DoD's $20M Scott AFB Building 4 Repair Contract Awarded to K & S Associates, LLC

Contract Overview

Contract Amount: $20,087,029 ($20.1M)

Contractor: K & S Associates, LLC

Awarding Agency: Department of Defense

Start Date: 2011-09-28

End Date: 2016-01-06

Contract Duration: 1,561 days

Daily Burn Rate: $12.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN/BUILD CONSTRUCTION FOR REPAIRS TO BUILDING 4 AT SCOTT AIR FORCE BASE

Place of Performance

Location: SCOTT AFB, SAINT CLAIR County, ILLINOIS, 62225

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $20.1 million to K & S ASSOCIATES, LLC for work described as: DESIGN/BUILD CONSTRUCTION FOR REPAIRS TO BUILDING 4 AT SCOTT AIR FORCE BASE Key points: 1. Contract value appears reasonable for a large-scale construction project of this nature. 2. Full and open competition suggests a potentially competitive bidding process. 3. Fixed-price contract type may limit cost overruns for the government. 4. Project duration of over 4 years indicates a significant undertaking. 5. Awarded to a single contractor, K & S Associates, LLC, for the entire scope. 6. Location in Illinois places the project within a specific regional construction market.

Value Assessment

Rating: good

The contract value of approximately $20 million for building repairs is within the expected range for a federal construction project of this scale. Benchmarking against similar Department of Defense repair and renovation contracts would provide a more precise value-for-money assessment. The firm fixed-price structure is generally favorable for controlling costs, assuming the scope was well-defined at award. The duration of the contract (over 4 years) suggests a substantial and complex project.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. With 6 bidders, this suggests a healthy level of competition for the project. A higher number of bidders typically leads to more competitive pricing and a greater likelihood of the government securing the best value. The presence of multiple bids allows for price discovery and negotiation.

Taxpayer Impact: The full and open competition with multiple bidders is beneficial for taxpayers, as it likely resulted in a more competitive price than a sole-source or limited competition award.

Public Impact

The primary beneficiaries are the Department of Defense and military personnel stationed at Scott Air Force Base, who will have improved facilities. The project delivers essential repair and renovation services to Building 4, ensuring its continued operational capacity. The geographic impact is localized to Scott Air Force Base in Illinois. The project likely supported construction jobs and related trades within the Illinois region during its execution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in long-duration construction projects, which could impact final costs if not managed tightly.
Reliance on a single contractor for the entire project duration necessitates robust oversight to ensure quality and adherence to schedule.

Positive Signals

Firm fixed-price contract helps mitigate cost escalation risks for the government.
Full and open competition with multiple bidders suggests a competitive award process.
The contract was awarded to K & S Associates, LLC, indicating they met the requirements for this specific project.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Federal spending in this area supports infrastructure maintenance and upgrades for government facilities. Comparable spending benchmarks would involve analyzing other large-scale repair and renovation projects awarded by agencies like the Department of Defense or General Services Administration for similar building types and sizes.

Small Business Impact

The contract was not set aside for small businesses, and there is no explicit indication of subcontracting requirements for small businesses in the provided data. This suggests that the primary award went to a larger entity, and the direct impact on the small business ecosystem may be limited unless K & S Associates, LLC actively engaged small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Department of the Army. Accountability measures would include performance reviews, adherence to contract terms, and quality control. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Military Base Infrastructure Modernization
Federal Building Repair and Maintenance
Department of Defense Construction Contracts
Scott Air Force Base Facilities Management

Risk Flags

Long contract duration may increase risk of unforeseen issues.
Firm Fixed Price shifts cost risk to contractor, but requires clear scope definition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.1 million to K & S ASSOCIATES, LLC. DESIGN/BUILD CONSTRUCTION FOR REPAIRS TO BUILDING 4 AT SCOTT AIR FORCE BASE

Who is the contractor on this award?

The obligated recipient is K & S ASSOCIATES, 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 $20.1 million.

What is the period of performance?

Start: 2011-09-28. End: 2016-01-06.

What was the track record of K & S Associates, LLC with federal contracts prior to this award?

Information on K & S Associates, LLC's prior federal contract history is not detailed in the provided data. A comprehensive analysis would require examining their performance on previous contracts, including award types, values, agencies served, and any reported performance issues or commendations. This would help assess their experience and reliability in executing similar projects. Without this historical data, it's difficult to fully evaluate their track record specifically for a $20 million design/build repair contract.

How does the awarded price compare to the estimated cost or independent government cost estimate?

The provided data does not include the government's estimated cost or the bids received from the other 5 competitors. Therefore, a direct comparison to determine if the $20,008,702.99 award represents a good value against estimates or other offers is not possible. Ideally, the awarded price should be benchmarked against the government's estimate and the range of other submitted bids to ascertain if it was competitive and represented fair market value for the scope of work.

What were the key risks identified during the procurement process for this contract?

Specific risks identified during the procurement are not detailed in the provided data. However, for a design/build repair contract of this magnitude and duration, potential risks could include unforeseen site conditions, complexities in the existing building structure, contractor performance issues, schedule delays, and potential cost overruns (though mitigated by firm fixed-price). The firm fixed-price nature of the contract shifts much of the cost risk to the contractor, but risks related to scope definition and quality assurance remain with the government.

How effective was the competition in driving down the price for this specific contract?

With 6 bidders participating in the full and open competition, there was a reasonable level of competition. While the exact impact on price reduction cannot be quantified without knowing the other bids or the government estimate, having multiple bidders generally exerts downward pressure on pricing. The fact that the contract was awarded suggests that K & S Associates, LLC submitted a competitive offer that was deemed the best value by the procuring agency, likely influenced by the competitive landscape.

What is the historical spending pattern for repairs and maintenance at Scott Air Force Base, and how does this contract fit?

The provided data does not offer historical spending patterns for Scott Air Force Base repairs and maintenance. To assess this, one would need to analyze past contracts awarded for facilities at this base over several fiscal years. This contract, valued at approximately $20 million for specific building repairs, represents a significant investment in infrastructure. Understanding historical spending would help determine if this contract is an outlier, part of a larger modernization effort, or consistent with previous investment levels.

Were there any performance issues or contract modifications that significantly altered the scope or cost during the contract's execution?

The provided data summarizes the initial award details and does not include information on contract modifications, performance issues, or changes to the scope or cost during the contract's execution period (September 28, 2011, to January 6, 2016). A thorough analysis would require reviewing contract modification history and performance reports. Without this, it's impossible to assess if the final cost or delivery deviated from the initial award terms due to unforeseen circumstances or changes.

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

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912QR11R0055

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 516 HANLEY INDUSTRIAL CT, SAINT LOUIS, MO, 63144

Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,087,029

Exercised Options: $20,087,029

Current Obligation: $20,087,029

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline