DoD's $63.6M Bachelor Enlisted Quarters contract awarded to Tetra Tech EC, Inc. for construction services
Contract Overview
Contract Amount: $63,661,163 ($63.7M)
Contractor: Tetra Tech EC, Inc.
Awarding Agency: Department of Defense
Start Date: 2012-09-26
End Date: 2015-06-15
Contract Duration: 992 days
Daily Burn Rate: $64.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 21
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: BACHELOR ENLISTED QUARTERS AND EXPEDITIONARY HOUSING
Plain-Language Summary
Department of Defense obligated $63.7 million to TETRA TECH EC, INC. for work described as: BACHELOR ENLISTED QUARTERS AND EXPEDITIONARY HOUSING Key points: 1. Contract awarded for construction of bachelor enlisted quarters and expeditionary housing. 2. The contract was competed on a full and open basis, indicating broad market participation. 3. The contract duration was 992 days, suggesting a significant project timeline. 4. The award was made by the Department of the Navy, a major component of the DoD. 5. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction. 6. The contract type was Firm Fixed Price, which shifts cost risk to the contractor. 7. The contract value represents a substantial investment in military housing infrastructure.
Value Assessment
Rating: fair
The total contract value of $63.6 million for construction services needs further benchmarking against similar projects to fully assess value for money. Without specific details on the scope of work, such as the number of units or square footage, a precise per-unit cost comparison is difficult. However, the fixed-price nature of the contract provides some cost certainty for the government, assuming the scope was well-defined at the outset. The contract was awarded in 2012, and market conditions for construction have evolved since then, which could impact the relative value of this award today.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under a full and open competition, suggesting that multiple companies were invited to bid. The fact that it was fully competed is a positive sign for price discovery, as it allows the government to solicit proposals from a wide range of qualified contractors. The number of bids received would provide further insight into the level of competition, but this information is not detailed in the provided data. A robust competition generally leads to more competitive pricing.
Taxpayer Impact: A full and open competition helps ensure that taxpayer dollars are used efficiently by fostering a competitive environment that drives down costs and encourages innovation among bidders.
Public Impact
Provides improved housing for enlisted personnel within the Department of the Navy. Enhances quality of life for service members, potentially impacting retention and morale. Supports the construction industry through the award of a significant contract. The project's geographic impact is tied to the specific Navy installation where the housing was constructed. Contributes to the readiness and operational capability of naval forces by ensuring adequate housing.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if the fixed-price scope was not adequately defined.
- Construction projects can face delays due to unforeseen site conditions or material availability.
- Quality control during construction is crucial to ensure long-term durability and safety of the housing.
Positive Signals
- Firm Fixed Price contract shifts cost risk to the contractor.
- Full and open competition suggests a competitive bidding process.
- Award to an established contractor like Tetra Tech EC, Inc. may indicate a track record of performance.
Sector Analysis
The construction sector is a significant area of federal spending, encompassing a wide range of projects from infrastructure to facility upgrades. This contract falls under commercial and institutional building construction, a segment that includes the development of non-residential buildings. Federal spending in this area often supports military readiness, government operations, and public services. Benchmarking this contract's value would involve comparing it to similar military housing construction projects, considering factors like location, scale, and specific requirements.
Small Business Impact
The provided data indicates that small business participation (sb) was false and there was no specific small business set-aside (ss) for this contract. This suggests that the contract was not specifically targeted towards small businesses. While Tetra Tech EC, Inc. may have its own subcontracting plans, the lack of a set-aside means that large businesses were likely the primary bidders and potential recipients of the prime contract. Further investigation into subcontracting opportunities would be needed to assess the impact on the small business ecosystem.
Oversight & Accountability
Oversight for this contract would typically be managed by the Department of the Navy's contracting and engineering departments. Accountability measures would be embedded in the contract terms, including performance standards, payment schedules tied to milestones, and potential penalties for non-compliance. Transparency is generally facilitated through contract award databases like FPDS, which provide public access to contract details. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected during the contract's lifecycle.
Related Government Programs
- Military Construction (MILCON)
- Bachelor Enlisted Quarters (BEQ)
- Expeditionary Housing
- Department of Defense Facilities Management
- Naval Facilities Engineering Command (NAVFAC) Contracts
Risk Flags
- Potential for scope creep if not managed tightly.
- Risk of construction delays due to external factors.
- Quality assurance is critical for long-term asset value.
Tags
construction, department-of-defense, department-of-the-navy, firm-fixed-price, full-and-open-competition, military-housing, commercial-and-institutional-building-construction, tetra-tech-ec-inc, large-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $63.7 million to TETRA TECH EC, INC.. BACHELOR ENLISTED QUARTERS AND EXPEDITIONARY HOUSING
Who is the contractor on this award?
The obligated recipient is TETRA TECH EC, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $63.7 million.
What is the period of performance?
Start: 2012-09-26. End: 2015-06-15.
What was the specific scope of work for the Bachelor Enlisted Quarters and Expeditionary Housing project?
The provided data does not detail the specific scope of work beyond the general description of 'BACHELOR ENLISTED QUARTERS AND EXPEDITIONARY HOUSING'. A comprehensive understanding of the project would require access to the contract's statement of work (SOW), which would outline the exact requirements, specifications, deliverables, and performance standards. This could include the number of housing units, square footage per unit, amenities, site preparation, utility connections, and any specialized features for expeditionary housing. Without this detailed information, it is challenging to fully assess the contract's value and performance.
How did the final cost compare to the initial estimated cost for this contract?
The provided data only includes the final award amount of $63,661,162.55. Information regarding the initial estimated cost or any modifications that may have altered the contract's value over its lifecycle is not available. For a complete financial analysis, comparing the final award amount to the initial estimate and examining any change orders or contract modifications would be necessary. This comparison is crucial for understanding cost control and potential budget variances throughout the project's duration.
What is Tetra Tech EC, Inc.'s performance history with the Department of the Navy on similar construction projects?
The provided data identifies Tetra Tech EC, Inc. as the contractor but does not offer details on their specific performance history with the Department of the Navy or on similar construction projects. A thorough assessment would require reviewing past performance evaluations, contract award histories, and any documented issues or commendations related to this contractor. Understanding their track record is vital for evaluating the reliability and potential risks associated with awarding them significant contracts. Further research into federal procurement databases and past performance information systems would be needed.
Were there any significant delays or cost overruns during the execution of this contract?
The provided data indicates a contract duration of 992 days but does not specify whether the project was completed on time or within budget. Firm Fixed Price contracts aim to control costs, but unforeseen circumstances can still lead to delays or require contract modifications. To determine if there were significant delays or cost overruns, one would need to examine contract modification history, project completion reports, and any official documentation related to schedule adherence and financial performance. This information is not present in the summary data.
How does the per-unit construction cost of these barracks compare to industry benchmarks for similar military housing?
Calculating a precise per-unit construction cost requires knowing the total number of housing units constructed under this contract, which is not provided in the summary data. The total contract value is $63,661,162.55. If, for example, the contract was for 500 housing units, the average cost per unit would be approximately $127,322. Comparing this figure to industry benchmarks for military barracks or similar institutional housing would require access to current construction cost data specific to military facilities, which varies significantly by location, materials, and required amenities. Without the number of units, a meaningful per-unit cost comparison is not possible.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building 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: N3319112R0614
Offers Received: 21
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Tetra Tech, Inc. (UEI: 045224250)
Address: 143 UNION BLVD STE 1010, LAKEWOOD, CO, 80228
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $63,661,163
Exercised Options: $63,661,163
Current Obligation: $63,661,163
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2012-09-26
Current End Date: 2015-06-15
Potential End Date: 2015-06-15 00:00:00
Last Modified: 2015-05-14
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