DoD Awards $23.2M Contract for Missile Defense Brigade Readiness Center Construction

Contract Overview

Contract Amount: $23,230,193 ($23.2M)

Contractor: Pacific Construction Services LLC

Awarding Agency: Department of Defense

Start Date: 2023-12-06

End Date: 2026-03-21

Contract Duration: 836 days

Daily Burn Rate: $27.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BASE BID & OPTIONS 1, 2, 5, & 6 FOR PN 080295-CONSTRUCTION OF A NEW 33,338 SF 100TH MISSILE DEFENSE BRIGADE READINESS CENTER FACILITY ON PETERSON SPACE FORCE BASE, COLORADO, IN ACCORDANCE WITH SPECIFICATIONS AND DRAWINGS DATED OCTOBER 27, 2021.

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80914

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $23.2 million to PACIFIC CONSTRUCTION SERVICES LLC for work described as: BASE BID & OPTIONS 1, 2, 5, & 6 FOR PN 080295-CONSTRUCTION OF A NEW 33,338 SF 100TH MISSILE DEFENSE BRIGADE READINESS CENTER FACILITY ON PETERSON SPACE FORCE BASE, COLORADO, IN ACCORDANCE WITH SPECIFICATIONS AND DRAWINGS DATED OCTOBER 27, 2021. Key points: 1. Construction of a 33,338 SF facility for the 100th Missile Defense Brigade. 2. Contract awarded to Pacific Construction Services LLC. 3. Project located at Peterson Space Force Base, Colorado. 4. Firm Fixed Price contract type indicates defined scope and cost. 5. Definitive contract with a duration of 836 days.

Value Assessment

Rating: good

The contract value of $23.2M for a 33,338 SF facility appears reasonable for a specialized government construction project. Benchmarking against similar military construction projects would provide a more precise assessment.

Cost Per Unit: $695 per square foot

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' suggesting a limited competition. This method may impact price discovery compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential military infrastructure, with the aim of achieving value through a competitive process, albeit with some source exclusions.

Public Impact

Enhances readiness capabilities for the 100th Missile Defense Brigade. Supports military personnel and operations at Peterson Space Force Base. Contributes to the local economy through construction activities. Represents investment in national defense infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition due to source exclusion.
  • Potential for cost overruns in large construction projects.
  • Long project duration increases risk exposure.

Positive Signals

  • Addresses critical military infrastructure needs.
  • Firm Fixed Price contract provides cost certainty.
  • Awarded to a single, presumably qualified, contractor.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Government construction projects, especially for defense facilities, often command premium pricing due to stringent requirements, security, and specialized materials.

Small Business Impact

The data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

The award is managed by the Department of the Army, a component of the Department of Defense. Standard government oversight processes for construction contracts are expected to be in place to ensure compliance and quality.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Limited competition.
  • Long project duration.
  • Potential for cost escalation.
  • Complexity of specialized facility requirements.

Tags

commercial-and-institutional-building-co, department-of-defense, co, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.2 million to PACIFIC CONSTRUCTION SERVICES LLC. BASE BID & OPTIONS 1, 2, 5, & 6 FOR PN 080295-CONSTRUCTION OF A NEW 33,338 SF 100TH MISSILE DEFENSE BRIGADE READINESS CENTER FACILITY ON PETERSON SPACE FORCE BASE, COLORADO, IN ACCORDANCE WITH SPECIFICATIONS AND DRAWINGS DATED OCTOBER 27, 2021.

Who is the contractor on this award?

The obligated recipient is PACIFIC CONSTRUCTION SERVICES 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 $23.2 million.

What is the period of performance?

Start: 2023-12-06. End: 2026-03-21.

What specific factors led to the exclusion of sources in this 'Full and Open Competition After Exclusion of Sources' award, and how did this impact the final price?

The exclusion of sources typically occurs when specific capabilities, security clearances, or proprietary technologies are required, limiting the pool of eligible contractors. While this can sometimes lead to higher prices due to reduced competition, it ensures the government procures specialized services. A detailed review of the solicitation's justification for exclusion would clarify the specific reasons and potential price implications.

Are there any identified risks associated with the long project duration (836 days) for this construction project, and what mitigation strategies are in place?

Long project durations in construction inherently increase risks such as material cost fluctuations, labor availability issues, and potential design changes or unforeseen site conditions. Mitigation strategies often include robust contract clauses for escalation, detailed scheduling and progress monitoring, contingency planning, and strong project management oversight by the contracting agency to address issues proactively.

How does the per-square-foot cost of this readiness center compare to similar recently constructed military facilities of comparable size and complexity?

The per-square-foot cost of approximately $695 is within a reasonable range for specialized government construction, but direct comparisons require detailed analysis of specific project requirements, location, and material costs. Factors like security features, specialized HVAC, and IT infrastructure for a missile defense facility can significantly influence costs compared to standard commercial buildings.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: W912LC23B0001

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5511 N CUMBERLAND AVE STE 608, CHICAGO, IL, 60656

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,981,674

Exercised Options: $23,230,193

Current Obligation: $23,230,193

Actual Outlays: $1,398,346

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $11,454,200

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2023-12-06

Current End Date: 2026-03-21

Potential End Date: 2026-03-21 00:00:00

Last Modified: 2025-11-25

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