DoD Awards $27M Commercial Building Construction Contract to ALTECH INC for 763 Days

Contract Overview

Contract Amount: $27,074,498 ($27.1M)

Contractor: Altech Inc

Awarding Agency: Department of Defense

Start Date: 2024-09-25

End Date: 2026-10-28

Contract Duration: 763 days

Daily Burn Rate: $35.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: OIB TF-DPW-CMB 592 R&M_RRAD-M4-11

Place of Performance

Location: TEXARKANA, BOWIE County, TEXAS, 75505

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $27.1 million to ALTECH INC for work described as: OIB TF-DPW-CMB 592 R&M_RRAD-M4-11 Key points: 1. Contract Value: $27.07 million over 763 days. 2. Competition: Full and open competition after exclusion of sources. 3. Risk: Firm Fixed Price contract type mitigates cost overrun risk. 4. Sector: Commercial and Institutional Building Construction.

Value Assessment

Rating: good

The contract value of $27.07 million for 763 days appears reasonable for a construction project of this duration and scope. Benchmarking against similar large-scale commercial construction contracts would provide a more precise assessment.

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 a competitive bidding process. This method generally promotes price discovery and ensures fair market value.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving a fair price for the construction services.

Public Impact

Supports military infrastructure development and readiness. Provides construction services in Texas. Creates jobs within the construction sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if not managed tightly.
Dependence on ALTECH INC's performance and timely delivery.

Positive Signals

Firm Fixed Price contract limits cost uncertainty.
Competitive award process suggests value for money.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, which is a significant area of federal spending. Benchmarks for similar projects vary widely based on location, complexity, and specific requirements.

Small Business Impact

The data indicates that small businesses were not directly awarded this contract, as the prime contractor is ALTECH INC. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The Department of the Army, under the Department of Defense, is responsible for oversight. Standard contract management and performance monitoring processes should be in place to ensure successful execution.

Related Government Programs

Commercial and Institutional Building Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Potential for delays impacting military readiness.
Contractor performance risk.
Unforeseen site conditions.
Changes in regulatory requirements.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.1 million to ALTECH INC. OIB TF-DPW-CMB 592 R&M_RRAD-M4-11

Who is the contractor on this award?

The obligated recipient is ALTECH INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $27.1 million.

What is the period of performance?

Start: 2024-09-25. End: 2026-10-28.

What specific construction services are included in this contract?

The provided data does not detail the specific construction services. It falls under NAICS code 236220 (Commercial and Institutional Building Construction). A review of the contract's statement of work would be necessary to understand the precise scope, such as new construction, renovation, or specialized building systems.

What is the rationale for excluding certain sources in the 'full and open competition after exclusion of sources' method?

This procurement method typically involves a broad solicitation but may exclude specific sources based on pre-qualification criteria, past performance, or specific technical requirements. The exclusion aims to ensure only capable and suitable contractors participate, while still maintaining a competitive environment among the qualified pool.

How does the $27.07 million value compare to similar construction projects for the Department of Defense?

Without specific details on the project's scope, location, and complexity, a direct comparison is challenging. However, $27.07 million is a substantial award, suggesting a significant construction undertaking. Benchmarking against similar-sized military facility construction or renovation projects would be required for a precise assessment of value.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W911RQ18R0267

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8530 W NEW BOSTON RD, TEXARKANA, TX, 75501

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

Financial Breakdown

Contract Ceiling: $36,778,825

Exercised Options: $27,074,498

Current Obligation: $27,074,498

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W911RQ19D0002

IDV Type: IDC

Timeline