DoD awards $57.8M for missile handling complex construction at F.E. Warren AFB, WY

Contract Overview

Contract Amount: $57,776,760 ($57.8M)

Contractor: Federal Contracting Inc

Awarding Agency: Department of Defense

Start Date: 2024-02-26

End Date: 2026-07-06

Contract Duration: 861 days

Daily Burn Rate: $67.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION OF MISSILE HANDLING COMPLEX (MHC), F.E. WARREN AFB, WY

Place of Performance

Location: CHEYENNE, LARAMIE County, WYOMING, 82001

State: Wyoming Government Spending

Plain-Language Summary

Department of Defense obligated $57.8 million to FEDERAL CONTRACTING INC for work described as: CONSTRUCTION OF MISSILE HANDLING COMPLEX (MHC), F.E. WARREN AFB, WY Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is a firm fixed-price definitive contract, providing cost certainty. 3. Construction services are for a missile handling complex, indicating a specialized defense need. 4. The project duration is 861 days, spanning over two years. 5. The awardee, Federal Contracting Inc., has secured this significant defense infrastructure project. 6. The contract is not set aside for small businesses, indicating a larger prime contractor focus.

Value Assessment

Rating: good

The contract value of $57.8 million for a missile handling complex appears reasonable given the specialized nature of defense infrastructure. Benchmarking against similar construction projects for sensitive military equipment handling facilities is difficult without more specific project details. However, the firm fixed-price structure provides cost predictability for the government. The number of bids received (5) suggests a healthy level of interest and potential for competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. Five bids were received, indicating a competitive environment for this specialized construction project. The open competition process is designed to ensure the government receives the best value by allowing a wide range of contractors to participate and present their proposals.

Taxpayer Impact: The full and open competition process is beneficial for taxpayers as it fosters a competitive environment, driving down prices and ensuring that the contract is awarded to the most capable and cost-effective bidder.

Public Impact

The primary beneficiaries are the Department of Defense and the personnel at F.E. Warren Air Force Base, who will receive a critical infrastructure upgrade. The project will deliver a specialized missile handling complex, essential for the safe and secure storage and management of munitions. The geographic impact is concentrated in Wyoming, specifically at F.E. Warren AFB. The construction project is likely to create temporary jobs for skilled trades and construction workers in the region. Enhanced infrastructure at F.E. Warren AFB supports national defense readiness and operational capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise during construction.
Dependence on the timely delivery of specialized materials and equipment for the missile handling complex.
Risk of schedule delays due to weather or labor availability in a remote location.

Positive Signals

Firm fixed-price contract provides cost certainty and limits the government's exposure to price fluctuations.
Awarded under full and open competition, suggesting a robust selection process and potential for competitive pricing.
The contractor, Federal Contracting Inc., has been selected for a critical defense infrastructure project, implying a level of trust and capability.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for specialized defense infrastructure. The market for such projects is characterized by high barriers to entry due to security requirements, specialized knowledge, and bonding capacity. Comparable spending benchmarks are difficult to establish precisely without knowing the exact specifications of a missile handling complex, but large-scale government construction projects often run into tens or hundreds of millions of dollars.

Small Business Impact

This contract was not set aside for small businesses, as indicated by 'sb': false. This suggests that the prime contractor is likely a larger entity capable of handling the scale and complexity of the project. There is no explicit information on subcontracting plans for small businesses, which could be a missed opportunity for local or specialized small construction firms to participate in the project.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army, under the Department of Defense. The firm fixed-price nature of the contract provides a degree of accountability for the contractor regarding cost. Transparency will be maintained through contract reporting mechanisms. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Construction Projects
Defense Infrastructure Modernization
Munitions Storage Facilities
Air Force Base Construction
Federal Building and Infrastructure Projects

Risk Flags

Potential for schedule delays
Risk of unforeseen site conditions
Compliance with stringent security protocols
Management of specialized construction materials

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $57.8 million to FEDERAL CONTRACTING INC. CONSTRUCTION OF MISSILE HANDLING COMPLEX (MHC), F.E. WARREN AFB, WY

Who is the contractor on this award?

The obligated recipient is FEDERAL CONTRACTING 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 $57.8 million.

What is the period of performance?

Start: 2024-02-26. End: 2026-07-06.

What is the track record of Federal Contracting Inc. in completing similar defense construction projects on time and within budget?

Assessing the track record of Federal Contracting Inc. requires a review of their past performance on similar Department of Defense or other federal construction projects. Key metrics to examine would include on-time completion rates, adherence to budget, quality of work, and any history of contract disputes or claims. Without access to a comprehensive performance database or specific project history for Federal Contracting Inc., it is difficult to provide a definitive assessment. However, their selection for this significant missile handling complex project suggests they have met certain pre-qualification criteria and demonstrated capability to the awarding agency.

How does the per-square-foot cost of this missile handling complex compare to similar facilities constructed for other military branches or allied nations?

A precise per-square-foot cost comparison is challenging without detailed specifications of the missile handling complex, such as its size, security features, environmental controls, and specialized equipment integration. Missile handling facilities are highly specialized and often incorporate stringent safety and security measures that can significantly increase construction costs compared to standard commercial or institutional buildings. To conduct a meaningful benchmark, one would need to identify comparable projects with similar functional requirements and security protocols, then normalize for factors like location, inflation, and specific technological requirements. The provided data does not include square footage or detailed specifications necessary for such a comparison.

What are the primary risk indicators associated with the construction of a missile handling complex, and how are they being mitigated in this contract?

Key risk indicators for constructing a missile handling complex include stringent security requirements, specialized environmental controls (e.g., temperature, humidity), potential for hazardous material handling, complex logistical challenges for delivery of sensitive components, and the need for highly skilled labor. Mitigation strategies often involve detailed site surveys, robust security planning and vetting, adherence to strict safety protocols (e.g., OSHA, DoD standards), phased construction schedules, and close coordination with the end-user (Air Force). The firm fixed-price contract structure incentivizes the contractor to manage costs and risks effectively to avoid financial losses. The selection process under full and open competition also aims to identify contractors with proven risk management capabilities.

What is the expected impact of this missile handling complex on the operational readiness and mission capabilities of F.E. Warren AFB?

The construction of a new missile handling complex is expected to significantly enhance the operational readiness and mission capabilities of F.E. Warren Air Force Base. Such facilities are critical for the safe, secure, and efficient storage, maintenance, and deployment of munitions. An upgraded or new complex can improve security protocols, reduce the risk of accidents, streamline logistical processes, and ensure compliance with evolving safety and environmental regulations. This directly supports the base's ability to fulfill its strategic deterrence and power projection missions by ensuring the integrity and availability of its missile assets.

How does the total awarded amount of $57.8 million compare to historical federal spending on similar defense infrastructure construction projects over the past five years?

Comparing the $57.8 million award to historical federal spending on similar defense infrastructure requires access to comprehensive historical contract databases. Projects involving specialized facilities like missile handling complexes can vary widely in cost depending on scale, location, and specific requirements. However, large-scale military construction projects, particularly those involving sensitive munitions or advanced technology, frequently range from tens to hundreds of millions of dollars. This award appears to be within the typical range for a significant, specialized defense infrastructure project. A detailed analysis would involve identifying comparable projects and analyzing their awarded values adjusted for inflation and scope.

What specific security and environmental compliance standards must Federal Contracting Inc. adhere to during the construction of the missile handling complex?

Federal Contracting Inc. must adhere to a stringent set of security and environmental compliance standards during the construction of the missile handling complex. These would typically include Department of Defense (DoD) security regulations for facilities handling munitions, potentially including physical security measures, access controls, and personnel vetting. Environmental compliance would involve adherence to federal regulations such as the National Environmental Policy Act (NEPA), Clean Air Act, and Clean Water Act, as well as any specific state and local environmental requirements. The contract documents would detail these specific standards, which may also include requirements for waste management, hazardous material handling, and site remediation if necessary.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9128F23R0026

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5475 TECH CENTER DR, COLORADO SPRINGS, CO, 80919

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

Financial Breakdown

Contract Ceiling: $57,776,760

Exercised Options: $57,776,760

Current Obligation: $57,776,760

Actual Outlays: $-10,738,531

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline