DoD's $40.2M Vance AFB Runway Repair Contract Awarded to IHC Scott, Inc. Under Full and Open Competition
Contract Overview
Contract Amount: $40,235,169 ($40.2M)
Contractor: IHC Scott, Inc
Awarding Agency: Department of Defense
Start Date: 2015-11-25
End Date: 2017-06-12
Contract Duration: 565 days
Daily Burn Rate: $71.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF REPAIR RUNWAY AND TAXIWAYS AT VANCE AFB, OK
Place of Performance
Location: ENID, GARFIELD County, OKLAHOMA, 73705
State: Oklahoma Government Spending
Plain-Language Summary
Department of Defense obligated $40.2 million to IHC SCOTT, INC for work described as: IGF::OT::IGF REPAIR RUNWAY AND TAXIWAYS AT VANCE AFB, OK Key points: 1. The contract awarded to IHC Scott, Inc. for runway and taxiway repairs at Vance AFB totals over $40.2 million. 2. Competition was full and open, suggesting a robust price discovery process. 3. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 4. The sector is Highway, Street, and Bridge Construction, a critical infrastructure area for military bases.
Value Assessment
Rating: fair
The awarded amount of $40.2M for runway and taxiway repairs appears to be within a reasonable range for a project of this scope and complexity, though specific benchmarks are not readily available without more detailed project specifications.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The use of full and open competition is intended to maximize taxpayer value by driving down costs through market forces.
Public Impact
Ensures operational readiness of Vance AFB by maintaining critical runway and taxiway infrastructure. Supports local economy through construction jobs and related services. Addresses potential safety hazards associated with aging or damaged airfield surfaces.
Waste & Efficiency Indicators
Waste Risk Score: 71 / 10
Warning Flags
- Potential for cost overruns if unforeseen site conditions arise.
- Contract duration of 565 days may be subject to delays.
Positive Signals
- Firm Fixed Price contract type limits government exposure to cost increases.
- Full and open competition suggests competitive pricing was achieved.
Sector Analysis
This contract falls within the Highway, Street, and Bridge Construction sector, specifically focusing on airfield infrastructure. Spending in this sector can vary significantly based on infrastructure needs and federal investment priorities.
Small Business Impact
The data indicates that neither small business set-aside nor subcontracting goals were explicitly mentioned for this contract. Further investigation may be needed to determine if small businesses were adequately included in the supply chain.
Oversight & Accountability
The contract was awarded by the Department of the Army, a component of the Department of Defense. Oversight would typically involve contract management teams ensuring adherence to terms and quality standards.
Related Government Programs
- Highway, Street, and Bridge Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Contract duration may be subject to delays.
- Potential for unforeseen site conditions impacting cost or schedule.
- Lack of explicit small business participation data.
- Project scope and specific repair needs are not detailed.
Tags
highway-street-and-bridge-construction, department-of-defense, ok, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $40.2 million to IHC SCOTT, INC. IGF::OT::IGF REPAIR RUNWAY AND TAXIWAYS AT VANCE AFB, OK
Who is the contractor on this award?
The obligated recipient is IHC SCOTT, 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 $40.2 million.
What is the period of performance?
Start: 2015-11-25. End: 2017-06-12.
What was the competitive landscape like for this specific runway repair project, and did the number of bids received align with expectations for this type of infrastructure work?
The contract was awarded under 'FULL AND OPEN COMPETITION,' suggesting a broad solicitation. While the exact number of bids isn't provided, this designation implies that multiple companies were invited and likely submitted proposals. The government's goal is to ensure sufficient competition to drive down prices and achieve the best value for taxpayers, which is generally expected for significant infrastructure projects like runway repairs.
Given the Firm Fixed Price (FFP) contract type, what are the primary risks to the government regarding cost and schedule for this $40.2M runway repair project?
With an FFP contract, the primary risk to the government is that the contractor may not perform as expected, leading to delays or quality issues. However, the cost is largely fixed, meaning the government is protected from contractor cost overruns unless significant scope changes occur. Schedule risks remain, as unforeseen conditions or contractor performance issues could extend the 565-day duration, potentially impacting base operations.
How does the awarded amount of $40.2M compare to industry benchmarks for similar runway and taxiway repair projects, and does this suggest effective price discovery?
Without specific project details (e.g., square footage, type of repairs, specific materials), a direct benchmark comparison is challenging. However, the 'FULL AND OPEN COMPETITION' award mechanism suggests that the government likely received competitive bids, which should have driven the price towards a market-based level. The awarded amount should be evaluated against similar projects of comparable scope and complexity to confirm effective price discovery.
Industry Classification
NAICS: Construction › Highway, Street, and Bridge Construction › Highway, Street, and Bridge Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912BV15R0039
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 7135 S TUCSON WAY, CENTENNIAL, CO, 80112
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $40,235,169
Exercised Options: $40,235,169
Current Obligation: $40,235,169
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2015-11-25
Current End Date: 2017-06-12
Potential End Date: 2017-06-12 00:00:00
Last Modified: 2017-08-23
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