DoD's $21M Autoclave Construction Contract Awarded to Tatitlek Universal Services Inc. for Oklahoma Facility

Contract Overview

Contract Amount: $21,058,261 ($21.1M)

Contractor: Tatitlek Universal Services Inc

Awarding Agency: Department of Defense

Start Date: 2024-10-14

End Date: 2026-10-28

Contract Duration: 744 days

Daily Burn Rate: $28.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PROJECT INCLUDES DESIGN PREPARATION, DEMOLITION, AND NEW CONSTRUCTION AT B9001 CMXG AUTOCLAVE.

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73145

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $21.1 million to TATITLEK UNIVERSAL SERVICES INC for work described as: PROJECT INCLUDES DESIGN PREPARATION, DEMOLITION, AND NEW CONSTRUCTION AT B9001 CMXG AUTOCLAVE. Key points: 1. Contract focuses on essential facility upgrades, including design, demolition, and new construction. 2. The award is a definitive contract with a firm fixed price, indicating defined scope and cost. 3. Project duration of 744 days suggests a substantial construction timeline. 4. The contract is not available for competition, raising questions about price discovery and potential value. 5. The contractor, Tatitlek Universal Services Inc., has a role in supporting critical infrastructure. 6. The project is located in Oklahoma, potentially impacting local construction workforce and economy.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific cost breakdowns or comparable project data. The firm fixed price structure aims to control costs, but the lack of competition means there's no direct market comparison to assess if the $21 million represents optimal value. Further analysis would require detailed cost estimates and comparison with similar military construction projects in terms of scope and complexity.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not available for competition, indicating a sole-source award. The specific reasons for this designation are not provided in the available data. Sole-source awards can sometimes lead to higher prices due to the absence of competitive pressure, and they limit opportunities for other qualified contractors to bid on the work.

Taxpayer Impact: Taxpayers may not be receiving the best possible price due to the lack of competitive bidding. This award mechanism bypasses the typical process that drives down costs through market forces.

Public Impact

The Department of Defense benefits from the upgrade of critical infrastructure at the B9001 CMXG Autoclave facility. Services delivered include design preparation, demolition, and new construction, ensuring a modernized facility. The geographic impact is primarily in Oklahoma, potentially creating local jobs and economic activity within the construction sector. The project will likely involve skilled construction labor, contributing to the regional workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in a higher price than a competitively bid contract.
Limited transparency into the justification for a sole-source award.
Potential for cost overruns if not meticulously managed, despite the fixed-price nature.

Positive Signals

Firm fixed price contract provides cost certainty for the government.
The contractor, Tatitlek Universal Services Inc., is likely experienced in government contracting.
Project addresses a specific, stated need for facility improvement.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for a government facility. The Department of Defense is a significant investor in construction projects to maintain and upgrade its vast infrastructure. While specific benchmarks for autoclave construction are not readily available, large-scale institutional building projects often involve multi-million dollar investments. This contract represents a portion of the DoD's broader capital investment in facilities management and modernization.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary consideration or set-aside for this specific contract. This means that opportunities for small businesses to directly participate as the prime contractor or through set-aside provisions are absent. Subcontracting opportunities may exist, but they are not explicitly detailed or mandated in the provided information, potentially limiting the direct benefit to the small business ecosystem for this particular award.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army, a component of the Department of Defense. Accountability measures would typically involve contract performance monitoring, milestone reviews, and adherence to the firm fixed price agreement. Transparency is generally facilitated through contract award databases, but the specifics of the sole-source justification and detailed cost breakdowns may not be publicly accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Military Construction
Army Corps of Engineers Construction Projects
Federal Facilities Modernization Programs
Government Building and Infrastructure Contracts

Risk Flags

Sole-source award bypasses competitive bidding process.
Lack of detailed cost breakdown makes value assessment difficult.
Project duration is substantial, increasing exposure to market fluctuations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.1 million to TATITLEK UNIVERSAL SERVICES INC. PROJECT INCLUDES DESIGN PREPARATION, DEMOLITION, AND NEW CONSTRUCTION AT B9001 CMXG AUTOCLAVE.

Who is the contractor on this award?

The obligated recipient is TATITLEK UNIVERSAL SERVICES 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 $21.1 million.

What is the period of performance?

Start: 2024-10-14. End: 2026-10-28.

What is the track record of Tatitlek Universal Services Inc. with the Department of Defense, particularly on similar construction projects?

Tatitlek Universal Services Inc. has a history of contracting with the Department of Defense. While specific details on past performance for autoclave construction are not provided here, their engagement suggests a level of experience deemed sufficient for this project. A deeper dive into their contract history, including past performance reviews, project completion success rates, and any past disputes or issues, would be necessary to fully assess their track record. Examining previous DoD awards to Tatitlek could reveal patterns in project size, complexity, and client satisfaction, offering a more robust understanding of their capabilities and reliability for critical infrastructure projects like the B9001 CMXG Autoclave upgrade.

How does the $21 million cost compare to similar institutional building construction projects within the federal government?

Directly comparing the $21 million cost without detailed project specifications is difficult. However, for context, large-scale institutional and commercial building construction projects for federal agencies can range widely. Projects involving specialized facilities, significant demolition, and new construction, as described, often carry substantial price tags. Factors influencing cost include location, specific technical requirements (like an autoclave), labor rates, material costs, and the overall complexity of the design and build process. Without a detailed scope of work and cost breakdown for this specific project, a precise benchmark against other federal contracts is not feasible. However, the amount is within the expected range for significant facility upgrades within the DoD.

What are the primary risks associated with a sole-source contract for a construction project of this magnitude?

The primary risk of a sole-source contract for a construction project of this magnitude is the potential for a suboptimal price. Without competitive bidding, the government may pay more than it would in a competitive environment, as there is less pressure on the contractor to offer the lowest possible price. Another risk is a lack of innovation or efficiency, as the contractor may not feel compelled to seek out the most cost-effective methods or materials if they are guaranteed the contract. Furthermore, sole-source awards can sometimes raise concerns about fairness and transparency in the procurement process, potentially leading to perceptions of favoritism if the justification is not robust. Ensuring rigorous oversight and detailed performance management becomes even more critical in sole-source situations.

What is the expected impact of this project on the operational capabilities of the B9001 CMXG Autoclave facility?

The project aims to upgrade the B9001 CMXG Autoclave facility through design preparation, demolition, and new construction. This implies that the current facility may be outdated, inefficient, or no longer meet current operational or safety standards. The new construction is expected to result in a modernized and potentially more capable facility. This could translate to improved efficiency, enhanced safety features, increased capacity, or the ability to perform new functions. Ultimately, the impact should be a more reliable and effective operational base for the specific mission that the autoclave facility supports within the Department of Defense.

What are the historical spending patterns for construction and facility upgrades at similar Department of the Army installations?

Historical spending patterns for construction and facility upgrades at similar Department of the Army installations typically show significant and consistent investment. These investments are driven by the need to maintain a vast and aging infrastructure, adapt to new technological requirements, and ensure force protection and operational readiness. Spending can fluctuate based on congressional appropriations, military readiness priorities, and specific modernization initiatives. Projects often involve substantial sums, ranging from millions to hundreds of millions of dollars for major construction or renovation efforts. Analyzing past spending data for comparable installations would reveal trends in project types, average contract values, and the frequency of major upgrades, providing context for the current $21 million award.

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: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W912BV24R0110

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 561 E 36TH AVE, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,237,035

Exercised Options: $21,058,261

Current Obligation: $21,058,261

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline