DoD Awards $93M MACC for MCRD Mess Hall Replacement to Balfour Beatty Construction

Contract Overview

Contract Amount: $93,289,107 ($93.3M)

Contractor: Balfour Beatty Construction, LLC

Awarding Agency: Department of Defense

Start Date: 2022-07-01

End Date: 2027-02-01

Contract Duration: 1,676 days

Daily Burn Rate: $55.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: X002 P-315 DBB MACC TO RECRUIT MESS HALL REPLACEMENT MCRD, CA -

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92140

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $93.3 million to BALFOUR BEATTY CONSTRUCTION, LLC for work described as: X002 P-315 DBB MACC TO RECRUIT MESS HALL REPLACEMENT MCRD, CA - Key points: 1. The contract is a Delivery Order under a Multiple Award Construction Contract (MACC). 2. Balfour Beatty Construction, LLC is the awardee for this significant project. 3. The project aims to replace the mess hall at Marine Corps Recruit Depot (MCRD) in San Diego, CA. 4. This is a large-scale construction project within the Department of the Navy's portfolio.

Value Assessment

Rating: good

The award amount of $93.3 million is substantial for a single mess hall replacement. Benchmarking against similar large-scale institutional building projects would be necessary to fully assess value, but the firm-fixed-price structure suggests a defined cost expectation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust process for soliciting bids and ensuring competitive pricing. This method is generally expected to yield fair market value.

Taxpayer Impact: The competitive award process is designed to ensure taxpayer funds are used efficiently for this critical infrastructure upgrade.

Public Impact

Enhances quality of life and operational readiness for Marines at MCRD San Diego. Supports the modernization of military infrastructure, ensuring facilities meet current standards. Represents a significant investment in the San Diego region's construction sector. Potential for job creation during the construction phase.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns in large construction projects.
Schedule delays are common in complex builds.
Ensuring long-term durability and maintenance efficiency of the new facility.

Positive Signals

Awarded through full and open competition.
Firm Fixed Price contract type.
Addresses a critical infrastructure need.
Experienced contractor selected.

Sector Analysis

This project falls under the Commercial and Institutional Building Construction sector. Spending in this sector for the Department of Defense is substantial, focusing on maintaining and upgrading facilities critical for military operations and personnel.

Small Business Impact

While the prime contractor is Balfour Beatty Construction, LLC, a large entity, the contract details do not specify any small business subcontracting goals. Further review would be needed to determine the extent of small business participation.

Oversight & Accountability

The award is a delivery order under a MACC, suggesting a pre-established oversight framework. The Department of the Navy is responsible for oversight, with the firm-fixed-price contract providing cost control mechanisms.

Related Government Programs

Commercial and Institutional Building Construction
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Large contract value increases potential for cost overruns.
Long project duration increases schedule risk.
Construction projects are susceptible to unforeseen site conditions.
Reliance on a single prime contractor for execution.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $93.3 million to BALFOUR BEATTY CONSTRUCTION, LLC. X002 P-315 DBB MACC TO RECRUIT MESS HALL REPLACEMENT MCRD, CA -

Who is the contractor on this award?

The obligated recipient is BALFOUR BEATTY CONSTRUCTION, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $93.3 million.

What is the period of performance?

Start: 2022-07-01. End: 2027-02-01.

What is the estimated cost per square foot for the new mess hall compared to similar recent government or commercial projects?

A precise cost per square foot benchmark is not available from the provided data. However, the total award of $93.3 million for a mess hall replacement suggests a significant investment. A detailed cost analysis comparing this project's square footage and features to similar institutional building projects would be required to determine if the pricing is competitive and represents good value for taxpayers.

What are the primary risks associated with the schedule and potential cost overruns for this large-scale construction project?

Key risks include unforeseen site conditions, material price fluctuations, labor availability, and potential design changes during construction. Given the project's scale and duration (over 1600 days), delays and cost overruns are inherent risks. Mitigation strategies likely involve robust project management, contingency planning, and close monitoring by the Department of the Navy.

How effectively will the new mess hall contribute to the operational readiness and morale of the Marines stationed at MCRD San Diego?

A modern, well-equipped mess hall is crucial for troop morale and well-being, directly impacting readiness. Replacing an aging facility with a new one is expected to significantly improve the dining experience, hygiene, and efficiency of food service operations, thereby positively contributing to the overall quality of life and operational effectiveness for recruits and staff.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6247319R1237

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Balfour Beatty Construction LLC

Address: 3100 MCKINNON ST FL 10, DALLAS, TX, 75201

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $93,289,107

Exercised Options: $93,289,107

Current Obligation: $93,289,107

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6247321D1202

IDV Type: IDC

Timeline