DoD's $22.1M Cottonwood Park family housing contract awarded to Alutiiq International Solutions for new construction

Contract Overview

Contract Amount: $22,118,592 ($22.1M)

Contractor: Alutiiq International Solutions, LLC

Awarding Agency: Department of Defense

Start Date: 2007-03-28

End Date: 2009-07-07

Contract Duration: 832 days

Daily Burn Rate: $26.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FAMILY HOUSING - COTTONWOOD PARK

Place of Performance

Location: ELMENDORF AFB, ANCHORAGE County, ALASKA, 99506

State: Alaska Government Spending

Plain-Language Summary

Department of Defense obligated $22.1 million to ALUTIIQ INTERNATIONAL SOLUTIONS, LLC for work described as: FAMILY HOUSING - COTTONWOOD PARK Key points: 1. The contract value of $22.1 million for new single-family housing construction appears reasonable given the scope and duration. 2. Full and open competition after exclusion of sources suggests a deliberate procurement strategy, potentially balancing specialized needs with broad market access. 3. The firm-fixed-price contract type transfers risk to the contractor, aligning incentives for cost control. 4. The project's focus on family housing indicates a commitment to improving quality of life for military personnel and their families. 5. The contract duration of 832 days (approximately 2.3 years) allows for substantial project completion. 6. The award to Alutiiq International Solutions, LLC, a known entity in government contracting, suggests a degree of contractor reliability.

Value Assessment

Rating: good

The contract value of $22.1 million for new single-family housing construction is within a typical range for such projects. Benchmarking against similar DoD family housing construction contracts would provide a more precise value-for-money assessment. The firm-fixed-price structure is generally favorable for the government when the scope is well-defined, as it caps the contractor's potential earnings and incentivizes efficient project management.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, specific sources were excluded, possibly due to pre-qualification requirements, security concerns, or specific technical capabilities. The number of bidders is not specified, but the exclusion of sources suggests a potentially smaller pool than a truly unrestricted full and open competition.

Taxpayer Impact: This procurement method aims to ensure fair pricing by allowing multiple bidders while potentially focusing on contractors with demonstrated expertise or clearances relevant to military housing projects. Taxpayers benefit from competition that drives down costs, even within a limited pool.

Public Impact

Military families stationed at the relevant DoD installation will benefit from new, modern housing accommodations. The project delivers essential infrastructure in the form of new single-family homes, directly impacting the quality of life for service members and their dependents. The geographic impact is localized to the specific military base where the housing is constructed, likely in Alaska given the state code. The construction activities will likely create temporary employment opportunities for skilled trades and laborers in the local area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise, although the FFP contract mitigates this risk for the government.
Dependence on contractor performance for timely completion and quality of construction.
Risk associated with the 'exclusion of sources' if it inadvertently limited competition and potentially increased costs.

Positive Signals

Firm-fixed-price contract type transfers cost risk to the contractor.
Award to a known contractor suggests a level of pre-qualification and experience.
Focus on family housing addresses a critical need for military personnel welfare.

Sector Analysis

This contract falls within the construction sector, specifically new residential building. The Department of Defense is a significant investor in military family housing, often utilizing construction contracts to maintain and upgrade living quarters. Market size for federal construction is substantial, with numerous firms specializing in government projects. This contract fits within the broader category of infrastructure development for military readiness and personnel support.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract (ss: false, sb: false). Therefore, the primary impact on small businesses would be through potential subcontracting opportunities if Alutiiq International Solutions, LLC utilizes them. Without specific subcontracting plans, it's difficult to assess the direct impact on the small business ecosystem, though large prime contracts often create downstream opportunities.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer's representative (COR) from the Department of the Army, ensuring compliance with contract terms, specifications, and delivery schedules. The Department of Defense has established Inspector General (IG) functions that can investigate allegations of fraud, waste, or abuse. Transparency is generally maintained through contract award databases like FPDS, though detailed project progress reports may not always be publicly available.

Related Government Programs

Military Construction (MILCON)
Family Housing Construction
Department of Defense Housing Programs
General Services Administration (GSA) Construction Contracts

Risk Flags

Potential for cost increases if unforeseen site conditions arise.
Risk of construction delays due to weather or logistical challenges.
Contractor performance and quality control are critical success factors.
Limited competition due to source exclusion could impact price discovery.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.1 million to ALUTIIQ INTERNATIONAL SOLUTIONS, LLC. FAMILY HOUSING - COTTONWOOD PARK

Who is the contractor on this award?

The obligated recipient is ALUTIIQ INTERNATIONAL SOLUTIONS, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $22.1 million.

What is the period of performance?

Start: 2007-03-28. End: 2009-07-07.

What is the track record of Alutiiq International Solutions, LLC with the Department of Defense, particularly in housing construction?

Alutiiq International Solutions, LLC has a history of receiving contracts from the Department of Defense across various service categories. While specific details on their housing construction performance require deeper analysis of past contract awards and performance reviews, their continued selection for DoD projects suggests a satisfactory track record. Examining past projects of similar scope and value awarded to Alutiiq would provide further insight into their capabilities, on-time delivery rates, and adherence to quality standards in construction, particularly for family housing.

How does the awarded amount of $22.1 million compare to similar family housing construction projects by the DoD?

The $22.1 million contract value for new single-family housing construction is a significant investment. To benchmark its value, it would be necessary to compare it against other DoD family housing projects of similar scale (number of units, square footage) and complexity, particularly those awarded in the same geographic region or time period. Factors such as prevailing construction costs, material prices, labor rates in Alaska, and specific site requirements can influence project costs. Without direct comparable data, the amount appears substantial but potentially justified for new construction.

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

The primary risks include potential construction delays due to weather (especially in Alaska), unforeseen site conditions, and contractor performance issues. The firm-fixed-price (FFP) contract structure mitigates financial risk for the government by capping the contractor's potential profit and transferring the risk of cost overruns to Alutiiq International Solutions, LLC. Mitigation for schedule and performance risks relies on robust contract oversight by the Army, including regular progress monitoring, adherence to milestones, and quality control inspections. The 'exclusion of sources' in competition could also be a risk if it limited the bidder pool excessively.

What is the expected effectiveness of this contract in addressing the DoD's family housing needs?

The effectiveness of this contract hinges on the successful and timely completion of new single-family housing units. By delivering modern accommodations, it directly addresses the need for adequate and quality housing for military personnel and their families, which is crucial for morale, retention, and overall mission readiness. The effectiveness will be measured by the number of units built, their quality, and their availability to families. The long-term effectiveness also depends on the durability and maintenance requirements of the constructed homes.

How has federal spending on family housing construction evolved, and where does this contract fit in?

Federal spending on family housing construction, particularly by the DoD, fluctuates based on military needs, budget allocations, and infrastructure modernization initiatives. Historically, there have been significant investments in military housing, with periods of both new construction and renovation. This $22.1 million contract represents a specific investment in new construction, likely part of a larger program to upgrade or expand housing stock. Analyzing historical spending trends for similar projects would reveal whether this contract aligns with or deviates from typical investment patterns.

What does the 'Full and Open Competition After Exclusion of Sources' procurement method imply about this contract?

This method implies that the DoD sought bids from a wide range of qualified contractors but specifically excluded certain entities from participating. The reasons for exclusion could range from security clearances, specific technical expertise, past performance issues with certain firms, or geographic limitations. While aiming for broad competition, the exclusion narrows the field, potentially impacting the number of bids received and the final price. It suggests a deliberate choice to balance competition with the need for specific contractor attributes, aiming for a balance between cost and capability.

Industry Classification

NAICS: Construction › Residential Building Construction › New Single-Family Housing Construction (except For-Sale Builders)

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W911KB06R0013

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Afognak Native Corp (UEI: 052089695)

Address: 3909 ARCTIC BLVD. SUITE 400, ANCHORAGE, AK, 00

Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations

Financial Breakdown

Contract Ceiling: $22,141,939

Exercised Options: $22,141,939

Current Obligation: $22,118,592

Contract Characteristics

Cost or Pricing Data: NO

Timeline