DoD Awards $21M for Fuel Storage Design, Lacking Small Business Participation
Contract Overview
Contract Amount: $21,057,785 ($21.1M)
Contractor: AECOM - B&V Usace MED Satoc JV
Awarding Agency: Department of Defense
Start Date: 2024-12-13
End Date: 2026-08-05
Contract Duration: 600 days
Daily Burn Rate: $35.1K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TO-4 - PACKAGE 4B POL COMPLEX AND FIGHTER RAMP OPERATING FUEL STORAGE AREA 100% ENGINEERING DESIGN DOCUMENTS
Place of Performance
Location: ROANOKE, ROANOKE CITY County, VIRGINIA, 24011
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $21.1 million to AECOM - B&V USACE MED SATOC JV for work described as: TO-4 - PACKAGE 4B POL COMPLEX AND FIGHTER RAMP OPERATING FUEL STORAGE AREA 100% ENGINEERING DESIGN DOCUMENTS Key points: 1. Significant contract value for specialized engineering services. 2. AECOM - B&V USACE MED SATOC JV secured the award. 3. Full and open competition was utilized. 4. No small business participation noted in the award.
Value Assessment
Rating: good
The contract value of $21.1M for engineering design services appears reasonable given the scope. Benchmarking against similar large-scale infrastructure design projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple qualified vendors can bid.
Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers, promoting efficiency and potentially lower costs through market forces.
Public Impact
Enhances critical fuel storage infrastructure for military operations. Supports Department of the Army's logistical capabilities. Project completion expected in August 2026.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
Positive Signals
- Awarded through full and open competition.
- Clear project scope for essential infrastructure.
Sector Analysis
This contract falls within the Engineering Services sector, specifically related to large-scale construction and infrastructure design. Spending in this area is often driven by government capital improvement projects and defense readiness.
Small Business Impact
The award did not include any small business participation. This is a missed opportunity to support small businesses and could indicate a need for better outreach or subcontracting requirements in future solicitations.
Oversight & Accountability
The contract is managed under the Department of the Army's SATOC program, suggesting established oversight mechanisms. However, the lack of small business involvement warrants further review of subcontracting plans.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- No small business participation.
- Potential for cost overruns if design changes are extensive.
- Dependence on a single large contractor JV.
Tags
engineering-services, department-of-defense, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $21.1 million to AECOM - B&V USACE MED SATOC JV. TO-4 - PACKAGE 4B POL COMPLEX AND FIGHTER RAMP OPERATING FUEL STORAGE AREA 100% ENGINEERING DESIGN DOCUMENTS
Who is the contractor on this award?
The obligated recipient is AECOM - B&V USACE MED SATOC JV.
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: 2024-12-13. End: 2026-08-05.
What is the estimated cost savings achieved through the full and open competition process for this specific project?
While full and open competition generally drives cost savings, quantifying the exact amount for this $21.1M contract requires comparing the awarded price against a baseline of non-competitive bids or historical data for similar projects. Without this benchmark, the precise savings remain an estimate, though the process itself is designed to maximize value.
What are the potential risks associated with the absence of small business participation in this large-scale engineering contract?
The absence of small business participation may limit innovation and specialized expertise that smaller firms can offer. It also represents a missed opportunity for economic development and could indicate potential barriers to entry for small businesses in future large federal contracts, potentially concentrating work among larger entities.
How effectively will the completed fuel storage facility enhance operational readiness and reduce logistical risks for the military?
The new facility is designed to modernize and improve the reliability of fuel storage, directly enhancing operational readiness by ensuring a consistent and secure fuel supply. This upgrade is expected to mitigate risks associated with aging infrastructure, potential leaks, and capacity limitations, thereby supporting sustained military operations.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: AECOM
Address: 10 SOUTH JEFFERSON ST SUITE 1600, ROANOKE, VA, 24011
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $21,057,785
Exercised Options: $21,057,785
Current Obligation: $21,057,785
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912QR19D0032
IDV Type: IDC
Timeline
Start Date: 2024-12-13
Current End Date: 2026-08-05
Potential End Date: 2026-08-05 00:00:00
Last Modified: 2025-09-03
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)