DHS Awards $24.3M for Southwest Border Maintenance, Fluor Federal Solutions Secures Contract

Contract Overview

Contract Amount: $24,287,869 ($24.3M)

Contractor: Fluor Federal Solutions, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2012-11-30

End Date: 2021-04-04

Contract Duration: 3,047 days

Daily Burn Rate: $8.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: Construction

Official Description: IGF::OT::IGF ACQUIRING CONTRACTOR-PROVIDED MAINTENANCE AND REPAIR (M&R) SERVICES ALONG THE SOUTHWEST BORDER AND SURROUNDING AREAS THAT SHALL CONSIST OF: FENCE AND GATES; ROADS AND BRIDGES; DRAINAGE AND GRATE SYSTEMS; LIGHTING AND ELECTRICAL SYSTEMS AND; VEGETATION CONTROL AND DEBRIS REMOVAL. CURRENTLY, FM&E TI RECEIVES CONTRACTOR SUPPORT SERVICES FROM MORE THAN FOUR CONTRACTORS PROVIDING SUPPORT THROUGH THE USE OF THE U.S. ARMY CORP OF ENGINEERS MULTIPLE AWARD TASK ORDER CONTRACTS (MATOCS).

Place of Performance

Location: EL PASO, EL PASO County, TEXAS, 79904

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $24.3 million to FLUOR FEDERAL SOLUTIONS, LLC for work described as: IGF::OT::IGF ACQUIRING CONTRACTOR-PROVIDED MAINTENANCE AND REPAIR (M&R) SERVICES ALONG THE SOUTHWEST BORDER AND SURROUNDING AREAS THAT SHALL CONSIST OF: FENCE AND GATES; ROADS AND BRIDGES; DRAINAGE AND GRATE SYSTEMS; LIGHTING AND ELECTRICAL SYSTEMS AND; VEGETATION CONTROL AND DE… Key points: 1. Spending focuses on essential infrastructure maintenance along the Southwest Border. 2. Multiple contractors currently provide similar services via Army Corps of Engineers MATOCs. 3. Risk of service duplication and potential for cost inefficiencies exist. 4. The sector involves heavy civil engineering construction and maintenance.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Benchmarking against similar M&R contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the use of MATOCs implies pre-qualified vendors, which may limit the breadth of competition for specific task orders.

Taxpayer Impact: Taxpayer funds are used for essential border infrastructure maintenance. The cost-plus structure warrants close oversight to ensure value for money.

Public Impact

Ensures operational readiness of critical border infrastructure. Supports national security and border management efforts. Creates jobs in the construction and maintenance sector. Potential for environmental impact due to vegetation control and debris removal.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus contract type
Potential for service overlap with other MATOCs
Limited visibility into specific task order costs

Positive Signals

Essential infrastructure maintenance
Full and open competition awarded
Supports national security mission

Sector Analysis

This contract falls within the Other Heavy and Civil Engineering Construction sector, specifically focusing on maintenance and repair of border infrastructure. Spending benchmarks for such specialized services can vary significantly based on location and scope.

Small Business Impact

The data indicates that Fluor Federal Solutions, LLC, a large business, was awarded this contract. There is no explicit information on small business participation in this specific award.

Oversight & Accountability

Oversight is crucial given the cost-plus fixed fee structure and the extended duration of the contract. Regular performance reviews and cost audits by DHS and potentially the IG are necessary to ensure accountability and prevent waste.

Related Government Programs

Other Heavy and Civil Engineering Construction
Department of Homeland Security Contracting
U.S. Customs and Border Protection Programs

Risk Flags

Cost-plus contract type may incentivize higher spending.
Potential for service overlap with other existing contracts.
Lack of specific performance metrics in the provided data.
Geographic concentration of services could pose risks.
Extended contract duration increases long-term cost exposure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $24.3 million to FLUOR FEDERAL SOLUTIONS, LLC. IGF::OT::IGF ACQUIRING CONTRACTOR-PROVIDED MAINTENANCE AND REPAIR (M&R) SERVICES ALONG THE SOUTHWEST BORDER AND SURROUNDING AREAS THAT SHALL CONSIST OF: FENCE AND GATES; ROADS AND BRIDGES; DRAINAGE AND GRATE SYSTEMS; LIGHTING AND ELECTRICAL SYSTEMS AND; VEGETATION CONTROL AND DEBRIS REMOVAL. CURRENTLY, FM&E TI RECEIVES CONTRACTOR SUPPORT SERVICES FROM MORE THAN FOUR CONTRACTORS PROVIDING SUPPORT THROUGH THE USE OF THE U.S. ARMY CORP OF ENGINEERS MULTIPLE AWARD TASK ORDER CONTRACTS (MATOCS).

Who is the contractor on this award?

The obligated recipient is FLUOR FEDERAL SOLUTIONS, 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 $24.3 million.

What is the period of performance?

Start: 2012-11-30. End: 2021-04-04.

What is the total spending across all MATOCs for similar M&R services to assess potential duplication?

Determining the total spending across all relevant MATOCs for similar M&R services is critical to identify potential duplication and cost inefficiencies. Without this consolidated view, it's challenging to ascertain if the government is receiving the best value or if resources are being spread too thinly across multiple, potentially overlapping contracts.

How effectively are the cost-plus fixed fee elements being managed to control overall expenditure?

Effective management of the cost-plus fixed fee (CPFF) elements is paramount to controlling overall expenditure. This requires rigorous tracking of allowable costs, robust negotiation of the fixed fee, and continuous monitoring of contractor performance against established metrics to ensure that costs remain reasonable and that the contractor is incentivized to perform efficiently.

What are the key performance indicators (KPIs) used to measure the effectiveness of these maintenance and repair services?

Key performance indicators (KPIs) for these maintenance and repair services should focus on timeliness of response, quality of work, cost control, and impact on infrastructure functionality. Examples include response times for critical repairs, defect rates post-completion, adherence to budget, and reduction in infrastructure downtime, all of which directly reflect the effectiveness of the contractor's performance.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HSBP1209R2483

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Fluor Corporation

Address: 100 FLUOR DANIEL DR, GREENVILLE, SC, 29607

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

Financial Breakdown

Contract Ceiling: $36,895,832

Exercised Options: $36,056,835

Current Obligation: $24,287,869

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline