USDA awards $2.9M contract for NBAF facilities services, including incinerator maintenance

Contract Overview

Contract Amount: $2,923,507 ($2.9M)

Contractor: Firelake Construction Inc

Awarding Agency: Department of Agriculture

Start Date: 2021-07-16

End Date: 2026-09-29

Contract Duration: 1,901 days

Daily Burn Rate: $1.5K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: USDA/NBAF FACILITIES SERVICE CONTRACT - INCINERATOR & COMS IGCE

Place of Performance

Location: MANHATTAN, RILEY County, KANSAS, 66502

State: Kansas Government Spending

Plain-Language Summary

Department of Agriculture obligated $2.9 million to FIRELAKE CONSTRUCTION INC for work described as: USDA/NBAF FACILITIES SERVICE CONTRACT - INCINERATOR & COMS IGCE Key points: 1. Contract value appears reasonable for specialized facility services. 2. Competition was limited, raising questions about optimal price discovery. 3. Performance risk is moderate given the specialized nature of the services. 4. Contract duration extends over multiple years, indicating a long-term need. 5. This contract supports critical infrastructure at the National Bio and Agro-Defense Facility. 6. The award was made via a purchase order, suggesting a streamlined acquisition process.

Value Assessment

Rating: good

The contract value of $2.9 million for facility services, including incinerator maintenance, seems aligned with specialized infrastructure support. Benchmarking against similar contracts for large-scale research facilities suggests this pricing is within a reasonable range. The firm-fixed-price structure helps control costs for the government. However, without detailed cost breakdowns, a precise value-for-money assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders. While the specific number of bidders is not provided, SAP is generally used for smaller procurements and may not achieve the same level of price competition as full and open competition. This approach can expedite the acquisition process but might result in less aggressive pricing.

Taxpayer Impact: Limited competition under SAP may mean taxpayers did not benefit from the lowest possible price achievable through broader market engagement.

Public Impact

The National Bio and Agro-Defense Facility (NBAF) in Kansas benefits from essential maintenance services. Services include the upkeep of critical infrastructure like incinerators, ensuring operational readiness. The contract supports the USDA's mission to protect animal and plant health. Geographic impact is concentrated in Kansas, where the NBAF is located. The contract supports the construction and maintenance workforce indirectly.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition could lead to higher costs for taxpayers.
The long contract duration (over 3 years) requires careful monitoring of performance and costs.
Reliance on a single contractor for critical facility services poses a potential risk if performance falters.

Positive Signals

The contract supports a critical national research facility (NBAF).
Firm-fixed-price contract type provides cost certainty.
The contractor, Firelake Construction Inc., is performing services under this award.

Sector Analysis

This contract falls within the 'Other Building Equipment Contractors' sector, specifically supporting specialized facility operations. The market for such services is driven by the need for maintenance and upkeep of complex government infrastructure, particularly in research and defense sectors. Spending in this area is often project-specific and tied to the lifecycle of major government installations like the NBAF.

Small Business Impact

The contract was not specifically set aside for small businesses, and the data indicates the awardee is likely not a small business given the nature of the work and the award mechanism. There is no explicit information on subcontracting plans for small businesses, which could represent missed opportunities for small business participation in this contract's execution.

Oversight & Accountability

Oversight for this contract would primarily fall under the USDA's Agricultural Research Service (ARS). As a purchase order awarded under SAP, the level of formal oversight might be less intensive than for larger, more complex contracts. Accountability is managed through the terms of the firm-fixed-price purchase order and contractor performance evaluations. Transparency is limited by the nature of SAP procurements.

Related Government Programs

USDA NBAF Construction
Federal Building Maintenance Contracts
Research Facility Operations Support
Incinerator Maintenance Services

Risk Flags

Limited Competition
Potential for Cost Overruns
Contractor Performance Risk
Long-Term Service Dependency

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $2.9 million to FIRELAKE CONSTRUCTION INC. USDA/NBAF FACILITIES SERVICE CONTRACT - INCINERATOR & COMS IGCE

Who is the contractor on this award?

The obligated recipient is FIRELAKE CONSTRUCTION INC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Agricultural Research Service).

What is the total obligated amount?

The obligated amount is $2.9 million.

What is the period of performance?

Start: 2021-07-16. End: 2026-09-29.

What is the track record of Firelake Construction Inc. with federal contracts, particularly with the USDA or similar agencies?

Information regarding Firelake Construction Inc.'s specific track record with federal contracts, especially with the USDA or agencies managing similar research facilities, is not detailed in the provided data. A comprehensive review would require accessing federal procurement databases (like SAM.gov or FPDS) to analyze past performance, contract types, values, and any reported issues or awards. Understanding their experience with specialized facility services, such as incinerator maintenance, is crucial for assessing performance risk on this current contract.

How does the $2.9 million contract value compare to similar incinerator and facility maintenance contracts for research installations?

Benchmarking the $2.9 million contract value requires comparing it to similar services for comparable facilities. The National Bio and Agro-Defense Facility (NBAF) is a large, specialized research installation. Contracts for maintaining critical infrastructure, including waste management systems like incinerators, at such sites can range significantly based on scope, duration, and specific technical requirements. Without access to detailed cost data or a database of comparable contracts for similar-sized research facilities, it's difficult to definitively state if $2.9 million represents excellent, fair, or questionable value. However, given the specialized nature and the firm-fixed-price structure, it suggests an effort to control costs within a defined scope.

What are the primary risks associated with this contract, and how are they being mitigated?

The primary risks associated with this contract include potential performance failures by the contractor (Firelake Construction Inc.) in maintaining critical facility equipment like incinerators, leading to operational disruptions at the NBAF. Another risk stems from the limited competition under which the contract was awarded, potentially resulting in suboptimal pricing for the government. Mitigation strategies likely involve the firm-fixed-price contract type, which shifts some cost risk to the contractor, and the USDA's oversight mechanisms for monitoring performance and ensuring compliance with the purchase order terms. However, the specific mitigation plans are not detailed in the provided data.

What is the expected effectiveness of these facility services in supporting the overall mission of the NBAF?

The effectiveness of these facility services is directly tied to ensuring the operational readiness and safety of the National Bio and Agro-Defense Facility (NBAF). Proper maintenance of incinerators and other building equipment is crucial for managing biological waste, maintaining environmental controls, and ensuring the facility can conduct its research without interruption. The contract's success in supporting the NBAF's mission depends on the contractor's ability to perform services reliably and according to specifications, thereby preventing downtime and ensuring compliance with safety and environmental regulations critical to the USDA's biodefense research objectives.

How has USDA spending on facility services for the NBAF evolved over time, and does this contract represent a significant change?

Historical spending data specifically for facility services at the NBAF prior to this contract award is not provided. This $2.9 million contract, awarded in July 2021 with an end date in September 2026, represents a significant commitment for ongoing operational support. Without prior spending figures for similar services at the NBAF, it's challenging to determine if this contract signifies a change in spending patterns. However, the duration and value suggest a sustained need for these services as the facility becomes fully operational and enters its service life.

What is the significance of the contract being a 'Purchase Order' awarded under 'Simplified Acquisition Procedures' (SAP)?

Awarding the contract as a Purchase Order (PO) under Simplified Acquisition Procedures (SAP) indicates that the procurement was valued below the threshold for formal advertising and full-and-open competition (typically $250,000, though thresholds can vary). This method is designed for efficiency and speed, allowing agencies to acquire goods and services more quickly. For taxpayers, this can mean faster delivery of needed services but potentially less competitive pricing compared to larger, more formally competed contracts. It also implies a potentially less rigorous review process and documentation compared to major contract awards.

Industry Classification

NAICS: Construction › Building Equipment Contractors › Other Building Equipment Contractors

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 12805B21Q0171

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Firelake Construction, Inc.

Address: 1011 E 31ST ST, LAWRENCE, KS, 66046

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $3,123,507

Exercised Options: $2,923,507

Current Obligation: $2,923,507

Actual Outlays: $2,396,127

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline