DHS Awards $15.17M Contract to Teya Enterprises for North Dakota Port of Entry Modernization

Contract Overview

Contract Amount: $15,174,065 ($15.2M)

Contractor: Teya Enterprises LLC

Awarding Agency: Department of Homeland Security

Start Date: 2023-09-29

End Date: 2026-09-28

Contract Duration: 1,095 days

Daily Burn Rate: $13.9K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION TO MODERNIZE THE FORTUNA AND NORTHGATE LAND PORTS OF ENTRY IN NORTH DAKOTA TO THE LATEST CBP DESIGN STANDARDS AND TO ADDRESS THE FACILITY ISSUES THAT HAVE DEVELOPED.

Place of Performance

Location: FORTUNA, DIVIDE County, NORTH DAKOTA, 58844

State: North Dakota Government Spending

Plain-Language Summary

Department of Homeland Security obligated $15.2 million to TEYA ENTERPRISES LLC for work described as: CONSTRUCTION TO MODERNIZE THE FORTUNA AND NORTHGATE LAND PORTS OF ENTRY IN NORTH DAKOTA TO THE LATEST CBP DESIGN STANDARDS AND TO ADDRESS THE FACILITY ISSUES THAT HAVE DEVELOPED. Key points: 1. Significant investment in critical border infrastructure modernization. 2. Contract awarded to Teya Enterprises LLC for construction services. 3. Project aims to upgrade Fortuna and Northgate Land Ports of Entry. 4. Focus on meeting latest CBP design standards and addressing facility issues.

Value Assessment

Rating: fair

The contract value of $15.17 million for construction services appears within a reasonable range for a project of this scope, involving modernization of two significant port of entry facilities. Benchmarking against similar large-scale government construction projects would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited competition approach. This method may impact price discovery and potentially lead to higher costs compared to a fully competitive bidding process.

Taxpayer Impact: Taxpayer funds are being utilized for essential infrastructure upgrades at border crossings, which is a necessary government function. However, the lack of full competition warrants scrutiny to ensure cost-effectiveness.

Public Impact

Enhanced border security and operational efficiency at two key North Dakota ports of entry. Improved facilities for CBP personnel and travelers, potentially reducing wait times. Modernization efforts align with national security objectives and infrastructure investment priorities. Economic impact through construction jobs and local business engagement in North Dakota.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about potential overpricing.
Contract duration of 1095 days requires careful monitoring for timely completion.
Lack of specific performance metrics in provided data.

Positive Signals

Addresses critical infrastructure needs for border security.
Clear objectives for modernization and facility improvement.
Firm fixed price contract provides cost certainty.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Government spending in this sector often involves large-scale projects with significant capital investment, requiring specialized contractors and adherence to strict building codes and security standards.

Small Business Impact

The data indicates that Teya Enterprises LLC is the prime contractor. There is no information provided regarding subcontracting opportunities for small businesses on this project, which is a missed opportunity for economic inclusion.

Oversight & Accountability

Oversight will be crucial to ensure the project stays on schedule and within budget, given the limited competition. The Department of Homeland Security, specifically U.S. Customs and Border Protection, will be responsible for monitoring contractor performance and adherence to contract terms.

Related Government Programs

Commercial and Institutional Building Construction
Department of Homeland Security Contracting
U.S. Customs and Border Protection Programs

Risk Flags

Limited competition may result in higher costs.
Potential for project delays given the 3-year duration.
Lack of transparency on contractor selection justification.
No clear indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $15.2 million to TEYA ENTERPRISES LLC. CONSTRUCTION TO MODERNIZE THE FORTUNA AND NORTHGATE LAND PORTS OF ENTRY IN NORTH DAKOTA TO THE LATEST CBP DESIGN STANDARDS AND TO ADDRESS THE FACILITY ISSUES THAT HAVE DEVELOPED.

Who is the contractor on this award?

The obligated recipient is TEYA ENTERPRISES LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $15.2 million.

What is the period of performance?

Start: 2023-09-29. End: 2026-09-28.

What specific factors led to the decision to limit competition for this construction contract, and how was the contractor selected?

The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION,' suggesting a sole-source or limited justification was likely invoked by the agency. Reasons could include unique capabilities of the contractor, urgent need, or specific project requirements that only one entity could meet. The selection process would typically involve agency justification and approval, but details are not available in this summary.

How does the awarded amount of $15.17 million compare to industry benchmarks for similar port of entry modernization projects, considering the scope and duration?

Without specific details on the scope of modernization (e.g., square footage, types of upgrades), direct benchmarking is challenging. However, $15.17 million for modernizing two land ports of entry over three years suggests a substantial investment. Industry benchmarks for large-scale government construction, especially in secure border environments, can vary widely, but this figure warrants comparison with similar CBP or GSA projects to assess value for money.

What are the key performance indicators (KPIs) and oversight mechanisms in place to ensure the effectiveness and timely completion of this modernization project?

The provided data does not detail specific KPIs or oversight mechanisms beyond the contract award details. Effective oversight would typically involve regular progress reports, site inspections, quality control checks, and milestone reviews. The agency's contracting officer's representative (COR) would be responsible for monitoring performance against the contract requirements and ensuring the project meets its objectives.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 70B01C23R00000129

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 101 E 9TH AVE STE 9BMS-04, ANCHORAGE, AK, 99501

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,174,065

Exercised Options: $15,174,065

Current Obligation: $15,174,065

Actual Outlays: $8,154,519

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline