DoD Awards $4.4M for HVAC and Roof Repairs at Building 988, Lacking Competition
Contract Overview
Contract Amount: $4,399,704 ($4.4M)
Contractor: Lacusong Leilani
Awarding Agency: Department of Defense
Start Date: 2025-10-30
End Date: 2027-10-22
Contract Duration: 722 days
Daily Burn Rate: $6.1K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: HVAC AND ROOF REPAIRS OF BUILDING 988 IAW SOW
Place of Performance
Location: FORT IRWIN, SAN BERNARDINO County, CALIFORNIA, 92310
Plain-Language Summary
Department of Defense obligated $4.4 million to LACUSONG LEILANI for work described as: HVAC AND ROOF REPAIRS OF BUILDING 988 IAW SOW Key points: 1. Significant investment in building infrastructure maintenance. 2. Limited competition raises concerns about price discovery. 3. Potential for higher costs due to sole-source award. 4. Sector: Commercial and Institutional Building Construction.
Value Assessment
Rating: questionable
The contract value of $4.4M for HVAC and roof repairs is substantial. Without competitive bids, it's difficult to assess if this price is optimal compared to similar projects. Benchmarking against industry standards for building maintenance in California would be necessary.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded on a sole-source basis, indicating a lack of competition. This method limits price discovery and may result in the government paying more than if multiple bids were solicited. The justification for sole-source is critical.
Taxpayer Impact: Taxpayer funds may be used less efficiently due to the absence of competitive pressure on pricing.
Public Impact
Ensures operational readiness and safety of critical DoD facilities. Supports the construction and maintenance sector, though competition is limited. Potential for cost overruns impacts overall budget allocation for infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Sole-source award
- Potential for overpricing
Positive Signals
- Addresses critical infrastructure needs
- Clear contract end date
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector, focusing on essential maintenance. Spending benchmarks for similar repair projects vary widely based on scope and location, but competitive bidding typically drives costs down.
Small Business Impact
The data indicates this contract was not awarded to small businesses. There is no information provided on whether small businesses were considered or had the opportunity to compete.
Oversight & Accountability
Oversight is crucial to ensure the contractor meets all SOW requirements and that the sole-source justification remains valid. Regular performance reviews and cost audits would enhance accountability.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award limits competition.
- Potential for inflated pricing.
- Lack of small business participation.
- High contract value requires scrutiny.
Tags
commercial-and-institutional-building-co, department-of-defense, ca, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $4.4 million to LACUSONG LEILANI. HVAC AND ROOF REPAIRS OF BUILDING 988 IAW SOW
Who is the contractor on this award?
The obligated recipient is LACUSONG LEILANI.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $4.4 million.
What is the period of performance?
Start: 2025-10-30. End: 2027-10-22.
What is the specific justification for the sole-source award, and was market research conducted to confirm no other vendors could meet the requirements?
The justification for a sole-source award is critical for understanding why competition was not pursued. Agencies typically require extensive market research to demonstrate that only one responsible source can provide the required supplies or services. Without this documentation, it's difficult to ascertain if the government received the best possible value or if opportunities for competition were missed.
How does the $4.4M contract price compare to industry benchmarks for similar HVAC and roof repair projects of comparable size and complexity?
Benchmarking the $4.4M price against similar projects is essential for assessing value. Factors like building size, age, specific repair needs (e.g., type of roofing, HVAC system complexity), and geographic location significantly influence costs. A detailed comparison with publicly available data or industry cost databases would reveal if this price is within an acceptable range or potentially inflated due to the lack of competition.
What mechanisms are in place to ensure the quality of work and prevent cost overruns on this sole-source contract?
Given the sole-source nature, robust oversight is paramount. This includes clear performance standards in the SOW, regular site inspections by government representatives, and potentially independent quality assurance personnel. Mechanisms to control costs might involve phased payments tied to milestones, strict change order controls, and a clear process for dispute resolution to ensure taxpayer funds are used effectively and the project is completed to the required standards.
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: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W912PL25RA001
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 701 E SANTA CLARA ST STE 40, VENTURA, CA, 93001
Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $4,399,704
Exercised Options: $4,399,704
Current Obligation: $4,399,704
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2025-10-30
Current End Date: 2027-10-22
Potential End Date: 2027-10-22 00:00:00
Last Modified: 2026-01-07
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