DoD's $203M Wideband SATCOM Operations Center contract awarded to Lebolo-Watts Constructors for construction services

Contract Overview

Contract Amount: $20,383,648 ($20.4M)

Contractor: Lebolo-Watts Constructors 01 Joint Venture LLC

Awarding Agency: Department of Defense

Start Date: 2011-08-08

End Date: 2016-03-10

Contract Duration: 1,676 days

Daily Burn Rate: $12.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: WIDEBAND SATCOM OPERATIONS CENTER, FORT MEADE, MD

Place of Performance

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

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $20.4 million to LEBOLO-WATTS CONSTRUCTORS 01 JOINT VENTURE LLC for work described as: WIDEBAND SATCOM OPERATIONS CENTER, FORT MEADE, MD Key points: 1. Contract awarded for construction services related to a Wideband SATCOM Operations Center. 2. The contract was competed on a full and open basis after exclusion of sources. 3. The contract type is a definitive contract with a firm fixed price. 4. The contract duration was 1676 days, spanning from August 2011 to March 2016. 5. The contract was awarded to Lebolo-Watts Constructors 01 Joint Venture LLC. 6. The project is located in Fort Meade, Maryland.

Value Assessment

Rating: fair

Benchmarking the value of this specific construction contract is challenging without detailed cost breakdowns and scope of work. However, the total award amount of $203.8 million for a large-scale operations center suggests a significant investment. Comparing it to similar large-scale military construction projects would be necessary to assess if the pricing was competitive. The firm fixed-price nature indicates that cost overruns were intended to be borne by the contractor, which can sometimes lead to higher initial bids but provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which implies that while competition was sought, certain sources were excluded from the outset. The number of bidders is not explicitly stated in the provided data, but the 'limited' competition level suggests that the pool of eligible contractors might have been restricted. This could potentially impact price discovery and may not have yielded the most competitive pricing compared to a truly unrestricted full and open competition.

Taxpayer Impact: The limited competition may have resulted in higher costs for taxpayers compared to a scenario with broader participation from qualified contractors. It is important to understand the rationale behind the exclusion of sources to determine if it was justified and did not unduly limit competition.

Public Impact

The primary beneficiaries are the Department of Defense and its personnel who will utilize the Wideband SATCOM Operations Center. The services delivered include the construction of a critical facility for satellite communications operations. The geographic impact is concentrated in Fort Meade, Maryland, a significant military installation. The contract likely supported a construction workforce, including skilled trades and project management personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'after exclusion of sources' clause in the competition type warrants further investigation to ensure fair and broad competition was not unnecessarily restricted.
Lack of detailed cost breakdowns makes it difficult to assess the value for money and identify potential areas of overpricing.
The specific reasons for excluding certain sources are not provided, raising questions about the transparency and fairness of the procurement process.

Positive Signals

The contract was awarded under a 'Full and Open Competition' framework, indicating an intent to solicit bids from a wide range of qualified contractors.
The use of a 'Firm Fixed Price' contract type provides cost certainty for the government, mitigating the risk of budget overruns.
The project addresses a critical operational need for the Department of Defense in satellite communications.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for a government facility. The construction of specialized operational centers like this is a significant undertaking, often involving complex engineering and security requirements. Comparable spending benchmarks would involve analyzing the cost per square foot or per facility type for similar military or government construction projects, considering factors like location, size, and technological integration.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this contract. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a small business set-aside. The prime contractor, Lebolo-Watts Constructors 01 Joint Venture LLC, would be responsible for its own workforce and any subcontracts it chooses to award.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and project management offices. Accountability measures would be embedded in the contract terms, including performance standards and payment schedules. Transparency is generally facilitated through contract award announcements and public contract databases, though detailed project execution oversight might be less publicly visible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Construction Projects
Department of Defense Facilities
Satellite Communications Infrastructure
General Building Construction

Risk Flags

Competition Level - 'After Exclusion of Sources' warrants further review.
Cost Reasonableness - Detailed cost breakdown not available for thorough value assessment.
Scope Clarity - Specific project scope and deliverables not fully detailed in summary.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.4 million to LEBOLO-WATTS CONSTRUCTORS 01 JOINT VENTURE LLC. WIDEBAND SATCOM OPERATIONS CENTER, FORT MEADE, MD

Who is the contractor on this award?

The obligated recipient is LEBOLO-WATTS CONSTRUCTORS 01 JOINT VENTURE 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 $20.4 million.

What is the period of performance?

Start: 2011-08-08. End: 2016-03-10.

What was the specific rationale for excluding certain sources in the 'Full and Open Competition After Exclusion of Sources' award?

The rationale for excluding specific sources in a 'Full and Open Competition After Exclusion of Sources' award is typically documented within the procurement file. Common reasons include pre-qualification requirements based on specialized expertise, past performance on similar projects, security clearances, or specific technical capabilities necessary for the unique demands of the project. For a Wideband SATCOM Operations Center, these exclusions might relate to experience with secure facilities, advanced communication systems integration, or specific construction techniques required for such sensitive infrastructure. Without access to the detailed procurement documentation, the precise reasons remain speculative, but they are intended to ensure that only capable and qualified entities participate while still adhering to the principle of open competition among those deemed suitable.

How does the $203.8 million award compare to the estimated cost or budget for similar SATCOM operations centers?

Directly comparing the $203.8 million award to the estimated cost of similar SATCOM operations centers is challenging without specific project details such as square footage, technological complexity, and geographic location. However, large-scale, specialized government facilities like operations centers often incur significant costs due to stringent security requirements, advanced technological integration, and robust infrastructure needs. To benchmark this value, one would typically look at the cost per square foot for comparable military or intelligence community construction projects. Industry data suggests that specialized facilities can range from several hundred to over a thousand dollars per square foot, depending on the factors mentioned. The $203.8 million figure for a facility of this nature, awarded in the early 2010s, would need to be analyzed against contemporary construction cost indices and project-specific scope to determine if it represented good value for money.

What were the key performance indicators (KPIs) or deliverables expected under this contract, and how was contractor performance measured?

While specific KPIs are not detailed in the provided summary data, contracts for major construction projects like the Wideband SATCOM Operations Center typically include stringent performance expectations. Key deliverables would have included the timely and quality completion of the facility according to approved architectural and engineering plans, adherence to safety standards, and successful integration of necessary systems. Contractor performance would likely have been measured against milestones, quality control inspections, adherence to the schedule, and compliance with contract specifications. The firm fixed-price nature of the contract implies that meeting these deliverables within the agreed-upon price was paramount. Performance evaluations, often documented in Contractor Performance Assessment Reporting System (CPARS), would have been used to assess the contractor's track record.

What is the historical spending trend for Wideband SATCOM Operations Center construction or similar facilities within the Department of Defense?

Historical spending on Wideband SATCOM Operations Centers and similar critical infrastructure within the Department of Defense (DoD) is influenced by evolving technological requirements, strategic priorities, and budget allocations. Over the years, the DoD has invested significantly in modernizing its communication and intelligence facilities to support global operations. Spending trends would likely show an increase in investments for facilities requiring advanced cybersecurity, higher bandwidth capabilities, and greater resilience against threats. Analyzing past contracts for similar facilities, including their award values, durations, and the number of competitors, would reveal patterns in procurement strategies and cost fluctuations. This specific $203.8 million contract, awarded in 2011, represents a data point within this broader historical context of DoD infrastructure investment.

Were there any significant risks identified during the contract lifecycle, and how were they mitigated?

Major construction projects inherently carry risks, including potential cost overruns, schedule delays, unforeseen site conditions, and contractor performance issues. For a project like the Wideband SATCOM Operations Center, additional risks could involve integration challenges with complex communication systems, security vulnerabilities, and compliance with stringent military standards. Mitigation strategies typically involve thorough planning, detailed site investigations, robust contract management, contingency planning, and clear communication channels between the government and the contractor. The firm fixed-price contract structure itself aims to mitigate cost overrun risks for the government by placing that burden on the contractor. However, specific risks and their mitigation efforts would be detailed in the contract's risk management plan and project documentation.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912DR11R0011

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2100 CORPORATE DR, BOYNTON BEACH, FL, 33426

Business Categories: Category Business, Emerging Small Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,383,648

Exercised Options: $20,383,648

Current Obligation: $20,383,648

Subaward Activity

Number of Subawards: 37

Total Subaward Amount: $18,804,810

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline