DoD Awards $37.9M for Fort Sam Houston Dormitory Construction to Hensel Phelps
Contract Overview
Contract Amount: $37,921,845 ($37.9M)
Contractor: Hensel Phelps Construction CO
Awarding Agency: Department of Defense
Start Date: 2012-03-30
End Date: 2014-04-07
Contract Duration: 738 days
Daily Burn Rate: $51.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: FORT SAM HOUSTON CONSTRUCT PHASE II AIT DORMITORY
Place of Performance
Location: SAN ANTONIO, BEXAR County, TEXAS, 78234
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $37.9 million to HENSEL PHELPS CONSTRUCTION CO for work described as: FORT SAM HOUSTON CONSTRUCT PHASE II AIT DORMITORY Key points: 1. Contract awarded to a large, established construction firm. 2. Project falls within the Commercial and Institutional Building Construction sector. 3. Potential for cost overruns or schedule delays exists in large construction projects. 4. Spending aligns with typical infrastructure development for military bases.
Value Assessment
Rating: good
The award amount of $37.9 million for a dormitory construction project appears reasonable given the scale and complexity. Benchmarking against similar military construction projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Full and open competition was utilized, suggesting a robust price discovery process. This method generally leads to more competitive pricing for the government.
Taxpayer Impact: The use of full and open competition is expected to yield fair pricing, maximizing taxpayer value for this infrastructure investment.
Public Impact
Improved living conditions for service members at Fort Sam Houston. Supports military readiness and personnel retention. Economic stimulus through construction jobs and material procurement in Texas.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for construction delays impacting operational readiness.
- Risk of scope creep leading to budget increases.
- Weather or site-specific issues could affect timeline.
- Contractor performance variability.
Positive Signals
- Clear contract type (Firm Fixed Price) limits cost escalation.
- Experienced contractor selected through competitive bidding.
- Project addresses a clear need for improved infrastructure.
Sector Analysis
This contract falls under the Commercial and Institutional Building Construction sector, a significant area of federal spending for infrastructure development. Spending benchmarks for similar military construction projects vary widely based on location and scope.
Small Business Impact
While the primary award went to a large firm, opportunities for small businesses may exist through subcontracting. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The Department of the Army's oversight is crucial for ensuring timely completion and quality construction. Regular progress reports and site inspections are standard oversight mechanisms.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Construction project complexity
- Potential for schedule delays
- Weather-related impacts
- Contractor performance risk
- Scope creep potential
Tags
commercial-and-institutional-building-co, department-of-defense, tx, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $37.9 million to HENSEL PHELPS CONSTRUCTION CO. FORT SAM HOUSTON CONSTRUCT PHASE II AIT DORMITORY
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 $37.9 million.
What is the period of performance?
Start: 2012-03-30. End: 2014-04-07.
What is the projected impact of this dormitory construction on soldier morale and retention?
Improved, modern dormitory facilities are expected to significantly boost soldier morale by providing comfortable and safe living quarters. This enhancement can contribute positively to retention rates, as quality of life is a key factor for service members when considering reenlistment.
What are the primary risks associated with the construction timeline and potential delays?
Key risks include unforeseen site conditions, adverse weather impacting work schedules, and potential supply chain disruptions for materials. Delays could impact the availability of housing for incoming personnel, potentially affecting unit readiness and training schedules.
How does the firm-fixed-price contract structure mitigate cost risks for taxpayers?
A firm-fixed-price contract establishes a set price for the defined scope of work, transferring most of the cost risk to the contractor. This structure protects taxpayers from unexpected cost increases unless there are significant, approved contract modifications or scope changes.
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: 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: $37,921,845
Exercised Options: $37,921,845
Current Obligation: $37,921,845
Contract Characteristics
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: W9126G08D0016
IDV Type: IDC
Timeline
Start Date: 2012-03-30
Current End Date: 2014-04-07
Potential End Date: 2014-04-07 00:00:00
Last Modified: 2014-04-16
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