Department of the Army awards $30.7M for Border Patrol Station construction in California

Contract Overview

Contract Amount: $30,718,259 ($30.7M)

Contractor: Straub Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2010-08-30

End Date: 2014-02-25

Contract Duration: 1,275 days

Daily Burn Rate: $24.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NEW BLVD BORDER PATROL STATION, BLVD, CA

Place of Performance

Location: BOULEVARD, SAN DIEGO County, CALIFORNIA, 91905

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $30.7 million to STRAUB CONSTRUCTION, INC. for work described as: NEW BLVD BORDER PATROL STATION, BLVD, CA Key points: 1. Contract awarded to Straub Construction, Inc. for building a new Border Patrol Station. 2. The contract was procured through full and open competition, suggesting a competitive bidding process. 3. The project duration spans over 1200 days, indicating a significant construction timeline. 4. The fixed-price contract type aims to control costs for the government. 5. The project is located in Boulevard, California, impacting local infrastructure and potentially workforce. 6. This award falls under the Commercial and Institutional Building Construction NAICS code.

Value Assessment

Rating: fair

The total award amount of $30.7 million for a Border Patrol Station is substantial. Benchmarking this against similar large-scale construction projects would be necessary for a precise value-for-money assessment. The fixed-price nature of the contract provides cost certainty, but the final value depends on the scope and any potential change orders. Without detailed cost breakdowns or comparisons to similar projects, it's difficult to definitively assess if this represents excellent value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The data shows 1 bid was received, which is a low number for a full and open competition. This limited number of bids could suggest potential issues with market reach, contractor availability, or the complexity of the solicitation, which might impact price discovery.

Taxpayer Impact: While full and open competition is generally favorable for taxpayers, receiving only one bid raises concerns about whether the government received the most competitive pricing possible. Further investigation into the bidding process and market conditions is warranted.

Public Impact

The primary beneficiaries are federal agencies responsible for border security, receiving a new facility. The project delivers essential infrastructure for border patrol operations in Southern California. The geographic impact is concentrated in Boulevard, California, potentially stimulating local economic activity during construction. Workforce implications include employment opportunities for construction labor in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Low number of bids received (1) despite full and open competition.
Long project duration (1275 days) could introduce risks of cost escalation or delays if not managed effectively.

Positive Signals

Firm Fixed Price contract type provides cost certainty.
Awarded by the Department of the Army, a major federal contracting entity.
Project addresses a critical national security need for border infrastructure.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. This sector is characterized by a wide range of projects, from small commercial buildings to large public facilities. The market size for federal construction projects is significant, with agencies like the Department of Defense and Homeland Security frequently awarding contracts for infrastructure development. This specific project aligns with government spending on critical infrastructure and national security.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). There is no explicit information regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless Straub Construction, Inc. voluntarily engages small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting command and potentially the relevant Inspector General's office. The firm fixed-price contract type provides a degree of cost control. Transparency would be enhanced through public contract databases like FPDS, but detailed project-specific oversight mechanisms are not detailed in the provided data.

Related Government Programs

Border Security Infrastructure
Federal Building Construction
Department of Homeland Security Facilities
Department of Defense Construction Contracts

Risk Flags

Low Bidder Count
Extended Project Duration

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $30.7 million to STRAUB CONSTRUCTION, INC.. NEW BLVD BORDER PATROL STATION, BLVD, CA

Who is the contractor on this award?

The obligated recipient is STRAUB CONSTRUCTION, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $30.7 million.

What is the period of performance?

Start: 2010-08-30. End: 2014-02-25.

What is the track record of Straub Construction, Inc. with federal contracts, particularly with the Department of the Army?

Analyzing the track record of Straub Construction, Inc. requires accessing historical federal procurement data. A review of past awards would reveal their experience with similar construction projects, their performance ratings (if available), and any history of contract disputes or terminations. For this specific contract, understanding their past performance with the Department of the Army would provide insight into their reliability and capability to execute a project of this scale and duration. Without specific historical data on Straub Construction, Inc., it's difficult to assess their contractor performance beyond the information provided for this single award.

How does the awarded amount compare to the estimated cost or budget for this Border Patrol Station?

The provided data only includes the awarded amount ($30.7 million) and does not contain information about the government's initial cost estimate or budget allocation for the new Border Patrol Station. To assess value, a comparison between the awarded price and the estimated cost is crucial. If the award was significantly below the estimate, it could indicate strong competition or favorable market conditions. Conversely, if it was at or above the estimate, further scrutiny of the pricing and competition level would be warranted to ensure taxpayer funds were used efficiently.

What are the specific risks associated with a 1275-day construction project duration?

A project duration of 1275 days (approximately 3.5 years) for a Border Patrol Station presents several inherent risks. These include potential cost overruns due to inflation and material price fluctuations over an extended period. Schedule delays can arise from unforeseen site conditions, weather, labor shortages, or supply chain disruptions. Furthermore, the longer the project, the greater the chance of changes in requirements or technology, necessitating costly modifications. Effective project management, contingency planning, and robust contract clauses are essential to mitigate these risks.

What is the significance of the 'Commercial and Institutional Building Construction' NAICS code in relation to this contract?

The North American Industry Classification System (NAICS) code 236220, 'Commercial and Institutional Building Construction,' signifies the primary industry classification for the work being performed. This code encompasses establishments primarily responsible for the construction or remodeling of nonresidential buildings such as commercial, industrial, and institutional structures. For this Border Patrol Station project, it indicates that the contract is for the physical construction of a facility intended for institutional use by a government agency, rather than residential or purely infrastructure projects like roads or bridges.

Given only one bid was received, what steps could the agency have taken to encourage more competition?

When only one bid is received in a full and open competition, agencies should investigate the reasons. Potential steps to encourage more competition include conducting market research prior to solicitation to understand contractor interest and capabilities, clearly defining project requirements to avoid unnecessary complexity, ensuring adequate outreach to potential bidders, and potentially adjusting solicitation timelines or terms. If the market truly has limited capacity for such projects, the agency might need to consider breaking down the requirement into smaller components or exploring alternative procurement strategies. Documenting these efforts is crucial for accountability.

How does the geographic location (Boulevard, CA) influence the contract's execution and potential risks?

The location in Boulevard, California, a relatively remote area in San Diego County near the US-Mexico border, can influence contract execution. Potential challenges include logistical complexities for material delivery and workforce access, potentially higher labor costs due to remoteness, and specific environmental or site conditions common to desert border regions. Security considerations may also be heightened. Conversely, local economic benefits through job creation and local sourcing could be a positive impact. Understanding these location-specific factors is vital for risk assessment and project management.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912PL09R0052

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 202 W COLLEGE STE 201, FALLBROOK, CA, 92028

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,718,259

Exercised Options: $30,718,259

Current Obligation: $30,718,259

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912PL10D0040

IDV Type: IDC

Timeline