DoD Awards $27.4M Missile Facility Contract to M. A. Mortenson Company
Contract Overview
Contract Amount: $27,394,690 ($27.4M)
Contractor: M. a. Mortenson Company
Awarding Agency: Department of Defense
Start Date: 2015-09-02
End Date: 2019-10-31
Contract Duration: 1,520 days
Daily Burn Rate: $18.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 14
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF P287 MISSLE SUPPORT FACILITY
Place of Performance
Location: DAHLGREN, KING GEORGE County, VIRGINIA, 22448
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $27.4 million to M. A. MORTENSON COMPANY for work described as: IGF::OT::IGF P287 MISSLE SUPPORT FACILITY Key points: 1. Contract awarded for missile support facility construction. 2. M. A. Mortenson Company is the prime contractor. 3. The contract falls under the Commercial and Institutional Building Construction sector. 4. Full and open competition was utilized for this award.
Value Assessment
Rating: good
The contract value of $27.4 million appears reasonable for a large-scale construction project of this nature. Benchmarking against similar government facilities would provide a more precise assessment, but the award amount does not immediately suggest overpricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition suggests a robust price discovery process. This method allows all eligible contractors to bid, fostering competition and potentially leading to more favorable pricing for the government.
Taxpayer Impact: The competitive bidding process likely resulted in a fair market price, maximizing the value of taxpayer dollars spent on this essential defense infrastructure.
Public Impact
Supports critical missile defense infrastructure. Creates construction jobs and stimulates local economy in Virginia. Ensures readiness and operational capability for the Department of the Navy.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large construction projects.
- Dependence on a single prime contractor for project completion.
Positive Signals
- Awarded through full and open competition.
- Clear contract type (Firm Fixed Price) limits cost risk.
- Project supports national defense objectives.
Sector Analysis
This contract falls within the Construction sector, specifically for institutional buildings. Government construction projects often involve complex requirements and stringent oversight, with spending benchmarks varying significantly based on project scope and location.
Small Business Impact
The data indicates the prime contractor is M. A. Mortenson Company, and there is no explicit mention of small business participation in this award. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses.
Oversight & Accountability
The contract is managed by the Department of the Navy, a component of the Department of Defense, which typically has established oversight mechanisms for large construction projects. The definitive contract award suggests a structured process was followed.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for schedule delays in large construction projects.
- Risk of unforeseen site conditions impacting cost and timeline.
- Need to monitor contractor performance closely for quality assurance.
- Ensuring adequate cybersecurity measures for facility operations.
Tags
commercial-and-institutional-building-co, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $27.4 million to M. A. MORTENSON COMPANY. IGF::OT::IGF P287 MISSLE SUPPORT FACILITY
Who is the contractor on this award?
The obligated recipient is M. A. MORTENSON COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $27.4 million.
What is the period of performance?
Start: 2015-09-02. End: 2019-10-31.
What is the projected impact of this facility on missile defense capabilities?
This facility is intended to support critical missile defense infrastructure, likely involving maintenance, storage, or operational readiness. Its successful completion and operation are expected to enhance the overall effectiveness and responsiveness of the U.S. missile defense systems, contributing to national security objectives by ensuring the readiness of vital assets.
Are there any identified risks associated with the contractor's performance on similar projects?
A review of M. A. Mortenson Company's past performance on similar government contracts would be necessary to identify any specific risks. While the firm-fixed-price nature of this contract helps mitigate cost overruns, potential risks could include schedule delays, quality control issues, or unforeseen site conditions that might impact project timelines and ultimate delivery.
How does the cost of this facility compare to industry benchmarks for similar defense infrastructure?
Without specific details on the facility's scope and features, a precise benchmark comparison is challenging. However, the $27.4 million award, derived from full and open competition, suggests a competitive market price. Further analysis would involve comparing cost-per-square-foot or cost-per-function against similar, recently awarded DoD facilities.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: TWO STEP
Solicitation ID: N4008014R0157
Offers Received: 14
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: M. a. Mortenson Companies, Inc. (UEI: 130731797)
Address: 700 MEADOW LN N, MINNEAPOLIS, MN, 55422
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $34,504,941
Exercised Options: $27,394,690
Current Obligation: $27,394,690
Subaward Activity
Number of Subawards: 37
Total Subaward Amount: $29,569,372
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2015-09-02
Current End Date: 2019-10-31
Potential End Date: 2019-10-31 00:00:00
Last Modified: 2021-06-01
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