DoD Awards $28M AECOM Contract for Alaska Heavy Engineering, Full Competition Used

Contract Overview

Contract Amount: $28,027,678 ($28.0M)

Contractor: AECOM Technical Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-06-01

End Date: 2029-10-31

Contract Duration: 2,344 days

Daily Burn Rate: $12.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: JBE088 JITTC - AE DESIGN

Place of Performance

Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99501

State: Alaska Government Spending

Plain-Language Summary

Department of Defense obligated $28.0 million to AECOM TECHNICAL SERVICES, INC. for work described as: JBE088 JITTC - AE DESIGN Key points: 1. Contract Value: $28.03 million over 5 years. 2. Competition: Awarded under full and open competition. 3. Risk: Firm Fixed Price contract type mitigates cost overrun risk. 4. Sector: Heavy and Civil Engineering Construction.

Value Assessment

Rating: good

The contract value of $28.03 million for a 5-year duration appears reasonable for heavy and civil engineering construction services. Benchmarking against similar large-scale infrastructure projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple bidders vie for the contract.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down costs through market forces.

Public Impact

Supports critical infrastructure development in Alaska. Ensures engineering expertise for complex construction projects. Potential for job creation in the construction sector. Long-term contract provides stability for awarded firm.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Geographic concentration in Alaska may limit broader competition.
Contract duration could be subject to changing requirements.

Positive Signals

Firm Fixed Price contract type.
Awarded under full and open competition.
Experienced contractor (AECOM).

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, which involves large-scale infrastructure projects. Spending in this sector can fluctuate based on government priorities and economic conditions.

Small Business Impact

The data indicates this contract was not awarded to small businesses (ss: false, sb: false). Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

The contract is managed by the Department of the Army, a component of the Department of Defense. Standard oversight mechanisms for federal contracts are expected to be in place.

Related Government Programs

Other Heavy and Civil Engineering Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Geographic concentration
Long contract duration
Potential for unforeseen environmental challenges in Alaska
Lack of small business direct award

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.0 million to AECOM TECHNICAL SERVICES, INC.. JBE088 JITTC - AE DESIGN

Who is the contractor on this award?

The obligated recipient is AECOM TECHNICAL SERVICES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $28.0 million.

What is the period of performance?

Start: 2023-06-01. End: 2029-10-31.

What specific types of heavy and civil engineering construction are covered by this contract?

The contract is categorized under NAICS code 237990, which covers heavy and civil engineering construction projects not elsewhere classified. This typically includes activities like the construction of tunnels, bridges, dams, highways, streets, and other large-scale infrastructure, often involving significant earthmoving and structural work.

What are the potential risks associated with a firm-fixed-price contract for a 5-year duration in Alaska?

While a firm-fixed-price contract protects the government from cost overruns, risks for the contractor include underestimating costs due to the long duration and remote location in Alaska. Unforeseen logistical challenges, material price escalations, or environmental factors specific to Alaska could impact the contractor's profitability.

How does the use of full and open competition impact the overall effectiveness of this contract?

Full and open competition is generally expected to enhance contract effectiveness by ensuring the government selects the most capable contractor at the best possible price. It fosters innovation and efficiency as multiple firms compete, leading to a higher quality outcome for the taxpayer.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102

Solicitation ID: W911KB23R0027

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 S GRAND AVE FL 9, LOS ANGELES, CA, 90071

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

Financial Breakdown

Contract Ceiling: $28,091,077

Exercised Options: $28,091,077

Current Obligation: $28,027,678

Actual Outlays: $4,561,566

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline