Department of the Navy awards $6.8M contract for HVAC services to AKTARIUS LLC, with a 359-day performance period

Contract Overview

Contract Amount: $6,844,332 ($6.8M)

Contractor: Aktarius LLC

Awarding Agency: Department of Defense

Start Date: 2025-10-10

End Date: 2026-10-04

Contract Duration: 359 days

Daily Burn Rate: $19.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO PROCEED WORK IN ACCORDANCE WITH THE ASSOCIATED ELINS UNDER THIS TASK ORDER PURSUANT OF THE TWO CLAUSES 52.232-18 AND 252.232-7998

Place of Performance

Location: PEARL HARBOR, HONOLULU County, HAWAII, 96860

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $6.8 million to AKTARIUS LLC for work described as: THE PURPOSE OF THIS TASK ORDER IS TO PROCEED WORK IN ACCORDANCE WITH THE ASSOCIATED ELINS UNDER THIS TASK ORDER PURSUANT OF THE TWO CLAUSES 52.232-18 AND 252.232-7998 Key points: 1. The contract value of $6.8 million for a 359-day period suggests a significant investment in essential facility maintenance. 2. The contract was awarded under full and open competition, indicating a competitive bidding process. 3. The fixed-price contract type shifts performance risk to the contractor, AKTARIUS LLC. 4. The service is categorized under Plumbing, Heating, and Air-Conditioning Contractors, a critical component of facility management. 5. The contract's duration of nearly a year points to ongoing operational needs for HVAC services. 6. The award to AKTARIUS LLC represents a specific allocation of resources for maintaining naval facilities.

Value Assessment

Rating: good

The contract value of $6.8 million for a 359-day period, averaging approximately $19,000 per day, appears reasonable for specialized HVAC services. Benchmarking against similar contracts for facility maintenance in the Department of Defense, particularly for naval installations in Hawaii, would provide a more precise value-for-money assessment. However, the fixed-price nature of the contract suggests that the contractor has committed to delivering the specified services within this budget, which is a positive indicator for cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' which implies that while the competition was broad, certain specific sources might have been excluded based on predefined criteria. The number of bidders is not specified, but the 'full and open' designation generally suggests a robust competitive environment. This approach aims to ensure that the government receives the best possible pricing and quality by allowing a wide range of qualified contractors to participate.

Taxpayer Impact: A competitive bidding process like this one is beneficial for taxpayers as it drives down costs through market forces, ensuring that public funds are used efficiently and effectively.

Public Impact

Naval personnel and facilities in Hawaii will benefit from reliable heating, ventilation, and air conditioning systems. The contract ensures the continued operation and maintenance of critical infrastructure, supporting the Navy's mission readiness. The services delivered will directly impact the comfort and safety of personnel working within the affected facilities. The geographic impact is localized to naval installations in Hawaii, requiring specialized local or regional expertise.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The specific criteria for 'exclusion of sources' in a 'full and open' competition are not detailed, which could obscure potential limitations in the bidding pool.
The absence of specific performance metrics or key performance indicators (KPIs) in the provided data makes it difficult to assess the contractor's expected performance quality beyond contractual obligations.

Positive Signals

The contract is awarded under 'full and open competition,' indicating a broad and competitive bidding process.
The 'firm fixed price' contract type aligns incentives for the contractor to manage costs effectively and deliver within budget.
The contract duration of 359 days suggests a stable, long-term need for these essential services.

Sector Analysis

The HVAC services sector is a vital component of the broader construction and facilities maintenance industry. This contract falls under the North American Industry Classification System (NAICS) code 238220, which covers plumbing, heating, and air-conditioning contractors. The federal government is a significant consumer of these services, particularly for maintaining its vast portfolio of buildings and infrastructure across various agencies. Spending in this sector is influenced by factors such as infrastructure age, energy efficiency mandates, and operational tempo of government operations. Comparable spending benchmarks would typically involve analyzing the average cost per square foot for HVAC maintenance across similar government facilities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, AKTARIUS LLC, is likely not a small business for the purpose of this award. There is no information provided regarding subcontracting plans or requirements for small business participation. This means that opportunities for small businesses to engage in subcontracting on this specific contract are not explicitly mandated by the award details.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Navy's contracting officers and program managers. Accountability measures are inherent in the firm fixed-price contract type, which obligates the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated through contract award databases, though detailed performance reports are often internal. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

Base Operations Support Services
Facilities Maintenance Contracts
Department of Defense Construction Projects
Naval Facility Engineering Command Contracts

Risk Flags

Potential for cost overruns if contractor underestimates complexity.
Risk of reduced service quality if contractor prioritizes profit over maintenance standards.
Dependence on contractor's specialized knowledge and personnel.
Geographic challenges in Hawaii may impact logistics and response times.
Ambiguity in 'exclusion of sources' could limit competitive landscape.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.8 million to AKTARIUS LLC. THE PURPOSE OF THIS TASK ORDER IS TO PROCEED WORK IN ACCORDANCE WITH THE ASSOCIATED ELINS UNDER THIS TASK ORDER PURSUANT OF THE TWO CLAUSES 52.232-18 AND 252.232-7998

Who is the contractor on this award?

The obligated recipient is AKTARIUS 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 $6.8 million.

What is the period of performance?

Start: 2025-10-10. End: 2026-10-04.

What is the track record of AKTARIUS LLC in performing similar HVAC services for the Department of Defense or other federal agencies?

A review of federal contract databases would be necessary to fully assess AKTARIUS LLC's track record. Without specific historical data on past performance, it is difficult to definitively evaluate their experience with similar HVAC services for the Department of Defense. Key indicators to look for would include the number and value of previous contracts, client satisfaction ratings (if available), any past performance issues or disputes, and the complexity of services previously rendered. A strong track record with comparable projects would suggest a lower risk of performance issues and a higher likelihood of successful contract completion.

How does the awarded amount of $6.8 million for 359 days compare to industry benchmarks for HVAC services in Hawaii?

The awarded amount of $6.8 million for 359 days equates to approximately $19,000 per day. To benchmark this effectively, one would need to compare it against average daily or monthly costs for comprehensive HVAC maintenance and repair services for facilities of similar size and complexity in the Hawaii region. Factors such as the specific types of HVAC systems, the scope of preventive maintenance, emergency repair response times, and labor costs in Hawaii would influence this comparison. Without detailed service scope and local market data, it's challenging to definitively state if this represents excellent, fair, or concerning value. However, given the specialized nature of military facility requirements and the higher cost of living and doing business in Hawaii, the rate may be within a reasonable range.

What are the potential risks associated with a firm fixed-price contract for HVAC services, and how are they mitigated?

A primary risk with firm fixed-price (FFP) contracts is that the contractor may cut corners on quality or service to maintain profitability if costs exceed initial estimates. For HVAC services, this could lead to reduced system efficiency, increased breakdowns, or inadequate maintenance, impacting facility operations and personnel comfort. Mitigation strategies employed by the government include rigorous pre-award evaluation of contractor capabilities and past performance, clearly defined scope of work and performance standards in the contract, and robust contract administration and oversight. Regular inspections, performance monitoring, and clear communication channels help ensure the contractor adheres to quality standards and fulfills all contractual obligations.

What is the expected impact of this contract on the operational readiness and efficiency of the specified naval facilities in Hawaii?

This contract is expected to significantly enhance the operational readiness and efficiency of the naval facilities by ensuring the reliable functioning of critical HVAC systems. Properly maintained HVAC systems are essential for maintaining optimal environmental conditions within buildings, which directly impacts the health, safety, and productivity of personnel. Furthermore, efficient HVAC operation contributes to energy conservation and reduces the likelihood of costly emergency repairs or system failures that could disrupt essential operations. The continuity of service provided by this contract aims to minimize downtime and maintain a stable working environment conducive to the Navy's mission.

How has federal spending on HVAC services for the Department of the Navy trended over the past five years, and does this award align with that trend?

Analyzing the historical spending trends for HVAC services within the Department of the Navy over the past five years would require access to detailed budget and expenditure data. Generally, federal spending on facilities maintenance, including HVAC, tends to be relatively stable but can fluctuate based on infrastructure modernization initiatives, budget allocations, and the age of existing facilities. If the Navy's facilities are aging or undergoing upgrades, spending might increase. This $6.8 million award would need to be compared against the Navy's average annual expenditure on similar services to determine if it aligns with or deviates from historical trends. A significant increase or decrease could signal a shift in maintenance strategy or budget priorities.

Industry Classification

NAICS: Construction › Building Equipment Contractors › Plumbing, Heating, and Air-Conditioning Contractors

Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 243 SOUTHWOOD DR, PANAMA CITY, FL, 32405

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Native Hawaiian Organization Owned Firm, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,844,332

Exercised Options: $6,844,332

Current Obligation: $6,844,332

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6247822D2402

IDV Type: IDC

Timeline