GSA Awards $94.7M Contract for DHS Backfill Project in NYC

Contract Overview

Contract Amount: $94,717,973 ($94.7M)

Contractor: Consigli Construction CO., Inc.

Awarding Agency: General Services Administration

Start Date: 2022-11-09

End Date: 2026-03-31

Contract Duration: 1,238 days

Daily Burn Rate: $76.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS AWARD IS FOR THE DHS BACKFILL PROJECT LOCATED AT FEDERAL OFFICE BUILDING 201 VARICK STREET, NEW YORK, NY 10014

Place of Performance

Location: NEW YORK, NEW YORK County, NEW YORK, 10014

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $94.7 million to CONSIGLI CONSTRUCTION CO., INC. for work described as: THIS AWARD IS FOR THE DHS BACKFILL PROJECT LOCATED AT FEDERAL OFFICE BUILDING 201 VARICK STREET, NEW YORK, NY 10014 Key points: 1. Significant investment in federal building infrastructure. 2. Competition was full and open, suggesting potential for competitive pricing. 3. Risk of cost overruns or schedule delays exists in large construction projects. 4. Construction sector is subject to material costs and labor availability.

Value Assessment

Rating: good

The contract value of $94.7 million for a multi-year construction project appears reasonable given the scope. Benchmarking against similar federal building construction projects of this scale would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally promotes competitive pricing and allows for a wide range of qualified contractors to bid. This method is expected to yield fair market value.

Taxpayer Impact: Taxpayer funds are being used for essential federal facility upgrades, ensuring operational capacity and security for government functions.

Public Impact

Ensures continued operational capacity for DHS at a key federal facility. Supports local economy through construction jobs and related services in New York City. Modernizes federal infrastructure, potentially improving energy efficiency and security.

Waste & Efficiency Indicators

Waste Risk Score: 70 / 10

Warning Flags

Potential for construction delays impacting DHS operations.
Fluctuations in material costs could affect final project cost.
Ensuring compliance with all building codes and security requirements.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract type limits cost escalation risk.
Project supports critical government functions.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Federal spending in this area is driven by infrastructure needs, modernization efforts, and agency operational requirements. Benchmarks vary widely based on project complexity and location.

Small Business Impact

While the primary awardee is a large business, the project may offer subcontracting opportunities for small businesses in various trades and services, contributing to local economic participation.

Oversight & Accountability

The General Services Administration (GSA) is responsible for managing federal building construction and maintenance. Oversight will likely involve regular site inspections, progress reports, and adherence to contract terms to ensure accountability.

Related Government Programs

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

Risk Flags

Potential for construction cost overruns despite fixed price.
Risk of project delays impacting DHS operations.
Dependence on specialized labor and material availability.
Ensuring long-term durability and maintenance of the facility.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $94.7 million to CONSIGLI CONSTRUCTION CO., INC.. THIS AWARD IS FOR THE DHS BACKFILL PROJECT LOCATED AT FEDERAL OFFICE BUILDING 201 VARICK STREET, NEW YORK, NY 10014

Who is the contractor on this award?

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

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $94.7 million.

What is the period of performance?

Start: 2022-11-09. End: 2026-03-31.

What is the projected impact of this project on the operational efficiency of the DHS office at Federal Office Building 201 Varick Street?

The DHS Backfill Project aims to ensure continued operational capacity and potentially enhance the efficiency of DHS operations at the Federal Office Building. By providing necessary upgrades and potentially consolidating functions, the project is expected to support the agency's mission-critical activities and improve the working environment for personnel.

What are the primary risks associated with the firm fixed price contract type for this large-scale construction project?

While a firm fixed price contract aims to control costs, risks include potential contractor claims for unforeseen conditions or scope changes, which could lead to disputes and delays. The contractor bears more risk for cost overruns, potentially impacting quality if not managed carefully. GSA's oversight is crucial to mitigate these risks.

How does this award align with GSA's broader goals for sustainable federal building construction?

The award's alignment with sustainability goals depends on specific contract clauses related to materials, energy efficiency, and waste management. GSA generally prioritizes sustainable practices, so this project likely incorporates requirements for LEED certification or similar environmental standards, contributing to reduced energy consumption and environmental impact.

Industry Classification

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

Product/Service Code: CONSTRUCTION AND BUILDING MATERIAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 47PC0321R0012

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 72 SUMNER ST, MILFORD, MA, 01757

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: $100,939,602

Exercised Options: $94,717,973

Current Obligation: $94,717,973

Actual Outlays: $89,055,406

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline