DOT awards $15.9M for FAA facility design, with Jacobs Engineering Group Inc. securing the contract

Contract Overview

Contract Amount: $15,913,894 ($15.9M)

Contractor: Jacobs Engineering Group Inc.

Awarding Agency: Department of Transportation

Start Date: 2021-03-03

End Date: 2026-09-30

Contract Duration: 2,037 days

Daily Burn Rate: $7.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ARCHITECTURE AND ENGINEERING SERVICES TO THE ENROUTE FACILITIES ENVIRONMENTAL WING ADDITION DESIGN

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20591

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $15.9 million to JACOBS ENGINEERING GROUP INC. for work described as: ARCHITECTURE AND ENGINEERING SERVICES TO THE ENROUTE FACILITIES ENVIRONMENTAL WING ADDITION DESIGN Key points: 1. Value for money assessed against comparable engineering service contracts. 2. Competition dynamics indicate a robust bidding process for this design project. 3. Risk indicators are monitored through contract performance and delivery schedules. 4. Performance context shows a multi-year engagement for comprehensive facility design. 5. Sector positioning places this contract within the broader transportation infrastructure development. 6. The contract type is firm fixed price, providing cost certainty for the government.

Value Assessment

Rating: good

The contract value of $15.9 million for architecture and engineering services appears reasonable when benchmarked against similar large-scale federal design projects. The firm fixed-price structure helps manage cost overruns. However, a detailed comparison with specific per-square-foot design costs for comparable FAA facilities would provide a more precise value assessment. The duration of the contract (over 5 years) suggests a complex scope, which can influence overall cost.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple qualified bidders had the opportunity to submit proposals. The specific number of bidders is not provided, but the designation implies a competitive environment that should drive favorable pricing and quality. This approach is generally preferred for ensuring the government receives the best value.

Taxpayer Impact: Full and open competition typically benefits taxpayers by fostering a market where contractors compete on price and performance, potentially leading to lower overall costs for government projects.

Public Impact

The Federal Aviation Administration (FAA) benefits from specialized design services for its Enroute Facilities Environmental Wing Addition. This contract supports the modernization and improvement of critical air traffic control infrastructure. The project is geographically located in the District of Columbia. The contract is expected to involve skilled architects and engineers, potentially impacting the professional workforce in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in long-duration design projects.
Ensuring timely delivery of design milestones to avoid project delays.
Monitoring contractor performance to maintain quality standards throughout the design process.

Positive Signals

Firm fixed-price contract provides cost predictability.
Full and open competition suggests a competitive market for this service.
Contract awarded to a known entity, Jacobs Engineering Group Inc., with established experience.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting the transportation and aviation infrastructure domain. The market for such specialized design services is competitive, with several large firms capable of undertaking complex federal projects. Spending in this area is driven by the need to maintain and upgrade aging federal facilities and to implement new technologies, aligning with broader government investments in infrastructure modernization.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this contract. Therefore, the direct impact on small businesses is likely limited unless Jacobs Engineering Group Inc. engages them as subcontractors. Further analysis would be needed to determine subcontracting plans and their potential benefit to the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the Federal Aviation Administration. Performance metrics and delivery schedules outlined in the contract serve as accountability measures. Transparency is generally maintained through contract award databases and reporting requirements, though specific details of ongoing oversight are not publicly detailed.

Related Government Programs

FAA Air Traffic Control Modernization Programs
Federal Building and Facility Design Contracts
Transportation Infrastructure Improvement Projects
Architecture and Engineering Services for Government Agencies

Risk Flags

Long contract duration increases risk of market changes impacting price fairness.
Potential for scope creep in complex design projects.
Need for robust oversight to ensure quality and adherence to schedule.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $15.9 million to JACOBS ENGINEERING GROUP INC.. ARCHITECTURE AND ENGINEERING SERVICES TO THE ENROUTE FACILITIES ENVIRONMENTAL WING ADDITION DESIGN

Who is the contractor on this award?

The obligated recipient is JACOBS ENGINEERING GROUP INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $15.9 million.

What is the period of performance?

Start: 2021-03-03. End: 2026-09-30.

What is the track record of Jacobs Engineering Group Inc. on similar federal contracts?

Jacobs Engineering Group Inc. has a significant history of performing large-scale architecture and engineering contracts for various federal agencies, including the Department of Defense and the Department of Transportation. Their portfolio often includes complex infrastructure design, facility upgrades, and environmental services. Reviewing past performance evaluations and contract completion data for similar projects would provide insight into their reliability, quality of work, and ability to manage costs and schedules effectively. Specific data on their performance on FAA projects would be particularly relevant for assessing their suitability for this contract.

How does the awarded price compare to the estimated cost or independent government cost estimate?

The provided data does not include the estimated cost or the independent government cost estimate (IGCE) for this contract. To assess value for money, a comparison between the awarded price of $15.9 million and the IGCE is crucial. If the awarded price is significantly below the IGCE, it may indicate strong competition or potentially underestimated scope. Conversely, if it's close to or above the IGCE, further scrutiny of the pricing structure and the basis of the estimate would be warranted. Benchmarking against similar projects' cost per square foot or per design task could also provide context.

What are the key performance indicators (KPIs) for this contract, and how are they monitored?

Key performance indicators for this architecture and engineering design contract would likely include adherence to design schedules, quality of design deliverables (e.g., drawings, specifications), compliance with environmental regulations, and effective project management. The Federal Aviation Administration would monitor these KPIs through regular progress reports, design reviews, and site inspections if applicable. Contractual clauses would specify remedies for non-performance, such as liquidated damages or termination. The firm fixed-price nature of the contract also incentivizes the contractor to manage performance efficiently to maintain profitability.

What is the historical spending trend for similar FAA facility design services?

Analyzing historical spending by the FAA for architecture and engineering services related to facility design would provide context for the $15.9 million award. This includes examining spending patterns over the last 5-10 fiscal years, identifying major design projects, and noting the average contract values and durations. Understanding these trends can reveal whether current spending is consistent with past investments, if there's an increasing demand for such services, or if this contract represents a significant deviation. It also helps in identifying key contractors and the competitive landscape over time.

What are the potential risks associated with a multi-year firm fixed-price design contract?

A multi-year firm fixed-price contract for design services, while offering cost certainty, carries inherent risks. For the contractor, the primary risk is underestimating the scope or encountering unforeseen complexities, which could erode profit margins. For the government, the risk lies in the contractor potentially cutting corners on quality to maintain profitability or in the fixed price becoming uncompetitive if market conditions change significantly during the contract's long duration. Scope creep, if not managed tightly through change order processes, can also lead to cost increases despite the fixed-price nature.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1100 NORTH GLEBE RD STE 500, ARLINGTON, VA, 22201

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

Financial Breakdown

Contract Ceiling: $15,913,894

Exercised Options: $15,913,894

Current Obligation: $15,913,894

Actual Outlays: $14,080,602

Subaward Activity

Number of Subawards: 1

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 697DCK19D00002

IDV Type: IDC

Timeline