DoD's $47.6M Raven Rock Mountain Complex construction support contract awarded to Weston Solutions Inc

Contract Overview

Contract Amount: $47,557,471 ($47.6M)

Contractor: Weston Solutions Inc

Awarding Agency: Department of Defense

Start Date: 2009-08-08

End Date: 2014-05-31

Contract Duration: 1,757 days

Daily Burn Rate: $27.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 12

Pricing Type: COST PLUS FIXED FEE

Sector: Construction

Official Description: ER/MIL - SDIC CONSTRUCTION SUPPORT IN SUPPORT OF THE RAVEN ROCK MOUNTAIN COMPLEX

Place of Performance

Location: DILLSBURG, ADAMS County, PENNSYLVANIA, 17019

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $47.6 million to WESTON SOLUTIONS INC for work described as: ER/MIL - SDIC CONSTRUCTION SUPPORT IN SUPPORT OF THE RAVEN ROCK MOUNTAIN COMPLEX Key points: 1. The contract's value of $47.6 million over nearly five years suggests a significant investment in specialized construction support. 2. Awarded under full and open competition, the contract indicates a market with multiple capable providers. 3. The 'Other Heavy and Civil Engineering Construction' NAICS code points to a focus on large-scale infrastructure projects. 4. The contract type (Cost Plus Fixed Fee) can lead to cost overruns if not closely managed. 5. The duration of 1757 days (approx. 4.8 years) implies a long-term need for these services. 6. The contract was awarded as a delivery order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle or a similar framework.

Value Assessment

Rating: fair

Benchmarking the value of this $47.6 million contract is challenging without specific details on the scope of work and deliverables. However, the Cost Plus Fixed Fee (CPFF) contract type, while common for complex projects, carries inherent risks of cost escalation. The fixed fee component provides some cost control, but the government bears the risk of actual costs exceeding estimates. Comparing this to similar large-scale civil engineering support contracts for secure government facilities would be necessary for a more precise value assessment.

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 offers. The presence of 12 bidders suggests a competitive environment for this type of specialized construction support. A higher number of bidders generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The robust competition for this contract is beneficial for taxpayers, as it likely drove down prices and ensured the government received competitive offers for essential construction support services.

Public Impact

The primary beneficiary is the Department of Defense, specifically the operations and security of the Raven Rock Mountain Complex. The services delivered likely include a range of heavy and civil engineering construction activities necessary for maintaining and upgrading a critical government facility. The geographic impact is concentrated in Pennsylvania, where the Raven Rock Mountain Complex is located. Workforce implications would include employment opportunities for skilled construction labor, engineers, and project managers in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, which is a substantial part of the broader construction industry. This sector involves the construction of infrastructure such as highways, bridges, utilities, and other large-scale public works. Government contracts for specialized construction support, particularly for secure facilities like the Raven Rock Mountain Complex, represent a significant segment of this market. Comparable spending benchmarks would involve looking at other large-scale construction projects awarded by federal agencies for critical infrastructure or secure sites.

Small Business Impact

The data indicates that small business participation was not a primary focus, as the contract was not set aside for small businesses and the contractor, Weston Solutions Inc., is a large business. There is no explicit mention of subcontracting goals for small businesses within the provided data. This suggests that the primary focus was on securing the specialized capabilities required for the project from a large, experienced firm, rather than specifically promoting small business involvement.

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 be embedded in the contract terms, including performance standards, reporting requirements, and payment schedules tied to milestones. Transparency is generally maintained through contract award databases like FPDS-NG, though detailed project-specific oversight mechanisms are internal to the agency. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Risk Flags

Tags

construction, department-of-defense, department-of-the-army, weston-solutions-inc, full-and-open-competition, delivery-order, cost-plus-fixed-fee, heavy-and-civil-engineering, raven-rock-mountain-complex, pennsylvania, critical-infrastructure, national-security

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $47.6 million to WESTON SOLUTIONS INC. ER/MIL - SDIC CONSTRUCTION SUPPORT IN SUPPORT OF THE RAVEN ROCK MOUNTAIN COMPLEX

Who is the contractor on this award?

The obligated recipient is WESTON SOLUTIONS 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 $47.6 million.

What is the period of performance?

Start: 2009-08-08. End: 2014-05-31.

What is the specific scope of 'construction support' provided under this contract?

The provided data does not detail the specific scope of 'construction support.' However, given the NAICS code 'Other Heavy and Civil Engineering Construction' and the nature of the Raven Rock Mountain Complex, it likely encompasses a broad range of activities. These could include site preparation, excavation, concrete work, utility installation and repair, structural modifications, road construction and maintenance, and potentially specialized support for underground facilities. The Cost Plus Fixed Fee (CPFF) contract type suggests that the exact requirements may have evolved or were difficult to define precisely at the outset, necessitating flexibility in the scope while maintaining a defined profit margin for the contractor.

How does the $47.6 million cost compare to similar construction support contracts for secure government facilities?

Direct comparison of the $47.6 million cost is difficult without knowing the precise scope, duration, and specific services rendered. However, for large-scale, long-term construction support at critical government installations, this figure is within a plausible range. Contracts for similar secure facilities, especially those involving extensive civil engineering or underground infrastructure, can easily run into tens or hundreds of millions of dollars over several years. Factors influencing cost include the complexity of the site, the level of security required, the specific engineering challenges, and the prevailing labor and material costs in the region. A detailed benchmark would require analyzing contracts with similar security classifications, geographic locations, and service requirements.

What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type used for this award?

The primary risk associated with the CPFF contract type is cost overrun. In a CPFF contract, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. While the fixed fee provides some incentive for the contractor to control costs (as their profit is not directly tied to the total cost), the government bears the risk of actual costs exceeding initial estimates. If the project scope expands or unforeseen issues arise, the total cost to the government can increase significantly. Effective oversight, detailed cost tracking, and robust change management are crucial to mitigate these risks and ensure the project remains within budget expectations.

What is the significance of awarding this contract as a 'Delivery Order'?

Awarding this contract as a 'Delivery Order' typically means it was issued under a pre-existing Indefinite-Delivery/Indefinite-Quantity (IDIQ) contract or a similar type of multiple-award contract vehicle. This approach allows agencies to procure services or supplies over a period of time without having to conduct a full, separate competition for each individual task or order. The initial competition likely occurred when the IDIQ contract was awarded, establishing a pool of pre-qualified contractors. Issuing a delivery order then allows the agency to quickly obtain specific services (like the construction support for Raven Rock) from one of the pre-selected contractors, often based on best value or lowest price among the awardees. This can streamline the acquisition process and reduce administrative burden.

What does the number of bidders (12) suggest about the market for this type of construction support?

The fact that 12 companies bid on this contract suggests a relatively healthy and competitive market for specialized heavy and civil engineering construction support services, particularly for government facilities. A dozen bidders indicate that there are multiple firms with the necessary expertise, capacity, and security clearances to undertake such projects. This level of competition is generally favorable for the government, as it increases the likelihood of receiving competitive pricing and innovative solutions. It also suggests that the barriers to entry for firms wanting to compete in this specific niche are not prohibitively high, provided they meet the stringent requirements of government contracting.

Industry Classification

NAICS: ConstructionOther Heavy and Civil Engineering ConstructionOther Heavy and Civil Engineering Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9128F07R0022

Offers Received: 12

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Weston Solutions Holdings, Inc.

Address: 1400 WESTON WAY, WEST CHESTER, PA, 19380

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Small Agricultural Cooperative, Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $47,557,471

Exercised Options: $47,557,471

Current Obligation: $47,557,471

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9128F08D0031

IDV Type: IDC

Timeline

Start Date: 2009-08-08

Current End Date: 2014-05-31

Potential End Date: 2014-05-31 00:00:00

Last Modified: 2024-02-09

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