GSA awards $32.5M for St. Elizabeths Campus tunnel construction to Balfour Beatty Construction

Contract Overview

Contract Amount: $32,486,046 ($32.5M)

Contractor: Balfour Beatty Construction, LLC

Awarding Agency: General Services Administration

Start Date: 2010-09-23

End Date: 2013-03-15

Contract Duration: 904 days

Daily Burn Rate: $35.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PHASE 1B - TUNNEL/INFRASTRUCTURE, ST ELIZABETHS CAMPUS, SE, WASH., DC

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20032

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $32.5 million to BALFOUR BEATTY CONSTRUCTION, LLC for work described as: PHASE 1B - TUNNEL/INFRASTRUCTURE, ST ELIZABETHS CAMPUS, SE, WASH., DC Key points: 1. The contract value of $32.5 million falls within typical ranges for large-scale civil engineering projects. 2. Balfour Beatty Construction, a major player in the industry, secured this contract. 3. The project's duration of 904 days presents potential for cost overruns and schedule delays. 4. This project falls under the 'Other Heavy and Civil Engineering Construction' sector.

Value Assessment

Rating: good

The contract value of $32.5 million appears reasonable for a project of this scope and complexity, involving significant infrastructure development. Benchmarking against similar large-scale tunnel and civil engineering projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple qualified bidders vie for the contract.

Taxpayer Impact: A competitive bidding process for infrastructure projects generally aims to secure the best value for taxpayers, minimizing unnecessary expenditure.

Public Impact

Impacts transportation and accessibility within the St. Elizabeths East Campus area. Contributes to the redevelopment and modernization of a significant federal property. Creates construction jobs and stimulates economic activity in the Washington D.C. region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long project duration (904 days) increases risk of cost escalation and unforeseen issues.
Potential for scope creep in large infrastructure projects.
Reliance on a single awardee for a complex construction task.

Positive Signals

Awarded through full and open competition, indicating potential for competitive pricing.
Firm Fixed Price contract type offers cost certainty to the government.
Project contributes to significant federal campus redevelopment.

Sector Analysis

This project falls within the 'Other Heavy and Civil Engineering Construction' sector, which involves the construction of infrastructure like tunnels, bridges, and highways. Spending in this sector can vary significantly based on federal infrastructure initiatives and economic conditions.

Small Business Impact

The data indicates that small businesses were not directly awarded this prime contract. Opportunities for small businesses may exist as subcontractors to the prime contractor, Balfour Beatty Construction.

Oversight & Accountability

The General Services Administration (GSA), specifically the Public Buildings Service, is responsible for overseeing this contract. Standard GSA oversight mechanisms for large construction projects would apply, including monitoring progress, quality, and adherence to contract terms.

Related Government Programs

Other Heavy and Civil Engineering Construction
General Services Administration Contracting
Public Buildings Service Programs

Risk Flags

Long project duration increases risk of cost overruns.
Potential for unforeseen site conditions in civil engineering projects.
Complexity of large-scale infrastructure development.
Reliance on a single prime contractor for execution.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $32.5 million to BALFOUR BEATTY CONSTRUCTION, LLC. PHASE 1B - TUNNEL/INFRASTRUCTURE, ST ELIZABETHS CAMPUS, SE, WASH., DC

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 $32.5 million.

What is the period of performance?

Start: 2010-09-23. End: 2013-03-15.

What is the estimated cost per linear foot or cubic yard for the tunnel excavation and construction compared to industry benchmarks?

A precise per-unit cost benchmark is not available without detailed project specifications and cost breakdowns. However, for large-scale civil engineering projects of this nature, costs can range widely based on geological conditions, soil stability, and required support structures. A thorough analysis would involve comparing the contractor's unit pricing against historical data for similar tunnel projects in the D.C. metropolitan area, considering factors like labor rates and material costs.

What are the primary risks associated with the 904-day duration, and what mitigation strategies are in place?

The extended duration of 904 days presents risks such as potential cost escalation due to inflation, unforeseen site conditions (e.g., encountering unexpected utilities or geological challenges), and potential labor or material shortages. Mitigation strategies likely include robust contingency planning, detailed site investigations prior to and during construction, flexible scheduling with built-in buffers, and strong contract management to address change orders promptly and fairly.

How effectively did the full and open competition process ensure value for money given the project's complexity?

The full and open competition process is designed to maximize value by encouraging multiple bids, which typically drives down prices. For a complex infrastructure project like this, the effectiveness hinges on the clarity of the solicitation documents, the responsiveness of bidders to technical requirements, and the evaluation criteria used. GSA's established procurement procedures aim to ensure that the lowest price technically acceptable or best value proposal is selected, thereby securing taxpayer value.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: GS-11P-10-MK-C-0059

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

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: $32,486,046

Exercised Options: $32,486,046

Current Obligation: $32,486,046

Subaward Activity

Number of Subawards: 14

Total Subaward Amount: $23,114,726

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline