DoD awards $65.5M engineering services contract to LB & B Associates Inc. for Hawaii-based support

Contract Overview

Contract Amount: $65,432,967 ($65.4M)

Contractor: LB & B Associates Inc

Awarding Agency: Department of Defense

Start Date: 2017-07-18

End Date: 2022-08-31

Contract Duration: 1,870 days

Daily Burn Rate: $35.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: IGF::OT::IGF - AWARD

Place of Performance

Location: M C B H KANEOHE BAY, HONOLULU County, HAWAII, 96863

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $65.4 million to LB & B ASSOCIATES INC for work described as: IGF::OT::IGF - AWARD Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 3. Performance period spans over 1800 days, indicating a long-term need for these services. 4. The North American Industry Classification System (NAICS) code 541330 points to a focus on engineering services. 5. The award was a delivery order under a larger contract vehicle. 6. The contractor, LB & B Associates Inc., has secured this significant award.

Value Assessment

Rating: fair

Benchmarking the value of this specific delivery order is challenging without knowing the total contract ceiling or the scope of services provided. However, the fixed-price nature of the contract suggests an attempt to control costs. Further analysis would require comparing the per-unit costs or labor rates against similar engineering services contracts awarded by the Department of the Navy or other DoD components.

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 5 offers suggests a reasonably competitive environment, which typically benefits price discovery and can lead to more favorable pricing for the government.

Taxpayer Impact: Full and open competition generally leads to better value for taxpayers by fostering a competitive environment that drives down prices and encourages innovation.

Public Impact

The Department of Defense benefits from specialized engineering services to support its operations. Services are delivered to the Navy, likely impacting naval infrastructure or readiness in Hawaii. The geographic impact is concentrated in Hawaii, potentially supporting local military installations. The contract may have implications for the engineering workforce in the Hawaii region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the fixed-price contract does not adequately account for all project complexities.
Risk of contractor performance issues impacting critical Navy operations in Hawaii.
Dependency on a single contractor for a significant period could limit flexibility.

Positive Signals

Firm Fixed Price contract structure transfers cost risk to the contractor.
Full and open competition suggests a robust selection process.
Long performance period indicates a sustained need and potential for contractor expertise development.

Sector Analysis

Engineering services, categorized under NAICS code 541330, represent a significant segment of the professional services market supporting government and private sector infrastructure projects. This contract falls within the broader defense sector spending, where engineering expertise is crucial for maintaining and upgrading military facilities and systems. Comparable spending benchmarks would involve analyzing other large-scale engineering service contracts awarded by the Department of Defense or its branches.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless LB & B Associates Inc. voluntarily engages small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Navy's contracting and program management offices. Accountability measures are inherent in the contract terms, particularly the fixed-price structure. Transparency is generally maintained through contract award databases, though specific performance details may be less public. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Engineering Services
Navy Facilities Engineering Command Contracts
Professional Services Contracts
Base Operations Support Contracts

Risk Flags

Long contract duration may increase risk of scope creep or changing requirements.
Fixed-price contract requires careful monitoring to ensure adequate contractor performance.
Geographic concentration in Hawaii could present logistical challenges or unique environmental considerations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $65.4 million to LB & B ASSOCIATES INC. IGF::OT::IGF - AWARD

Who is the contractor on this award?

The obligated recipient is LB & B ASSOCIATES 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 $65.4 million.

What is the period of performance?

Start: 2017-07-18. End: 2022-08-31.

What is the historical spending pattern of LB & B Associates Inc. with the Department of Defense?

Analyzing the historical spending of LB & B Associates Inc. with the Department of Defense requires access to comprehensive contract databases. Typically, such analysis would involve reviewing the total value of contracts awarded to the company over several fiscal years, the types of services rendered, and the specific agencies or branches that awarded these contracts. A pattern of consistent awards might indicate a strong past performance record and a trusted relationship with the DoD. Conversely, a sporadic or declining trend could signal potential issues or shifts in DoD procurement priorities. Without specific historical data for LB & B Associates Inc., it's impossible to definitively describe their spending pattern with the DoD.

How does the awarded amount compare to similar engineering services contracts for naval facilities in Hawaii?

Comparing the $65.5 million award for engineering services to naval facilities in Hawaii requires a benchmark of similar contracts. This involves identifying contracts with comparable scope, duration, and geographic focus awarded by the Department of the Navy or other DoD entities in the region. Factors such as the specific engineering disciplines required (e.g., civil, mechanical, electrical), the complexity of the projects, and prevailing labor rates in Hawaii would influence pricing. If this contract's value falls within the typical range for similar services and duration, it suggests reasonable pricing. Significant deviations, either higher or lower, would warrant further investigation into the contract's specifics and market conditions.

What are the key performance indicators (KPIs) for this contract, and how is performance being measured?

Key performance indicators (KPIs) for an engineering services contract like this typically revolve around technical performance, schedule adherence, cost control (especially relevant in fixed-price contracts), and safety. For naval facilities in Hawaii, KPIs might include the timely completion of design documents, the accuracy of engineering assessments, compliance with environmental regulations, and the successful execution of project milestones. Performance measurement is usually conducted through regular progress reports submitted by the contractor, site inspections, and formal reviews by the government's contracting officer's representative (COR). Failure to meet these KPIs could result in contractual remedies, such as penalties or termination.

What is the risk profile associated with LB & B Associates Inc. as a contractor for this project?

The risk profile of LB & B Associates Inc. for this engineering services contract can be assessed by examining several factors. These include their past performance record on similar government contracts, their financial stability, their technical expertise relevant to the project's requirements, and their safety record. A contractor with a history of successful project completion, strong financial health, and relevant certifications generally presents a lower risk. Conversely, a history of performance issues, financial difficulties, or safety incidents would elevate the risk profile. The firm-fixed-price nature of this contract shifts some financial risk to the contractor, but performance and technical risks remain significant for the government.

What specific engineering services are being provided under this delivery order, and how do they support the Navy's mission?

The specific engineering services provided under this delivery order are not detailed in the provided data, but given the NAICS code 541330 (Engineering Services) and the awarding agency (Department of the Navy), it likely encompasses a range of activities crucial for maintaining and upgrading naval infrastructure. This could include architectural and engineering design, construction management, environmental engineering, structural analysis, systems engineering, and technical consulting. These services directly support the Navy's mission by ensuring that its facilities, bases, and operational platforms are safe, functional, and capable of supporting fleet readiness and deployment. For instance, engineering support might be required for harbor improvements, building renovations, utility system upgrades, or the design of new specialized facilities.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6134015R0052

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9891 BROKENLAND PKWY STE 400, COLUMBIA, MD, 21046

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

Financial Breakdown

Contract Ceiling: $65,647,051

Exercised Options: $65,635,901

Current Obligation: $65,432,967

Actual Outlays: $15,382,320

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6134016D1008

IDV Type: IDC

Timeline