DOD's $150M Student Dormitories Contract Awarded to Hensel Phelps Construction Co. Under Full and Open Competition

Contract Overview

Contract Amount: $150,182,776 ($150.2M)

Contractor: Hensel Phelps Construction CO

Awarding Agency: Department of Defense

Start Date: 2008-02-11

End Date: 2011-09-27

Contract Duration: 1,324 days

Daily Burn Rate: $113.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: STUDENT DORMITORIES 1 & 2

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78234

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $150.2 million to HENSEL PHELPS CONSTRUCTION CO for work described as: STUDENT DORMITORIES 1 & 2 Key points: 1. The contract value of $150.2 million for student dormitories represents a significant investment in military housing infrastructure. 2. Hensel Phelps Construction Co. secured this large contract through full and open competition, indicating a competitive bidding process. 3. The project's duration of 1324 days suggests a complex and lengthy construction undertaking. 4. The firm fixed price contract type aims to control costs for the Department of Defense.

Value Assessment

Rating: good

The contract value of $150.2 million for student dormitories appears reasonable given the scope and duration. Benchmarking against similar large-scale institutional construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting multiple bidders participated. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive bidding process likely resulted in a fair market price, maximizing taxpayer value for the construction of essential student housing.

Public Impact

Provides essential housing for students, potentially improving living conditions and support services. Supports the local economy in Texas through job creation and material sourcing during the construction phase. Enhances the Department of the Army's infrastructure, contributing to its operational readiness and personnel welfare.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if unforeseen issues arise during the long construction period.
  • Dependence on a single contractor for a large, critical infrastructure project.

Positive Signals

  • Awarded through full and open competition, suggesting competitive pricing.
  • Firm fixed price contract helps mitigate cost escalation risks.
  • Significant investment in infrastructure that benefits military personnel.

Sector Analysis

The contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector for the Department of Defense can fluctuate based on infrastructure needs and modernization efforts.

Small Business Impact

The data indicates that small businesses were not directly awarded this prime contract, as it was awarded to Hensel Phelps Construction Co. Further analysis would be needed to determine if small businesses participated as subcontractors.

Oversight & Accountability

The contract was awarded by the Department of the Army, a component of the Department of Defense, which has established oversight mechanisms for large construction projects. Monitoring progress and adherence to the firm fixed price will be key.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Long project duration increases exposure to market fluctuations and potential delays.
  • Concentration of value with a single prime contractor.
  • Potential for scope creep if not managed tightly.
  • Reliance on subcontractor performance for successful completion.

Tags

commercial-and-institutional-building-co, department-of-defense, tx, do, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $150.2 million to HENSEL PHELPS CONSTRUCTION CO. STUDENT DORMITORIES 1 & 2

Who is the contractor on this award?

The obligated recipient is HENSEL PHELPS CONSTRUCTION CO.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $150.2 million.

What is the period of performance?

Start: 2008-02-11. End: 2011-09-27.

What is the projected impact of this dormitory construction on student retention and academic performance?

Improved dormitory facilities can positively influence student morale, comfort, and study environments, potentially leading to better retention rates and academic outcomes. Access to modern amenities and a conducive living space can reduce distractions and foster a greater sense of community, indirectly supporting academic success.

What are the specific environmental sustainability measures included in the construction plan?

The provided data does not detail specific environmental sustainability measures. A thorough review of the contract's statement of work and any associated environmental impact assessments would be necessary to identify any green building practices, energy efficiency standards, or waste reduction strategies incorporated into the project.

How does the cost per square foot of these dormitories compare to similar recent construction projects in the region?

Without the square footage data, a direct cost per square foot comparison is not possible. However, the total contract value of $150.2 million for student dormitories suggests a substantial investment. Benchmarking against other institutional building projects of similar scale and complexity in Texas would be required for a meaningful cost analysis.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: TWO STEP

Solicitation ID: W9126G07R0074

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 420 6TH AVE, GREELEY, CO, 08

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $152,457,776

Exercised Options: $150,182,776

Current Obligation: $150,182,776

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9126G08D0016

IDV Type: IDC

Timeline

Start Date: 2008-02-11

Current End Date: 2011-09-27

Potential End Date: 2011-09-27 00:00:00

Last Modified: 2011-07-25

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