Interior's $12.5M Jefferson Memorial Rehabilitation Awarded to Grunley Construction Under Full and Open Competition

Contract Overview

Contract Amount: $12,509,430 ($12.5M)

Contractor: Grunley Construction CO., Inc.

Awarding Agency: Department of the Interior

Start Date: 2021-09-14

End Date: 2024-09-18

Contract Duration: 1,100 days

Daily Burn Rate: $11.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NAMA 303091 REHABILITATE LOWER LEVEL OF THE JEFFERSON MEMORIAL, NAMA 252582 MODERNIZE ELEVATOR, AND NAMA 252580 PROVIDE ACCESSIBLE WALKWAYS

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20242

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Interior obligated $12.5 million to GRUNLEY CONSTRUCTION CO., INC. for work described as: NAMA 303091 REHABILITATE LOWER LEVEL OF THE JEFFERSON MEMORIAL, NAMA 252582 MODERNIZE ELEVATOR, AND NAMA 252580 PROVIDE ACCESSIBLE WALKWAYS Key points: 1. The contract focuses on essential infrastructure upgrades for the Jefferson Memorial, including elevator modernization and accessible walkways. 2. Awarded to Grunley Construction Co., Inc., a large business, indicating significant capacity for complex projects. 3. The project's fixed-price nature aims to control costs, but potential risks include unforeseen site conditions during rehabilitation. 4. The construction sector is experiencing high demand, potentially impacting material costs and labor availability for this project.

Value Assessment

Rating: good

The contract value of $12,509,430 appears reasonable for a comprehensive rehabilitation project of this scale, involving structural, mechanical, and accessibility upgrades. Benchmarking against similar large-scale historical building renovations would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust process for soliciting bids and ensuring competitive pricing. This method generally leads to better price discovery and value for the government.

Taxpayer Impact: Full and open competition is expected to yield a fair price, maximizing taxpayer value by leveraging market forces to secure the best possible terms for the memorial's rehabilitation.

Public Impact

Enhances accessibility at a major national monument, improving visitor experience for all. Preserves and modernizes critical infrastructure of a historically significant landmark. Supports local economy through construction jobs and related services in Washington D.C.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to unforeseen site conditions in historic structures.
Reliance on a single large contractor may limit future competitive opportunities for smaller firms.
Project duration of 1100 days presents extended exposure to market fluctuations.

Positive Signals

Awarded via full and open competition, ensuring a competitive bidding process.
Firm fixed-price contract provides cost certainty for the government.
Project addresses critical accessibility and structural needs at a high-profile landmark.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector is often driven by infrastructure needs, historical preservation, and public facility upgrades. Benchmarks for similar projects vary widely based on scope and location.

Small Business Impact

The contract was awarded to a large business (Grunley Construction Co., Inc.) and the data indicates no specific set-aside for small businesses. This suggests that small businesses were not the primary focus for this particular contract vehicle.

Oversight & Accountability

The National Park Service, as part of the Department of the Interior, is responsible for overseeing this contract. Standard oversight mechanisms for construction projects, including site inspections and progress reporting, should be in place to ensure quality and adherence to contract terms.

Related Government Programs

Commercial and Institutional Building Construction
Department of the Interior Contracting
National Park Service Programs

Risk Flags

Potential for unforeseen conditions in historic structure.
Long project duration increases exposure to market volatility.
No small business participation noted.
Reliance on a single large contractor.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $12.5 million to GRUNLEY CONSTRUCTION CO., INC.. NAMA 303091 REHABILITATE LOWER LEVEL OF THE JEFFERSON MEMORIAL, NAMA 252582 MODERNIZE ELEVATOR, AND NAMA 252580 PROVIDE ACCESSIBLE WALKWAYS

Who is the contractor on this award?

The obligated recipient is GRUNLEY CONSTRUCTION CO., INC..

Which agency awarded this contract?

Awarding agency: Department of the Interior (National Park Service).

What is the total obligated amount?

The obligated amount is $12.5 million.

What is the period of performance?

Start: 2021-09-14. End: 2024-09-18.

What is the estimated cost per square foot for the rehabilitation work compared to similar projects in the DC area?

Without detailed square footage information for the specific areas being rehabilitated (elevator, walkways, lower level), a precise cost per square foot benchmark is difficult to establish. However, given the $12.5M contract value and the scope involving structural, mechanical, and accessibility upgrades at a historic site, the cost per square foot is likely to be higher than standard commercial construction due to specialized labor, materials, and preservation requirements.

What are the primary risks associated with rehabilitating historic structures like the Jefferson Memorial, and how are they being mitigated?

Key risks include encountering unforeseen structural issues, hazardous materials, or historical preservation challenges during demolition and construction. Mitigation strategies typically involve thorough pre-construction surveys, contingency planning in the contract, and close collaboration between the contractor and historical preservation experts to ensure minimal impact on the monument's integrity.

How effectively does the firm fixed-price contract structure manage potential cost escalations given the project's long duration?

A firm fixed-price contract is designed to provide cost certainty by locking in the price regardless of contractor cost fluctuations. For a long-duration project, this structure is effective in protecting the government from inflation and unforeseen cost increases, provided the initial price adequately accounts for potential risks and market conditions at the time of award.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 140P2021R0056

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 15020 SHADY GROVE RD STE 500, ROCKVILLE, MD, 20850

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,509,430

Exercised Options: $12,509,430

Current Obligation: $12,509,430

Actual Outlays: $12,509,430

Subaward Activity

Number of Subawards: 23

Total Subaward Amount: $5,355,313

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline