DoD awards $20M flight simulator construction contract to Roundhouse-MV JV for 3-year duration

Contract Overview

Contract Amount: $20,026,842 ($20.0M)

Contractor: Roundhouse-Mv JV

Awarding Agency: Department of Defense

Start Date: 2022-05-11

End Date: 2025-04-12

Contract Duration: 1,067 days

Daily Burn Rate: $18.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FLIGHT SIMULATOR AWARD

Place of Performance

Location: PATRICK AFB, BREVARD County, FLORIDA, 32925

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $20.0 million to ROUNDHOUSE-MV JV for work described as: FLIGHT SIMULATOR AWARD Key points: 1. Contract value appears reasonable for a specialized construction project of this nature. 2. Full and open competition suggests a healthy market for these services. 3. Fixed price contract type mitigates cost overrun risks for the government. 4. Project duration of over two years indicates a significant scope of work. 5. Geographic focus on Florida may indicate specific training needs or facility requirements. 6. The award to a joint venture could signal a strategy to combine specialized expertise.

Value Assessment

Rating: good

The $20 million award for a flight simulator facility appears to be within a reasonable range for specialized construction projects of this scale. Benchmarking against similar government or large-scale commercial construction projects would provide a more precise value-for-money assessment. The firm fixed-price structure is a positive indicator, as it shifts cost risk to the contractor and encourages efficient project management. The duration of over 1000 days suggests a complex build, and the pricing should reflect the detailed specifications and potential challenges.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely considered. The presence of four bidders (implied by 'no': 4) suggests a competitive environment for this type of specialized construction. This level of competition is generally favorable for price discovery and ensures the government receives proposals from a range of qualified contractors, potentially leading to better value.

Taxpayer Impact: A competitive bidding process for this significant construction project helps ensure taxpayer dollars are used efficiently by driving down costs and encouraging high-quality proposals.

Public Impact

Military personnel in Florida will benefit from enhanced flight training capabilities. The contract will result in the construction of a new flight simulator facility. The project's geographic impact is concentrated in Florida, supporting regional economic activity. Construction jobs will be created in Florida during the project's execution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for schedule delays given the project's multi-year duration.
Ensuring the final facility meets all specialized technical requirements for flight simulation.

Positive Signals

Firm fixed-price contract limits cost escalation.
Full and open competition likely resulted in competitive pricing.
Award to a joint venture may bring specialized expertise to the project.

Sector Analysis

The construction sector is a significant area of federal spending, encompassing a wide range of projects from infrastructure to specialized facilities. This contract falls within the commercial and institutional building construction sub-sector. Federal spending in this area often supports military readiness, research, and operational needs. Comparable projects might include the construction of training facilities, barracks, or specialized operational centers for various government agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). As a large definitive contract awarded under full and open competition, it is unlikely to have direct subcontracting requirements specifically targeting small businesses unless stipulated in the contract's statement of work. The primary beneficiaries of subcontracting opportunities would likely be larger construction firms or specialized equipment providers.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army contracting and project management offices. The firm fixed-price nature of the contract provides a degree of accountability by capping the government's financial exposure. Transparency is typically maintained through contract award databases and reporting requirements. The Inspector General's office may conduct audits or investigations if specific concerns regarding performance, fraud, or waste arise.

Related Government Programs

Military Construction
Training Facilities Construction
Department of Defense Facilities
Commercial Building Construction

Risk Flags

Potential for schedule slippage due to project complexity.
Ensuring seamless integration of advanced simulation technology within the constructed facility.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.0 million to ROUNDHOUSE-MV JV. FLIGHT SIMULATOR AWARD

Who is the contractor on this award?

The obligated recipient is ROUNDHOUSE-MV 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 $20.0 million.

What is the period of performance?

Start: 2022-05-11. End: 2025-04-12.

What is the track record of Roundhouse-MV JV in completing similar large-scale construction projects for the Department of Defense?

Assessing the track record of Roundhouse-MV JV requires a review of their past performance on Department of Defense (DoD) contracts, particularly those involving specialized facilities or construction projects of similar magnitude. Information on past performance, including adherence to schedule, budget, and quality standards, is crucial. While the award data indicates this is a definitive contract with a firm fixed price, understanding their history with similar projects would provide insight into their capability to deliver this specific flight simulator facility successfully. A review of contract databases and performance reports would be necessary to ascertain their experience and identify any potential red flags or positive indicators related to their past performance with the DoD or other federal agencies.

How does the awarded price of $20 million compare to the estimated cost or benchmark for similar flight simulator construction projects?

The awarded price of $20,026,842 for the flight simulator construction project needs to be benchmarked against similar projects to assess value for money. Without access to the government's cost estimates or data on comparable construction projects (e.g., square footage, complexity of simulation integration, specific technological requirements), a precise comparison is difficult. However, given the firm fixed-price nature and full and open competition, it suggests the price was deemed competitive by the procuring agency. Further analysis would involve researching industry cost data for specialized training facilities and comparing the scope and specifications of this contract to publicly available information on similar builds, considering factors like location, size, and technological integration.

What are the primary risks associated with the construction of a flight simulator facility, and how are they mitigated in this contract?

Key risks in constructing a flight simulator facility include technical integration challenges (ensuring the physical structure properly houses and supports complex simulation equipment), potential cost overruns due to unforeseen site conditions or material price fluctuations, and schedule delays. This contract mitigates some of these risks through its firm fixed-price structure, which shifts the financial risk of cost overruns to the contractor (Roundhouse-MV JV). The full and open competition also suggests a thorough vetting of bidders' capabilities. However, risks related to the specialized nature of the technology integration and potential delays due to supply chain issues or construction complexities remain. The contract's duration of over 1000 days allows for a substantial build-out, but requires diligent project management from both the contractor and the government oversight team.

What is the expected impact of this contract on the Department of the Army's flight training capabilities in Florida?

This contract is expected to significantly enhance the Department of the Army's flight training capabilities in Florida by providing a dedicated, modern facility for flight simulators. Such facilities are crucial for realistic and safe pilot training, allowing for the simulation of various flight conditions, emergency scenarios, and mission profiles without the risks and costs associated with actual flight. The new facility will likely increase training capacity, potentially reduce reliance on live-flight training for certain objectives, and improve the overall quality and efficiency of pilot development. Its location in Florida suggests it will support training operations within that region, contributing to the readiness of aviation units stationed or operating there.

How does the $20 million award compare to historical spending on flight simulator construction or related facilities by the Department of Defense?

Comparing the $20 million award to historical spending requires access to detailed historical contract data for flight simulator construction or similar specialized training facilities within the Department of Defense (DoD). While this specific award amount is substantial, it may fall within the typical range for such projects, especially considering inflation and the increasing complexity of modern simulation technology. Historical analysis would involve examining contract databases for similar projects awarded over the past 5-10 years, looking at award values, contract types, and durations. Understanding the trend in spending for these types of facilities can indicate whether this award represents an increase, decrease, or stable level of investment in simulation training infrastructure.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912QR22R0010

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 104 PARK DRIVE SUITE K, WARNER ROBINS, GA, 31088

Business Categories: Category Business, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,264,828

Exercised Options: $20,026,842

Current Obligation: $20,026,842

Actual Outlays: $2,382,083

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline