DoD Awards $23.8M for 26,000 SF Prefabricated Facility to PCI Support Services LLC

Contract Overview

Contract Amount: $23,819,524 ($23.8M)

Contractor: PCI Support Services LLC

Awarding Agency: Department of Defense

Start Date: 2024-10-01

End Date: 2026-05-04

Contract Duration: 580 days

Daily Burn Rate: $41.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: REQUIREMENT FOR A SECURE, PREFABRICATED, 26,000 SF TEMPORARY FACILITY, TO SATISFY THE NEED FOR ADDITIONAL OFFICE SPACE FOR GBSD PROJECT PERSONNEL. THIS CONTRACT WILL PERFORM ALL SITE PREPARATION AND PROVIDE SYSTEM FURNITURE. SBA ID# IG1705413131U

Place of Performance

Location: MALMSTROM AFB, CASCADE County, MONTANA, 59402

State: Montana Government Spending

Plain-Language Summary

Department of Defense obligated $23.8 million to PCI SUPPORT SERVICES LLC for work described as: REQUIREMENT FOR A SECURE, PREFABRICATED, 26,000 SF TEMPORARY FACILITY, TO SATISFY THE NEED FOR ADDITIONAL OFFICE SPACE FOR GBSD PROJECT PERSONNEL. THIS CONTRACT WILL PERFORM ALL SITE PREPARATION AND PROVIDE SYSTEM FURNITURE. SBA ID# IG1705413131U Key points: 1. Facility construction is a significant cost driver, with this contract representing a substantial investment. 2. The contract is not competitively awarded, raising questions about price discovery and potential overpayment. 3. Risk is moderate, primarily related to project execution and ensuring the facility meets security requirements. 4. The sector is construction/manufacturing, with a focus on prefabricated structures for government use.

Value Assessment

Rating: questionable

The contract's price of $23.8 million for a 26,000 sq ft temporary facility, including site prep and furniture, appears high without competitive benchmarking. The lack of available pricing data for similar contracts makes a definitive assessment difficult.

Cost Per Unit: $916/sq ft

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited source selection. This significantly impacts price discovery, as there was no opportunity for multiple vendors to bid and drive down costs through a competitive process.

Taxpayer Impact: The lack of competition may lead to taxpayers paying a premium for the temporary facility, as the government did not leverage market forces to secure the best possible price.

Public Impact

Provides essential office space for the GBSD project, supporting critical defense initiatives. The prefabricated nature suggests a potentially faster deployment compared to traditional construction. The contract award impacts the small business landscape by not setting aside opportunities for smaller firms.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
High per-square-foot cost
Limited transparency on pricing

Positive Signals

Supports critical defense project
Prefabricated solution may offer speed

Sector Analysis

This contract falls within the construction and manufacturing sector, specifically for prefabricated buildings. Government spending in this area can fluctuate based on infrastructure needs and project timelines. Benchmarks for similar temporary facilities are often project-specific.

Small Business Impact

The contract was not awarded to a small business, and the data indicates no small business set-aside was utilized. This means opportunities for small businesses in prefabricated construction or related services were not prioritized for this specific procurement.

Oversight & Accountability

The definitive contract structure suggests a clear scope, but the lack of competition warrants close oversight to ensure the contractor delivers on time and within budget. Accountability will hinge on performance metrics and adherence to contract terms.

Related Government Programs

Prefabricated Metal Building and Component Manufacturing
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Lack of competitive bidding
Potentially high per-unit cost
Limited transparency on justification for sole-source
No small business participation noted

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.8 million to PCI SUPPORT SERVICES LLC. REQUIREMENT FOR A SECURE, PREFABRICATED, 26,000 SF TEMPORARY FACILITY, TO SATISFY THE NEED FOR ADDITIONAL OFFICE SPACE FOR GBSD PROJECT PERSONNEL. THIS CONTRACT WILL PERFORM ALL SITE PREPARATION AND PROVIDE SYSTEM FURNITURE. SBA ID# IG1705413131U

Who is the contractor on this award?

The obligated recipient is PCI SUPPORT SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $23.8 million.

What is the period of performance?

Start: 2024-10-01. End: 2026-05-04.

What is the justification for not pursuing a competitive bidding process for this significant facility requirement?

The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION,' but does not offer a specific justification. Typically, such designations are made when only one source can meet the requirement due to unique capabilities, urgent needs, or specific government property constraints. Without further details, the rationale remains unclear and warrants investigation.

How does the $916 per square foot cost compare to industry benchmarks for similar temporary prefabricated facilities, especially considering site preparation and furniture?

The $916 per square foot cost appears on the higher end for temporary prefabricated facilities, even with site preparation and furniture included. Industry benchmarks can vary widely based on location, complexity, and specific features. A lack of competitive bids prevents a direct comparison, but this figure suggests potential for cost savings if a more competitive process had been employed.

What are the key performance indicators (KPIs) and oversight mechanisms in place to ensure the successful and cost-effective delivery of this temporary facility?

The contract is a Firm Fixed Price (FFP) type, which inherently shifts cost risk to the contractor. Specific KPIs and oversight mechanisms are not detailed in the provided data. However, standard government oversight would likely include regular progress reviews, site inspections, and verification of delivered components against contract specifications to ensure timely completion and quality.

Industry Classification

NAICS: Manufacturing › Architectural and Structural Metals Manufacturing › Prefabricated Metal Building and Component Manufacturing

Product/Service Code: PREFAB STRUCTURES/SCAFFOLDING

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: FA462624R0004

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3480 HIGHWAY 21 N, ATMORE, AL, 36502

Business Categories: 8(a) Program Participant, Category Business, Government, HUBZone Firm, Native American Tribal Government, 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: $23,819,524

Exercised Options: $23,819,524

Current Obligation: $23,819,524

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline