Fort Belvoir Connector Road Project Awarded to Shirley Contracting for $36.8M, Enhancing Regional Transportation

Contract Overview

Contract Amount: $36,771,286 ($36.8M)

Contractor: Shirley Contracting Company, LLC

Awarding Agency: Department of Transportation

Start Date: 2011-06-23

End Date: 2014-11-24

Contract Duration: 1,250 days

Daily Burn Rate: $29.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIXED PRICE INCENTIVE

Sector: Construction

Official Description: PROPOSALS FROM ALL BUSINESS CONCERNS WILL BE ACCEPTED FOR THE MULLIGAN ROAD (FORT BELVOIR CONNECTOR ROAD) PROJECT VA-A-AD-48(2), LOCATED IN FAIRFAX COUNTY, VIRGINIA. THE PROJECT CONSISTS OF THE FINAL CONSTRUCTION OF THE NEW MULLIGAN ROAD (FORT BELVOIR CONNECTOR ROAD) FROM RICHMOND HIGHWAY TO TELEGRAPH ROAD. THE PROJECT INCLUDES WIDENING AND IMPROVEMENTS FOR PORTIONS OF RICHMOND HIGHWAY (ROUTE 1) AND TELEGRAPH ROAD, CONSTRUCTION OF THE MULLIGAN ROAD NORTHBOUND BRIDGE OVER JOHN J. KINGMAN ROAD, AND THE TELEGRAPH ROAD BRIDGE OVER PINEY RUN.

Place of Performance

Location: LORTON, FAIRFAX County, VIRGINIA, 22079

State: Virginia Government Spending

Plain-Language Summary

Department of Transportation obligated $36.8 million to SHIRLEY CONTRACTING COMPANY, LLC for work described as: PROPOSALS FROM ALL BUSINESS CONCERNS WILL BE ACCEPTED FOR THE MULLIGAN ROAD (FORT BELVOIR CONNECTOR ROAD) PROJECT VA-A-AD-48(2), LOCATED IN FAIRFAX COUNTY, VIRGINIA. THE PROJECT CONSISTS OF THE FINAL CONSTRUCTION OF THE NEW MULLIGAN ROAD (FORT BELVOIR CONNECTOR ROAD) FROM RICHMO… Key points: 1. Project aims to improve traffic flow and connectivity between major roadways. 2. The contract was awarded through full and open competition, suggesting a competitive bidding process. 3. The fixed-price incentive contract type introduces performance-based financial incentives. 4. The project duration of 1250 days indicates a significant, multi-year construction effort. 5. The location in Fairfax County, Virginia, highlights regional infrastructure development. 6. The contract falls under the Highway, Street, and Bridge Construction category.

Value Assessment

Rating: good

The contract value of approximately $36.8 million for the Mulligan Road (Fort Belvoir Connector Road) project appears reasonable given the scope of work, which includes significant road widening, bridge construction, and improvements to existing major routes. Benchmarking against similar large-scale transportation infrastructure projects in the region suggests that the pricing is competitive. The fixed-price incentive structure also allows for potential cost savings if performance targets are met, indicating a focus on value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that proposals were solicited from all responsible sources. The presence of 5 proposals suggests a healthy level of interest and competition for this significant infrastructure project. This competitive environment is expected to drive more favorable pricing and innovative solutions for the government.

Taxpayer Impact: A competitive bidding process for infrastructure projects like this generally leads to better value for taxpayers by ensuring that the contract is awarded to the most capable and cost-effective bidder.

Public Impact

Residents and commuters in Fairfax County, Virginia, will benefit from improved traffic flow and reduced congestion. The project delivers essential transportation infrastructure, including new road segments and bridge structures. The geographic impact is concentrated in the Fort Belvoir area and surrounding regions, enhancing connectivity. The construction phase will likely create numerous jobs in the civil engineering and construction sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if performance incentives are not met.
Construction delays could impact the final cost and benefit realization.
Scope creep could lead to increased costs beyond the initial award.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Fixed-price incentive contract type aligns contractor and government interests for performance.
Shirley Contracting Company, LLC has a track record in large-scale civil projects.
Project addresses critical transportation needs in a growing region.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a significant segment of the broader construction industry. This sector is characterized by large-scale public and private infrastructure projects. Spending in this area is often driven by government initiatives to improve transportation networks and stimulate economic activity. Comparable projects often involve multi-million dollar investments for road and bridge development.

Small Business Impact

The data indicates that this contract was awarded through full and open competition and does not specify any small business set-aside provisions. While Shirley Contracting Company, LLC is the prime contractor, there is potential for subcontracting opportunities for small businesses within the construction trades. Further analysis would be needed to determine the extent of small business participation and subcontracting plans.

Oversight & Accountability

Oversight for this project would typically be managed by the Federal Highway Administration (FHWA) and potentially the Department of the Army (given the Fort Belvoir location). Mechanisms likely include regular progress reports, site inspections, and adherence to contract specifications. Transparency is generally maintained through public contract awards and reporting, though specific oversight details are not provided in the data.

Related Government Programs

Federal Highway Administration Grants
Department of Defense Infrastructure Projects
Interstate Highway System Construction
Local Road and Bridge Improvement Programs

Risk Flags

Potential for cost overruns due to incentive structure.
Risk of construction delays impacting schedule and budget.
Need for robust oversight to ensure quality and adherence to specifications.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $36.8 million to SHIRLEY CONTRACTING COMPANY, LLC. PROPOSALS FROM ALL BUSINESS CONCERNS WILL BE ACCEPTED FOR THE MULLIGAN ROAD (FORT BELVOIR CONNECTOR ROAD) PROJECT VA-A-AD-48(2), LOCATED IN FAIRFAX COUNTY, VIRGINIA. THE PROJECT CONSISTS OF THE FINAL CONSTRUCTION OF THE NEW MULLIGAN ROAD (FORT BELVOIR CONNECTOR ROAD) FROM RICHMOND HIGHWAY TO TELEGRAPH ROAD. THE PROJECT INCLUDES WIDENING AND IMPROVEMENTS FOR PORTIONS OF RICHMOND HIGHWAY (ROUTE 1) AND TELEGRAPH ROAD, CONSTRUCTION OF THE MULLIGAN ROAD NORTHBOUND BRIDGE OVER JOHN J. KINGMAN ROAD,

Who is the contractor on this award?

The obligated recipient is SHIRLEY CONTRACTING COMPANY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Highway Administration).

What is the total obligated amount?

The obligated amount is $36.8 million.

What is the period of performance?

Start: 2011-06-23. End: 2014-11-24.

What is Shirley Contracting Company, LLC's track record with similar federal transportation projects?

Shirley Contracting Company, LLC has a history of performing large-scale civil engineering and construction projects, including significant work on highways, bridges, and infrastructure for both federal and state agencies. While specific details on past federal transportation projects are not provided in this data snippet, their award of this substantial Fort Belvoir connector road project suggests they possess the necessary experience, bonding capacity, and technical expertise to handle complex infrastructure development. A deeper dive into their contract history with agencies like the Department of Transportation and the Army Corps of Engineers would provide a more comprehensive understanding of their performance on comparable projects, including any past issues or commendations.

How does the $36.8 million cost compare to similar highway construction projects in the region?

The $36.8 million cost for the Mulligan Road (Fort Belvoir Connector Road) project appears to be within the typical range for significant highway and bridge construction projects in the Fairfax County, Virginia, region. Factors influencing cost include the complexity of the engineering, the extent of land acquisition or easements required, the specific materials used, and the prevailing labor and material costs at the time of bidding. Given that the project involves widening existing major routes (Route 1 and Telegraph Road) and constructing new bridge structures, the investment is substantial but commensurate with the scope. Benchmarking against other recent DOT or VDOT projects of similar scale in Northern Virginia would provide a more precise comparison, but the initial figure does not immediately suggest overpricing.

What are the primary risks associated with this fixed-price incentive contract?

The primary risks associated with this fixed-price incentive (FPI) contract revolve around the potential for cost overruns and the contractor's ability to meet performance targets. In an FPI contract, the final price is adjusted based on the contractor's performance relative to target cost and target profit. If the contractor exceeds the target cost, the government's share of the cost overrun increases, potentially leading to a higher final price than initially anticipated, though typically capped. Conversely, if performance targets are met or exceeded, savings can be realized. Risks also include potential disputes over performance metrics, delays impacting cost escalation, and the contractor potentially cutting corners on quality to meet cost targets, although quality assurance measures should mitigate this.

How effective is the 'full and open competition' approach for ensuring value in large infrastructure projects?

The 'full and open competition' approach is generally considered the most effective method for ensuring value in large infrastructure projects. By soliciting bids from all responsible sources, the government maximizes the pool of potential contractors, thereby increasing the likelihood of receiving competitive pricing and innovative solutions. This broad competition drives down costs as contractors vie for the award. Furthermore, it provides a transparent and equitable process, reducing the risk of favoritism and ensuring that the contract is awarded based on merit and cost-effectiveness. The presence of 5 proposals for this project indicates that the approach was successful in attracting multiple bidders, which is a positive sign for price discovery and taxpayer value.

What are the historical spending patterns for highway and bridge construction by the Department of Transportation?

Historical spending patterns for highway and bridge construction by the Department of Transportation (DOT), primarily through the Federal Highway Administration (FHWA), show a consistent and substantial investment in national transportation infrastructure. Federal funding is allocated through various programs, including the Highway Trust Fund, to support state and local projects aimed at improving safety, efficiency, and capacity. Spending fluctuates based on congressional appropriations, economic conditions, and national infrastructure priorities. Major federal initiatives, such as the Fixing America's Surface Transportation (FAST) Act or the Bipartisan Infrastructure Law, significantly influence overall spending levels. These patterns indicate a long-term commitment to maintaining and upgrading the nation's roadways and bridges, with billions allocated annually across numerous projects nationwide.

Industry Classification

NAICS: Construction › Highway, Street, and Bridge Construction › Highway, Street, and Bridge Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DTFH7111R00009

Offers Received: 5

Pricing Type: FIXED PRICE INCENTIVE (L)

Evaluated Preference: NONE

Contractor Details

Parent Company: Clark Construction LLC (UEI: 080206726)

Address: 8435 BACKLICK RD, LORTON, VA, 22079

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $36,771,286

Exercised Options: $36,771,286

Current Obligation: $36,771,286

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline