DOD Awards $15.8M Construction Contract to KIC Development, LLC in Texas

Contract Overview

Contract Amount: $15,784,147 ($15.8M)

Contractor: KIC Development, LLC

Awarding Agency: Department of Defense

Start Date: 2009-09-25

End Date: 2013-05-24

Contract Duration: 1,337 days

Daily Burn Rate: $11.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION

Place of Performance

Location: EL PASO, EL PASO County, TEXAS, 79912

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $15.8 million to KIC DEVELOPMENT, LLC for work described as: CONSTRUCTION Key points: 1. Contract awarded for commercial and institutional building construction. 2. Significant contract value of $15.8 million. 3. Awarded by the Department of the Army, a component of the Department of Defense. 4. Contract duration of 1337 days. 5. Located in Texas.

Value Assessment

Rating: questionable

The contract value is $15.8 million. Without specific details on the scope of work or comparable projects, it is difficult to assess if this pricing is competitive. The 'NOT AVAILABLE FOR COMPETITION' status further hinders a direct pricing comparison.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited or sole-source procurement. This limits price discovery and potentially leads to higher costs for taxpayers compared to a fully competitive process.

Taxpayer Impact: The lack of competition may result in a higher cost to taxpayers than if the contract had been openly competed.

Public Impact

Taxpayer funds allocated for significant construction project. Potential for increased costs due to limited competition. Project located in Texas, impacting local economy and workforce. Long contract duration suggests a substantial undertaking.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Limited transparency on pricing
  • Long contract duration

Positive Signals

  • Award to a specific company
  • Clear project type (construction)

Sector Analysis

This contract falls under the Construction sector, specifically commercial and institutional building construction. The Department of Defense is a major spender in this sector, often awarding large-scale projects. Benchmarks for similar projects would be necessary for a precise comparison.

Small Business Impact

The data does not indicate whether KIC DEVELOPMENT, LLC is a small business. Further analysis would be needed to determine the impact on small business participation.

Oversight & Accountability

The award was made by the Department of the Army. Oversight would typically involve project management, quality control, and financial monitoring to ensure the contract is executed as intended and funds are used appropriately.

Related Government Programs

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

Risk Flags

  • Lack of competition
  • Potential for overpricing
  • Limited transparency
  • Long contract duration may indicate complexity or potential for delays

Tags

commercial-and-institutional-building-co, department-of-defense, tx, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.8 million to KIC DEVELOPMENT, LLC. CONSTRUCTION

Who is the contractor on this award?

The obligated recipient is KIC DEVELOPMENT, 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 $15.8 million.

What is the period of performance?

Start: 2009-09-25. End: 2013-05-24.

What was the justification for limiting competition on this $15.8 million construction contract?

The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION'. A detailed justification would typically be documented by the agency, outlining reasons such as urgent need, unique capabilities of the contractor, or specific circumstances that precluded a competitive solicitation. Without this documentation, the rationale remains unclear.

How does the $15.8 million contract value compare to similar institutional building construction projects awarded by the Department of Defense?

Benchmarking this $15.8 million contract against similar projects is challenging without more specific details on the scope of work, location, and project complexity. The 'NOT AVAILABLE FOR COMPETITION' status also limits the ability to assess if the price was competitive. A thorough analysis would require access to detailed project specifications and market data for comparable construction contracts.

What are the potential risks associated with a construction contract awarded without competition?

Awarding a contract without competition carries several risks, including the potential for inflated pricing due to a lack of market pressure, reduced innovation, and a perception of unfairness. It can also limit opportunities for other qualified contractors and may not result in the best value for the government. Effective oversight is crucial to mitigate these risks.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W9126G09R0149

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Kikiktagruk Inupiat Corp (UEI: 079259065)

Address: 7350 REMCON CIR #5, EL PASO, TX, 16

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Emerging Small Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,784,147

Exercised Options: $15,784,147

Current Obligation: $15,784,147

Contract Characteristics

Cost or Pricing Data: YES

Timeline

Start Date: 2009-09-25

Current End Date: 2013-05-24

Potential End Date: 2013-05-24 00:00:00

Last Modified: 2013-06-14

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