Navy awards $6M contract for building construction to Belt Built Contracting, LLC

Contract Overview

Contract Amount: $6,071,270 ($6.1M)

Contractor: Belt Built Contracting, LLC

Awarding Agency: Department of Defense

Start Date: 2024-09-24

End Date: 2026-06-23

Contract Duration: 637 days

Daily Burn Rate: $9.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: B2100 RECONSTRUCT EMP TOW-WAY

Place of Performance

Location: PATUXENT RIVER, SAINT MARYS County, MARYLAND, 20670

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $6.1 million to BELT BUILT CONTRACTING, LLC for work described as: B2100 RECONSTRUCT EMP TOW-WAY Key points: 1. Contract value appears reasonable for the scope of construction services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract is a firm-fixed-price type, which shifts cost risk to the contractor. 4. Performance is expected over approximately two years, indicating a medium-term project. 5. The project falls under the Commercial and Institutional Building Construction NAICS code. 6. The awardee, Belt Built Contracting, LLC, is a relatively new entity in federal contracting.

Value Assessment

Rating: good

The contract value of approximately $6.07 million for building reconstruction is within a typical range for similar projects of this scale. Benchmarking against other commercial and institutional building construction contracts awarded by the Department of the Navy or other DoD components would provide a more precise value-for-money assessment. However, without specific details on the scope of work, it's difficult to definitively state if the pricing is aggressive or high. The firm-fixed-price structure suggests the government has secured a defined cost, but the contractor bears the risk of cost overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, indicating that multiple potential bidders were solicited and allowed to submit proposals. The specific reason for excluding certain sources is not detailed, but the 'full and open' designation generally implies a robust competitive environment. The number of bids received is not provided, which would offer further insight into the level of competition and its potential impact on pricing.

Taxpayer Impact: The use of full and open competition is generally favorable for taxpayers as it aims to secure the best value through a wide range of offers, potentially driving down prices and improving service quality.

Public Impact

The primary beneficiary is the Department of the Navy, which will receive reconstructed building facilities. The services delivered involve commercial and institutional building construction, likely encompassing repairs, renovations, or new construction. The geographic impact is localized to Maryland, where the construction work will take place. The contract will likely create or sustain jobs within the construction sector in the Maryland region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contractor's track record in federal contracting is not extensively documented, raising potential performance risks.
The specific scope of 'RECONSTRUCT EMP TOW-WAY' is vague and requires further clarification to fully assess project complexity and potential challenges.
The exclusion of sources, even within a full and open competition framework, warrants scrutiny to ensure fairness and prevent potential market distortions.

Positive Signals

The award was made under full and open competition, suggesting a commitment to leveraging market forces for best value.
The firm-fixed-price contract type effectively transfers cost overrun risk to the contractor.
The contract is awarded to a small business, potentially supporting the government's small business utilization goals.

Sector Analysis

This contract falls within the construction sector, specifically Commercial and Institutional Building Construction (NAICS 236220). This is a significant sector within federal procurement, encompassing a wide range of building projects for government agencies. Spending in this area is often driven by infrastructure needs, facility upgrades, and new construction requirements. Benchmarking this $6 million award against the total federal spending on construction would place it as a medium-sized project within the broader landscape.

Small Business Impact

While the contract is not explicitly a small business set-aside, the awardee, Belt Built Contracting, LLC, is identified with a small business status code ('ST': 'MD'). This suggests the contract may contribute to the government's small business prime contracting goals. Further analysis would be needed to determine if subcontracting opportunities for other small businesses are anticipated or required under this award, which could further bolster the small business ecosystem.

Oversight & Accountability

Oversight for this contract will primarily reside with the Department of the Navy, the contracting agency. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver specified work within the agreed-upon price. Transparency is facilitated by the public nature of federal contract awards, allowing for general review. Specific Inspector General jurisdiction would depend on the nature of any potential issues or fraud that may arise during contract performance.

Related Government Programs

Military Construction
Facility Sustainment, Restoration, and Modernization
General Services Administration (GSA) Public Buildings Service Contracts
Department of Veterans Affairs Construction Projects

Risk Flags

Contractor performance risk due to limited federal contracting history.
Ambiguity in the scope of work requires further clarification.
Potential for reduced competition due to source exclusion.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.1 million to BELT BUILT CONTRACTING, LLC. B2100 RECONSTRUCT EMP TOW-WAY

Who is the contractor on this award?

The obligated recipient is BELT BUILT CONTRACTING, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $6.1 million.

What is the period of performance?

Start: 2024-09-24. End: 2026-06-23.

What is the specific scope of work for 'B2100 RECONSTRUCT EMP TOW-WAY' and what are the key performance metrics?

The specific scope of work for 'B2100 RECONSTRUCT EMP TOW-WAY' is not detailed in the provided data. This designation likely refers to a specific project or building identifier within the Department of the Navy's portfolio. Reconstruction could encompass a wide range of activities, from structural repairs and system upgrades to complete demolition and rebuilding. Key performance metrics would typically include adherence to project timelines, quality of construction meeting specified standards (e.g., building codes, architectural plans), adherence to safety regulations, and completion within the firm-fixed-price budget. Without the detailed statement of work, a precise assessment of performance expectations is not possible.

How does the $6.07 million contract value compare to similar building reconstruction projects awarded by the Department of the Navy in the last fiscal year?

To accurately compare the $6.07 million contract value, we would need access to a database of recent Department of the Navy construction contracts. Factors such as the size and type of building, the complexity of the reconstruction (e.g., historical preservation, seismic retrofitting, technological integration), and the geographic location significantly influence project costs. Generally, a $6 million project for reconstruction could range from a substantial renovation of a medium-sized facility to the construction of a smaller specialized building. A preliminary assessment suggests this is a moderate-sized award, but a direct comparison with similar projects is essential for a definitive value-for-money evaluation. Without specific comparable data, it's assumed to be within a reasonable range for its category.

What are the potential risks associated with awarding a contract of this size to a contractor with limited federal contracting history?

Awarding a contract of this magnitude to a contractor with a limited federal contracting history introduces several potential risks. These can include a lack of familiarity with federal acquisition regulations, reporting requirements, and compliance standards, which could lead to delays or contractual disputes. There may also be a higher risk of performance issues if the contractor lacks proven experience managing projects of this scale and complexity within the federal environment. Furthermore, understanding the contractor's financial stability and capacity to manage resources effectively for a $6 million project is crucial. Mitigation strategies might involve enhanced oversight from the contracting officer's representative (COR), clear communication protocols, and potentially phased performance reviews.

What is the historical spending pattern for building construction under NAICS code 236220 by the Department of the Navy?

Historical spending patterns for building construction under NAICS code 236220 by the Department of the Navy are typically substantial, reflecting the extensive infrastructure needs of naval installations worldwide. The Navy, as part of the Department of Defense, consistently invests in maintaining, upgrading, and constructing facilities to support its operational readiness and personnel. Annual spending can fluctuate based on budget allocations, specific modernization initiatives, and unforeseen repair needs. While this $6.07 million award represents a single data point, the Navy's overall commitment to construction services under this NAICS code is likely in the hundreds of millions, if not billions, of dollars annually across numerous contracts of varying sizes and scopes.

What does the 'after exclusion of sources' clause in a 'full and open competition' award signify for taxpayer value?

The 'after exclusion of sources' clause within a 'full and open competition' award signifies that while the competition was broadly advertised and open to all responsible sources, certain entities were specifically excluded from bidding. The reasons for exclusion must be justifiable and documented, often related to national security, proprietary information, or specific technical requirements that only a limited number of entities can meet. For taxpayer value, this clause can be a double-edged sword. On one hand, 'full and open competition' itself is designed to foster price competition. On the other hand, if the exclusion significantly limits the pool of potential bidders, it could reduce the competitive pressure and potentially lead to higher prices than if all capable sources were allowed to compete. Transparency regarding the justification for exclusion is key to assessing its impact on value.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N4008019R0001

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2138 ESPEY CT, CROFTON, MD, 21114

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,071,270

Exercised Options: $6,071,270

Current Obligation: $6,071,270

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4008023D1120

IDV Type: IDC

Timeline