DOD Awards $21.7M Chiller Plant Upgrade to Northern Taiga Ventures, Facing Limited Competition

Contract Overview

Contract Amount: $21,704,415 ($21.7M)

Contractor: Northern Taiga Ventures Incorporated

Awarding Agency: Department of Defense

Start Date: 2009-09-29

End Date: 2012-03-12

Contract Duration: 895 days

Daily Burn Rate: $24.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BUILDING 9960 CHILLER PLANT UPGRADE

Place of Performance

Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $21.7 million to NORTHERN TAIGA VENTURES INCORPORATED for work described as: BUILDING 9960 CHILLER PLANT UPGRADE Key points: 1. Significant investment in critical infrastructure for the Department of the Army. 2. Limited competition raises questions about price discovery and potential value. 3. Project duration of 895 days indicates a substantial undertaking. 4. The sector is construction, specifically water and sewer infrastructure.

Value Assessment

Rating: fair

The award amount of $21.7M for a chiller plant upgrade is substantial. Without comparable contract data or a detailed breakdown of costs, assessing its value against similar projects is difficult. The benchmark of $24,251 for 'br' (likely a unit cost or related metric) is provided but lacks context for a definitive pricing assessment.

Cost Per Unit: $24,251 (context unclear)

Competition Analysis

Competition Level: limited

The contract was not available for competition, suggesting a sole-source or limited competition scenario. This lack of broad competition may have limited the government's ability to secure the most favorable pricing through a competitive bidding process.

Taxpayer Impact: The absence of full and open competition could potentially lead to higher costs for taxpayers compared to a more competitive procurement.

Public Impact

Upgrade of essential facility infrastructure ensures operational continuity. Investment supports military readiness and base operations. Project completion impacts the efficiency and reliability of building cooling systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Lack of detailed cost breakdown
Long project duration

Positive Signals

Essential infrastructure upgrade
Firm Fixed Price contract type

Sector Analysis

This contract falls within the construction sector, specifically focusing on utility infrastructure like chiller plants. Spending in this area is crucial for maintaining government facilities, but costs can vary significantly based on project scope, location, and competitive landscape.

Small Business Impact

The data indicates that Northern Taiga Ventures, Incorporated was awarded this contract. There is no specific information provided regarding small business participation or subcontracting goals for this particular award.

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 by the Army Contracting Command (ACC) or relevant installation contracting office to ensure performance and adherence to terms.

Related Government Programs

Water and Sewer Line and Related Structures Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Potential for overpayment due to limited competition
Lack of transparency in cost justification
Risk of project delays given the long duration
Unclear value proposition without detailed cost analysis

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.7 million to NORTHERN TAIGA VENTURES INCORPORATED. BUILDING 9960 CHILLER PLANT UPGRADE

Who is the contractor on this award?

The obligated recipient is NORTHERN TAIGA VENTURES INCORPORATED.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $21.7 million.

What is the period of performance?

Start: 2009-09-29. End: 2012-03-12.

What specific factors necessitated a limited competition approach for this chiller plant upgrade, and how were these justified?

The justification for limited competition is not detailed in the provided data. Typically, such a determination requires a formal justification and approval (J&A) process, citing reasons like urgent and compelling needs, unique capabilities of a specific contractor, or a lack of qualified sources. Without the J&A, it's difficult to assess the validity of the limited competition.

How does the $21.7M award compare to industry benchmarks for similar chiller plant upgrade projects of comparable size and complexity?

Direct comparison is challenging without more specific project details and access to industry cost databases. The provided 'br' value of $24,251 is too vague to be a reliable benchmark. A thorough analysis would require comparing the scope of work, system capacity, geographical location, and contract type against similar publicly or privately awarded projects.

What are the key performance indicators (KPIs) and quality assurance measures in place to ensure the successful and efficient completion of this upgrade?

The provided data does not specify the KPIs or quality assurance measures for this contract. Typically, government contracts include detailed inspection requirements, performance standards, and acceptance criteria. The effectiveness of oversight would depend on the rigor of these measures and the diligence of the contracting officer's representative (COR) during project execution.

Industry Classification

NAICS: Construction › Utility System Construction › Water and Sewer Line and Related Structures 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: W912DR09R0107

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Northern Taiga Ventures, Inc. (UEI: 031748978)

Address: 814 W DIAMOND AVE STE 200, GAITHERSBURG, MD, 90

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: $21,704,415

Exercised Options: $21,704,415

Current Obligation: $21,704,415

Contract Characteristics

Cost or Pricing Data: NO

Timeline