DoD's $33.6M URC Operations Building contract awarded to RQ Construction, LLC
Contract Overview
Contract Amount: $33,626,512 ($33.6M)
Contractor: RQ Construction, LLC
Awarding Agency: Department of Defense
Start Date: 2018-08-30
End Date: 2022-11-04
Contract Duration: 1,527 days
Daily Burn Rate: $22.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF X003 DB CONSTRUCTION - P988 - URC OPERATIONS BUILDIN
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92135
Plain-Language Summary
Department of Defense obligated $33.6 million to RQ CONSTRUCTION, LLC for work described as: IGF::OT::IGF X003 DB CONSTRUCTION - P988 - URC OPERATIONS BUILDIN Key points: 1. Contract value of $33.6M for building construction. 2. Awarded to RQ Construction, LLC. 3. Department of Defense (Navy) is the contracting agency. 4. Project located in California, focusing on commercial and institutional building construction.
Value Assessment
Rating: fair
The contract value of $33.6M for a 1527-day duration appears reasonable for a large-scale construction project. Benchmarking against similar commercial and institutional building construction contracts would provide a clearer assessment of its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method typically leads to better price discovery and potentially lower costs for the government.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment for contractors.
Public Impact
Construction of a significant operational building for the Navy. Potential impact on local employment and businesses in California. Ensures facility readiness for military operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Duration of contract (1527 days) is quite long for a single delivery order.
- Lack of specific details on the building's purpose beyond 'URC Operations'.
Positive Signals
- Awarded through full and open competition.
- Clear contracting agency (Department of Defense).
Sector Analysis
This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector for the DoD can fluctuate based on infrastructure needs and modernization efforts. Benchmarks for similar projects are essential for evaluating cost-effectiveness.
Small Business Impact
The data indicates the primary awardee is RQ CONSTRUCTION, LLC. There is no explicit information provided regarding subcontracting opportunities for small businesses on this specific delivery order.
Oversight & Accountability
The contract was awarded by the Department of the Navy, part of the Department of Defense. Oversight would typically involve contract management personnel ensuring adherence to terms, quality, and schedule.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Long contract duration.
- Lack of specific project details.
- Potential for cost escalation over the contract period.
- No explicit mention of small business subcontracting.
Tags
commercial-and-institutional-building-co, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $33.6 million to RQ CONSTRUCTION, LLC. IGF::OT::IGF X003 DB CONSTRUCTION - P988 - URC OPERATIONS BUILDIN
Who is the contractor on this award?
The obligated recipient is RQ CONSTRUCTION, 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 $33.6 million.
What is the period of performance?
Start: 2018-08-30. End: 2022-11-04.
What specific operational capabilities will the URC Operations Building support, and how does its design align with those needs?
The provided data lacks specifics on the URC Operations Building's function beyond its name. Understanding the intended use, such as housing specific equipment, personnel, or command functions, is crucial. A detailed analysis would require reviewing project specifications and architectural plans to assess if the design effectively meets the operational requirements and ensures long-term utility for the Navy.
Are there any identified risks associated with the long contract duration (1527 days) and potential cost overruns?
A duration of 1527 days (over 4 years) for a single delivery order presents inherent risks, including potential material cost escalation, labor market fluctuations, and changes in operational requirements. While a firm fixed price contract offers some cost certainty, significant unforeseen issues could still lead to change orders or disputes, impacting the final cost to taxpayers. Robust project management and contingency planning are vital.
How effectively did the full and open competition process ensure the best value and price for this significant construction project?
The 'full and open competition' designation suggests a robust bidding process, which generally promotes competitive pricing and allows the government to select the best value offer. However, without access to the bids received and the evaluation criteria, it's difficult to definitively assess the effectiveness. A review of the award decision documentation would be necessary to confirm that the chosen contractor offered the most advantageous terms for the government.
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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N6247316R3201
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3194 LIONSHEAD AVE, CARLSBAD, CA, 92010
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $33,626,512
Exercised Options: $33,626,512
Current Obligation: $33,626,512
Actual Outlays: $564,119
Subaward Activity
Number of Subawards: 48
Total Subaward Amount: $19,960,485
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N6247317D0820
IDV Type: IDC
Timeline
Start Date: 2018-08-30
Current End Date: 2022-11-04
Potential End Date: 2022-11-04 00:00:00
Last Modified: 2024-02-26
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