Courthouse Entrance Hardening Project in NYC Awarded for $4.3M, Raising Questions on Competition and Value

Contract Overview

Contract Amount: $4,299,243 ($4.3M)

Contractor: Benchmark Construction Services Inc

Awarding Agency: General Services Administration

Start Date: 2024-02-12

End Date: 2027-03-06

Contract Duration: 1,118 days

Daily Burn Rate: $3.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: HARDENING OF ENTRANCES AT THE THURGOOD MARSHALL AND THE DANIEL PATRICK MOYNIHAN US COURTHOUSES IN NEW YORK, NY

Place of Performance

Location: NEW YORK, NEW YORK County, NEW YORK, 10007

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $4.3 million to BENCHMARK CONSTRUCTION SERVICES INC for work described as: HARDENING OF ENTRANCES AT THE THURGOOD MARSHALL AND THE DANIEL PATRICK MOYNIHAN US COURTHOUSES IN NEW YORK, NY Key points: 1. The project focuses on physical security upgrades for federal courthouses in New York City. 2. Competition was limited, raising concerns about potential price inflation and lack of market testing. 3. The contract value of $4.3M for construction services requires scrutiny for cost-effectiveness. 4. The sector is Commercial and Institutional Building Construction, a common area for federal spending.

Value Assessment

Rating: questionable

The contract value of $4.3M for hardening entrances needs comparison against similar federal or commercial projects. Without detailed cost breakdowns or benchmarks, it's difficult to assess if this price reflects fair market value for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a restricted bidding process. This method can limit the pool of potential bidders and may not result in the most competitive pricing or innovative solutions.

Taxpayer Impact: The limited competition raises concerns about whether taxpayers received the best possible price for these essential security upgrades.

Public Impact

Enhanced security at federal courthouses is crucial for public safety and judicial operations. The project's location in New York City, a major hub, highlights the importance of secure federal facilities. Transparency in the procurement process for such security-related contracts is vital for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method
Lack of clear justification for source exclusion
Potential for inflated costs due to restricted bidding

Positive Signals

Addresses critical security needs for federal courthouses
Project located in a high-security-need area

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Federal spending in this area often involves significant infrastructure and security upgrades for public facilities, with costs varying widely based on project scope and location.

Small Business Impact

The data indicates that the contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if small business participation was sought or if opportunities were missed.

Oversight & Accountability

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause warrants further oversight to ensure the exclusion of sources was justified and did not unduly restrict competition, potentially impacting cost-effectiveness.

Related Government Programs

Commercial and Institutional Building Construction
General Services Administration Contracting
Public Buildings Service Programs

Risk Flags

Limited competition
Potential for non-competitive pricing
Lack of detailed cost breakdown
No small business participation noted

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $4.3 million to BENCHMARK CONSTRUCTION SERVICES INC. HARDENING OF ENTRANCES AT THE THURGOOD MARSHALL AND THE DANIEL PATRICK MOYNIHAN US COURTHOUSES IN NEW YORK, NY

Who is the contractor on this award?

The obligated recipient is BENCHMARK CONSTRUCTION SERVICES INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $4.3 million.

What is the period of performance?

Start: 2024-02-12. End: 2027-03-06.

What specific security threats or requirements necessitated the exclusion of certain sources in this procurement, and how was the pricing validated against market rates?

The justification for excluding sources needs to be thoroughly reviewed to understand if it was based on specialized capabilities, security clearances, or other factors. Without this information, it's challenging to assess if the pricing reflects fair market value. Benchmarking against similar courthouse hardening projects or construction contracts with comparable security requirements would be essential for validation.

What is the estimated cost per square foot or per linear foot of entrance hardened, and how does this compare to industry benchmarks for similar security upgrades?

Calculating a per-unit cost, such as per linear foot of entrance or per square foot of reinforced area, would provide a crucial benchmark. Comparing this figure to industry standards for physical security enhancements in commercial or institutional buildings can reveal potential overpricing or cost efficiencies. The absence of such a benchmark in the provided data makes a definitive value assessment difficult.

What are the long-term maintenance and operational costs associated with these hardened entrances, and were these factored into the overall value assessment?

The initial contract value only reflects the upfront construction costs. A comprehensive value assessment should also consider the lifecycle costs, including maintenance, repair, and potential upgrades of the hardened entrances. Understanding these ongoing expenses is critical for a true taxpayer impact analysis and ensuring the long-term effectiveness and affordability of the security solution.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47PC0223R0047

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 801 CORPORATE CIR, TOMS RIVER, NJ, 08755

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

Financial Breakdown

Contract Ceiling: $4,299,243

Exercised Options: $4,299,243

Current Obligation: $4,299,243

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47PC0220D0005

IDV Type: IDC

Timeline