DoD Awards $11.4M Firm Fixed Price Contract for Construction to Cherokee Nation Mechanical LLC
Contract Overview
Contract Amount: $11,429,151 ($11.4M)
Contractor: Cherokee Nation Mechanical LLC
Awarding Agency: Department of Defense
Start Date: 2025-09-26
End Date: 2027-04-16
Contract Duration: 567 days
Daily Burn Rate: $20.2K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: CONSTRUCTION COST
Place of Performance
Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73145
State: Oklahoma Government Spending
Plain-Language Summary
Department of Defense obligated $11.4 million to CHEROKEE NATION MECHANICAL LLC for work described as: CONSTRUCTION COST Key points: 1. The contract is for commercial and institutional building construction. 2. The award is a definitive contract with a firm fixed price. 3. The contract duration is 567 days. 4. The contract was not available for competition.
Value Assessment
Rating: questionable
The contract value is $11.4 million. Without comparable contract data or a clear benchmark, assessing the pricing's reasonableness is difficult. The firm fixed price structure shifts risk to the contractor, but the lack of competition raises concerns about potential overpricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, indicating a limited competition approach. This method can sometimes lead to less aggressive price discovery compared to full and open competition, potentially impacting the final price paid by taxpayers.
Taxpayer Impact: The lack of competitive bidding may result in a higher cost to taxpayers than if multiple firms had competed for the contract.
Public Impact
Taxpayers may be paying more due to the absence of competitive bidding. The project's success relies heavily on the contractor's performance and cost management. Future construction projects could benefit from a more competitive procurement process.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for overpricing
- Limited transparency in price determination
Positive Signals
- Firm fixed price contract shifts risk to contractor
- Clear contract duration and completion date
Sector Analysis
This contract falls within the construction sector, specifically commercial and institutional building construction. The awarded amount of $11.4 million is a significant investment. Benchmarks for similar DoD construction projects would be needed for a more precise comparison.
Small Business Impact
The data does not indicate if Cherokee Nation Mechanical LLC is a small business. Further analysis would be needed to determine the impact on small business participation in this contract.
Oversight & Accountability
The definitive contract award suggests a structured procurement process. However, the limited competition aspect warrants scrutiny to ensure the Department of Defense obtained the best value for taxpayer funds.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Lack of competition raises concerns about price reasonableness.
- Potential for higher costs to taxpayers due to limited bidding.
- Need for detailed justification for sole-source award.
- Absence of small business participation data.
Tags
commercial-and-institutional-building-co, department-of-defense, ok, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.4 million to CHEROKEE NATION MECHANICAL LLC. CONSTRUCTION COST
Who is the contractor on this award?
The obligated recipient is CHEROKEE NATION MECHANICAL 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 $11.4 million.
What is the period of performance?
Start: 2025-09-26. End: 2027-04-16.
What specific factors led to this contract being 'NOT AVAILABLE FOR COMPETITION', and how were these justified?
The justification for a 'NOT AVAILABLE FOR COMPETITION' award is critical. Typically, this occurs when only one source can fulfill the requirement due to unique capabilities, urgent needs, or specific circumstances. A thorough review of the justification documentation is necessary to understand the rationale and ensure it aligns with federal procurement regulations, thereby validating the absence of a competitive process.
How does the $11.4 million cost compare to industry benchmarks for similar commercial and institutional building construction projects of this scale?
Comparing the $11.4 million cost to industry benchmarks is essential for value assessment. Without specific project details (e.g., square footage, complexity, location), a precise comparison is challenging. However, general benchmarks for commercial construction can provide a preliminary indication. If this cost significantly deviates from established benchmarks, it could signal potential overpricing or unique project demands that warrant further investigation.
What mechanisms are in place to ensure the quality and timely completion of the construction project given the firm fixed price contract?
With a firm fixed price contract, the contractor bears the primary financial risk for cost overruns. Oversight mechanisms should focus on monitoring project progress against the schedule, ensuring adherence to specifications, and verifying the quality of work. Regular site inspections, progress reports, and clear communication channels between the contracting officer and the contractor are crucial for successful project delivery and accountability.
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: W912BV24R0109
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2 W 2ND ST STE 1500-30, TULSA, OK, 74103
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $11,614,846
Exercised Options: $11,429,151
Current Obligation: $11,429,151
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2025-09-26
Current End Date: 2027-04-16
Potential End Date: 2027-04-16 00:00:00
Last Modified: 2025-11-20
More Contracts from Cherokee Nation Mechanical LLC
- Design-Build Construction of Juba Compound Security Upgrades Project — $27.7M (Department of State)
- Stage 1 REC Project, Bangkok, Thailand — $5.8M (Department of State)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)