Department of the Navy awards $21.5M contract for A-51 & A-52 renovation and repairs to Asturian-Consigli JV, LLC

Contract Overview

Contract Amount: $21,528,956 ($21.5M)

Contractor: Asturian-Consigli JV, LLC

Awarding Agency: Department of Defense

Start Date: 2021-09-27

End Date: 2024-04-28

Contract Duration: 944 days

Daily Burn Rate: $22.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: X011 NSN, A-51 & A-52 RENOVATION & REPAIRS

Place of Performance

Location: NORFOLK, NORFOLK CITY County, VIRGINIA, 23511

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $21.5 million to ASTURIAN-CONSIGLI JV, LLC for work described as: X011 NSN, A-51 & A-52 RENOVATION & REPAIRS Key points: 1. Contract awarded through full and open competition, indicating a competitive bidding process. 2. The contract duration of 944 days suggests a significant scope of work for the renovation and repairs. 3. The firm-fixed-price contract type aims to control costs and provide predictability for the government. 4. The project is located in Virginia, potentially impacting the local construction workforce. 5. The awarding agency is the Department of the Navy, a major component of the Department of Defense. 6. The contract value of over $21 million represents a substantial investment in facility maintenance and upgrades.

Value Assessment

Rating: good

The contract value of $21.5 million for renovation and repairs appears reasonable given the project's scope and duration. Benchmarking against similar large-scale facility renovation projects within the Department of Defense would provide a more precise value-for-money assessment. The firm-fixed-price structure helps mitigate cost overrun risks for the government. However, without detailed cost breakdowns or comparisons to independent cost estimates, a definitive assessment of pricing efficiency is challenging.

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,' which implies that while the competition was generally open, specific sources may have been excluded based on predefined criteria. The presence of 5 bidders suggests a moderate level of competition. A higher number of bidders typically leads to more competitive pricing and a wider selection of qualified contractors. The exclusion of certain sources warrants further investigation to ensure it did not unduly limit competition.

Taxpayer Impact: The competitive nature of this award, despite potential source exclusions, likely resulted in a fair market price for the taxpayer. However, understanding the rationale behind source exclusion is crucial to confirm optimal value.

Public Impact

The primary beneficiaries are the Department of the Navy and its personnel, who will utilize the renovated facilities. The contract delivers essential renovation and repair services to critical infrastructure. The geographic impact is localized to Virginia, where the facilities are located. The project is expected to create or sustain jobs within the construction sector in Virginia.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen issues arise during renovation, despite fixed-price contract.
Risk of schedule delays impacting operational readiness if project timelines are not met.
Ensuring the quality of renovation work meets stringent military facility standards.
Dependency on the contractor's ability to manage complex logistical requirements on a military installation.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Award to a joint venture (Asturian-Consigli JV, LLC) may indicate a combination of specialized expertise.
The contract was awarded after a competitive bidding process, suggesting a selection of a qualified bidder.
The project addresses necessary renovations and repairs, contributing to facility longevity and functionality.

Sector Analysis

This contract falls within the broader construction and facilities maintenance sector, specifically for institutional and commercial buildings. The Department of Defense is a significant client in this sector, with substantial annual spending on infrastructure upgrades and repairs. Comparable spending benchmarks would involve analyzing other large-scale renovation contracts awarded by federal agencies for similar types of facilities, considering factors like building size, age, and complexity of required work.

Small Business Impact

The contract data indicates that small business participation (ss: false, sb: false) was not a primary set-aside criterion for this specific award. This suggests that the primary focus was on securing the best value through full and open competition. There is no explicit information regarding subcontracting plans for small businesses. The impact on the small business ecosystem would depend on whether the prime contractor voluntarily engages small businesses for specialized services or supplies.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Department of the Navy. Accountability measures are embedded in the firm-fixed-price contract terms, performance standards, and payment schedules. Transparency is facilitated through contract award databases like FPDS. The Inspector General for the Department of Defense may conduct audits or investigations if specific concerns regarding fraud, waste, or abuse arise.

Related Government Programs

Department of Defense Facilities Maintenance and Repair
Naval Facilities Engineering Command Contracts
Military Construction Projects
Base Realignment and Closure (BRAC) related renovations

Risk Flags

Potential for limited competition due to source exclusion.
Risk of unforeseen conditions impacting cost and schedule.
Need for robust quality assurance during renovation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.5 million to ASTURIAN-CONSIGLI JV, LLC. X011 NSN, A-51 & A-52 RENOVATION & REPAIRS

Who is the contractor on this award?

The obligated recipient is ASTURIAN-CONSIGLI JV, 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 $21.5 million.

What is the period of performance?

Start: 2021-09-27. End: 2024-04-28.

What is the track record of Asturian-Consigli JV, LLC in performing similar large-scale renovation and repair contracts for the federal government?

Assessing the track record of Asturian-Consigli JV, LLC requires a review of their past performance on federal contracts, particularly those involving similar scope, complexity, and value. This would involve examining contract databases for previous awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or claims. A joint venture structure can sometimes indicate a pooling of resources and expertise, but it's crucial to evaluate the performance history of the individual entities comprising the JV as well. Without specific past performance data readily available for this JV, it is difficult to definitively assess their capabilities for this particular project.

How does the awarded price of $21.5 million compare to industry benchmarks for similar renovation projects of this scale?

To benchmark the $21.5 million award, one would compare it against cost data for similar renovation and repair projects of comparable size, complexity, and location. This involves analyzing cost-per-square-foot metrics, considering factors like the age and condition of the facilities, the extent of structural work, MEP (mechanical, electrical, plumbing) upgrades, and finishes. Industry cost estimating databases (e.g., RSMeans) and historical data from similar government contracts can provide reference points. The firm-fixed-price nature of the contract suggests the government aimed for cost certainty, but a detailed cost analysis comparing the bid to independent government estimates or market research would be necessary for a precise value assessment.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks for this contract include potential scope creep, unforeseen site conditions requiring additional work, schedule delays impacting military operations, and quality control issues. Mitigation strategies are typically embedded within the contract terms. The firm-fixed-price structure shifts much of the cost risk to the contractor. Performance clauses, liquidated damages for delays, and detailed inspection protocols help manage schedule and quality. The contractor's own risk management plan, coupled with government oversight by a COR, are crucial for identifying and addressing issues proactively. The exclusion of certain sources in the competition, while potentially limiting, might also be a risk mitigation if those sources had a history of poor performance.

How effective is the 'Full and Open Competition After Exclusion of Sources' method in ensuring both competition and best value for taxpayers?

The 'Full and Open Competition After Exclusion of Sources' method aims to balance broad competition with specific government needs or restrictions. It allows for a wide range of potential bidders while permitting the exclusion of entities that may not meet certain criteria (e.g., security clearances, specific certifications, or past performance issues). This can ensure that only qualified and suitable contractors participate. However, the effectiveness in ensuring best value depends heavily on the justification for excluding sources. If exclusions are overly broad or not well-justified, it could inadvertently limit competition and potentially lead to higher prices. A thorough review of the justification for exclusion is necessary to assess its impact on taxpayer value.

What is the historical spending pattern for facility renovation and repair contracts by the Department of the Navy in Virginia?

Analyzing historical spending patterns for facility renovation and repair contracts by the Department of the Navy in Virginia would involve examining contract award data over several fiscal years. This would reveal the typical contract values, types of services procured, and the number of contractors awarded work in the region. Such analysis can help identify trends, potential budget fluctuations, and the average duration and cost of similar projects. It also provides context for the current $21.5 million award, indicating whether it aligns with historical spending levels or represents a significant deviation, potentially due to increased needs or specific large-scale projects.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N4008518R1111

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 760 LYNNHAVEN PKWY STE 200, VIRGINIA BEACH, VA, 23452

Business Categories: Category Business, Hispanic American Owned Business, 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: $21,528,956

Exercised Options: $21,528,956

Current Obligation: $21,528,956

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4008518D1124

IDV Type: IDC

Timeline