DoD's $20M Barracks Renovation Contract Awarded to Signature Renovations LLC for Kentucky Facility

Contract Overview

Contract Amount: $20,053,695 ($20.1M)

Contractor: Signature Renovations LLC

Awarding Agency: Department of Defense

Start Date: 2023-10-15

End Date: 2025-11-14

Contract Duration: 761 days

Daily Burn Rate: $26.4K/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: FIP D/B VOLAR BARRACKS B-4038

Place of Performance

Location: FORT CAMPBELL, CHRISTIAN County, KENTUCKY, 42223

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $20.1 million to SIGNATURE RENOVATIONS LLC for work described as: FIP D/B VOLAR BARRACKS B-4038 Key points: 1. Contract value appears reasonable given the scope of renovating barracks, a critical infrastructure need. 2. Full and open competition after exclusion of sources suggests a deliberate procurement strategy, potentially balancing broad access with specific requirements. 3. The fixed-price contract type shifts performance risk to the contractor, incentivizing efficient project completion. 4. Project duration of 761 days indicates a substantial renovation effort, requiring careful management. 5. The contract is positioned within the broader Defense sector's infrastructure maintenance and modernization efforts. 6. Geographic concentration in Kentucky highlights specific regional investment in military housing.

Value Assessment

Rating: good

The contract value of $20,053,695 for the renovation of barracks appears to be within a reasonable range for a project of this scale and duration. Benchmarking against similar commercial and institutional building construction projects for government facilities suggests that pricing is competitive, especially considering the firm-fixed-price nature which typically includes contractor risk premiums. The specific details of the renovation scope would be needed for a more precise value assessment, but initial indicators suggest fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, certain sources were excluded, possibly due to specific technical capabilities, past performance requirements, or other pre-defined criteria. The number of bidders (5) suggests a moderate level of competition, which is generally sufficient to drive competitive pricing, though not as robust as a completely unrestricted full and open competition.

Taxpayer Impact: The moderate competition level likely resulted in a fair market price for taxpayers, avoiding the potential overpricing associated with sole-source awards while ensuring the selected contractor met specific, potentially stringent, requirements.

Public Impact

Service members residing in the Volar Barracks at Fort Knox, Kentucky, will benefit from improved living conditions. The contract delivers essential renovation services for critical military housing infrastructure. The geographic impact is concentrated in Kentucky, specifically at Fort Knox. The project will likely involve a workforce of construction professionals and tradespeople in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if renovation needs exceed initial assessments.
Risk of delays due to unforeseen site conditions common in older structures.
Contractor's ability to manage a long-duration project effectively is crucial.

Positive Signals

Firm-fixed-price contract incentivizes contractor efficiency and cost control.
Award to a single contractor streamlines management and accountability.
Project addresses essential infrastructure needs, enhancing service member quality of life.

Sector Analysis

This contract falls within the Construction sector, specifically Commercial and Institutional Building Construction. The Department of Defense is a significant client for construction services, investing heavily in maintaining and upgrading its vast real estate portfolio, including barracks, training facilities, and administrative buildings. Market size for government construction is substantial, with numerous firms specializing in public sector projects. This contract represents a typical investment in facility modernization to ensure operational readiness and support military personnel.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside (ss: false, sb: false). While the primary award was not to a small business, the prime contractor, Signature Renovations LLC, may engage small businesses as subcontractors. The extent of subcontracting to small businesses will depend on the contractor's strategy and the nature of the work required. Further analysis of subcontracting plans would be needed to assess the direct impact on the small business ecosystem for this specific project.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army contracting and project management offices at Fort Knox. Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to deliver the specified renovations within the agreed budget and timeline. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction may be involved if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Military Housing Construction
Barracks Modernization Programs
Department of Defense Facilities Maintenance
Army Corps of Engineers Construction Contracts

Risk Flags

Potential for unforeseen conditions in older barracks infrastructure.
Contractor performance risk on a long-duration project.
Ensuring quality standards are met under a fixed-price contract.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.1 million to SIGNATURE RENOVATIONS LLC. FIP D/B VOLAR BARRACKS B-4038

Who is the contractor on this award?

The obligated recipient is SIGNATURE RENOVATIONS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $20.1 million.

What is the period of performance?

Start: 2023-10-15. End: 2025-11-14.

What is the track record of Signature Renovations LLC with federal contracts, particularly with the Department of Defense?

A review of federal contract databases indicates that Signature Renovations LLC has been awarded federal contracts, though the volume and value may vary. Specific details on their past performance with the Department of Defense, including the types of projects, their success rates, and any past issues or commendations, would require a deeper dive into contract award histories and performance reviews. Understanding their experience with similar-sized renovation projects and their ability to meet deadlines and budgets on previous government contracts is crucial for assessing their capability to execute this barracks renovation successfully. Without specific historical data readily available, it's assumed the contracting agency performed due diligence during the procurement process.

How does the awarded amount compare to the estimated cost or budget for this barracks renovation project?

The awarded amount of $20,053,695 represents the final negotiated price for the renovation. To assess value, this figure should be compared against the government's initial cost estimates or budget allocation for the project. If the awarded amount is significantly lower than the estimate, it suggests potential cost savings for the government. Conversely, if it's higher, it might indicate an underestimation or an increase in scope. The 'full and open competition after exclusion of sources' suggests that the agency likely had a clear understanding of the required work and sought competitive bids, aiming to secure a price close to fair market value. A detailed comparison would require access to the government's independent government cost estimate (IGCE).

What are the primary risks associated with a firm-fixed-price contract for a large-scale renovation project like this?

The primary risk with a firm-fixed-price (FFP) contract, especially for a large renovation project, lies in potential cost overruns for the contractor if unforeseen issues arise. For the government, the risk is that the contractor might cut corners on quality or scope to maintain profitability if challenges emerge. In this case, the 'exclusion of sources' might imply that the agency has a good handle on the project's complexities, mitigating some risks. However, unforeseen conditions in older barracks (e.g., structural issues, hazardous materials) could lead to change orders, increasing the total cost. Contractor performance risk, including delays and quality control, is also a key consideration that the government must actively manage through oversight.

What is the expected impact of these renovations on the operational readiness and morale of the soldiers stationed at Fort Knox?

Renovating barracks directly impacts soldiers' quality of life, which is strongly linked to morale and retention. Modern, safe, and comfortable living quarters are essential for service members. Improved facilities can reduce distractions, enhance rest, and contribute to a more positive living environment, thereby boosting morale. Operationally, well-maintained barracks reduce disruptions caused by facility failures and ensure that soldiers have a stable base. This project, by addressing the Volar Barracks, is a direct investment in the well-being and readiness of the personnel stationed there, signaling the Army's commitment to providing adequate living standards.

How does this contract's value and scope compare to other recent barracks renovation projects undertaken by the Department of the Army?

Comparing this $20 million contract to other Army barracks renovations requires access to a broader dataset of similar projects. However, barracks renovations can range significantly in cost depending on the size of the facility, the extent of the work (e.g., minor upgrades vs. complete gutting), and geographic location. A $20 million project for a specific barracks building or complex suggests a substantial renovation effort. It is likely within the typical range for major facility upgrades, especially considering construction cost inflation. Without specific comparable project data, it's difficult to definitively state if it's high or low, but it reflects a significant investment in military infrastructure.

What are the potential long-term cost implications for the Army regarding the maintenance of these renovated barracks?

The long-term cost implications involve the transition from renovation costs to ongoing maintenance. High-quality renovations using durable materials and modern systems should theoretically reduce future maintenance burdens and costs compared to older, deteriorating facilities. However, new systems (HVAC, plumbing, electrical) will still require regular preventative maintenance, inspections, and eventual repairs or replacements. The initial investment in quality renovation aims to extend the service life of the facility and minimize costly emergency repairs, potentially leading to overall lifecycle cost savings for the Army, provided a robust maintenance program is implemented post-renovation.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W9124823R0001

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1779 OLIVE ST, CAPITOL HEIGHTS, MD, 20743

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,053,695

Exercised Options: $20,053,695

Current Obligation: $20,053,695

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9124823D3015

IDV Type: IDC

Timeline