Air Force awards $11M contract for munitions igloos, highlighting construction needs in California

Contract Overview

Contract Amount: $10,969,844 ($11.0M)

Contractor: Anna Lisa Luna Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-19

End Date: 2026-11-03

Contract Duration: 410 days

Daily Burn Rate: $26.8K/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: CONSTRUCT MUNITIONS IGLOOS B672 AND B734 - 183511

Place of Performance

Location: EDWARDS, KERN County, CALIFORNIA, 93524

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $11.0 million to ANNA LISA LUNA CONSTRUCTION, INC. for work described as: CONSTRUCT MUNITIONS IGLOOS B672 AND B734 - 183511 Key points: 1. Contract value appears reasonable given the scope of construction for specialized facilities. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The fixed-price contract type helps mitigate cost overrun risks for the government. 4. This award aligns with broader defense infrastructure modernization efforts. 5. The project is located in California, a state with significant defense installations. 6. The contractor has a track record in commercial and institutional building construction.

Value Assessment

Rating: good

The contract value of approximately $11 million for constructing munitions igloos and related facilities seems within a reasonable range for specialized defense construction projects. Benchmarking against similar projects is challenging without more specific details on the igloo specifications and site preparation requirements. However, the firm fixed-price nature of the contract provides cost certainty for the Air Force, which is a positive indicator of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while initial solicitations may have had exclusions, the final award was made through a broad competitive process. The presence of one bidder, ANNA LISA LUNA CONSTRUCTION, INC., is noted. A single bidder in a full and open competition can sometimes raise questions about the effectiveness of outreach or the market's responsiveness, potentially impacting price discovery.

Taxpayer Impact: While a single bidder might suggest less competitive pressure on price, the 'full and open' nature implies an attempt to solicit broader interest. Taxpayers benefit from the structured competition process, even if only one bid was ultimately submitted and accepted.

Public Impact

The primary beneficiaries are the Department of the Air Force and its operational readiness, through the provision of secure munitions storage. The services delivered include the construction of specialized munitions igloos (B672 and B734) and potentially related site work. The geographic impact is concentrated in California, likely at a specific Air Force installation. Workforce implications include employment opportunities for construction labor and management in the California region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential concern regarding the single bid received under a full and open competition, which could indicate limited market interest or outreach effectiveness.
The specific nature of munitions igloos requires specialized knowledge and adherence to strict safety and security standards, which could be a risk if not fully met.

Positive Signals

The use of a firm fixed-price contract provides cost certainty and limits the government's exposure to cost overruns.
The contractor, ANNA LISA LUNA CONSTRUCTION, INC., has experience in commercial and institutional building construction, suggesting relevant capabilities.
The project falls under the Department of Defense, indicating a focus on critical national security infrastructure.

Sector Analysis

This contract falls within the Construction sector, specifically Commercial and Institutional Building Construction. The market for defense construction is substantial, driven by the need to maintain and modernize military infrastructure globally. Comparable spending benchmarks would typically involve analyzing other construction contracts for similar specialized facilities awarded by the Department of Defense or other federal agencies, considering factors like location, size, and complexity.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary set-aside criterion for this specific contract. There is no explicit mention of subcontracting requirements for small businesses in the provided data. Therefore, the direct impact on the small business ecosystem from this particular award is likely minimal unless the prime contractor voluntarily engages small businesses for specific scopes of work.

Oversight & Accountability

Oversight for this contract will primarily reside with the Department of the Air Force contracting and project management offices. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified igloos within budget and schedule. Transparency is generally maintained through federal contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Military Construction
Defense Infrastructure Projects
Munitions Storage Facilities
Federal Building Construction Contracts

Risk Flags

Single Bidder Competition
Specialized Construction Requirements
Defense Infrastructure Security

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $11.0 million to ANNA LISA LUNA CONSTRUCTION, INC.. CONSTRUCT MUNITIONS IGLOOS B672 AND B734 - 183511

Who is the contractor on this award?

The obligated recipient is ANNA LISA LUNA 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 $11.0 million.

What is the period of performance?

Start: 2025-09-19. End: 2026-11-03.

What is the track record of ANNA LISA LUNA CONSTRUCTION, INC. with federal contracts, particularly with the Department of Defense?

ANNA LISA LUNA CONSTRUCTION, INC. has been awarded federal contracts, with this specific contract valued at approximately $10.97 million. While the provided data indicates their North American Industry Classification System (NAICS) code is 236220 (Commercial and Institutional Building Construction), further detailed analysis of their contract history with the Department of Defense and other agencies would be necessary to fully assess their track record. This would involve examining past performance reviews, any history of contract disputes or terminations, and the types and values of previous projects completed. A robust track record with similar defense construction projects would increase confidence in their ability to successfully execute this munitions igloo contract.

How does the awarded price of $10.97 million compare to similar munitions igloo construction projects?

Benchmarking the $10.97 million award for munitions igloos (B672 and B734) against similar projects is challenging without more granular data on the specific requirements, size, materials, and site conditions. However, the contract is a firm fixed-price award, which provides cost certainty for the Air Force. To perform a robust comparison, one would need to identify other Department of Defense contracts for munitions igloos or similarly specialized hardened structures, noting their square footage, capacity, security features, and geographic location. Factors such as prevailing construction costs in California, labor rates, and material availability would also influence price. Without such comparative data, assessing whether this price represents exceptional value or is on the higher end is difficult.

What are the primary risks associated with this contract, and how are they being mitigated?

The primary risks associated with this contract include potential construction delays, cost overruns (though mitigated by fixed-price), and ensuring compliance with stringent safety and security regulations for munitions storage. The fact that only one bid was received under a full and open competition could indicate potential market challenges or insufficient outreach, which might pose a risk if the selected contractor encounters unforeseen difficulties. Mitigation strategies include the firm fixed-price contract type, which shifts cost risk to the contractor. The Air Force's project management and oversight will be crucial in monitoring progress, quality, and adherence to safety protocols. The contractor's experience in commercial and institutional building construction is a positive factor, but specialized munitions handling knowledge will be critical.

What is the expected program effectiveness and impact of these newly constructed munitions igloos?

The program effectiveness of these newly constructed munitions igloos is expected to be high in terms of enhancing the Air Force's capability for secure and compliant storage of munitions. By replacing or augmenting existing facilities, these igloos will likely improve safety, reduce the risk of accidental detonation, and ensure the integrity of stored ordnance. This directly supports operational readiness by ensuring munitions are available and properly maintained. The impact is primarily on the Air Force's logistical and operational capabilities within the specific California base where they are located, contributing to national defense readiness.

How does this contract's value and scope compare to historical spending on similar defense construction projects?

The $10.97 million award for munitions igloos represents a significant investment in specialized defense infrastructure. Historical spending on similar projects can vary widely based on the scale of military construction programs, specific geopolitical needs, and the economic climate. For instance, major base modernizations or expansions could involve hundreds of millions or billions in construction. This $11 million contract appears to be a focused project addressing a specific need for munitions storage. Analyzing historical spending would involve looking at the total annual federal outlays for military construction, specifically for storage and logistical facilities, and comparing the unit costs or project values over time, adjusting for inflation.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional 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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1250 CRUZERO ST, OJAI, CA, 93023

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $10,969,844

Exercised Options: $10,969,844

Current Obligation: $10,969,844

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 80AFRC19D0016

IDV Type: IDC

Timeline