DoD Awards $28.8M Construction Contract for Building 5500 to Military & Federal Construction Co., Inc

Contract Overview

Contract Amount: $28,787,699 ($28.8M)

Contractor: Military & Federal Construction CO., Inc.

Awarding Agency: Department of Defense

Start Date: 2011-09-29

End Date: 2014-01-09

Contract Duration: 833 days

Daily Burn Rate: $34.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BUILDING 5500 (PN 77417)

Place of Performance

Location: COLUMBIA, RICHLAND County, SOUTH CAROLINA, 29207

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $28.8 million to MILITARY & FEDERAL CONSTRUCTION CO., INC. for work described as: BUILDING 5500 (PN 77417) Key points: 1. Contract awarded to a single company, raising questions about competition. 2. The contract value is significant for commercial and institutional building construction. 3. Fixed-price contract type aims to control costs. 4. Project duration of 833 days indicates a substantial construction undertaking.

Value Assessment

Rating: fair

The contract value of $28.8 million for building construction appears within a reasonable range for large-scale projects. Benchmarking against similar federal construction contracts would provide a more precise assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition scenario. This method may impact price discovery and potentially lead to higher costs compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being utilized for this construction project. The effectiveness of the competition method in securing the best value for taxpayers is a key consideration.

Public Impact

Impacts military readiness and personnel by providing new or improved facilities. Supports the local economy through construction jobs and material procurement. Potential for long-term facility maintenance costs needs consideration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may not yield the best price.
Contract duration is lengthy, increasing risk of cost overruns or delays.

Positive Signals

Firm fixed price contract type helps manage cost certainty.
Awarded to a company with federal contracting experience (implied).

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Federal spending in this sector is substantial, driven by infrastructure needs across various agencies. Benchmarks for similar projects vary widely based on scope and location.

Small Business Impact

The data indicates this contract was not awarded to a small business (sb: false). There is no information on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

Oversight would typically involve contract management by the Department of the Army to ensure adherence to specifications, timelines, and budget. Accountability rests with the contracting officer and the contractor to deliver the project successfully.

Related Government Programs

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

Risk Flags

Limited competition may result in suboptimal pricing.
Extended project duration increases exposure to market fluctuations and unforeseen issues.
Lack of small business participation noted.
Specific reasons for source exclusion are not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.8 million to MILITARY & FEDERAL CONSTRUCTION CO., INC.. BUILDING 5500 (PN 77417)

Who is the contractor on this award?

The obligated recipient is MILITARY & FEDERAL CONSTRUCTION CO., 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 $28.8 million.

What is the period of performance?

Start: 2011-09-29. End: 2014-01-09.

What specific factors led to the exclusion of sources in the full and open competition process, and how did this impact the final price?

The exclusion of sources suggests that only a subset of potential bidders met specific pre-qualification criteria, possibly related to specialized capabilities, past performance, or security clearances. This limitation on competition could reduce the number of bids received, potentially leading to a higher price than if a broader range of contractors had been eligible. Further investigation into the justification for source exclusion is needed to assess the impact on value for money.

What are the key performance indicators (KPIs) for this construction project, and how will they be monitored to ensure successful delivery and taxpayer value?

Key performance indicators likely include adherence to the construction schedule, quality of workmanship meeting specified standards, and completion within the firm fixed price. Monitoring would involve regular site inspections, progress reports from the contractor, and milestone reviews by the Department of the Army's contracting officer's representative. Effective oversight is crucial to identify and mitigate risks that could impact cost, schedule, or quality, thereby safeguarding taxpayer investment.

Given the 833-day duration, what risk mitigation strategies are in place to address potential cost escalations or unforeseen site conditions?

The firm fixed price contract provides a baseline cost certainty, but a long duration necessitates robust risk mitigation. Strategies may include contingency planning within the contract, escalation clauses for specific materials if permitted, and thorough site investigations prior to award to identify potential geological or environmental issues. The Department of the Army's project management team would be responsible for proactive risk identification and management throughout the project lifecycle.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912HP11R0015

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 101 A MIDDLE ST, JACKSONVILLE, NC, 03

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $29,043,710

Exercised Options: $29,043,710

Current Obligation: $28,787,699

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912HP11D0013

IDV Type: IDC

Timeline