GSA's $46.2M Richard H. Poff Federal Building Modernization Contract Awarded to Balfour Beatty Construction

Contract Overview

Contract Amount: $46,250,549 ($46.3M)

Contractor: Balfour Beatty Construction, LLC

Awarding Agency: General Services Administration

Start Date: 2009-11-06

End Date: 2015-08-04

Contract Duration: 2,097 days

Daily Burn Rate: $22.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIXED PRICE INCENTIVE

Sector: Construction

Official Description: TAS::47 4543::TAS RICHARD H. POFF FEDERAL BUILDING MODERNIZATION IN ROANOKE, VA

Place of Performance

Location: ROANOKE, ROANOKE CITY County, VIRGINIA, 24011

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $46.3 million to BALFOUR BEATTY CONSTRUCTION, LLC for work described as: TAS::47 4543::TAS RICHARD H. POFF FEDERAL BUILDING MODERNIZATION IN ROANOKE, VA Key points: 1. The contract, valued at $46.2 million, aimed to modernize the federal building in Roanoke, VA. 2. Balfour Beatty Construction, LLC secured the award through full and open competition. 3. The project spanned over six years, from 2009 to 2015. 4. This was a fixed-price incentive contract, indicating shared risk between the government and contractor. 5. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction.

Value Assessment

Rating: fair

The contract's fixed-price incentive structure suggests an attempt to control costs while allowing for adjustments based on performance. Without specific cost breakdowns or performance metrics, a precise value assessment is difficult, but the duration and scale indicate a significant investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, which typically fosters competitive pricing. The definitive contract type and fixed-price incentive structure suggest a structured approach to price discovery and negotiation.

Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers, as it aims to secure the best value through market forces.

Public Impact

Modernization of a federal building ensures continued public service delivery and asset preservation. The project likely created numerous jobs in the construction sector within Virginia. Improved federal facilities can enhance operational efficiency and security for government agencies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long project duration (6 years) may indicate potential for cost overruns or scope creep.
Fixed-price incentive contracts can be complex to manage and may not always yield the lowest price.
Lack of small business participation noted (sb: false).

Positive Signals

Awarded through full and open competition, maximizing potential for competitive pricing.
Modernization of a key federal facility ensures long-term utility and service.
Contract structure (fixed-price incentive) attempts to balance cost control with performance.

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector is crucial for maintaining and upgrading public infrastructure, with benchmarks varying widely based on project scope and location.

Small Business Impact

The data indicates no specific small business participation in this contract (sb: false). This suggests that larger firms dominated the bidding process, potentially limiting opportunities for smaller construction companies.

Oversight & Accountability

The General Services Administration (GSA) oversees such projects, aiming for efficient and cost-effective management of federal real estate. Oversight would focus on contract compliance, performance, and adherence to budget.

Related Government Programs

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

Risk Flags

Extended project duration.
Lack of small business participation.
Complexity of fixed-price incentive contracts.
Potential for scope creep over a long project timeline.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $46.3 million to BALFOUR BEATTY CONSTRUCTION, LLC. TAS::47 4543::TAS RICHARD H. POFF FEDERAL BUILDING MODERNIZATION IN ROANOKE, VA

Who is the contractor on this award?

The obligated recipient is BALFOUR BEATTY CONSTRUCTION, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $46.3 million.

What is the period of performance?

Start: 2009-11-06. End: 2015-08-04.

What was the primary driver for the extensive six-year duration of this modernization project?

The extended duration could be attributed to several factors, including the phased nature of the modernization, unforeseen structural issues discovered during construction, complex logistical challenges within an occupied federal building, or potential changes in project scope over time. Detailed project management reports would clarify the specific reasons for the lengthy timeline.

How did the fixed-price incentive structure impact the final cost compared to a standard fixed-price contract?

A fixed-price incentive contract allows for shared savings or cost overruns between the government and contractor based on performance against targets. This structure incentivizes the contractor to control costs while ensuring the government benefits if savings are achieved. The final cost would depend on how effectively Balfour Beatty managed expenses relative to the negotiated targets.

What specific improvements or modernizations were undertaken, and how did they enhance the building's functionality?

While the data specifies 'modernization,' the exact improvements are not detailed. Typically, such projects involve upgrades to HVAC systems, electrical and plumbing infrastructure, interior renovations, accessibility enhancements, and potentially energy efficiency improvements. These upgrades would aim to improve occupant comfort, reduce operational costs, ensure compliance with current building codes, and extend the building's useful life.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: GS-03P-09-CD-C-0061

Offers Received: 10

Pricing Type: FIXED PRICE INCENTIVE (L)

Evaluated Preference: NONE

Contractor Details

Parent Company: Balfour Beatty PLC

Address: 3924 PENDER DRIVE STE 100, FAIRFAX, VA, 22030

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

Financial Breakdown

Contract Ceiling: $46,250,549

Exercised Options: $46,250,549

Current Obligation: $46,250,549

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline