DHS awards $127M NBACC construction contract to Gilbane Building Company under full and open competition

Contract Overview

Contract Amount: $127,064,697 ($127.1M)

Contractor: Gilbane Building Company

Awarding Agency: Department of Homeland Security

Start Date: 2005-07-01

End Date: 2010-07-30

Contract Duration: 1,855 days

Daily Burn Rate: $68.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCT NATIONAL BIODEFENSE ANALYSIS & COUNTERMEASURES CENTER (NBACC)

Place of Performance

Location: FREDERICK, FREDERICK County, MARYLAND, 21701

State: Maryland Government Spending

Plain-Language Summary

Department of Homeland Security obligated $127.1 million to GILBANE BUILDING COMPANY for work described as: CONSTRUCT NATIONAL BIODEFENSE ANALYSIS & COUNTERMEASURES CENTER (NBACC) Key points: 1. Contract awarded for construction of the National Biodefense Analysis & Countermeasures Center (NBACC). 2. Gilbane Building Company secured the $127M contract. 3. The project falls under the Commercial and Institutional Building Construction sector. 4. Awarded via full and open competition, suggesting broad market participation. 5. Firm Fixed Price contract type aims to control costs.

Value Assessment

Rating: good

The contract value of $127M for a large-scale biodefense center appears reasonable given the scope and complexity. Benchmarking against similar large construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple qualified bidders likely participated. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive bidding process is expected to have resulted in a fair price, maximizing taxpayer value for this critical infrastructure project.

Public Impact

Enhances national biodefense capabilities. Supports critical research and development in countermeasure development. Creates jobs in construction and related industries. Located in Maryland, potentially boosting the local economy.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

  • Potential for cost overruns in large construction projects.
  • Schedule delays are common in complex builds.

Positive Signals

  • Strategic investment in national security infrastructure.
  • Competitive award process likely secured favorable pricing.
  • Firm Fixed Price contract provides cost certainty.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector can vary significantly based on government infrastructure needs and economic conditions. The $127M value is substantial for a single project.

Small Business Impact

The data indicates the prime contractor is Gilbane Building Company, a large firm. There is no specific information provided regarding small business subcontracting participation in this award.

Oversight & Accountability

The Department of Homeland Security is responsible for overseeing this contract. Oversight would focus on ensuring timely completion, adherence to specifications, and budget management.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Homeland Security Contracting
  • Federal Law Enforcement Training Center Programs

Risk Flags

  • Large contract value increases potential for cost overruns.
  • Complexity of biodefense facility construction.
  • Potential for schedule delays.
  • Dependence on a single prime contractor.

Tags

commercial-and-institutional-building-co, department-of-homeland-security, md, dca, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $127.1 million to GILBANE BUILDING COMPANY. CONSTRUCT NATIONAL BIODEFENSE ANALYSIS & COUNTERMEASURES CENTER (NBACC)

Who is the contractor on this award?

The obligated recipient is GILBANE BUILDING COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Federal Law Enforcement Training Center).

What is the total obligated amount?

The obligated amount is $127.1 million.

What is the period of performance?

Start: 2005-07-01. End: 2010-07-30.

What is the projected economic impact of the NBACC construction on the local Maryland economy?

The construction of the NBACC is expected to generate significant economic benefits for Maryland. This includes direct job creation for construction workers and indirect employment in supporting industries such as material supply, logistics, and professional services. The project may also stimulate local businesses through increased demand for goods and services during the construction phase.

What are the primary risks associated with the construction of a specialized biodefense facility?

Key risks include the highly specialized nature of biodefense facilities, requiring stringent safety protocols and advanced construction techniques, which can lead to complexity and potential delays. Ensuring compliance with all regulatory and security requirements is paramount. Furthermore, unforeseen site conditions or material availability issues could impact the schedule and budget.

How effectively does the firm fixed price contract mitigate cost escalation for this project?

A firm fixed price (FFP) contract is designed to provide maximum certainty regarding the final price. It shifts most of the risk to the contractor, obligating them to complete the work for the agreed-upon price, regardless of their actual costs. This structure is highly effective in preventing cost escalation for the government, provided the initial scope is well-defined and the contractor's bid is competitive.

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: LGL05R00008

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Gilbane, Inc. (UEI: 022726165)

Address: 7901 SANDY SPRING RD, LAUREL, MD, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $127,064,697

Exercised Options: $127,064,697

Current Obligation: $127,064,697

Timeline

Start Date: 2005-07-01

Current End Date: 2010-07-30

Potential End Date: 2010-07-30 00:00:00

Last Modified: 2010-06-02

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