DoD Awards $36.6M Construction Contract for LA SFB Space Acquisition Mission

Contract Overview

Contract Amount: $36,553,089 ($36.6M)

Contractor: Insight Environmental Engineering & Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-07-28

End Date: 2026-06-27

Contract Duration: 1,065 days

Daily Burn Rate: $34.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: REPAIR B271 3RD FLOOR FOR SPACE ACQUISITION MISSION, LOS ANGELES SFB, CA

Place of Performance

Location: EL SEGUNDO, LOS ANGELES County, CALIFORNIA, 90245

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $36.6 million to INSIGHT ENVIRONMENTAL ENGINEERING & CONSTRUCTION, INC. for work described as: REPAIR B271 3RD FLOOR FOR SPACE ACQUISITION MISSION, LOS ANGELES SFB, CA Key points: 1. Contract awarded to Insight Environmental Engineering & Construction, Inc. for building repair. 2. Full and open competition was utilized after excluding sources, suggesting a competitive process. 3. The contract value is substantial, indicating a significant infrastructure investment. 4. The project is located in California, a key state for aerospace and defense activities.

Value Assessment

Rating: good

The contract value of $36.6 million appears reasonable for a large-scale construction project of this nature. Benchmarking against similar commercial and institutional building construction contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This method implies that initial sources were considered, but the final award was made through a competitive process, which generally supports fair price discovery.

Taxpayer Impact: The use of full and open competition, even with initial exclusions, aims to secure the best value for taxpayers by fostering a competitive environment for the awarded contract.

Public Impact

Supports critical space acquisition mission infrastructure at Los Angeles SFB. Creates construction jobs in California. Enhances facility capabilities for the Department of the Air Force.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method requires careful review to ensure optimal pricing.
Project duration of nearly three years necessitates robust oversight.

Positive Signals

Awarded under a competitive process.
Supports a critical national security mission.

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector is crucial for maintaining and upgrading federal facilities, with benchmarks varying significantly based on project scope and location.

Small Business Impact

The data indicates that small businesses were not awarded this contract, as the prime contractor is not listed as small. Further analysis would be needed to determine if small business subcontracting opportunities exist within this award.

Oversight & Accountability

The contract's duration and value suggest a need for diligent oversight by the Department of the Air Force to ensure timely completion, adherence to specifications, and cost control throughout the project lifecycle.

Related Government Programs

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

Risk Flags

Potential for cost overruns on long-duration projects.
Dependence on a single prime contractor for project execution.
Need for robust quality assurance to ensure repair effectiveness.
Ensuring adequate small business participation through subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.6 million to INSIGHT ENVIRONMENTAL ENGINEERING & CONSTRUCTION, INC.. REPAIR B271 3RD FLOOR FOR SPACE ACQUISITION MISSION, LOS ANGELES SFB, CA

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 $36.6 million.

What is the period of performance?

Start: 2023-07-28. End: 2026-06-27.

What specific factors led to the exclusion of certain sources prior to the full and open competition?

The exclusion of sources prior to the full and open competition likely stemmed from specific technical requirements, past performance evaluations, or unique capabilities needed for the REPAIR B271 project. Understanding these initial criteria is crucial for assessing the breadth of competition achieved and whether it truly represented the widest possible market.

How does the $36.6 million cost compare to similar construction projects for military installations of this size and scope?

Benchmarking this $36.6 million contract against similar construction projects for military installations requires detailed analysis of project scope, location, and specific repair needs. Without comparable data, it's difficult to definitively assess cost-effectiveness. However, the duration of 1065 days suggests a complex and extensive project, which could justify the awarded amount.

What are the key performance indicators (KPIs) being tracked to ensure the successful completion of this repair project within the allocated budget and timeline?

Key performance indicators for this project would likely include adherence to the construction schedule, quality of workmanship, compliance with safety regulations, and effective budget management. The Department of the Air Force should have established milestones and regular progress reviews to monitor these KPIs and address any deviations promptly.

Industry Classification

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

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

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: $36,997,031

Exercised Options: $36,553,089

Current Obligation: $36,553,089

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