National Gallery of Art's $19.3M West Building renovation awarded to Grunley Walsh US, LLC

Contract Overview

Contract Amount: $19,277,788 ($19.3M)

Contractor: Grunley Walsh US, LLC

Awarding Agency: National Gallery of Art

Start Date: 2006-10-18

End Date: 2009-05-15

Contract Duration: 940 days

Daily Burn Rate: $20.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: RENOVATE TEH MECHANICAL, ELECTRICAL, PLUMBING AND SOME ARCHITECTURAL SYSTEM WITH THE NE QUANTRANT OF TEH WEST BUILDING OF THE NGA, WHICH IS APPROXIMATELY 76,000 SQUARE FEET OF ART MUSEUM, ADMINISTRATION AND LABRATORS SPACE. PROJECT ALSO INCLUDES THE INSTALLATION OF A NEW EMERGENCY POWER ELECTRICAL GENERATOR FOR THE WEST BUILDING.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20565

State: District of Columbia Government Spending

Plain-Language Summary

National Gallery of Art obligated $19.3 million to GRUNLEY WALSH US, LLC for work described as: RENOVATE TEH MECHANICAL, ELECTRICAL, PLUMBING AND SOME ARCHITECTURAL SYSTEM WITH THE NE QUANTRANT OF TEH WEST BUILDING OF THE NGA, WHICH IS APPROXIMATELY 76,000 SQUARE FEET OF ART MUSEUM, ADMINISTRATION AND LABRATORS SPACE. PROJECT ALSO INCLUDES THE INSTALLATION OF A NEW EMERGENC… Key points: 1. The contract focused on renovating mechanical, electrical, plumbing, and architectural systems within a 76,000 sq ft section of the West Building. 2. A key component was the installation of a new emergency power electrical generator for the West Building. 3. The project was awarded under a full and open competition after exclusion of sources, indicating a competitive bidding process. 4. The contract duration was 940 days, spanning from October 2006 to May 2009. 5. The contract type was Firm Fixed Price, which shifts cost risk to the contractor. 6. The total award amount was approximately $19.3 million.

Value Assessment

Rating: good

The contract value of $19.3 million for a significant renovation of 76,000 square feet of museum, administration, and laboratory space, including emergency power, appears reasonable. Benchmarking against similar large-scale institutional building renovations would provide a more precise value assessment. The firm fixed-price structure suggests a defined scope and budget, which can be advantageous for cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' suggesting that while initial solicitations might have had limitations, the final award was based on a broad competitive process. The presence of two bidders (no=2) indicates some level of competition, though a higher number of bidders would typically lead to more robust price discovery.

Taxpayer Impact: A competitive process, even with two bidders, generally benefits taxpayers by encouraging more favorable pricing compared to sole-source or limited competition scenarios.

Public Impact

The primary beneficiaries are the National Gallery of Art and its visitors, ensuring the continued preservation and functionality of its art collection and facilities. The services delivered include critical infrastructure upgrades to mechanical, electrical, and plumbing systems, enhancing operational efficiency and safety. The geographic impact is localized to Washington D.C., specifically the West Building of the National Gallery of Art. Workforce implications include employment for construction trades and project management professionals involved in the renovation and generator installation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in complex renovation projects, though mitigated by firm fixed-price contract.
Ensuring minimal disruption to museum operations during construction activities.
Long-term maintenance costs of newly installed systems need to be factored into future budgets.

Positive Signals

Firm Fixed Price contract provides cost certainty for the government.
Inclusion of emergency power generator enhances facility resilience.
Renovation of critical building systems ensures long-term operational viability.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. The National Gallery of Art, as a major cultural institution, requires specialized construction services for its unique facilities. Spending on such renovations is crucial for maintaining historical and artistic assets, with comparable projects often involving significant investment in HVAC, electrical, and structural upgrades to preserve sensitive environments.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss=false, sb=false). As a large-scale renovation, it likely involved prime contractors with the capacity to manage complex projects, potentially utilizing small businesses as subcontractors. Further analysis would be needed to determine the extent of small business participation in subcontracting roles.

Oversight & Accountability

Oversight would typically be managed by the National Gallery of Art's contracting officers and facilities management. The firm fixed-price nature of the contract implies a focus on adherence to the agreed-upon scope, schedule, and price. Transparency is generally maintained through public contract awards, though detailed project-specific oversight reports may not be publicly available.

Related Government Programs

National Gallery of Art Capital Improvement Projects
Federal Building and Facility Renovations
Emergency Power System Installations
Museum and Cultural Institution Infrastructure

Risk Flags

Potential for unforeseen conditions in historic building renovations.
Risk of schedule delays impacting public access and operations.
Ensuring specialized contractor expertise for museum infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

National Gallery of Art awarded $19.3 million to GRUNLEY WALSH US, LLC. RENOVATE TEH MECHANICAL, ELECTRICAL, PLUMBING AND SOME ARCHITECTURAL SYSTEM WITH THE NE QUANTRANT OF TEH WEST BUILDING OF THE NGA, WHICH IS APPROXIMATELY 76,000 SQUARE FEET OF ART MUSEUM, ADMINISTRATION AND LABRATORS SPACE. PROJECT ALSO INCLUDES THE INSTALLATION OF A NEW EMERGENCY POWER ELECTRICAL GENERATOR FOR THE WEST BUILDING.

Who is the contractor on this award?

The obligated recipient is GRUNLEY WALSH US, LLC.

Which agency awarded this contract?

Awarding agency: National Gallery of Art (National Gallery of Art).

What is the total obligated amount?

The obligated amount is $19.3 million.

What is the period of performance?

Start: 2006-10-18. End: 2009-05-15.

What was the specific scope of the 'architectural system' renovation mentioned in the description?

The provided data focuses on the mechanical, electrical, and plumbing (MEP) systems and the installation of an emergency generator. The 'some architectural system' renovation is less detailed. Typically, in such projects, this could refer to interior finishes, partition modifications, accessibility improvements, or aesthetic upgrades within the specified 76,000 square feet of art museum, administration, and laboratory space. Without further documentation, the precise architectural elements are not specified, but it likely complemented the MEP upgrades to modernize the functional and aesthetic aspects of the renovated areas.

How does the cost per square foot for this renovation compare to similar museum or institutional building projects?

The contract value was approximately $19.3 million for 76,000 square feet, resulting in a cost of roughly $254 per square foot. This figure is within a reasonable range for major institutional renovations, especially those involving significant MEP upgrades and specialized systems like emergency power. For context, similar projects in major metropolitan areas can range from $200 to $500+ per square foot depending on the complexity, historical significance, finishes, and specific system requirements. The National Gallery's project appears to be on the moderate to higher end, reflecting the specialized nature of museum infrastructure.

What were the primary risks identified for this project, and how were they managed?

Key risks in such a renovation project typically include unforeseen conditions within existing structures, potential delays impacting museum operations, and cost overruns. The firm fixed-price contract structure inherently transfers significant cost risk to the contractor, Grunley Walsh US, LLC. Management of schedule risks would involve detailed project planning, phased construction, and coordination with the National Gallery to minimize disruption. The exclusion of sources in the initial phase might suggest a need to ensure specific capabilities were met, potentially mitigating risks related to contractor expertise.

What is the historical spending pattern of the National Gallery of Art on similar renovation or construction contracts?

Analyzing historical spending requires access to a broader dataset of National Gallery of Art contracts. However, major cultural institutions like the NGA periodically undertake significant capital improvement projects to maintain and upgrade their facilities. These projects are often multi-year endeavors and can represent substantial investments, especially when dealing with aging infrastructure and the need for climate control and security systems suitable for valuable art collections. This $19.3 million contract appears to be a significant, but not necessarily unprecedented, investment for such an institution.

What is the significance of the 'after exclusion of sources' clause in the contract competition?

The 'Full and Open Competition After Exclusion of Sources' (FOUO) designation is somewhat unusual. Typically, 'Full and Open Competition' means all responsible sources are permitted to submit offers. The 'exclusion of sources' part suggests that prior to the final competitive solicitation, certain sources may have been excluded, possibly due to specific requirements, prior performance issues, or a phased approach to market research. However, the final award was still made through a competitive process among the remaining eligible sources. In this case, two bidders participated, indicating that the exclusion did not entirely eliminate competition.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: RFP-06-015

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5010 NICHOLSON LN, ROCKVILLE, MD, 08

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Nonprofit Organization, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $19,277,788

Exercised Options: $19,277,788

Current Obligation: $19,277,788

Timeline