DOJ's FBI awards $99.8M firm-fixed-price contract for Pocatello Data Center to J.E. Dunn Construction
Contract Overview
Contract Amount: $99,790,686 ($99.8M)
Contractor: J. E. Dunn Construction Company
Awarding Agency: Department of Justice
Start Date: 2017-02-27
End Date: 2020-09-30
Contract Duration: 1,311 days
Daily Burn Rate: $76.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: DESIGN-BUILD OF POCATELLO DATA CENTER - FIRM FIXED PRICE
Place of Performance
Location: POCATELLO, BANNOCK County, IDAHO, 83201
State: Idaho Government Spending
Plain-Language Summary
Department of Justice obligated $99.8 million to J. E. DUNN CONSTRUCTION COMPANY for work described as: DESIGN-BUILD OF POCATELLO DATA CENTER - FIRM FIXED PRICE Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The project is for the design-build of a data center, a critical infrastructure component. 3. Firm-fixed-price contract type aims to control costs for the government. 4. The contract duration is 1311 days, indicating a significant, multi-year project. 5. No small business participation was noted in the award details.
Value Assessment
Rating: good
The contract's firm-fixed-price structure provides cost certainty. Benchmarking against similar large-scale data center construction projects would be necessary for a definitive value assessment, but the price appears within a reasonable range for such a complex undertaking.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, allowing all responsible sources to submit bids. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The competitive nature of the award is expected to yield a fair price, maximizing taxpayer value for the construction of essential federal infrastructure.
Public Impact
Enhances federal data storage and processing capabilities for the FBI. Supports critical law enforcement and national security operations. Potential for job creation in the Pocatello, Idaho region during construction. Ensures secure and modern infrastructure for sensitive government data.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
- Potential for cost overruns if scope creep occurs despite FFP.
- Long project duration increases exposure to market fluctuations.
Positive Signals
- Firm-fixed-price contract limits cost risk for the government.
- Full and open competition promotes best value.
- Essential infrastructure development for national security.
Sector Analysis
This contract falls under Commercial and Institutional Building Construction (NAICS 236220). Spending in this sector for federal data center construction can vary significantly based on agency needs and technological advancements. Benchmarks would typically consider project size, complexity, and location.
Small Business Impact
The award details indicate no small business participation in this contract. For large-scale construction projects, prime contractors may not always subcontract to small businesses, or the nature of the work may not lend itself to small business involvement.
Oversight & Accountability
The firm-fixed-price contract type provides a degree of cost control. Oversight would focus on ensuring adherence to the design-build specifications, project timelines, and quality standards throughout the construction period.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Justice Contracting
- Federal Bureau of Investigation Programs
Risk Flags
- Lack of small business subcontracting.
- Long contract duration (1311 days).
- Firm-fixed-price can disincentivize contractor innovation if not managed well.
- Potential for scope creep if design-build process is not tightly controlled.
Tags
commercial-and-institutional-building-co, department-of-justice, id, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $99.8 million to J. E. DUNN CONSTRUCTION COMPANY. DESIGN-BUILD OF POCATELLO DATA CENTER - FIRM FIXED PRICE
Who is the contractor on this award?
The obligated recipient is J. E. DUNN CONSTRUCTION COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Justice (Federal Bureau of Investigation).
What is the total obligated amount?
The obligated amount is $99.8 million.
What is the period of performance?
Start: 2017-02-27. End: 2020-09-30.
What is the estimated cost per square foot for this data center construction, and how does it compare to industry benchmarks for similar facilities?
The provided data does not include square footage or cost per square foot. To assess value, this metric would need to be obtained and compared against industry averages for government and commercial data centers of similar size and complexity in the region. Factors like specialized cooling, security, and power infrastructure significantly influence per-square-foot costs.
What specific risks were identified during the full and open competition process, and how were they mitigated in the contract terms?
The data does not detail specific risks identified during the competition. However, typical risks in design-build projects include scope definition, schedule delays, and unforeseen site conditions. A firm-fixed-price contract inherently transfers much of the cost risk to the contractor, while detailed specifications and performance milestones in the contract would address quality and schedule risks.
How will the effectiveness of the new data center be measured post-construction to ensure it meets the FBI's operational requirements?
Effectiveness will likely be measured through post-occupancy evaluations, system performance testing (e.g., uptime, processing speed, cooling efficiency), and user satisfaction surveys within the FBI. Acceptance criteria defined in the contract, including operational readiness tests and adherence to security protocols, will be key indicators of success.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: CONSTRUCTION AND BUILDING MATERIAL
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: DJF-16-1200-R-0000044
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: JE Dunn Construction Group Inc (UEI: 007836448)
Address: 1001 LOCUST, KANSAS CITY, MO, 64106
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $99,790,687
Exercised Options: $99,790,687
Current Obligation: $99,790,686
Actual Outlays: $13,877,448
Subaward Activity
Number of Subawards: 127
Total Subaward Amount: $292,948,080
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2017-02-27
Current End Date: 2020-09-30
Potential End Date: 2020-09-30 00:00:00
Last Modified: 2021-06-30
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