DoD's $55.4M Hensek Phelps Contract for Tulsa Construction: Full and Open Competition

Contract Overview

Contract Amount: $55,429,977 ($55.4M)

Contractor: Hensel Phelps Construction CO.

Awarding Agency: Department of Defense

Start Date: 2008-09-26

End Date: 2011-11-30

Contract Duration: 1,160 days

Daily Burn Rate: $47.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: W912BV-06-D-2019 TEMF TULSA PRODUCT LINE

Place of Performance

Location: EL PASO, EL PASO County, TEXAS, 79906

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $55.4 million to HENSEL PHELPS CONSTRUCTION CO. for work described as: W912BV-06-D-2019 TEMF TULSA PRODUCT LINE Key points: 1. The contract awarded to Hensel Phelps Construction Co. for $55.4 million represents a significant investment in commercial and institutional building construction. 2. Full and open competition was utilized, suggesting a robust process for selecting the contractor. 3. The contract duration of 1160 days indicates a substantial, long-term project. 4. The absence of small business participation is noted, which may warrant further investigation.

Value Assessment

Rating: good

The contract value of $55.4 million for commercial and institutional building construction appears reasonable given the project's scope and duration. Benchmarking against similar large-scale construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition suggests a competitive bidding process, which typically leads to better price discovery and potentially more favorable pricing for the government.

Taxpayer Impact: The competitive nature of the award is beneficial for taxpayers, as it aims to secure the best value through market forces.

Public Impact

Significant federal investment in infrastructure development. Potential for job creation and economic activity in the Tulsa region. Ensures construction meets specific government standards and requirements. Transparency in the procurement process due to full and open competition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of small business participation.

Positive Signals

  • Full and open competition utilized.
  • Firm fixed price contract type.

Sector Analysis

This contract falls within the construction sector, specifically commercial and institutional building. Federal spending in this area is often driven by infrastructure needs, facility upgrades, and new construction projects for various government agencies.

Small Business Impact

The data indicates that small businesses were not involved in this contract, as indicated by 'sb': false. This suggests that the prime contractor did not subcontract to small businesses or that the contract was not set aside for them.

Oversight & Accountability

The award process under full and open competition generally implies a degree of oversight to ensure fairness and adherence to procurement regulations. Further review of the contract file would detail specific oversight mechanisms.

Related Government Programs

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

Risk Flags

  • Lack of small business participation.
  • Potential for cost overruns if scope management is weak, despite fixed price.
  • Contract duration is lengthy, increasing exposure to market fluctuations.
  • Specificity of 'TEMF TULSA PRODUCT LINE' is unclear, impacting full understanding of value.

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 $55.4 million to HENSEL PHELPS CONSTRUCTION CO.. W912BV-06-D-2019 TEMF TULSA PRODUCT LINE

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 $55.4 million.

What is the period of performance?

Start: 2008-09-26. End: 2011-11-30.

What specific facilities or structures were constructed under this contract, and how do they align with the Department of Defense's strategic objectives?

The contract W912BV-06-D-2019, awarded to Hensel Phelps Construction Co., was for the 'TEMF TULSA PRODUCT LINE'. While the exact nature of 'TEMF' is not detailed, it likely refers to a specific type of facility or product line within the Army's operations. Understanding the strategic alignment would require further information on the purpose of the Tulsa facility and its role in the broader DoD mission.

Given the firm fixed price contract, what mechanisms were in place to manage potential cost overruns or scope creep during the 1160-day performance period?

A firm fixed price contract places the cost risk on the contractor. However, robust contract management by the Army Corps of Engineers would involve detailed oversight of performance, quality control, and change order management. Any deviations from the original scope would require formal modification and justification, with potential impacts on the fixed price assessed rigorously.

What was the rationale for not including small business participation, and were there any efforts made to encourage subcontracting opportunities for them?

The absence of small business participation (sb: false) suggests either that the prime contractor did not utilize small business subcontractors or that the nature of the work did not lend itself to small business involvement. Agencies typically have goals for small business utilization; the lack of it here might indicate a missed opportunity or a specific reason related to the project's technical requirements or scale.

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: W912BV06R2008

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Hensel Phelps Construction CO (UEI: 063322085)

Address: 8322 CROSS PARK DR, AUSTIN, TX, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $55,429,977

Exercised Options: $55,429,977

Current Obligation: $55,429,977

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912BV06D2019

IDV Type: IDC

Timeline

Start Date: 2008-09-26

Current End Date: 2011-11-30

Potential End Date: 2011-11-30 00:00:00

Last Modified: 2011-09-19

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