DoD awards $16.8M for building renovation at Joint Base San Antonio, with 3 bids received

Contract Overview

Contract Amount: $16,800,421 ($16.8M)

Contractor: Amg-Metro, LLC

Awarding Agency: Department of Defense

Start Date: 2022-09-30

End Date: 2026-07-01

Contract Duration: 1,370 days

Daily Burn Rate: $12.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: MATOC TASK ORDER AWARD FOR THE RENOVATION OF BUILDING 617 LOCATED ON JOINT BASE SAN ANTONIO FORT SAM HOUSTON

Place of Performance

Location: JBSA FT SAM HOUSTON, BEXAR County, TEXAS, 78234

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $16.8 million to AMG-METRO, LLC for work described as: MATOC TASK ORDER AWARD FOR THE RENOVATION OF BUILDING 617 LOCATED ON JOINT BASE SAN ANTONIO FORT SAM HOUSTON Key points: 1. Value appears reasonable given the scope of renovation for a large facility. 2. Competition was robust, suggesting fair pricing was achieved. 3. No immediate risk indicators identified, but long-term performance needs monitoring. 4. Contract duration of 1370 days (approx. 3.75 years) is substantial for a renovation project. 5. This contract falls within the broader construction sector for institutional buildings. 6. The award is a delivery order under a MATOC, indicating a pre-competed framework.

Value Assessment

Rating: good

The award amount of $16.8 million for renovating a building on a major military installation seems within a reasonable range for such projects. Benchmarking against similar large-scale institutional building renovations would provide a more precise value-for-money assessment. The firm-fixed-price structure helps control costs, but the final expenditure will depend on the execution and any potential change orders over the project's multi-year duration.

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 broad solicitation. With three bids received, the competition level suggests a healthy market response for this type of construction service. This level of competition generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The presence of multiple bidders ensures that taxpayer funds are likely being used efficiently, as contractors compete to offer their best pricing and value.

Public Impact

Military personnel and civilian staff at Joint Base San Antonio will benefit from improved facilities. The project delivers essential renovation services for critical infrastructure. The geographic impact is localized to Joint Base San Antonio, Texas. The contract supports the construction workforce in the Texas region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen issues arise during the extensive renovation.
Dependency on contractor performance over a long project duration (over 3 years).
Ensuring compliance with all building codes and environmental regulations throughout the renovation.

Positive Signals

Awarded under full and open competition, indicating a competitive bidding process.
Firm-fixed-price contract type helps to control costs.
The contractor, AMG-METRO, LLC, has experience in construction services.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. The market for military base construction and renovation is substantial, driven by the need to maintain and upgrade aging infrastructure. Comparable spending benchmarks would involve analyzing other large-scale renovation or construction projects awarded by the Department of Defense or other federal agencies for similar facilities.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). While the prime contractor is AMG-METRO, LLC, the subcontracting opportunities for small businesses are not detailed in this award notice. Further analysis would be needed to determine if small business subcontracting goals were established or met.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and relevant project managers within the Department of the Army. Transparency is facilitated through contract award databases. Accountability measures are inherent in the firm-fixed-price structure and the potential for performance evaluations. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Military Construction
Base Operations Support
Facility Renovation Contracts
Department of Defense Construction Awards

Risk Flags

Long project duration increases risk of delays and unforeseen costs.
Potential for change orders impacting final cost despite fixed-price structure.
Dependency on contractor's long-term performance and resource allocation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.8 million to AMG-METRO, LLC. MATOC TASK ORDER AWARD FOR THE RENOVATION OF BUILDING 617 LOCATED ON JOINT BASE SAN ANTONIO FORT SAM HOUSTON

Who is the contractor on this award?

The obligated recipient is AMG-METRO, 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 $16.8 million.

What is the period of performance?

Start: 2022-09-30. End: 2026-07-01.

What is the track record of AMG-METRO, LLC with federal contracts, particularly within the Department of Defense?

AMG-METRO, LLC has a history of performing construction services for the federal government. While specific details on their track record with the Department of Defense require deeper database searches, their ability to win a competitive bid for a significant renovation project like this suggests they possess the necessary qualifications and experience. Analyzing past performance ratings, any past performance issues, and the types of projects they have completed for the government would provide a more comprehensive understanding of their reliability and capability. It's important to note that this award is a delivery order under a MATOC, implying they were pre-qualified under that larger contract vehicle.

How does the awarded amount compare to similar building renovation projects at other military installations?

Direct comparison of the $16.8 million award to similar projects requires access to a database of comparable federal construction contracts, including project scope, size, location, and renovation complexity. However, for a substantial renovation of a building on a major joint base, this figure appears within a plausible range. Factors influencing cost include the age and condition of the building, the extent of structural, mechanical, and electrical upgrades required, and local labor and material costs in the San Antonio area. A detailed benchmark analysis would involve identifying projects with similar square footage, building type (e.g., barracks, administrative, training), and the degree of modernization.

What are the primary risk indicators associated with this specific contract award?

The primary risk indicators for this contract revolve around the project's duration and scope. A renovation project spanning over 1370 days (nearly four years) carries inherent risks of schedule delays, potential cost increases due to unforeseen conditions discovered during demolition or construction, and contractor performance degradation over an extended period. The firm-fixed-price nature mitigates direct cost escalation for the government, but change orders could still impact the total expenditure. Ensuring robust project management, regular site inspections, and proactive risk mitigation strategies by the government contracting team will be crucial to managing these potential risks effectively.

How effective is the 'full and open competition after exclusion of sources' method for ensuring value in construction contracts of this magnitude?

The 'full and open competition after exclusion of sources' method is generally considered highly effective for ensuring value in construction contracts. It allows for the widest possible pool of qualified bidders while potentially excluding specific sources if there are documented reasons (e.g., past performance issues, national security concerns). For a project of this scale, receiving three bids indicates sufficient competition to drive competitive pricing. This method balances broad market access with the need for specific qualifications, promoting a fair and transparent process that typically results in better pricing and selection of capable contractors for the government.

What are the historical spending patterns for building renovations at Joint Base San Antonio or similar Army installations?

Analyzing historical spending patterns for building renovations at Joint Base San Antonio or similar Army installations would involve examining past contract awards for facility upgrades and maintenance over several fiscal years. This data would reveal trends in average contract values, typical project durations, common contracting vehicles (like MATOCs), and the prevalence of different types of construction services. Understanding these patterns helps in budgeting, setting realistic expectations for project costs and timelines, and identifying potential areas where spending may be increasing or decreasing. It also provides context for evaluating whether the current $16.8 million award is an outlier or consistent with past investment in infrastructure at similar bases.

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: W9126G20R0051

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 118 BROADWAY ST STE 502, SAN ANTONIO, TX, 78205

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

Financial Breakdown

Contract Ceiling: $16,800,421

Exercised Options: $16,800,421

Current Obligation: $16,800,421

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9126G21D0014

IDV Type: IDC

Timeline