Hensel Phelps Construction Co. awarded $27M for barracks construction at Fort Carson, Colorado

Contract Overview

Contract Amount: $27,031,723 ($27.0M)

Contractor: Hensel Phelps Construction CO

Awarding Agency: Department of Defense

Start Date: 2008-02-29

End Date: 2009-05-15

Contract Duration: 441 days

Daily Burn Rate: $61.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIXED PRICE

Sector: Construction

Official Description: UEPH SOUTH BARRACKS, FT CARSON, CO

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80913

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $27.0 million to HENSEL PHELPS CONSTRUCTION CO for work described as: UEPH SOUTH BARRACKS, FT CARSON, CO Key points: 1. Contract awarded for construction of barracks, indicating a need for improved military housing. 2. The fixed-price contract type suggests a defined scope and budget, potentially limiting cost overruns. 3. The duration of 441 days indicates a substantial construction project. 4. Awarded by the Department of the Army, this contract aligns with defense infrastructure spending priorities. 5. The project is located at Fort Carson, Colorado, a significant military installation.

Value Assessment

Rating: good

The contract value of $27,031,723 for barracks construction appears reasonable given the scope and duration. Benchmarking against similar military construction projects would provide a more precise value-for-money assessment. The fixed-price nature of the contract generally offers good value by transferring risk to the contractor, provided the scope was well-defined.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust bidding process. This typically leads to a wider pool of potential bidders and encourages competitive pricing. The specific number of bidders is not provided, but the competition type implies that multiple firms likely vied for the contract.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it generally drives down costs through market forces, ensuring the government receives competitive pricing for construction services.

Public Impact

Military personnel stationed at Fort Carson will benefit from improved housing facilities. The construction services delivered will enhance the living conditions and readiness of troops. The geographic impact is concentrated at Fort Carson, Colorado. The project will likely create jobs in the construction sector within the local Colorado economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. The Department of Defense is a significant client for construction services, particularly for infrastructure development at military bases. Spending in this sector is often driven by modernization efforts, capacity expansion, and maintenance of existing facilities. Comparable spending benchmarks would involve analyzing other large-scale barracks or facility construction contracts awarded by federal agencies.

Small Business Impact

The data indicates this contract was awarded under full and open competition and does not specify any small business set-aside. Therefore, there is no direct indication of small business subcontracting requirements or specific benefits to small businesses from this award. Further analysis would be needed to determine if subcontracting opportunities were mandated or pursued.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Army's contracting and engineering divisions. Accountability measures are inherent in the fixed-price contract structure, which incentivizes the contractor to complete the work within budget. Transparency is generally maintained through contract award databases, though specific project oversight details may not be publicly available.

Related Government Programs

Risk Flags

Tags

construction, department-of-defense, department-of-the-army, fort-carson, colorado, full-and-open-competition, fixed-price, delivery-order, commercial-and-institutional-building-construction, large-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.0 million to HENSEL PHELPS CONSTRUCTION CO. UEPH SOUTH BARRACKS, FT CARSON, CO

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 $27.0 million.

What is the period of performance?

Start: 2008-02-29. End: 2009-05-15.

What is Hensel Phelps Construction Co.'s track record with the Department of Defense?

Hensel Phelps Construction Co. has a significant history of working with the Department of Defense on various construction projects. While specific details for this particular contract are limited to the award amount and dates, their extensive experience in large-scale federal construction, including military facilities, suggests a capacity to handle complex projects. A deeper dive into their past performance ratings, any past disputes or claims, and the types of projects they have completed for the DoD would provide a more comprehensive understanding of their reliability and expertise in this domain. Their longevity in the industry and repeated awards from government entities often indicate a satisfactory performance history.

How does the $27 million cost compare to similar barracks construction projects?

Benchmarking the $27 million cost requires comparing it to similar barracks construction projects in terms of size, scope, location, and time of award. Factors such as the number of personnel housed, the complexity of the design, and prevailing construction costs in Colorado during 2008-2009 would influence the price. Without specific data on the square footage, number of rooms, or amenities included in these barracks, a precise comparison is difficult. However, large-scale military barracks projects can range from tens to hundreds of millions of dollars, making $27 million a moderate figure for a significant construction effort at a major installation like Fort Carson.

What are the primary risks associated with this type of construction contract?

The primary risks associated with this fixed-price construction contract include potential cost overruns if the initial scope is underestimated or if unforeseen site conditions arise, although the fixed-price nature aims to mitigate this. Schedule delays are another significant risk, which could impact military readiness and incur penalties. Contractor performance risk, including quality of work and adherence to specifications, is also present. Furthermore, changes in military requirements or funding could potentially affect the project. Effective project management, clear communication, and robust oversight are crucial to mitigating these risks.

How effective is full and open competition in ensuring value for taxpayer money in construction contracts?

Full and open competition is generally considered a highly effective mechanism for ensuring value for taxpayer money in construction contracts. By allowing any qualified contractor to bid, it fosters a competitive environment that drives down prices and encourages innovation. This broad participation increases the likelihood that the government will receive the best possible price and quality for the services rendered. While it requires more administrative effort upfront to solicit and evaluate bids, the long-term benefits of cost savings and enhanced market responsiveness typically outweigh these initial costs, leading to better overall value.

What is the historical spending pattern for barracks construction at Fort Carson?

Analyzing historical spending patterns for barracks construction at Fort Carson would require access to historical contract data specific to that installation. This contract, awarded in 2008 for $27 million, represents one data point. To understand broader patterns, one would need to examine previous and subsequent awards for similar facilities at Fort Carson, looking at trends in contract values, types of contractors, and competition levels over time. This analysis could reveal whether spending has increased or decreased, if projects are becoming more or less complex, and how competition has evolved, providing context for the current award.

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

Pricing Type: FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 420 6TH AVE, GREELEY, CO, 80631

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $27,031,723

Exercised Options: $27,031,723

Current Obligation: $27,031,723

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DQ08D0056

IDV Type: IDC

Timeline

Start Date: 2008-02-29

Current End Date: 2009-05-15

Potential End Date: 2009-05-15 00:00:00

Last Modified: 2021-04-29

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