DoD's $15M Fort Sill facility construction contract awarded to MWH Constructors Inc. in 2008

Contract Overview

Contract Amount: $15,000,000 ($15.0M)

Contractor: MWH Constructors Inc

Awarding Agency: Department of Defense

Start Date: 2008-05-09

End Date: 2011-05-02

Contract Duration: 1,088 days

Daily Burn Rate: $13.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION OF COMPANY OPERATION FACILITIES, BRAC ADA 31ST BRIGADE FORT SILL, OK

Place of Performance

Location: DAVIDSON, TILLMAN County, OKLAHOMA, 73530

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $15.0 million to MWH CONSTRUCTORS INC for work described as: CONSTRUCTION OF COMPANY OPERATION FACILITIES, BRAC ADA 31ST BRIGADE FORT SILL, OK Key points: 1. The contract was awarded under full and open competition, suggesting a competitive bidding process. 2. The firm-fixed-price contract type indicates that the contractor assumed the risk for cost overruns. 3. The project duration of 1088 days (approx. 3 years) suggests a significant construction undertaking. 4. The contract was awarded to a single entity, MWH Constructors Inc. 5. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction. 6. The contract was awarded by the Department of the Army, a component of the Department of Defense.

Value Assessment

Rating: fair

Benchmarking the value of this specific construction contract is challenging without detailed cost breakdowns and comparable project data from the same period. However, a $15 million contract for facility construction is a substantial investment. The firm-fixed-price nature shifts cost risk to the contractor, which can be beneficial for the government if managed effectively. Further analysis would require comparing the final cost against initial estimates and similar projects in the region and sector.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through 'full and open competition,' indicating that all responsible sources were permitted to submit bids. The presence of 3 bids suggests a moderate level of competition for this project. While multiple bidders are positive, the exact number (3) doesn't necessarily guarantee the most competitive pricing without knowing the bid amounts and the overall market landscape for such construction services at the time.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to lower prices and better value. The fact that three bids were received suggests that the government received multiple offers, potentially driving down costs compared to a sole-source award.

Public Impact

The primary beneficiaries are the U.S. Army personnel and units stationed at Fort Sill, Oklahoma, who will utilize the new operational facilities. The contract delivers essential infrastructure for military operations, enhancing readiness and capabilities. The geographic impact is localized to Fort Sill, Oklahoma, supporting the base's infrastructure development. The project likely involved a significant number of construction workers, contributing to local employment and the skilled trades sector in Oklahoma.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed cost breakdowns makes it difficult to assess true value for money.
Limited information on the specific performance metrics and quality control during construction.
The duration of the contract (nearly 3 years) could indicate potential for delays or scope changes, though this is typical for large construction projects.

Positive Signals

Awarded under full and open competition, suggesting a fair and accessible bidding process.
Firm-fixed-price contract type transfers cost overrun risk to the contractor.
The project addresses a clear need for operational facilities at a military installation.

Sector Analysis

This contract falls within the construction sector, specifically commercial and institutional building construction. The Department of Defense is a major client for construction services, undertaking numerous projects for base infrastructure, housing, and operational facilities. The market for large-scale military construction is often characterized by a mix of large prime contractors and specialized subcontractors. Benchmarking this $15 million project would involve comparing its cost per square foot or per facility type against similar military or large commercial construction projects awarded around 2008.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While MWH Constructors Inc. may have utilized small businesses as subcontractors, there is no explicit requirement or tracking of small business set-asides evident in this data. The impact on the small business ecosystem would depend on MWH's subcontracting practices, which are not detailed here.

Oversight & Accountability

Oversight for this Department of the Army contract would typically involve contracting officers, project managers, and potentially quality assurance representatives from the Army Corps of Engineers or a similar entity. Accountability measures are inherent in the firm-fixed-price contract, which penalizes the contractor for cost overruns. Transparency is generally provided through contract award databases like FPDS, though detailed project performance and oversight reports are often internal or less publicly accessible.

Related Government Programs

Military Construction Projects
Base Realignment and Closure (BRAC) Facilities
Department of Defense Infrastructure Projects
Army Corps of Engineers Construction Contracts

Risk Flags

Potential for cost overruns (mitigated by FFP contract)
Schedule delays (inherent risk in long construction projects)
Quality control during construction
Scope creep (if not managed tightly)

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.0 million to MWH CONSTRUCTORS INC. CONSTRUCTION OF COMPANY OPERATION FACILITIES, BRAC ADA 31ST BRIGADE FORT SILL, OK

Who is the contractor on this award?

The obligated recipient is MWH CONSTRUCTORS 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 $15.0 million.

What is the period of performance?

Start: 2008-05-09. End: 2011-05-02.

What was the specific scope of work for the 'Company Operation Facilities' at Fort Sill?

The provided data does not detail the specific scope of work for the 'CONSTRUCTION OF COMPANY OPERATION FACILITIES, BRAC ADA 31ST BRIGADE FORT SILL, OK'. However, based on the description and the NAICS code (236220 - Commercial and Institutional Building Construction), it likely involved the design and/or construction of buildings intended for the daily operations of a company-sized military unit. This could include barracks, administrative offices, training facilities, or support structures necessary for the 31st Brigade's presence at Fort Sill as part of the Base Realignment and Closure (BRAC) initiative. The 'BRAC ADA' designation suggests this project was related to the 2005 Base Realignment and Closure Act, which mandated significant changes to military installations.

How did the final cost compare to the initial estimated cost for this project?

The provided data only includes the awarded amount of $15,000,000, which represents the contract value at the time of award. It does not contain information about the initial cost estimates or the final cost upon completion. Without this comparative data, it is impossible to determine if the project came in under, at, or over budget. For a firm-fixed-price contract, the awarded amount is typically the ceiling, and the contractor aims to complete the work within that budget to maximize profit. However, change orders or unforeseen issues could potentially alter the final expenditure, though the government would generally seek to avoid increases.

What is the track record of MWH Constructors Inc. on similar government construction contracts?

MWH Constructors Inc. has a history of performing large-scale construction and engineering projects, including significant work for government agencies. While this specific data point doesn't detail their entire track record, MWH (often associated with MWH Global, now part of Stantec) has been involved in infrastructure, water, energy, and federal projects. Assessing their track record on similar DoD construction contracts would require a broader review of their past performance ratings, past performance questionnaires, and any documented issues or successes on comparable projects. Factors like on-time delivery, budget adherence, and quality of work on previous federal contracts would be key indicators.

Were there any significant performance issues or disputes during the execution of this contract?

The provided data does not contain information regarding performance issues, disputes, or contract modifications for this specific award. Typically, such details would be found in contract performance reports, modification logs, or litigation records, which are not included in this dataset. For a contract of this duration and value, it is not uncommon for minor issues or change orders to arise. However, the absence of readily available information here suggests either a smooth execution or that such details are not publicly accessible through this particular data source.

How does the $15 million cost compare to other facility construction projects at Fort Sill or similar Army bases during that period?

Comparing the $15 million cost requires context regarding the specific type and size of the facilities constructed. Without knowing the square footage, complexity, or exact purpose (e.g., barracks vs. specialized training facility), a direct comparison is difficult. However, $15 million for significant facility construction at a major Army base like Fort Sill in the 2008-2011 timeframe is a substantial but not necessarily outlier amount, especially considering potential BRAC-related construction needs. Similar projects for barracks, administrative buildings, or maintenance facilities on large bases could range from several million to tens of millions of dollars, depending on scope and scale. A more precise benchmark would involve analyzing cost-per-square-foot data for comparable military construction projects from the same era.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912HN07R0099

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: MWH Global, Inc. (UEI: 801927492)

Address: 370 INTERLOCKEN BLVD STE 300, BROOMFIELD, CO, 07

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $29,497,136

Exercised Options: $29,497,136

Current Obligation: $15,000,000

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912HN08D0019

IDV Type: IDC

Timeline