FBI Redstone's Shipping and Receiving Addition Contract Awarded for $11.78 Million

Contract Overview

Contract Amount: $11,779,307 ($11.8M)

Contractor: Bhate Environmental Associates, Inc.

Awarding Agency: Department of Justice

Start Date: 2023-10-20

End Date: 2025-12-15

Contract Duration: 787 days

Daily Burn Rate: $15.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS IS A DESIGN BUILD EFFORT TO ADD AN ADDITION TO THE EXISTING SHIPPING AND RECEIVING BUILDING AT FBI REDSTONE'S NORTH CAMPUS.

Place of Performance

Location: BIRMINGHAM, JEFFERSON County, ALABAMA, 35205

State: Alabama Government Spending

Plain-Language Summary

Department of Justice obligated $11.8 million to BHATE ENVIRONMENTAL ASSOCIATES, INC. for work described as: THIS IS A DESIGN BUILD EFFORT TO ADD AN ADDITION TO THE EXISTING SHIPPING AND RECEIVING BUILDING AT FBI REDSTONE'S NORTH CAMPUS. Key points: 1. The contract is for a design-build effort to expand the FBI's shipping and receiving facilities. 2. BHATE ENVIRONMENTAL ASSOCIATES, INC. secured the contract through full and open competition. 3. The project aims to enhance logistical capabilities at FBI Redstone's North Campus. 4. The firm fixed price contract has a duration of 787 days.

Value Assessment

Rating: good

The contract value of $11.78 million for a design-build addition to a federal building appears reasonable given the scope. Benchmarking against similar commercial and institutional building construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple bidders vie for the contract.

Taxpayer Impact: The competitive award process is expected to yield a fair price, ensuring taxpayer funds are used efficiently for necessary facility upgrades.

Public Impact

Improved logistical operations for the FBI at Redstone. Potential for job creation in the construction sector in Alabama. Modernization of federal infrastructure to support agency functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in design-build projects.
Ensuring timely completion within the 787-day duration.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract provides cost certainty.
Supports critical FBI operational needs.

Sector Analysis

This contract falls under Commercial and Institutional Building Construction. Spending in this sector is crucial for maintaining and expanding federal infrastructure, with costs varying significantly based on project complexity and location.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded to BHATE ENVIRONMENTAL ASSOCIATES, INC. Further analysis would be needed to determine the extent of small business participation as subcontractors.

Oversight & Accountability

The use of full and open competition and a firm fixed price contract suggests a degree of oversight. However, ongoing monitoring of project progress and adherence to design specifications is essential for accountability.

Related Government Programs

Commercial and Institutional Building Construction
Department of Justice Contracting
Federal Bureau of Investigation Programs

Risk Flags

Potential for schedule delays.
Risk of cost overruns if scope is not well-defined.
Ensuring quality of construction meets federal standards.
Integration challenges with existing FBI infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $11.8 million to BHATE ENVIRONMENTAL ASSOCIATES, INC.. THIS IS A DESIGN BUILD EFFORT TO ADD AN ADDITION TO THE EXISTING SHIPPING AND RECEIVING BUILDING AT FBI REDSTONE'S NORTH CAMPUS.

Who is the contractor on this award?

The obligated recipient is BHATE ENVIRONMENTAL ASSOCIATES, INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $11.8 million.

What is the period of performance?

Start: 2023-10-20. End: 2025-12-15.

What specific design elements are included in this addition, and how do they align with FBI Redstone's long-term operational needs?

The provided data focuses on the contract award and basic project description. A detailed review of the design-build specifications would be necessary to understand the specific elements of the shipping and receiving addition. This would include the square footage, specialized storage requirements, security features, and integration with existing facilities. Understanding these details is crucial to assess how effectively the new addition will support the FBI's evolving operational requirements at the Redstone campus.

What are the potential risks associated with a design-build contract for a federal facility, and how are they being mitigated?

Design-build contracts can introduce risks such as potential conflicts between design and construction phases, and challenges in ensuring the final product precisely meets the agency's needs if oversight is insufficient. Mitigation strategies typically involve robust contract management, clear performance metrics, regular progress reviews, and strong communication channels between the agency, contractor, and any third-party inspectors to ensure quality and adherence to specifications.

How does the $11.78 million cost compare to similar federal building construction projects of comparable size and complexity?

Benchmarking this $11.78 million contract against similar federal building construction projects requires access to a database of comparable contracts, considering factors like square footage, specific construction type (e.g., warehouse, office), security requirements, and geographic location. Without such comparative data, it's difficult to definitively assess if the price represents excellent value. However, the full and open competition suggests a competitive pricing environment was leveraged.

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

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1608 13TH AVE S 300, BIRMINGHAM, AL, 35205

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

Financial Breakdown

Contract Ceiling: $11,779,307

Exercised Options: $11,779,307

Current Obligation: $11,779,307

Actual Outlays: $7,912,938

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15F06720D0000365

IDV Type: IDC

Timeline