DoD's $14.7M dining facility contract awarded to DRG and Associates, Inc. in Colorado

Contract Overview

Contract Amount: $14,749,894 ($14.7M)

Contractor: DRG and Associates, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-12-30

End Date: 2011-04-27

Contract Duration: 483 days

Daily Burn Rate: $30.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 11

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: M - 47TH BCT DINING FACILITY, FT. CARSON, CO

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80913

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $14.7 million to DRG AND ASSOCIATES, INC. for work described as: M - 47TH BCT DINING FACILITY, FT. CARSON, CO Key points: 1. The contract value of $14.7 million for a dining facility represents a significant investment in military infrastructure. 2. The award was made under 'Full and Open Competition After Exclusion of Sources,' suggesting a specific justification for limiting the initial pool. 3. The duration of 483 days indicates a substantial construction timeline for the facility. 4. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 5. The project is located at Fort Carson, Colorado, a key military installation. 6. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction.

Value Assessment

Rating: fair

The contract value of $14.7 million for a dining facility at Fort Carson, CO, needs further benchmarking against similar military construction projects. Without comparable data on the scope, size, and specific features of the facility, assessing value for money is challenging. The firm fixed-price nature of the contract suggests that the initial bid was deemed acceptable, but actual cost performance and any change orders would provide a clearer picture of the overall value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This designation implies that while the competition was intended to be open, certain sources were excluded for specific reasons, possibly related to pre-qualification or prior performance. The number of bids received (10) indicates some level of interest, but the exclusion of sources may have limited the breadth of competition, potentially impacting price discovery.

Taxpayer Impact: The exclusion of certain sources, even with 10 bidders, could mean taxpayers did not benefit from the lowest possible price achievable through the widest possible competition.

Public Impact

Military personnel at Fort Carson, Colorado, will benefit from an improved dining facility. The project delivers essential infrastructure to support troop readiness and morale. The geographic impact is concentrated at Fort Carson, Colorado. The construction phase will likely involve a workforce of skilled tradespeople in the Colorado region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Full and Open Competition After Exclusion of Sources' raises questions about the extent of true competition and potential missed opportunities for other qualified contractors.
Lack of detailed cost breakdowns makes it difficult to assess the reasonableness of the $14.7 million price point.
The duration of the contract (483 days) could lead to potential delays and cost overruns if not managed effectively.

Positive Signals

The use of a Firm Fixed Price contract shifts cost risk to the contractor, potentially protecting the government from unexpected price increases.
Awarding to DRG and Associates, Inc. suggests they met the pre-qualification criteria for this specific project.
The project addresses a clear need for improved infrastructure at a major military installation.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for government facilities. The construction market for military bases is a specialized segment, often characterized by stringent security requirements, specific building codes, and competitive bidding processes. The $14.7 million value is moderate for a significant facility project, and comparable spending benchmarks would typically be found within Department of Defense construction budgets for similar installations.

Small Business Impact

The data indicates that small business participation was not a primary focus for this specific award, as the 'small business' flag is false. There is no explicit mention of small business set-asides or subcontracting requirements in the provided data. Therefore, the direct impact on the small business ecosystem for this particular contract appears limited, though DRG and Associates, Inc. may engage small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Department of the Army contracting command and potentially the Inspector General's office for the Department of Defense. Accountability measures are inherent in the Firm Fixed Price contract type, which penalizes the contractor for cost overruns. Transparency would be enhanced through public contract databases and reporting, though detailed project-specific oversight mechanisms are not explicitly provided in the data.

Related Government Programs

Military Construction, Army
Fort Carson Infrastructure Projects
Department of Defense Facilities Management
Dining and Barracks Facilities

Risk Flags

Competition Limitation
Value for Money Assessment Needed
Potential for Cost Overruns
Lack of Detailed Cost Breakdown

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.7 million to DRG AND ASSOCIATES, INC.. M - 47TH BCT DINING FACILITY, FT. CARSON, CO

Who is the contractor on this award?

The obligated recipient is DRG AND ASSOCIATES, 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 $14.7 million.

What is the period of performance?

Start: 2009-12-30. End: 2011-04-27.

What is the track record of DRG and Associates, Inc. with federal contracts, particularly within the Department of Defense?

A comprehensive review of DRG and Associates, Inc.'s federal contract history would be necessary to assess their track record. This would involve examining past performance evaluations, any history of contract disputes or terminations, and their experience with similar-sized construction projects, especially for government entities. Understanding their past performance on Department of Defense contracts specifically would provide insight into their reliability, quality of work, and ability to meet deadlines and budget constraints. Without access to a detailed contract database or performance reports, it is difficult to definitively assess their track record based solely on this award.

How does the $14.7 million cost compare to similar military dining facility construction projects?

Benchmarking the $14.7 million cost requires comparing it to similar projects in terms of size (square footage), capacity (number of personnel served), complexity of amenities, and geographic location. Military dining facilities can vary significantly in cost based on these factors. For instance, a basic mess hall might cost less per square foot than a facility with advanced culinary equipment, varied seating arrangements, or specialized dietary support capabilities. A thorough comparison would involve analyzing data from the Federal Procurement Data System (FPDS) or other government contract databases for projects awarded within the last few years to identify comparable projects and their associated costs, adjusting for inflation and regional economic differences.

What specific risks were identified during the procurement process that led to the exclusion of certain sources?

The designation 'Full and Open Competition After Exclusion of Sources' implies that specific justifications were made to limit the initial pool of potential bidders. These exclusions could stem from various reasons, such as requiring specialized certifications or clearances that only a limited number of firms possess, prior performance issues with certain contractors, or a need to leverage existing relationships or technologies where only a few firms are capable. Without access to the justification documents or pre-award notices, the precise risks that led to these exclusions remain unknown. Understanding these risks is crucial for assessing whether the exclusion was warranted and if it potentially limited competitive pricing.

What is the expected impact of this new dining facility on troop morale and operational readiness at Fort Carson?

A modern, well-equipped dining facility is expected to have a positive impact on troop morale by providing a more comfortable and appealing environment for meals, which is a fundamental aspect of daily life for service members. Improved food service quality and efficiency can contribute to better nutrition and overall well-being. Operationally, a functional dining facility is essential for sustaining troop readiness, ensuring that personnel are adequately fed and able to focus on their training and mission requirements. The new facility at Fort Carson aims to enhance these aspects, supporting the base's role as a key military installation.

How has federal spending on military construction projects like dining facilities trended over the past five years?

Federal spending on military construction projects, including dining facilities, is subject to annual appropriations and strategic defense priorities. Over the past five years, spending in this category has likely fluctuated based on the overall defense budget, specific military branch needs, and the lifecycle of existing infrastructure. Factors such as troop levels, base modernization initiatives, and readiness requirements influence the demand for new construction and renovations. Analyzing historical spending data from agencies like the Department of Defense and the Army Corps of Engineers would reveal trends, identify peak spending periods, and highlight any shifts in investment focus towards infrastructure upgrades.

What are the potential long-term maintenance and operational costs associated with this new dining facility?

The long-term maintenance and operational costs for a new dining facility are a critical consideration beyond the initial construction price. These costs typically include utilities (electricity, water, gas), routine cleaning and janitorial services, equipment maintenance and repair (kitchen appliances, HVAC systems), pest control, and potential future renovations or upgrades. The specific design, materials used, and energy efficiency of the facility will significantly influence these ongoing expenses. A comprehensive lifecycle cost analysis, which should ideally be part of the initial planning and procurement process, would provide estimates for these future costs, allowing for better long-term budget planning by the Department of the Army.

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: W9128F09R0036

Offers Received: 11

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5801 W ALAMEDA AVE STE A, LAKEWOOD, CO, 07

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Emerging Small Business, Hispanic American Owned Business, Minority Owned Business, Small Business, Small Disadvantaged Business, Special Designations

Financial Breakdown

Contract Ceiling: $14,749,894

Exercised Options: $14,749,894

Current Obligation: $14,749,894

Contract Characteristics

Cost or Pricing Data: NO

Timeline