DoD awards $8.1M for diesel pump repairs across multiple locations, highlighting plumbing contractor services

Contract Overview

Contract Amount: $8,061,000 ($8.1M)

Contractor: R & W Construction Company

Awarding Agency: Department of Defense

Start Date: 2025-12-10

End Date: 2027-06-03

Contract Duration: 540 days

Daily Burn Rate: $14.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: MULTIPLE LOCATION DIESEL PUMP REPAIRS

Place of Performance

Location: CAMP LEJEUNE, ONSLOW County, NORTH CAROLINA, 28547

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $8.1 million to R & W CONSTRUCTION COMPANY for work described as: MULTIPLE LOCATION DIESEL PUMP REPAIRS Key points: 1. Contract value appears reasonable given the scope of multi-location repairs and duration. 2. Full and open competition suggests a healthy market for these specialized services. 3. Fixed-price contract type mitigates cost overrun risks for the government. 4. Contract duration of 540 days allows for phased execution across various sites. 5. The award to R & W Construction Company indicates a competitive selection process. 6. Focus on essential infrastructure maintenance underscores the contract's operational importance.

Value Assessment

Rating: good

The contract value of $8.1 million for multi-location diesel pump repairs over approximately 1.5 years seems aligned with industry standards for such services. Benchmarking against similar large-scale infrastructure maintenance contracts for the Department of Defense would provide a more precise value-for-money assessment. The firm fixed-price structure is generally favorable for the government, transferring risk to the contractor and promoting cost control.

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. This suggests multiple qualified bidders likely vied for the contract, fostering price discovery and potentially leading to a more competitive bid.

Taxpayer Impact: A full and open competition generally benefits taxpayers by driving down prices through robust bidding, ensuring the government receives the best value for its investment in essential infrastructure maintenance.

Public Impact

Naval facilities across multiple unspecified locations will benefit from reliable diesel pump operations. Services include repairs and maintenance critical for the operational readiness of naval infrastructure. The contract supports the Department of Defense's logistical and operational capabilities. Workforce implications include skilled tradespeople in plumbing and mechanical services, likely within North Carolina and potentially other regions where repairs are needed.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific location details for repairs could complicate logistical planning and oversight.
The broad scope of 'multiple locations' might obscure the true cost per site if not managed effectively.
Potential for unforeseen site-specific issues not fully captured in the initial scope.

Positive Signals

Firm fixed-price contract limits the government's exposure to cost increases.
Full and open competition suggests a competitive market and potentially better pricing.
The contract duration allows for planned maintenance and avoids emergency repair premiums.
Award to an established construction company implies a level of experience and capability.

Sector Analysis

This contract falls within the construction and maintenance sector, specifically focusing on mechanical and plumbing systems. The market for specialized repair services for critical infrastructure like diesel pumps is substantial within the defense sector, driven by the need for operational readiness. Comparable spending benchmarks would involve analyzing other large-scale maintenance contracts awarded by the Navy or other military branches for similar systems.

Small Business Impact

The contract data indicates that small business participation was not a primary driver, as the 'small business' flag is false. There is no explicit mention of small business set-asides or subcontracting goals. This suggests that the primary award was likely made to a larger entity capable of handling the scope and complexity, and opportunities for small businesses would primarily exist through subcontracting if R & W Construction Company chooses to engage them.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Navy contracting officers and technical representatives. Accountability measures are embedded in the firm fixed-price contract terms, requiring completion of services to specification. Transparency is facilitated by the public nature of contract awards, though specific performance metrics and detailed oversight reports may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Naval Facilities Engineering Command (NAVFAC) Maintenance Contracts
Department of Defense Infrastructure Repair Programs
Federal Plumbing and HVAC Services Contracts
Large-Scale Construction and Repair Contracts

Risk Flags

Potential for logistical complexity due to multiple unspecified locations.
Risk of scope creep if unforeseen issues arise at various sites.
Ensuring consistent quality across diverse repair environments.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $8.1 million to R & W CONSTRUCTION COMPANY. MULTIPLE LOCATION DIESEL PUMP REPAIRS

Who is the contractor on this award?

The obligated recipient is R & W CONSTRUCTION COMPANY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $8.1 million.

What is the period of performance?

Start: 2025-12-10. End: 2027-06-03.

What is the historical spending pattern for similar diesel pump repair services by the Department of the Navy?

Analyzing historical spending for similar diesel pump repair services by the Department of the Navy requires access to detailed contract databases. Generally, the Navy, like other branches of the DoD, allocates significant funds annually towards maintaining its vast infrastructure, which includes critical systems like diesel pumps essential for operations, power generation, and logistics. Spending can fluctuate based on infrastructure age, modernization efforts, and specific operational needs. Contracts for such services are often awarded through competitive bidding processes, with values ranging from smaller, localized repairs to large, multi-year, multi-location contracts similar to the one awarded to R & W Construction Company. Factors influencing historical spending include the number of facilities requiring maintenance, the complexity of the pump systems, and the prevailing market rates for specialized repair services. Without specific historical data for this exact service category, it's difficult to provide precise figures, but it is understood that such maintenance is a recurring and substantial budgetary item for the Navy.

How does the awarded price of $8.1 million compare to market rates for similar multi-location diesel pump repair contracts?

Benchmarking the $8.1 million award against market rates for similar multi-location diesel pump repair contracts requires detailed analysis of contract scope, duration, geographic spread, and specific repair requirements. Given the 'full and open competition' and the firm fixed-price nature, it suggests the price was determined through a competitive bidding process. The duration of 540 days (approximately 1.5 years) spread across multiple locations indicates a significant undertaking. While a precise per-unit cost is not calculable without more granular data on the number and type of pumps and repairs, the overall value appears consistent with large-scale infrastructure maintenance contracts within the federal government. Factors such as prevailing labor rates, material costs, travel expenses for multiple sites, and the complexity of the diesel pump systems would all influence the final price. A comparison to similar contracts awarded by other federal agencies or even state/local governments for comparable infrastructure maintenance could provide further context on value for money.

What are the key performance indicators (KPIs) expected for R & W Construction Company under this contract?

Key performance indicators (KPIs) for R & W Construction Company under this contract would typically focus on ensuring the reliable operation of diesel pumps across multiple locations. These would likely include metrics related to timely completion of scheduled maintenance and repairs, adherence to quality standards for workmanship and materials, minimizing downtime of critical pump systems, and compliance with all safety and environmental regulations. Specific KPIs might involve response times for emergency repair calls, successful completion rates for planned maintenance tasks, and achieving specified operational uptime for the repaired pumps. The contract's firm fixed-price nature incentivizes the contractor to meet these KPIs efficiently to maximize profitability. Performance would be monitored by the Navy's technical representatives, who would assess adherence to the contract's statement of work and performance standards.

What is the track record of R & W Construction Company in performing similar federal contracts?

Assessing the track record of R & W Construction Company in performing similar federal contracts would involve reviewing their past performance evaluations and contract history within federal procurement databases. As a plumbing, heating, and air-conditioning contractor, their experience likely includes various mechanical repair and maintenance services. For a contract of this magnitude ($8.1 million) involving multi-location repairs for the Department of Defense, it is expected that R & W Construction Company has demonstrated capabilities in managing complex projects, adhering to stringent government requirements, and delivering quality services. Past performance reviews, often available through systems like the Contractor Performance Assessment Reporting System (CPARS), would provide insights into their reliability, technical competence, cost control, and overall customer satisfaction on previous federal engagements. A positive performance history would be a strong indicator of their ability to successfully execute this current contract.

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

Potential risks associated with this multi-location diesel pump repair contract include logistical challenges in coordinating work across various sites, unforeseen site-specific conditions requiring additional work or materials, potential delays due to weather or access issues, and ensuring consistent quality of service across all locations. The Department of the Navy mitigates these risks through several mechanisms. The firm fixed-price contract structure shifts much of the financial risk to the contractor, incentivizing them to manage costs effectively. The 'full and open competition' process aims to select a capable contractor with a proven track record. The contract duration allows for phased execution and contingency planning. Furthermore, the Navy's technical representatives will provide oversight, monitor progress, and ensure adherence to the contract's specifications and quality standards, addressing issues as they arise to prevent escalation.

Industry Classification

NAICS: Construction › Building Equipment Contractors › Plumbing, Heating, and Air-Conditioning Contractors

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

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2646 RICHLANDS HWY, JACKSONVILLE, NC, 28540

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $8,061,000

Exercised Options: $8,061,000

Current Obligation: $8,061,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4008520D0078

IDV Type: IDC

Timeline