DoD's $28.4M Hanscom AFB building renovation contract awarded to H.V. Collins Company shows fair value and strong competition

Contract Overview

Contract Amount: $28,426,534 ($28.4M)

Contractor: H. V. Collins Company, Inc

Awarding Agency: Department of Defense

Start Date: 2018-06-11

End Date: 2022-06-12

Contract Duration: 1,462 days

Daily Burn Rate: $19.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF RENOVATION OF BUILDING 1102, HANSCOM AFB, MA

Place of Performance

Location: HANSCOM AFB, MIDDLESEX County, MASSACHUSETTS, 01731

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $28.4 million to H. V. COLLINS COMPANY, INC for work described as: IGF::OT::IGF RENOVATION OF BUILDING 1102, HANSCOM AFB, MA Key points: 1. The contract achieved a competitive price, indicating good value for the government. 2. Full and open competition suggests a robust market for construction services at Hanscom AFB. 3. The contract duration of 1462 days (approx. 4 years) aligns with the complexity of building renovations. 4. Performance risk appears manageable given the fixed-price contract type. 5. This contract falls within the broader category of facility sustainment and modernization for military installations. 6. The award to H.V. Collins Company, a single entity, suggests a focused approach to project execution.

Value Assessment

Rating: good

The contract's total value of $28.4 million for the renovation of Building 1102 at Hanscom AFB appears reasonable when benchmarked against similar large-scale institutional building construction projects. While specific per-unit cost data is not provided, the competitive bidding process likely ensured a fair market price. The fixed-price nature of the contract further supports value by shifting cost overrun risks to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that multiple bidders were solicited and considered. The presence of 5 bidders (no=5) suggests a healthy level of competition for this type of construction work. This competitive environment is crucial for driving down prices and ensuring the government receives the best possible value.

Taxpayer Impact: The robust competition for this renovation project means taxpayer dollars were likely used more efficiently, as contractors vied to offer the most attractive price and technical solution.

Public Impact

The primary beneficiaries are the U.S. Air Force personnel and operations at Hanscom Air Force Base, who will gain access to a modernized and functional Building 1102. The contract delivers essential construction and renovation services, ensuring the structural integrity and operational readiness of a key facility. The geographic impact is localized to Hanscom Air Force Base in Bedford, Massachusetts. Workforce implications include employment opportunities for construction labor, project managers, engineers, and support staff employed by the prime contractor and any subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in a multi-year renovation project, which could impact final costs if not managed tightly.
Reliance on a single prime contractor, H.V. Collins Company, means their performance is critical to project success.
The 'after exclusion of sources' clause in the competition type warrants a review to ensure no viable sources were unduly excluded.

Positive Signals

Awarded under full and open competition, indicating a broad market engagement.
Fixed-price contract type helps control costs and provides budget certainty.
The contract duration suggests a comprehensive approach to the renovation, aiming for a complete and lasting solution.

Sector Analysis

This contract falls within the Construction sector, specifically Commercial and Institutional Building Construction. The market for federal building construction is substantial, driven by the need to maintain and modernize aging infrastructure across military bases and government facilities. Comparable spending benchmarks would involve analyzing other large-scale renovation or new construction projects awarded by the Department of Defense or other federal agencies for similar types of buildings.

Small Business Impact

The data indicates that small business participation was not a primary focus for this specific contract, as the 'sb' (small business) flag is false and the 'ss' (small business set-aside) flag is also false. This suggests the contract was not specifically set aside for small businesses. However, H.V. Collins Company may engage small businesses as subcontractors to fulfill specific project requirements, contributing to the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Air Force's contracting and project management offices. The fixed-price nature of the contract provides a degree of accountability by placing cost risk on the contractor. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Military Construction
Facility Sustainment, Restoration, and Modernization (FSRM)
General Services Administration (GSA) Public Buildings Service Contracts
Department of Defense Base Realignment and Closure (BRAC) Projects

Risk Flags

Potential for cost overruns if unforeseen site conditions are encountered.
Risk of schedule delays impacting facility availability.
Need for diligent oversight to ensure quality standards are met.
Contract duration may increase exposure to market fluctuations in material costs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.4 million to H. V. COLLINS COMPANY, INC. IGF::OT::IGF RENOVATION OF BUILDING 1102, HANSCOM AFB, MA

Who is the contractor on this award?

The obligated recipient is H. V. COLLINS COMPANY, INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $28.4 million.

What is the period of performance?

Start: 2018-06-11. End: 2022-06-12.

What is the track record of H. V. Collins Company with the Department of Defense?

H. V. Collins Company has a history of contracts with the Department of Defense, including this significant renovation project at Hanscom AFB. Analyzing their past performance on similar projects, including adherence to schedule, budget, and quality standards, would provide further insight into their reliability. Reviewing contract closeout data and any past performance evaluations would be crucial for a comprehensive assessment. Their experience with large-scale construction and renovation projects is a positive indicator for this contract's successful execution.

How does the $28.4 million cost compare to similar building renovations at other Air Force bases?

Benchmarking the $28.4 million cost against similar renovation projects at other Air Force bases requires access to detailed project scopes and specifications, which are not fully available in the provided data. However, for a major renovation of a significant building (Building 1102), this figure appears within a reasonable range for large federal construction contracts. Factors influencing cost include the building's size, age, complexity of required upgrades (e.g., HVAC, electrical, structural), and local labor/material costs. A detailed comparison would necessitate analyzing contracts with similar square footage, building type, and renovation scope across different geographic locations.

What are the primary risks associated with a 4-year fixed-price renovation contract?

The primary risks associated with a 4-year fixed-price renovation contract include potential cost overruns for the contractor if unforeseen conditions arise (e.g., hazardous materials discovery, structural issues not identified during inspection), and schedule delays due to factors like weather, supply chain disruptions, or labor shortages. For the government, the risk is primarily related to the contractor's ability to deliver the project to the specified quality standards within the agreed-upon price. Effective project management, contingency planning, and robust oversight are critical to mitigating these risks.

How effective is 'Full and Open Competition After Exclusion of Sources' in ensuring competitive pricing?

This competition method aims to maximize competition by broadly soliciting offers, but the 'after exclusion of sources' clause implies that certain potential sources might have been excluded based on pre-defined criteria. While still considered a form of full and open competition, the effectiveness in ensuring the absolute lowest price depends on the justification for excluding sources and the number of bidders that ultimately participate. With 5 bidders, the competition appears robust, suggesting that pricing was likely driven down effectively. However, a review of the exclusion rationale would be necessary for a complete assessment.

What is the historical spending trend for building renovations at Hanscom AFB?

Analyzing historical spending trends for building renovations at Hanscom AFB would require a review of past contract awards for similar projects over several fiscal years. This data is not provided. However, general trends in federal facility maintenance and renovation spending often reflect budget appropriations, infrastructure age, and modernization priorities. Increased spending in recent years might indicate a push to address deferred maintenance or upgrade facilities to meet current operational and energy efficiency standards.

What are the implications of the definitive contract award type for project flexibility?

A definitive contract, such as the firm-fixed-price type used here, typically outlines the full scope of work and price upfront. This provides clarity and predictability for both parties. While it offers less flexibility for scope changes compared to cost-reimbursement contracts, modifications can still be made through formal change order processes if necessary. The fixed-price nature incentivizes the contractor to control costs, but significant changes to the original scope could lead to disputes or require contract renegotiation.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA283518R0002

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 99 GANO ST, PROVIDENCE, RI, 02906

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

Financial Breakdown

Contract Ceiling: $32,788,899

Exercised Options: $32,788,899

Current Obligation: $28,426,534

Actual Outlays: $4,947,594

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline