factors like square footage, materials, and complexity of airfield operations influence costs. The risk of cost overruns is elevated due to the lack of competition, which typically drives down prices. Without competitive pressure, the contractor may have less incentive to control costs.
What is the long-term effectiveness and durability expected from these repairs, and how will it be measured?
The effectiveness and durability of the repairs should be defined by clear performance standards and metrics within the contract. This includes expected lifespan, resistance to wear and tear, and compliance with airfield safety regulations. Regular inspections and performance reviews throughout the contract duration will be essential to ensure the repairs meet the required standards and provide long-term value.
Industry Classification
NAICS: Construction › Utility System Construction › Oil and Gas Pipeline and Related Structures 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
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 5253 PRUE RD, SAN ANTONIO, TX, 78240
Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $6,601,082
Exercised Options: $6,601,082
Current Obligation: $6,601,082
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-09-12
Current End Date: 2026-07-01
Potential End Date: 2026-07-01 00:00:00
Last Modified: 2026-04-07
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