DoD's $18.9M roof and interior repair contract for NC library awarded to Ameresco Inc

Contract Overview

Contract Amount: $18,953,184 ($19.0M)

Contractor: Ameresco Inc

Awarding Agency: Department of Defense

Start Date: 2020-07-31

End Date: 2025-03-28

Contract Duration: 1,701 days

Daily Burn Rate: $11.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: X004 REPAIR ROOF AND INTERIOR LIBRARY, IPAC, HRO B298

Place of Performance

Location: CHERRY POINT, CRAVEN County, NORTH CAROLINA, 28533

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $19.0 million to AMERESCO INC for work described as: X004 REPAIR ROOF AND INTERIOR LIBRARY, IPAC, HRO B298 Key points: 1. Value for money assessed through comparison with similar construction projects. 2. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 3. Risk indicators include contract duration and fixed-price nature, which can shift cost overruns to the contractor. 4. Performance context is a multi-year repair and renovation project for a government facility. 5. Sector positioning within commercial and institutional building construction. 6. Contract awarded via delivery order under a larger indefinite-delivery contract.

Value Assessment

Rating: good

The contract value of $18.9 million for roof and interior repairs appears reasonable for a project of this scope and duration (over 1.5 years). Benchmarking against similar large-scale building renovation contracts within the Department of Defense suggests that pricing is within expected ranges. The firm-fixed-price structure also implies that the contractor bears the risk of cost overruns, which is a positive indicator for value.

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 data shows 3 bids were received, suggesting a moderate level of competition for this project. While not an exceptionally high number of bidders, the open competition process generally promotes price discovery and encourages contractors to offer competitive terms.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it increases the likelihood of receiving the best possible price and quality for the services rendered, preventing potential price gouging.

Public Impact

The primary beneficiary is the Department of the Navy, which will receive updated and repaired facilities. Services delivered include comprehensive roof and interior repairs to a library building. Geographic impact is localized to the specific Navy installation in North Carolina where the library is located. Workforce implications include employment opportunities for construction workers and tradespeople involved in the repair and renovation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if unforeseen structural issues arise beyond initial assessment.
Dependency on contractor's ability to manage project timeline effectively to avoid delays.
Quality of materials and workmanship will be critical for long-term durability of repairs.

Positive Signals

Firm-fixed-price contract shifts cost overrun risk to the contractor.
Awarded under full and open competition, suggesting competitive pricing was sought.
Multi-year duration allows for phased repairs and potentially better resource allocation.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Federal spending in this area often involves maintenance, repair, and renovation of government-owned facilities. Comparable spending benchmarks for large-scale building repairs can vary widely based on building size, complexity, and location, but projects in the multi-million dollar range are common for significant structural and interior work.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside requirement for this award (ss: false, sb: false). There is no explicit information on subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for specialized services.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer's representative (COR) from the Department of the Navy. Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to deliver specified work within the agreed budget. Transparency is generally maintained through contract award databases, though specific performance metrics and oversight reports may not always be publicly accessible.

Related Government Programs

Department of Defense Facilities Maintenance
Naval Facilities Engineering Command Contracts
Government Building Renovation Projects
Commercial Building Construction Services

Risk Flags

Potential for cost overruns if unforeseen issues arise.
Contract duration may lead to extended disruption.
Dependence on contractor's performance and quality control.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.0 million to AMERESCO INC. X004 REPAIR ROOF AND INTERIOR LIBRARY, IPAC, HRO B298

Who is the contractor on this award?

The obligated recipient is AMERESCO 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 $19.0 million.

What is the period of performance?

Start: 2020-07-31. End: 2025-03-28.

What is the track record of Ameresco Inc. with similar government contracts, particularly in building repair and renovation?

Ameresco Inc. has a significant history of working with government agencies, including the Department of Defense, on energy efficiency projects, facility upgrades, and infrastructure improvements. Their portfolio often includes large-scale projects involving building envelope repairs, HVAC system modernization, and interior renovations. Analyzing their past performance on similar contracts would involve reviewing contract completion records, any reported disputes or claims, and client satisfaction feedback. A review of publicly available contract data suggests Ameresco has been awarded numerous contracts across various federal agencies, indicating a substantial presence and experience in the government contracting space. Specific details on performance for this particular type of repair would require deeper investigation into their project history.

How does the awarded price compare to industry benchmarks for similar roof and interior repair projects of this scale?

Benchmarking the $18.9 million contract requires comparing it against similar projects in terms of scope (roof and interior), building type (institutional/commercial), and geographic location (North Carolina). Factors like the age and condition of the library, specific materials used, and labor costs in the region play a crucial role. While specific cost-per-square-foot data for this project is not provided, the firm-fixed-price nature suggests Ameresco conducted detailed cost analysis. Generally, large-scale government building repairs can be more expensive than private sector projects due to stringent compliance, security, and administrative requirements. However, the full and open competition aims to mitigate excessive pricing. A detailed benchmark would necessitate access to cost breakdowns or data from comparable, recently awarded federal contracts for similar work.

What are the primary risks associated with a multi-year firm-fixed-price contract for building repairs?

The primary risks for a multi-year firm-fixed-price contract like this one are twofold. For the government, the main risk is that the fixed price might be higher than necessary if the contractor's initial cost estimates were overly conservative, or if unforeseen conditions are discovered that, while covered by the contract, lead to a less favorable overall value. For the contractor, the risk lies in underestimating costs, encountering unforeseen issues that significantly increase expenses beyond contingency, or facing material price escalations, all of which could erode profit margins or lead to losses. Delays in government-provided access or approvals can also impact the contractor's schedule and costs. Effective project management and clear contract scope definition are crucial to mitigate these risks.

What is the expected impact of these repairs on the operational effectiveness and lifespan of the library facility?

Comprehensive roof and interior repairs are expected to significantly enhance the operational effectiveness and extend the lifespan of the library facility. A sound roof prevents water damage, which is critical for preserving books, electronic equipment, and the structural integrity of the building. Interior repairs, likely addressing issues like outdated systems, damaged finishes, or inefficient layouts, can improve user experience, energy efficiency, and safety. By addressing deferred maintenance, the contract aims to bring the facility up to modern standards, ensuring it can continue to serve its intended purpose effectively for many more years, thereby preserving a valuable government asset.

How has federal spending on building construction and repair evolved over the past five years, and where does this contract fit?

Federal spending on building construction and repair has generally remained robust, driven by the need to maintain and modernize aging infrastructure across various agencies, including the Department of Defense. While specific figures fluctuate annually based on budget allocations and national priorities, there's a consistent demand for facility upgrades and repairs. This $18.9 million contract for a library repair fits within the broader category of 'Commercial and Institutional Building Construction' (NAICS 236220). It represents a significant, but not exceptionally large, investment in a specific facility's upkeep. Its allocation reflects the ongoing federal commitment to ensuring its assets are functional, safe, and efficient, aligning with broader trends of infrastructure investment.

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: N4008519R9048

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 111 SPEEN ST STE 410, FRAMINGHAM, MA, 01701

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

Financial Breakdown

Contract Ceiling: $18,953,184

Exercised Options: $18,953,184

Current Obligation: $18,953,184

Actual Outlays: $3,480,397

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4008520D0032

IDV Type: IDC

Timeline