State Department's Chancery Renovation Contract Exceeds $11.4M, Awarded to DESBUILD INCORPORATED
Contract Overview
Contract Amount: $11,427,730 ($11.4M)
Contractor: Desbuild Incorporated
Awarding Agency: Department of State
Start Date: 2007-09-25
End Date: 2014-11-24
Contract Duration: 2,617 days
Daily Burn Rate: $4.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: CHANCERY RENOVATION
Plain-Language Summary
Department of State obligated $11.4 million to DESBUILD INCORPORATED for work described as: CHANCERY RENOVATION Key points: 1. The contract value is $11.4M, primarily for industrial building construction. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. The contract duration was significantly extended, raising questions about initial planning and cost control. 4. The sector is Construction, with potential implications for government building maintenance and upgrades.
Value Assessment
Rating: fair
The contract value of $11.4M for industrial building construction appears substantial. Benchmarking against similar government renovation projects would be necessary to determine if the pricing is competitive, especially given the extended duration.
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 mechanism. However, the extended duration and potential cost overruns could indicate issues in scope management or initial bidding accuracy.
Taxpayer Impact: While competition was present, the extended timeline and potential for cost increases impact taxpayer value. Efficient project management is crucial to ensure funds are used effectively.
Public Impact
Taxpayers may be impacted by the extended duration and potential cost escalations beyond the initial $11.4M. The renovation of a key government facility like the Chancery is vital for operational continuity and security. The construction sector's performance and pricing are reflected in this contract, offering insights into industry trends.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Extended contract duration
- Potential cost overruns
- Lack of detailed scope in initial award
Positive Signals
- Awarded under full and open competition
- Clear contract type (Firm Fixed Price)
Sector Analysis
This contract falls within the Industrial Building Construction sector. Government spending in this area is critical for maintaining federal infrastructure. Benchmarks for similar large-scale renovations are essential for evaluating cost-effectiveness.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to assess small business participation in this contract.
Oversight & Accountability
The extended duration of the contract warrants oversight to ensure accountability for project timelines and budget adherence. Regular reviews of progress and change orders are important.
Related Government Programs
- Industrial Building Construction
- Department of State Contracting
- Department of State Programs
Risk Flags
- Extended contract duration raises concerns about initial planning and cost control.
- Potential for cost overruns due to extended timeline.
- Lack of transparency on specific reasons for duration extension.
- Need for benchmarking against similar projects to assess value for money.
Tags
industrial-building-construction, department-of-state, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $11.4 million to DESBUILD INCORPORATED. CHANCERY RENOVATION
Who is the contractor on this award?
The obligated recipient is DESBUILD INCORPORATED.
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $11.4 million.
What is the period of performance?
Start: 2007-09-25. End: 2014-11-24.
What factors contributed to the significant extension of the contract duration from its initial award?
The extended duration likely stems from unforeseen complexities during the renovation, scope creep, or delays in approvals and material procurement. A detailed review of change orders and project management logs would reveal the specific causes. Understanding these factors is crucial for improving future project planning and execution within the Department of State.
How does the final cost compare to the initial bid, considering the extended timeline?
The provided data shows an award amount of $11.4M, but the duration of 2617 days (from 2007 to 2014) suggests potential cost increases beyond the initial bid due to extended overhead, labor, and potential change orders. A comparison of the initial bid versus the final disbursed amount is needed to assess cost efficiency.
What is the overall effectiveness of this renovation in meeting the Department of State's long-term facility needs?
The effectiveness hinges on the quality of the completed renovation and its ability to support the Department's mission for years to come. Without post-renovation assessments or performance reviews, it's difficult to gauge its long-term success. Factors like improved functionality, energy efficiency, and structural integrity would indicate effectiveness.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Industrial Building Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4744 BALTIMORE AVE, HYATTSVILLE, MD, 04
Business Categories: Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $11,427,730
Exercised Options: $11,427,730
Current Obligation: $11,427,730
Timeline
Start Date: 2007-09-25
Current End Date: 2014-11-24
Potential End Date: 2014-11-24 00:00:00
Last Modified: 2015-01-23
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