DOT Awards $11.5M for TRACON Mech Mod to Matthews Group, Competition Limited

Contract Overview

Contract Amount: $11,526,555 ($11.5M)

Contractor: THE Matthews Group Inc

Awarding Agency: Department of Transportation

Start Date: 2024-12-10

End Date: 2026-09-05

Contract Duration: 634 days

Daily Burn Rate: $18.2K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: S46 TRACON MAJOR MECH MOD (JCN 19001809)

Place of Performance

Location: TUKWILA, KING County, WASHINGTON, 98188

State: Washington Government Spending

Plain-Language Summary

Department of Transportation obligated $11.5 million to THE MATTHEWS GROUP INC for work described as: S46 TRACON MAJOR MECH MOD (JCN 19001809) Key points: 1. Contract value of $11.5M for mechanical modifications. 2. Competition was limited, impacting price discovery. 3. Risk of cost overruns due to limited competition. 4. Sector: Commercial and Institutional Building Construction.

Value Assessment

Rating: fair

The contract value of $11.5M appears to be a significant investment for mechanical modifications. Benchmarking against similar TRACON projects would be necessary to assess if this pricing is competitive, especially given the limited competition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), suggesting a limited competition approach. This method may not have yielded the most competitive pricing, potentially leading to higher costs for the government.

Taxpayer Impact: Limited competition may result in taxpayers paying more than necessary for these essential facility upgrades.

Public Impact

Ensures operational continuity for air traffic control. Supports modernization of critical aviation infrastructure. Potential for increased costs due to limited bidding.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Commercial and Institutional Building Construction sector is vital for maintaining government facilities. Spending benchmarks for similar mechanical modification projects within FAA facilities would provide context for this $11.5M award.

Small Business Impact

The data indicates that small businesses were not a factor in this specific award, as the contract was awarded to The Matthews Group Inc. Further analysis would be needed to determine if opportunities were missed for small business participation.

Oversight & Accountability

Oversight will be crucial to ensure the project stays within budget and meets specifications, especially given the limited competition. The FAA's contracting office is responsible for monitoring performance and compliance.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-transportation, wa, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $11.5 million to THE MATTHEWS GROUP INC. S46 TRACON MAJOR MECH MOD (JCN 19001809)

Who is the contractor on this award?

The obligated recipient is THE MATTHEWS 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 $11.5 million.

What is the period of performance?

Start: 2024-12-10. End: 2026-09-05.

What is the estimated cost savings from a fully open competition versus the limited competition used for this contract?

Quantifying the exact savings from a fully open competition is challenging without a counterfactual scenario. However, limited competition typically results in higher prices compared to open bidding. A reasonable estimate might range from 10-25% higher costs, meaning taxpayers could be overpaying by $1.15M to $2.88M on this $11.5M contract.

What are the specific risks associated with the limited competition method for this TRACON modification project?

The primary risk of limited competition is reduced price pressure, potentially leading to inflated costs for the government. It also increases the risk of vendor lock-in and may limit the government's ability to leverage innovative solutions from a broader market. Furthermore, it raises concerns about fairness and equal opportunity for other qualified contractors.

How effectively will this mechanical modification project enhance the operational capabilities and reliability of the S46 TRACON?

The effectiveness of the mechanical modifications in enhancing S46 TRACON's operational capabilities and reliability hinges on the quality of execution and the specific systems being upgraded. Assuming the modifications address known deficiencies or incorporate modern, efficient systems, the project should improve performance and reduce downtime. However, the limited competition raises questions about whether the best value solution was secured.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 18915 LINCOLN RD, PURCELLVILLE, VA, 20132

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $11,526,555

Exercised Options: $11,526,555

Current Obligation: $11,526,555

Actual Outlays: $836,448

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 697DCK23G00010

IDV Type: BOA

Timeline

Start Date: 2024-12-10

Current End Date: 2026-09-05

Potential End Date: 2026-09-05 00:00:00

Last Modified: 2026-03-23

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