Air Force Awards $27M for Relocatable Facilities to Modular Management Group Inc
Contract Overview
Contract Amount: $27,047,549 ($27.0M)
Contractor: Modular Management Group Inc
Awarding Agency: Department of Defense
Start Date: 2023-09-30
End Date: 2025-09-30
Contract Duration: 731 days
Daily Burn Rate: $37.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: RELOCATABLE FACILITIES
Place of Performance
Location: EDWARDS, KERN County, CALIFORNIA, 93524
Plain-Language Summary
Department of Defense obligated $27.0 million to MODULAR MANAGEMENT GROUP INC for work described as: RELOCATABLE FACILITIES Key points: 1. Contract awarded for prefabricated metal buildings, a common requirement for military installations. 2. Modular Management Group Inc. is the sole awardee, raising questions about competition. 3. The contract duration of 731 days suggests a significant need for these facilities. 4. The sector is Construction, with a focus on prefabricated building manufacturing.
Value Assessment
Rating: fair
The contract value of $27,047,549 for 731 days suggests a per-day cost of approximately $36,999. Benchmarking against similar contracts for prefabricated facilities is needed to assess if this pricing is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple vendors had the opportunity to bid. However, only one award was made, suggesting potential market concentration or specific technical requirements.
Taxpayer Impact: Taxpayer funds are being used for essential military infrastructure, with the aim of obtaining value through competitive bidding.
Public Impact
Provides essential infrastructure for military operations, potentially impacting troop readiness and housing. Supports the construction sector, specifically prefabricated building manufacturers. The use of relocatable facilities offers flexibility for deployment and redeployment of military assets.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited number of awards despite full and open competition.
- Potential for price escalation over the contract duration.
Positive Signals
- Awarded under full and open competition.
- Addresses a clear need for military infrastructure.
Sector Analysis
The construction sector, particularly prefabricated metal building manufacturing, is crucial for providing adaptable and rapidly deployable infrastructure for government agencies. Spending benchmarks vary widely based on project scope and customization.
Small Business Impact
While the contract was awarded under full and open competition, it's unclear if small businesses participated or subcontracted. Further analysis is needed to determine the extent of small business involvement.
Oversight & Accountability
The Department of the Air Force is responsible for oversight. The contract's fixed-price nature should provide cost certainty, but monitoring delivery and quality is essential.
Related Government Programs
- Prefabricated Metal Building and Component Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Single award despite full and open competition.
- Long contract duration may lead to price creep.
- Potential for unforeseen costs related to relocation and maintenance.
- Dependence on a single supplier for critical infrastructure.
Tags
prefabricated-metal-building-and-compone, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $27.0 million to MODULAR MANAGEMENT GROUP INC. RELOCATABLE FACILITIES
Who is the contractor on this award?
The obligated recipient is MODULAR MANAGEMENT GROUP 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 $27.0 million.
What is the period of performance?
Start: 2023-09-30. End: 2025-09-30.
What was the competitive landscape like for this specific type of relocatable facility, and did the final award price reflect a competitive market?
While the contract was advertised as full and open competition, the award to a single vendor warrants further investigation into the bidding process. Understanding the number of bids received and the specific technical requirements that may have limited the pool of qualified bidders is crucial to determine if the price achieved truly reflects a competitive market or if there were factors that constrained competition.
What are the specific risks associated with the long-term use and potential relocation of these prefabricated facilities, and how are they being mitigated?
Risks include potential damage during relocation, degradation of materials over time, and obsolescence if technology or operational needs change. Mitigation strategies should involve robust inspection protocols before and after relocation, maintenance schedules, and contingency plans for unforeseen repairs or upgrades to ensure the facilities remain functional and safe throughout their lifecycle.
How effectively will these relocatable facilities meet the Air Force's long-term operational needs and contribute to mission readiness?
The effectiveness hinges on the facilities' design, durability, and adaptability to evolving mission requirements. Regular assessments of their performance in the field, user feedback from Air Force personnel, and comparison against alternative solutions will be necessary to gauge their contribution to operational needs and overall mission readiness.
Industry Classification
NAICS: Manufacturing › Architectural and Structural Metals Manufacturing › Prefabricated Metal Building and Component Manufacturing
Product/Service Code: PREFAB STRUCTURES/SCAFFOLDING
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 6602 PLAZA PKWY, FORT WORTH, TX, 76116
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $27,047,549
Exercised Options: $27,047,549
Current Obligation: $27,047,549
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS07F0222X
IDV Type: FSS
Timeline
Start Date: 2023-09-30
Current End Date: 2025-09-30
Potential End Date: 2025-09-30 00:00:00
Last Modified: 2025-07-29
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