DoD awards $19.9M contract for RAF Mildenhall fuel facility repairs to Contrack ECC LLC

Contract Overview

Contract Amount: $19,956,410 ($20.0M)

Contractor: Contrack ECC LLC

Awarding Agency: Department of Defense

Start Date: 2023-06-07

End Date: 2026-11-17

Contract Duration: 1,259 days

Daily Burn Rate: $15.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: REPAIR FUEL FACILITIES AT ROYAL AIR FORCE MILDENHALL, UNITED KINGDOM

Plain-Language Summary

Department of Defense obligated $20.0 million to CONTRACK ECC LLC for work described as: REPAIR FUEL FACILITIES AT ROYAL AIR FORCE MILDENHALL, UNITED KINGDOM Key points: 1. Contract value appears reasonable for a multi-year construction project of this nature. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract is firm-fixed-price, transferring risk to the contractor. 4. Project duration of 1259 days indicates a substantial scope of work. 5. The award is for construction services, a common requirement for overseas bases. 6. No small business set-aside was applied, but subcontracting opportunities may exist.

Value Assessment

Rating: good

The contract value of $19.9 million for repairing fuel facilities at RAF Mildenhall seems within a reasonable range for a project of this scale and duration. Benchmarking against similar overseas base infrastructure repair contracts would provide a more precise value-for-money assessment. The firm-fixed-price structure indicates that the contractor bears the cost overrun risk, which is generally favorable for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bidders suggests a moderate level of competition for this specific requirement. A higher number of bidders typically leads to more competitive pricing, but the specific nature of overseas construction can sometimes limit the pool of qualified firms.

Taxpayer Impact: Full and open competition is generally beneficial for taxpayers as it promotes a more competitive bidding environment, potentially leading to lower prices and better value.

Public Impact

The primary beneficiaries are the U.S. Air Force personnel and operations at RAF Mildenhall, ensuring the continued safe and efficient functioning of fuel infrastructure. The contract delivers essential repair and maintenance services for critical fuel storage and distribution facilities. The geographic impact is localized to the Royal Air Force Mildenhall base in the United Kingdom. The project will likely involve a workforce of construction laborers, engineers, and project managers, potentially including both U.S. and local hires.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise, despite the firm-fixed-price structure.
Dependence on contractor's ability to manage complex logistics for an overseas project.
Risk of schedule delays due to factors beyond contractor control, such as weather or regulatory approvals.
Ensuring compliance with both U.S. military and host nation construction standards.

Positive Signals

Firm-fixed-price contract type mitigates cost escalation risk for the government.
Award to an established contractor (Contrack ECC LLC) suggests prior experience.
Project addresses critical infrastructure needs, enhancing operational readiness.
Full and open competition process generally leads to better market price discovery.

Sector Analysis

This contract falls within the commercial and institutional building construction sector, specifically focusing on industrial facilities. The global market for military base construction and maintenance is substantial, driven by ongoing operational needs and aging infrastructure. This award represents a specific instance of spending within the broader defense construction market, which is characterized by specialized requirements and often involves international operations.

Small Business Impact

The contract was not set aside for small businesses, and the data indicates no specific subcontracting goals were mandated. This suggests that larger firms were expected to perform the majority of the work. While there are no explicit set-aside requirements, the prime contractor may still engage small businesses for specialized services or materials, contributing to the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force's contracting and engineering units stationed at or responsible for RAF Mildenhall. Accountability measures are embedded in the firm-fixed-price contract terms, with performance milestones and quality standards to be met. Transparency is generally maintained through contract award databases, though specific project details and oversight reports may be less publicly accessible for overseas military installations.

Related Government Programs

Military Construction (MILCON)
Base Operations Support (BOS)
Overseas Contingency Operations (OCO) related infrastructure
Facility Maintenance and Repair Contracts
Defense Infrastructure Projects

Risk Flags

Potential for schedule slippage due to overseas logistics.
Risk of encountering unforeseen site conditions impacting cost and schedule.
Ensuring compliance with dual regulatory environments (USAF and UK).

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.0 million to CONTRACK ECC LLC. REPAIR FUEL FACILITIES AT ROYAL AIR FORCE MILDENHALL, UNITED KINGDOM

Who is the contractor on this award?

The obligated recipient is CONTRACK ECC 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 $20.0 million.

What is the period of performance?

Start: 2023-06-07. End: 2026-11-17.

What is the track record of Contrack ECC LLC in performing similar overseas construction projects for the Department of Defense?

Contrack ECC LLC has a history of performing large-scale construction and engineering projects, including significant work for the Department of Defense in overseas locations. Their portfolio often includes infrastructure development, facility construction, and renovation projects similar to the RAF Mildenhall requirement. Reviewing their past performance ratings, any past performance issues, and the scale and complexity of previously completed projects would be crucial for a comprehensive assessment. Data from contract databases and federal procurement records can provide insights into their experience with firm-fixed-price contracts and projects in similar geographic regions or with comparable technical requirements.

How does the awarded price compare to similar fuel facility repair projects at other U.S. Air Force bases, both domestically and internationally?

A direct comparison of the $19.9 million award for RAF Mildenhall requires identifying comparable projects based on scope, size, duration, and location. Factors such as local labor costs, material availability, logistical challenges, and specific repair requirements (e.g., tank integrity, piping systems, safety upgrades) significantly influence pricing. While specific benchmarks are not provided, the firm-fixed-price nature suggests the government sought a defined cost. Analyzing the cost per square foot or per gallon of storage capacity for similar projects, adjusted for regional economic differences, would offer a more robust value assessment. The limited competition (two bidders) might suggest less downward pressure on price compared to projects with numerous bidders.

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

Key risks include potential cost overruns due to unforeseen site conditions, schedule delays caused by logistical challenges or weather, and ensuring compliance with both U.S. and UK regulations. The firm-fixed-price contract mitigates financial risk for the government by capping the total cost. Mitigation strategies likely involve thorough site investigations prior to award, robust project management plans by the contractor, contingency planning for logistical hurdles, and clear communication channels with local authorities. The contract's duration (over three years) also necessitates strong contractor oversight to ensure sustained performance and quality.

What is the expected impact of these facility repairs on the operational readiness and safety at RAF Mildenhall?

The repair and modernization of fuel facilities are critical for maintaining the operational readiness and safety of RAF Mildenhall. Aging or degraded fuel infrastructure can lead to spills, contamination, and disruptions in fuel supply, directly impacting aircraft operations and mission capabilities. By addressing these issues, the contract ensures a reliable and safe fuel supply chain, supports environmental compliance, and reduces the risk of accidents. This directly enhances the base's ability to support its assigned missions effectively and safely.

What has been the historical spending trend for facility repair and maintenance at RAF Mildenhall over the past five years?

Analyzing historical spending for facility repair and maintenance at RAF Mildenhall over the past five years would provide context for the current $19.9 million award. This would involve examining previous contracts for similar services, their values, and their frequency. A significant increase or decrease in spending could indicate changing infrastructure needs, deferred maintenance, or shifts in budget priorities. Understanding this trend helps assess whether the current contract represents a typical investment, a catch-up effort for deferred maintenance, or a new strategic initiative for base infrastructure.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1240 BAYSHORE HWY STE 201, BURLINGAME, CA, 94010

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,956,410

Exercised Options: $19,956,410

Current Obligation: $19,956,410

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA890317D0039

IDV Type: IDC

Timeline