FAA awards $11.1M contract for Denver ARTCC infrastructure upgrades, focusing on underground utilities and parking

Contract Overview

Contract Amount: $11,133,735 ($11.1M)

Contractor: Ahtna Infrastructure & Technologies LLC

Awarding Agency: Department of Transportation

Start Date: 2025-02-26

End Date: 2027-02-26

Contract Duration: 730 days

Daily Burn Rate: $15.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IIJA-FUNDED UNDERGROUND UTILITIES REPLACEMENT AND PARKING LOT REFURBISHMENT PROJECT AT FAA'S DENVER AIR ROUTE TRAFFIC CONTROL CENTER (ARTCC) LOCATED IN LONGMONT, COLORADO.

Place of Performance

Location: LONGMONT, BOULDER County, COLORADO, 80501

State: Colorado Government Spending

Plain-Language Summary

Department of Transportation obligated $11.1 million to AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC for work described as: IIJA-FUNDED UNDERGROUND UTILITIES REPLACEMENT AND PARKING LOT REFURBISHMENT PROJECT AT FAA'S DENVER AIR ROUTE TRAFFIC CONTROL CENTER (ARTCC) LOCATED IN LONGMONT, COLORADO. Key points: 1. Contract addresses critical infrastructure needs at a key air traffic control facility. 2. Project scope includes underground utility replacement and parking lot refurbishment. 3. Competition was full and open after exclusion of sources, indicating a deliberate bidding process. 4. The contract duration of 730 days suggests a substantial, multi-year project. 5. Fixed-price contract type aims to control costs and provide budget certainty. 6. The awardee, AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC, will execute the work in Colorado.

Value Assessment

Rating: good

The contract value of $11.1 million for underground utility replacement and parking lot refurbishment at a major air traffic control center appears reasonable given the scope and duration. Benchmarking against similar infrastructure projects for federal facilities is challenging without more specific cost breakdowns, but the fixed-price nature suggests an effort to manage costs effectively. The award to AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC, a company with experience in infrastructure projects, indicates a potentially good value for the services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which implies that while the competition was intended to be broad, specific sources may have been excluded for documented reasons. The presence of 4 bidders suggests a moderate level of competition. This approach aims to balance the benefits of open competition with potential efficiencies or specific requirements that might limit the pool of eligible contractors.

Taxpayer Impact: A competitive bidding process, even with exclusions, generally benefits taxpayers by encouraging multiple firms to offer their best pricing and technical solutions, potentially leading to a more cost-effective outcome.

Public Impact

Benefits air traffic control operations by ensuring reliable utility services and safe parking facilities at the Denver ARTCC. Enhances the operational resilience and safety of a critical piece of national airspace infrastructure. Supports the modernization efforts funded by the IIJA, contributing to broader infrastructure improvements. The project will likely create or sustain jobs in the construction and engineering sectors in the Longmont, Colorado area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen underground conditions are encountered.
Dependence on the contractor's ability to manage complex utility installations without disrupting ARTCC operations.
Risk of schedule delays due to weather or supply chain issues affecting specialized materials.

Positive Signals

Fixed-price contract type helps mitigate cost escalation risks.
Award to an experienced infrastructure firm suggests a higher likelihood of successful execution.
The project addresses essential maintenance, reducing the risk of critical system failures.
IIJA funding provides a dedicated source for this necessary infrastructure upgrade.

Sector Analysis

This contract falls within the construction and infrastructure sector, specifically focusing on utility and site improvements for federal facilities. The market for such specialized construction services is competitive, with numerous firms capable of undertaking large-scale projects. The FAA's investment aligns with broader federal initiatives like the IIJA, which aims to modernize critical infrastructure across various government agencies. Comparable spending benchmarks would typically involve other large-scale utility replacement and site development projects at federal installations or major transportation hubs.

Small Business Impact

The contract data indicates that small business participation was not a primary set-aside criterion for this specific award (ss: false, sb: false). While the prime contractor, AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC, may be a small business itself or have its own subcontracting plans, there is no explicit requirement for small business set-asides evident in the provided data. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within the scope of this project.

Oversight & Accountability

Oversight for this contract will likely be managed by the Federal Aviation Administration (FAA) contracting officers and project managers. The fixed-price nature of the contract provides a degree of accountability for cost control. Transparency is generally maintained through federal contract databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

IIJA-Funded Infrastructure Projects
FAA Air Traffic Control Facility Modernization
Federal Underground Utility Construction
Federal Parking Facility Construction and Repair

Risk Flags

Potential for unforeseen site conditions impacting cost and schedule.
Contractor performance risk.
Dependency on timely delivery of specialized materials.
Coordination required to minimize impact on ongoing ARTCC operations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $11.1 million to AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC. IIJA-FUNDED UNDERGROUND UTILITIES REPLACEMENT AND PARKING LOT REFURBISHMENT PROJECT AT FAA'S DENVER AIR ROUTE TRAFFIC CONTROL CENTER (ARTCC) LOCATED IN LONGMONT, COLORADO.

Who is the contractor on this award?

The obligated recipient is AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $11.1 million.

What is the period of performance?

Start: 2025-02-26. End: 2027-02-26.

What is the track record of AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC in performing similar federal infrastructure contracts?

A review of federal contract databases indicates that AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC has a history of performing various infrastructure and construction projects for federal agencies. While specific details on past FAA contracts or projects of identical scope (underground utilities and parking refurbishment) require deeper investigation, the company's general experience in civil engineering and construction suggests a capacity to handle this type of work. Analyzing past performance ratings, contract completion success, and any documented issues on previous federal awards would provide a more comprehensive understanding of their track record. Their portfolio likely includes projects involving earthwork, utility installation, and site development, which are directly relevant to the current contract's requirements.

How does the awarded amount of $11.1 million compare to similar FAA or other federal agency projects for underground utility replacement and parking lot refurbishment?

Benchmarking the $11.1 million award requires comparing it to projects of similar scale, complexity, and geographic location. Without specific cost breakdowns for materials, labor, and overhead, a precise comparison is difficult. However, large-scale utility replacement and significant parking infrastructure upgrades at federal facilities can range from several million to tens of millions of dollars, depending on the size of the facility, the extent of the work, and prevailing labor and material costs. The FAA's Denver ARTCC is a significant facility, and the duration of 730 days suggests a comprehensive scope. The fixed-price nature of this contract implies that the FAA sought to establish a firm cost ceiling, which is a common practice for managing large infrastructure investments. Further analysis would involve identifying comparable projects within the FAA or other agencies like GSA or DoD that have undertaken similar site infrastructure modernization efforts.

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

The primary risks for this contract include potential cost overruns due to unforeseen underground conditions (e.g., encountering unexpected soil types, bedrock, or existing utilities not accurately mapped), schedule delays caused by weather, supply chain disruptions for specialized materials, or impacts on ongoing ARTCC operations. Mitigation strategies are embedded within the contract structure and execution plan. The fixed-price contract type shifts much of the cost overrun risk to the contractor. The FAA will likely implement rigorous project management and oversight, including regular progress reviews and inspections, to monitor schedule adherence and quality. Pre-construction surveys and detailed planning are crucial for identifying and addressing potential underground issues. The contractor's experience and proposed work plan will also be key indicators of their ability to manage these risks effectively. Contingency planning for weather delays and supply chain issues is standard practice in such projects.

How effective is the 'Full and Open Competition After Exclusion of Sources' approach in ensuring value for taxpayers on this project?

The 'Full and Open Competition After Exclusion of Sources' approach aims to balance broad competition with specific requirements. By initially opening the competition broadly and then excluding certain sources based on documented justifications (e.g., specific technical capabilities, past performance issues, or national security concerns), the FAA seeks to ensure that the most qualified and capable contractors are considered while still leveraging competitive pressures. The presence of four bidders suggests that the exclusion criteria did not unduly limit the competitive pool to the point of stifling price discovery. For taxpayers, this approach can be effective if the exclusions are well-justified and the remaining competition is robust enough to drive competitive pricing. It potentially leads to better technical solutions and reduced risk compared to a sole-source award, while being more targeted than a completely unrestricted open competition if specific expertise is paramount.

What is the historical spending pattern for infrastructure maintenance and upgrades at FAA Air Route Traffic Control Centers (ARTCCs)?

Historical spending on infrastructure maintenance and upgrades at FAA ARTCCs varies significantly based on the age of the facility, its operational criticality, and the availability of funding. ARTCCs are complex facilities requiring continuous investment in their physical infrastructure, including buildings, utilities, power systems, and grounds. Funding often comes from the FAA's Facilities and Equipment (F&E) account, with specific allocations for modernization and repair projects. Over the years, there has been a recognized need to modernize aging air traffic control infrastructure nationwide, driven by technological advancements and the need for enhanced reliability and safety. Spending patterns can fluctuate annually based on budget appropriations and the prioritization of specific projects. The IIJA represents a significant infusion of capital aimed at accelerating these necessary upgrades across various federal agencies, including the FAA, suggesting a potential increase in focused spending on critical infrastructure like ARTCCs.

Industry Classification

NAICS: Construction › Utility System Construction › Water and Sewer Line and Related Structures Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 697DCK-24-R-00361

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 110 W 38TH AVE, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $11,133,735

Exercised Options: $11,133,735

Current Obligation: $11,133,735

Actual Outlays: $1,469,497

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline