GSA Awards $181M Contract for Salt Lake City Courthouse Construction to Okland Construction

Contract Overview

Contract Amount: $180,923,683 ($180.9M)

Contractor: Okland Construction Company, Inc.

Awarding Agency: General Services Administration

Start Date: 2008-05-09

End Date: 2016-07-31

Contract Duration: 3,005 days

Daily Burn Rate: $60.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CMC DESIGN PHASE SERVICES AND CONSTRUCTION OF U.S. DISTRICT COURTHOUSE SALT LAKE CITY, UT.

Place of Performance

Location: SALT LAKE CITY, SALT LAKE County, UTAH, 84114

State: Utah Government Spending

Plain-Language Summary

General Services Administration obligated $180.9 million to OKLAND CONSTRUCTION COMPANY, INC. for work described as: CMC DESIGN PHASE SERVICES AND CONSTRUCTION OF U.S. DISTRICT COURTHOUSE SALT LAKE CITY, UT. Key points: 1. The contract value of $180.9 million is substantial for a major federal building project. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The project faced a significant duration of 3005 days, indicating potential for cost overruns or delays. 4. Construction of federal courthouses falls within the broader 'Construction' sector.

Value Assessment

Rating: fair

The contract value of $180.9 million is a significant investment for a federal courthouse. Benchmarking against similar large-scale public building projects would be necessary to fully assess its value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing. However, the long duration and firm-fixed-price nature could mask underlying cost pressures.

Taxpayer Impact: Taxpayer funds are being used for the construction of a federal courthouse, a necessary public infrastructure project.

Public Impact

Direct impact on local construction jobs and economy in Salt Lake City, Utah. Provides essential infrastructure for the judicial branch of the U.S. government. Potential for long-term community impact through the presence of a federal courthouse.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

  • Extended project duration (3005 days) may indicate scope creep or unforeseen challenges.
  • Lack of specific small business participation data.
  • Firm Fixed Price contract can sometimes lead to contractor cutting corners if not managed well.

Positive Signals

  • Awarded through full and open competition, promoting market efficiency.
  • Addresses a critical need for federal judicial infrastructure.
  • Significant investment in local infrastructure and employment.

Sector Analysis

This project falls under the Commercial and Institutional Building Construction sector. Federal building construction often involves complex requirements and long lead times, with costs varying widely based on size, complexity, and location.

Small Business Impact

The data indicates that small business participation was not a stated requirement (ss: false, sb: false). Further investigation would be needed to determine if any subcontracts were awarded to small businesses.

Oversight & Accountability

The General Services Administration (GSA) is responsible for overseeing federal building construction. Oversight would involve monitoring project progress, quality, and adherence to budget and schedule.

Related Government Programs

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

Risk Flags

  • Long project duration (3005 days).
  • No explicit small business participation noted.
  • Potential for cost escalation not fully captured in fixed-price contract.
  • Lack of detailed cost breakdown for benchmarking.

Tags

commercial-and-institutional-building-co, general-services-administration, ut, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $180.9 million to OKLAND CONSTRUCTION COMPANY, INC.. CMC DESIGN PHASE SERVICES AND CONSTRUCTION OF U.S. DISTRICT COURTHOUSE SALT LAKE CITY, UT.

Who is the contractor on this award?

The obligated recipient is OKLAND CONSTRUCTION COMPANY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $180.9 million.

What is the period of performance?

Start: 2008-05-09. End: 2016-07-31.

What was the final cost compared to the initial estimated cost for this courthouse construction project?

The provided data shows the awarded contract value at $180.9 million. Without initial estimates or change order details, it's impossible to determine if the final cost deviated significantly. A comprehensive review would require access to the full contract file, including all modifications and justifications for any price adjustments.

Were there any significant delays or cost overruns during the 3005-day construction period?

The extensive 3005-day duration suggests a high likelihood of encountering challenges that could impact schedule and cost. While the contract is firm fixed price, unforeseen circumstances often lead to contract modifications or claims. Analyzing project close-out reports and any documented disputes would reveal the extent of delays and cost impacts.

How did the final price per square foot compare to similar federal courthouse construction projects completed around the same time?

Benchmarking the price per square foot against comparable federal courthouses is crucial for assessing value. Factors like geographic location, specific security requirements, and building amenities significantly influence costs. A detailed analysis would require access to project specifications and cost data for similar GSA-managed construction projects.

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

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: GS-08P-08-JF-C-0002

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1978 S WEST TEMPLE, SALT LAKE CITY, UT, 84115

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

Financial Breakdown

Contract Ceiling: $180,923,683

Exercised Options: $180,923,683

Current Obligation: $180,923,683

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2008-05-09

Current End Date: 2016-07-31

Potential End Date: 2017-02-01 00:00:00

Last Modified: 2017-01-26

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