DoD Awards $40.3M Charleston Runway Project to DWG & Associates, Inc

Contract Overview

Contract Amount: $40,293,460 ($40.3M)

Contractor: DWG & Associates, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-10-12

End Date: 2014-04-15

Contract Duration: 916 days

Daily Burn Rate: $44.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FUNDING CLIN FOR CHARLESTON RUNWAY

Place of Performance

Location: CHARLESTON AFB, CHARLESTON County, SOUTH CAROLINA, 29404

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $40.3 million to DWG & ASSOCIATES, INC. for work described as: FUNDING CLIN FOR CHARLESTON RUNWAY Key points: 1. The contract value of $40.3 million for runway construction is significant within the commercial and institutional building sector. 2. DWG & Associates, Inc. secured this contract through full and open competition. 3. The project duration of 916 days suggests a complex undertaking with potential for cost overruns if not managed effectively. 4. The award was made by the Department of the Air Force, indicating a specific military infrastructure need.

Value Assessment

Rating: fair

The contract value of $40.3 million for runway construction appears reasonable given the project's scope and duration. Benchmarking against similar large-scale infrastructure projects would provide a more precise assessment of its value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which generally promotes competitive pricing and ensures the government receives the best value. The number of bids received (9) indicates a healthy level of interest.

Taxpayer Impact: Full and open competition aims to maximize taxpayer value by fostering a competitive bidding environment, potentially leading to lower overall costs for the government.

Public Impact

This project directly impacts military readiness and operational capabilities by improving critical runway infrastructure. Local economies in South Carolina may benefit from job creation and related economic activity during the construction period. The successful completion of this project is essential for maintaining the operational efficiency of the Air Force base.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long project duration (916 days) increases risk of cost escalation and schedule delays.
Fixed-price contract may not fully account for unforeseen site conditions or material price fluctuations.
Lack of specific small business participation noted.

Positive Signals

Awarded through full and open competition, maximizing potential for competitive pricing.
Significant investment in critical military infrastructure.
Experienced contractor likely involved in similar large-scale projects.

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector, specifically for infrastructure development. Spending benchmarks for similar large-scale military construction projects vary widely based on location, complexity, and specific requirements.

Small Business Impact

The data indicates that small business participation was not a specific set-aside goal for this contract (ss: false, sb: false). Further analysis would be needed to determine if any subcontracting opportunities were directed towards small businesses.

Oversight & Accountability

The contract was awarded by the Department of the Air Force, implying oversight from this agency. The 'AW' (Awarding Agency) field being 'DO' suggests the Department of the Air Force is the primary oversight body. Further details on specific oversight mechanisms would require additional data.

Related Government Programs

Commercial and Institutional Building Construction
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Long project duration increases risk of cost overruns and delays.
Firm Fixed Price contract may not adequately account for long-term material cost fluctuations.
Potential for unforeseen site conditions impacting schedule and budget.
Lack of explicit small business participation goals noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $40.3 million to DWG & ASSOCIATES, INC.. FUNDING CLIN FOR CHARLESTON RUNWAY

Who is the contractor on this award?

The obligated recipient is DWG & ASSOCIATES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $40.3 million.

What is the period of performance?

Start: 2011-10-12. End: 2014-04-15.

What is the estimated cost per square foot or linear foot for this runway construction, and how does it compare to industry averages for similar military airfield projects?

Without specific details on the runway's dimensions (length, width, depth) or the scope of associated work (e.g., lighting, drainage), a precise per-unit cost benchmark is difficult to establish. However, large-scale military runway construction can range significantly, often from several hundred to over a thousand dollars per square foot, depending on materials, soil conditions, and technological requirements. A detailed cost breakdown and comparison with similar projects would be necessary for a definitive assessment.

What are the primary risks associated with the 916-day duration of this project, and what mitigation strategies are in place?

The extended duration of 916 days presents risks such as potential cost escalation due to inflation, material price volatility, and unforeseen environmental or geological conditions. Weather delays in South Carolina could also impact the schedule. Mitigation strategies likely include robust project management, contingency planning for material costs, phased construction schedules, and clear communication protocols between the contractor and the Air Force to address issues promptly.

How effectively does the 'FIRM FIXED PRICE' contract type protect taxpayer interests given the project's long duration and potential for unforeseen challenges?

A Firm Fixed Price (FFP) contract shifts most of the risk to the contractor, which can be beneficial for taxpayers by capping costs. However, for a project spanning 916 days, there's a risk the contractor may have inflated the initial price to cover potential future cost increases. If significant unforeseen issues arise that are not covered by contract clauses, the government might face change orders, potentially increasing the total cost. Effective negotiation and clear scope definition are crucial.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA300206R0001

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2270 LA MONTANA WAY STE 101, COLORADO SPRINGS, CO, 05

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $40,293,460

Exercised Options: $40,293,460

Current Obligation: $40,293,460

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA300208D0018

IDV Type: IDC

Timeline