DoD Awards $17.5M for Robertson Blood Center Repair at Fort Cavazos, Texas
Contract Overview
Contract Amount: $17,490,864 ($17.5M)
Contractor: J & J Maintenance Inc
Awarding Agency: Department of Defense
Start Date: 2023-09-18
End Date: 2026-04-06
Contract Duration: 931 days
Daily Burn Rate: $18.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: REPAIR ROBERTSON BLOOD CENTER BUILDING 2250, CARL R. DARNALL ARMY MEDICAL CENTER, FORT CAVAZOS TEXAS.
Place of Performance
Location: FORT CAVAZOS, CORYELL County, TEXAS, 76544
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $17.5 million to J & J MAINTENANCE INC for work described as: REPAIR ROBERTSON BLOOD CENTER BUILDING 2250, CARL R. DARNALL ARMY MEDICAL CENTER, FORT CAVAZOS TEXAS. Key points: 1. Significant contract for building repair services in the healthcare infrastructure sector. 2. Competition was full and open, suggesting a competitive bidding process. 3. Potential risk associated with long-term construction projects and material cost fluctuations. 4. The award falls within the commercial and institutional building construction sector.
Value Assessment
Rating: good
The contract value of $17.5M for building repair appears reasonable given the scope and duration. Benchmarking against similar large-scale medical facility construction or renovation 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, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and can lead to more competitive pricing.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best value through a competitive process.
Public Impact
Ensures continued operational capacity for critical blood services at a major Army medical center. Supports local and regional economic activity through construction jobs and material procurement. Addresses necessary infrastructure maintenance to support military healthcare readiness.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long project duration (931 days) increases exposure to economic volatility.
- Potential for scope creep or unforeseen structural issues in older buildings.
- Reliance on a single awardee for a significant repair project.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type limits cost overruns for the government.
- Project addresses critical healthcare infrastructure needs.
Sector Analysis
This contract falls under the Commercial and Institutional Building Construction sector, which is vital for maintaining essential facilities like medical centers. Spending benchmarks in this sector vary widely based on project size and complexity.
Small Business Impact
While the award was made under full and open competition, there is no specific indication of small business participation in this particular delivery order. Future analysis could explore subcontracting opportunities.
Oversight & Accountability
The Department of the Army's contracting process, including the use of full and open competition, is subject to standard oversight mechanisms. The long duration of the contract warrants monitoring for performance and adherence to terms.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration increases exposure to economic volatility.
- Potential for unforeseen structural issues in older buildings.
- Reliance on a single awardee for a significant repair project.
- Lack of explicit small business participation noted.
Tags
commercial-and-institutional-building-co, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $17.5 million to J & J MAINTENANCE INC. REPAIR ROBERTSON BLOOD CENTER BUILDING 2250, CARL R. DARNALL ARMY MEDICAL CENTER, FORT CAVAZOS TEXAS.
Who is the contractor on this award?
The obligated recipient is J & J MAINTENANCE INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $17.5 million.
What is the period of performance?
Start: 2023-09-18. End: 2026-04-06.
What is the estimated cost per square foot for this repair project, and how does it compare to industry averages for similar medical facility renovations?
Without the square footage of the Robertson Blood Center Building 2250, a precise cost per square foot cannot be calculated. However, for large-scale institutional building construction and renovation, costs can range significantly, often from $200 to over $600 per square foot depending on the complexity, materials, and specific requirements of a medical facility. A detailed cost breakdown would be needed for a robust comparison.
What are the primary risks associated with a 931-day construction timeline for a medical facility, and what mitigation strategies are in place?
The primary risks include potential delays due to weather, supply chain disruptions, unforeseen site conditions, and labor shortages, all of which can escalate costs. Mitigation strategies typically involve detailed project planning, contingency funds, robust contract clauses for delays, proactive material sourcing, and strong on-site project management to address issues promptly.
How effectively does the firm fixed price contract type protect the government against potential cost overruns given the project's long duration?
A firm fixed price (FFP) contract is designed to protect the government by establishing a ceiling price. However, for very long-duration projects like this, the initial FFP might not fully account for significant market fluctuations in labor or materials over 931 days. While it shifts most cost risk to the contractor, extreme unforeseen economic events could still pose challenges or lead to contractor performance issues if not managed carefully.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: W9127815R0020
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: J & J Maintenance, Inc.
Address: 7710 RIALTO BLVD STE 200, AUSTIN, TX, 78735
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $17,490,864
Exercised Options: $17,490,864
Current Obligation: $17,490,864
Subaward Activity
Number of Subawards: 4
Total Subaward Amount: $399,780
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W9127821D0025
IDV Type: IDC
Timeline
Start Date: 2023-09-18
Current End Date: 2026-04-06
Potential End Date: 2026-04-06 00:00:00
Last Modified: 2025-09-29
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