NASA awards $25.2M contract for Stennis Space Center restoration, highlighting industrial building construction needs
Contract Overview
Contract Amount: $25,159,857 ($25.2M)
Contractor: Harry Pepper & Associates Inc
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2014-10-03
End Date: 2017-01-06
Contract Duration: 826 days
Daily Burn Rate: $30.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGFB2 TEST STAND RESTORATION WORK PACKAGE 4 AT NASA/STENNIS SPACE CENTER, MS
Place of Performance
Location: STENNIS SPACE CENTER, HANCOCK County, MISSISSIPPI, 39529
Plain-Language Summary
National Aeronautics and Space Administration obligated $25.2 million to HARRY PEPPER & ASSOCIATES INC for work described as: IGF::OT::IGFB2 TEST STAND RESTORATION WORK PACKAGE 4 AT NASA/STENNIS SPACE CENTER, MS Key points: 1. Contract value of $25.2M for restoration work at NASA's Stennis Space Center. 2. Awarded to Harry Pepper & Associates Inc. under a firm-fixed-price contract. 3. The contract was competed using full and open competition. 4. Duration of the contract was 826 days, ending in January 2017. 5. The work falls under the Industrial Building Construction sector. 6. This award represents a significant investment in maintaining critical infrastructure at a key NASA facility.
Value Assessment
Rating: good
The contract value of $25.2 million for restoration work at NASA's Stennis Space Center appears reasonable given the scope of industrial building construction. Benchmarking against similar large-scale facility restoration projects would provide a more precise value-for-money assessment. The firm-fixed-price structure suggests that cost risks were largely borne by the contractor, which can be beneficial for the government if managed effectively. 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, indicating that multiple bidders were likely solicited and considered. The presence of two bids suggests a moderate level of competition for this project. While full and open competition is generally preferred for maximizing price discovery and ensuring fair access to government contracts, the specific number of bidders can influence the intensity of that competition. A higher number of bidders typically leads to more competitive pricing.
Taxpayer Impact: The use of full and open competition is favorable for taxpayers as it increases the likelihood of receiving the best possible price for the restoration services. It ensures that the government is not limited to a single provider, fostering a market-driven approach to contract awards.
Public Impact
The primary beneficiaries are NASA and its mission at the Stennis Space Center, ensuring operational readiness. The services delivered include essential restoration work for industrial facilities. The geographic impact is concentrated at the Stennis Space Center in Mississippi. The contract supports the construction and maintenance workforce, likely involving skilled trades and project management personnel.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen issues arise during restoration.
- Dependence on contractor's ability to meet project timelines and quality standards.
- Risk of scope creep if additional restoration needs are identified post-award.
Positive Signals
- Firm-fixed-price contract structure limits government's exposure to cost increases.
- Full and open competition suggests a competitive bidding process.
- Award to an established contractor with experience in similar projects.
Sector Analysis
The contract falls within the Industrial Building Construction sector, a critical component of the broader construction industry. This sector involves the building and renovation of facilities used for manufacturing, processing, and industrial operations. Spending in this area is often driven by the need to maintain or upgrade aging infrastructure, comply with new regulations, or adapt facilities for new technological requirements. Comparable spending benchmarks would involve analyzing other large-scale industrial construction or renovation contracts awarded by government agencies or major private sector entities.
Small Business Impact
This contract was not set aside for small businesses, and there is no indication of subcontracting requirements specifically targeting small businesses in the provided data. The award went to Harry Pepper & Associates Inc., which is likely a larger entity given the contract value. This means the direct impact on the small business ecosystem through this specific award is minimal, though the prime contractor may engage small businesses as subcontractors.
Oversight & Accountability
Oversight for this contract would typically be managed by NASA's contracting officers and project managers, ensuring adherence to the contract terms, schedule, and quality standards. Accountability measures are embedded in the firm-fixed-price contract, which incentivizes the contractor to manage costs effectively. Transparency is generally maintained through contract award databases and public reporting, though detailed project progress and cost breakdowns may not always be publicly accessible.
Related Government Programs
- NASA Facility Modernization Programs
- Stennis Space Center Operations Support
- Federal Industrial Construction Contracts
- Public Works and Buildings Construction
Risk Flags
- Potential for cost overruns
- Schedule delays
- Quality control issues
Tags
construction, nasa, stennis-space-center, industrial-building-construction, firm-fixed-price, full-and-open-competition, mississippi, delivery-order, large-contract
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $25.2 million to HARRY PEPPER & ASSOCIATES INC. IGF::OT::IGFB2 TEST STAND RESTORATION WORK PACKAGE 4 AT NASA/STENNIS SPACE CENTER, MS
Who is the contractor on this award?
The obligated recipient is HARRY PEPPER & ASSOCIATES INC.
Which agency awarded this contract?
Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).
What is the total obligated amount?
The obligated amount is $25.2 million.
What is the period of performance?
Start: 2014-10-03. End: 2017-01-06.
What is the track record of Harry Pepper & Associates Inc. with NASA contracts?
Harry Pepper & Associates Inc. has a history of working with government agencies, including NASA. While specific details on their past performance with NASA for similar restoration projects would require deeper database analysis, their ability to win a contract of this magnitude suggests they have met the necessary qualifications and demonstrated capability. Examining past contract awards, performance reviews, and any past performance issues would provide a more comprehensive understanding of their track record. It's important to note that contract performance can vary significantly based on project complexity, duration, and specific requirements.
How does the $25.2 million contract value compare to similar industrial building restoration projects at NASA facilities?
A direct comparison of the $25.2 million contract value to similar industrial building restoration projects at NASA facilities requires access to a comprehensive database of historical contracts with detailed project scopes. However, for a facility like Stennis Space Center, which houses significant infrastructure for rocket propulsion testing and research, a multi-million dollar contract for major restoration work is not uncommon. The value is influenced by factors such as the age and condition of the facility, the complexity of the systems being restored, and the specific requirements for environmental and safety compliance. Without specific comparable project data, it's difficult to definitively benchmark this value, but it aligns with the scale of investments typically needed for critical federal infrastructure.
What are the primary risks associated with this type of industrial building restoration contract?
The primary risks associated with this type of industrial building restoration contract include unforeseen site conditions (e.g., hazardous materials, structural issues not apparent during inspection), potential for scope creep if additional restoration needs are identified during the project, and contractor performance issues (delays, quality defects). For a firm-fixed-price contract, the contractor bears the risk of cost overruns due to these factors, but this can also lead to pressure on quality or schedule if not managed properly. NASA's oversight is crucial to mitigate these risks through diligent project management, regular inspections, and clear communication channels.
How effective is full and open competition in ensuring value for money for NASA's construction projects?
Full and open competition is generally considered the most effective method for ensuring value for money in government contracting, including NASA's construction projects. By allowing all responsible sources to submit bids, it fosters a competitive environment that drives down prices and encourages innovation. This process allows NASA to solicit proposals from a wide range of qualified contractors, increasing the likelihood of selecting the offer that provides the best overall value, considering price, technical approach, and past performance. While it requires more administrative effort upfront, the long-term benefits in terms of cost savings and quality are substantial.
What is the historical spending trend for industrial building construction at NASA's Stennis Space Center?
Analyzing the historical spending trend for industrial building construction at NASA's Stennis Space Center would require a detailed review of past contract awards specifically for this category at this location. This particular contract, awarded in 2014 for $25.2 million, represents a significant investment. Without broader historical data, it's challenging to identify a trend. However, spending in this area is likely influenced by the lifecycle of the facilities, NASA's strategic priorities, and the availability of federal funding for infrastructure maintenance and upgrades. Periods of major facility upgrades or expansions would likely show higher spending.
What are the implications of a firm-fixed-price contract for restoration work on taxpayer costs?
A firm-fixed-price (FFP) contract for restoration work generally aims to provide cost certainty for taxpayers. Under an FFP agreement, the contractor agrees to a set price for the defined scope of work, and is responsible for absorbing any cost overruns. This shifts the financial risk from the government (and thus, the taxpayer) to the contractor. For taxpayers, this means the final cost is known upfront, barring any significant contract modifications. However, contractors may build in a contingency premium to account for potential risks, which could result in a higher initial price compared to other contract types if risks are perceived to be high.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Industrial Building Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Roberts Immigration LAW Group, LLC (UEI: 017106386)
Address: 9000 REGENCY SQUARE BLVD FL 1, JACKSONVILLE, FL, 32211
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $25,159,857
Exercised Options: $25,159,857
Current Obligation: $25,159,857
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: NNS12AA84B
IDV Type: IDC
Timeline
Start Date: 2014-10-03
Current End Date: 2017-01-06
Potential End Date: 2017-01-06 00:00:00
Last Modified: 2019-12-13
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