Dod's $37M Mcas New River Repairs Contract Awarded to Aptim Federal Services, LLC

Contract Overview

Contract Amount: $37,013,711 ($37.0M)

Contractor: Aptim Federal Services, LLC

Awarding Agency: Department of Defense

Start Date: 2019-11-20

End Date: 2025-05-21

Contract Duration: 2,009 days

Daily Burn Rate: $18.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: X005 19-0102 DB MCASNR REPAIRS PHASE I

Place of Performance

Location: CAMP LEJEUNE, ONSLOW County, NORTH CAROLINA, 28547

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $37.0 million to APTIM FEDERAL SERVICES, LLC for work described as: X005 19-0102 DB MCASNR REPAIRS PHASE I Key points: 1. Value for money assessed through comparison with similar construction projects. 2. Competition dynamics indicate a robust bidding process for this project. 3. Risk indicators are monitored through contract performance and delivery schedules. 4. Performance context is framed by the project's phase and duration. 5. Sector positioning places this contract within the broader defense construction market.

Value Assessment

Rating: good

The contract's value of approximately $37 million for repairs at MCAS New River appears reasonable when benchmarked against similar large-scale construction and renovation projects within the Department of Defense. While specific per-unit cost data is not provided, the firm-fixed-price structure suggests that APTIM FEDERAL SERVICES, LLC assumed the primary risk for cost overruns. The contract duration of over 2000 days (from award to expected completion) allows for phased execution, which can be cost-effective for complex repairs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of multiple bidders (3 were noted) suggests a healthy competitive environment, which typically drives down prices and encourages innovation. The agency's decision to use full and open competition implies confidence that a sufficient number of qualified contractors could meet the requirements.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that is likely to have resulted in a more favorable price than a sole-source or limited competition award.

Public Impact

The primary beneficiaries are the United States Marine Corps, receiving necessary infrastructure repairs and upgrades at MCAS New River. Services delivered include commercial and institutional building construction and repairs, crucial for operational readiness. The geographic impact is localized to Camp Lejeune, North Carolina, supporting military operations in the region. Workforce implications include job creation for construction workers and related trades in the North Carolina area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if unforeseen structural issues arise during repairs.
Dependency on timely material procurement and skilled labor availability.
Risk of schedule delays due to weather or site-specific challenges.

Positive Signals

Firm-fixed-price contract shifts cost overrun risk to the contractor.
Awarded under full and open competition, suggesting competitive pricing.
Long duration allows for phased execution and potentially better resource management.

Sector Analysis

This contract falls within the Defense sector, specifically focusing on construction and infrastructure maintenance for military installations. The market for such services is substantial, driven by ongoing modernization and repair needs across federal facilities. Comparable spending benchmarks would include other large-scale construction contracts awarded by the Department of Defense or other federal agencies for similar building types and scopes of work.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements for small businesses explicitly stated in the provided data. This suggests that the primary award went to a large business, and the impact on the small business ecosystem would depend on whether APTIM FEDERAL SERVICES, LLC utilizes small businesses as subcontractors, which is not detailed here.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Navy's contracting officers and project managers. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified repairs within the agreed budget and timeframe. Transparency is facilitated through contract award databases, though detailed project progress reports may not be publicly available.

Related Government Programs

Military Construction
Base Realignment and Closure (BRAC) Projects
Department of Defense Facilities Maintenance
Naval Facilities Engineering Command Contracts

Risk Flags

Potential for cost overruns if unforeseen conditions are encountered.
Risk of schedule delays impacting operational readiness.
Contractor performance variability.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.0 million to APTIM FEDERAL SERVICES, LLC. X005 19-0102 DB MCASNR REPAIRS PHASE I

Who is the contractor on this award?

The obligated recipient is APTIM FEDERAL SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $37.0 million.

What is the period of performance?

Start: 2019-11-20. End: 2025-05-21.

What is APTIM FEDERAL SERVICES, LLC's track record with similar large-scale DoD construction contracts?

APTIM FEDERAL SERVICES, LLC has a significant history of performing large-scale construction and engineering projects for the Department of Defense and other federal agencies. Their portfolio often includes infrastructure repair, facility modernization, and new construction. Analyzing their past performance on contracts of similar size and complexity, particularly those involving military bases, would provide insight into their capacity, reliability, and ability to manage complex projects effectively. Specific metrics like on-time completion rates, budget adherence, and client satisfaction from previous DoD engagements would be key indicators of their suitability for this MCAS New River contract.

How does the awarded price compare to the estimated cost or benchmark for similar repair projects?

Without access to the government's cost estimates or detailed market research data used during the procurement, a direct price comparison is challenging. However, the contract's firm-fixed-price nature suggests that the awarded amount of approximately $37 million was deemed competitive and acceptable by the Department of the Navy based on the bids received. Benchmarking against publicly available data for similar large-scale building repair projects (e.g., square footage, type of repairs, location) could offer a general comparison. The number of bidders (3) in a full and open competition also implies that the price likely reflects market conditions and contractor expectations for profitability.

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

The primary risks for this contract likely revolve around unforeseen site conditions, potential for scope creep if structural issues are more extensive than initially assessed, and schedule delays due to weather or logistical challenges inherent in military base operations. Mitigation strategies typically include detailed site investigations prior to award, robust contingency planning within the contractor's schedule and budget, and clear change order processes defined in the contract. The firm-fixed-price structure inherently places the risk of cost overruns on the contractor, incentivizing them to manage these risks proactively. The long duration also allows for phased risk assessment and management.

How effective has the Department of the Navy been in managing similar large construction contracts awarded through full and open competition?

The Department of the Navy, through its various commands like the Naval Facilities Engineering Command (NAVFAC), has extensive experience managing large construction contracts. Historically, awards made under full and open competition have generally yielded competitive pricing and satisfactory performance, provided robust oversight is maintained. However, challenges can arise, including contractor performance issues, disputes over contract modifications, and schedule slippages. The effectiveness often depends on the clarity of the initial requirements, the diligence of contract administration, and the responsiveness of the government team to issues that emerge during execution. Analyzing past contract close-out data and performance reviews for similar NAVFAC projects would offer a more precise assessment.

What are the historical spending patterns for repairs and maintenance at MCAS New River or similar Marine Corps installations?

Historical spending patterns for repairs and maintenance at MCAS New River would likely show a consistent need for infrastructure upkeep, driven by the operational demands and aging facilities typical of military installations. Spending can fluctuate based on major repair cycles, BRAC actions, or specific modernization initiatives. Analyzing aggregate spending data for the Marine Corps or DoD facilities maintenance over the past 5-10 years would reveal trends in contract values, types of services procured, and average contract durations. This context helps determine if the $37 million award represents a typical investment or a significant deviation for this installation.

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

Solicitation ID: N6247017R6016

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Peraton Technology Services Inc.

Address: 1725 DUKE ST STE 400, ALEXANDRIA, VA, 22314

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: $37,013,711

Exercised Options: $37,013,711

Current Obligation: $37,013,711

Actual Outlays: $13,258,575

Subaward Activity

Number of Subawards: 18

Total Subaward Amount: $17,139,116

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N6247019D8023

IDV Type: IDC

Timeline