NASA awards $25.9M contract for Michoud Assembly Facility roof replacement supporting Space Launch System

Contract Overview

Contract Amount: $25,898,230 ($25.9M)

Contractor: Birmingham Industrial Construction, LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2025-09-25

End Date: 2028-06-19

Contract Duration: 998 days

Daily Burn Rate: $25.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO REPLACE THE ROOF OF THE MAIN MANUFACTURING BUILDING AT MICHOUD ASSEMBLY FACILITY, BUILDING 103, WHICH SUPPORTS SPACE LAUNCH SYSTEM (SLS) AND ORION MANUFACTURING.

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70129

State: Louisiana Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $25.9 million to BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC for work described as: THE PURPOSE OF THIS TASK ORDER IS TO REPLACE THE ROOF OF THE MAIN MANUFACTURING BUILDING AT MICHOUD ASSEMBLY FACILITY, BUILDING 103, WHICH SUPPORTS SPACE LAUNCH SYSTEM (SLS) AND ORION MANUFACTURING. Key points: 1. Contract addresses critical infrastructure for vital space programs. 2. Single award delivery order indicates focused execution on a specific need. 3. Long performance period suggests a complex or extensive project. 4. Fixed-price contract shifts risk to the contractor. 5. Location in Louisiana highlights regional economic impact. 6. Industrial building construction is a specialized sector.

Value Assessment

Rating: good

The contract value of $25.9 million for a roof replacement appears reasonable given the scale of the facility and its critical function supporting NASA's Space Launch System (SLS) and Orion manufacturing. Benchmarking against similar large-scale industrial building construction projects would provide a more precise value-for-money assessment. The firm fixed-price nature of the contract suggests that pricing was determined upfront, with the contractor bearing cost overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which suggests that while the competition was intended to be broad, specific circumstances led to the exclusion of certain potential bidders. The award to a single contractor, BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC, implies that either only one offer was received or that one offer was significantly superior. The limited nature of the competition could potentially impact price discovery.

Taxpayer Impact: While the competition was not fully open, the exclusion of sources was justified, potentially leading to a more focused and efficient award process. Taxpayers benefit from a specialized contractor addressing a critical infrastructure need.

Public Impact

The primary beneficiaries are NASA and its contractors involved in the Space Launch System (SLS) and Orion programs, ensuring the continued operational capability of the Michoud Assembly Facility. The service delivered is the replacement of the roof on the main manufacturing building (Building 103), a critical component for protecting sensitive manufacturing operations. The geographic impact is concentrated in New Orleans, Louisiana, supporting the regional economy through construction activities and maintaining a key federal facility. Workforce implications include employment opportunities for skilled construction labor in the Louisiana area during the contract performance period.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Industrial Building Construction sector, a segment of the broader construction industry focused on specialized facilities for manufacturing and industrial processes. The market for such contracts is often driven by government and large industrial clients requiring robust and specialized infrastructure. Spending in this sector is influenced by infrastructure investment needs, technological advancements in construction, and the operational requirements of key industries like aerospace.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Birmingham Industrial Construction, LLC's size status is not provided, but the contract value suggests it could be awarded to either small or large businesses depending on their revenue. There is no explicit mention of subcontracting requirements for small businesses within this award notice.

Oversight & Accountability

Oversight for this contract will be managed by the National Aeronautics and Space Administration (NASA). Accountability measures are inherent in the firm fixed-price contract type, which obligates the contractor to complete the work within the agreed-upon price. Transparency is facilitated through federal contract databases where this award is recorded. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

construction, industrial-building-construction, nasa, michoud-assembly-facility, space-launch-system, orion, louisiana, new-orleans, firm-fixed-price, delivery-order, limited-competition, infrastructure-maintenance

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $25.9 million to BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC. THE PURPOSE OF THIS TASK ORDER IS TO REPLACE THE ROOF OF THE MAIN MANUFACTURING BUILDING AT MICHOUD ASSEMBLY FACILITY, BUILDING 103, WHICH SUPPORTS SPACE LAUNCH SYSTEM (SLS) AND ORION MANUFACTURING.

Who is the contractor on this award?

The obligated recipient is BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $25.9 million.

What is the period of performance?

Start: 2025-09-25. End: 2028-06-19.

What is the track record of Birmingham Industrial Construction, LLC with NASA or similar federal agencies?

A review of federal procurement data would be necessary to fully assess Birmingham Industrial Construction, LLC's track record. Specifically, one would look for past performance ratings on similar projects, any history of contract disputes or terminations, and the volume and type of work previously awarded to the company by NASA and other government entities. Understanding their experience with large-scale industrial construction, particularly in sensitive environments like aerospace manufacturing facilities, is crucial for evaluating their capability to successfully execute this roof replacement project.

How does the cost of this roof replacement compare to similar projects at other federal facilities?

Benchmarking this $25.9 million contract against similar roof replacement projects at other federal facilities, particularly those of comparable size and complexity (e.g., large manufacturing or assembly plants), is essential for assessing value for money. Factors to consider include the square footage of the roof replaced, the type of roofing materials used, the extent of any necessary structural repairs, and the specific environmental conditions of the facility. Without detailed cost breakdowns and comparative project data, it is difficult to definitively state whether this contract represents a competitive price point.

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

The primary risks associated with this contract include potential unforeseen structural issues discovered during the roof replacement that could increase costs or cause delays, and the risk of contractor underperformance. The firm fixed-price contract structure mitigates cost overrun risk for the government, placing that burden on the contractor. Mitigation for performance risk relies on NASA's contract oversight, performance monitoring, and the contractor's demonstrated experience and capacity. The long duration of the contract (ending June 2028) also allows for phased execution and quality checks.

How effective is the Michoud Assembly Facility's infrastructure maintenance program in supporting critical space missions?

The award of this contract for a critical roof replacement directly addresses a key infrastructure maintenance need at the Michoud Assembly Facility (MAF), which is vital for supporting the Space Launch System (SLS) and Orion programs. The effectiveness of MAF's overall infrastructure maintenance program can be inferred from the proactive replacement of aging or damaged components like roofs. Continued investment in maintaining the integrity and functionality of MAF's facilities is crucial for ensuring the uninterrupted production and assembly of these high-priority national assets.

What has been the historical spending trend for industrial building construction at NASA's Michoud Assembly Facility?

Analyzing historical spending data for industrial building construction at NASA's Michoud Assembly Facility would provide context for this $25.9 million contract. This would involve examining past contracts for facility upgrades, repairs, and new construction at MAF over several fiscal years. Understanding whether this award represents a significant increase or decrease in spending, and identifying any recurring needs or patterns in facility maintenance and development, can help assess the current contract's place within the facility's long-term capital investment strategy.

What is the significance of the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause for this contract?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause indicates that NASA initially intended to solicit bids from all responsible sources but subsequently excluded certain sources based on specific justifications, as permitted by federal acquisition regulations (e.g., FAR Part 6). This could occur if, for instance, only a limited number of contractors possessed the specialized capabilities required, or if prior performance issues with certain potential bidders warranted their exclusion. While aiming for broad competition, this clause suggests a tailored approach to ensure the best value was obtained from a qualified pool of offerors.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionIndustrial Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 105 CORPORATE WOODS CIR, ALABASTER, AL, 35007

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $25,898,230

Exercised Options: $25,898,230

Current Obligation: $25,898,230

Actual Outlays: $432,375

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 80SSC018D0011

IDV Type: IDC

Timeline

Start Date: 2025-09-25

Current End Date: 2028-06-19

Potential End Date: 2028-06-19 00:00:00

Last Modified: 2026-01-13

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