DOD Awards $20.7M Contract to Lydig Construction for Fitness Center in Washington
Contract Overview
Contract Amount: $20,742,037 ($20.7M)
Contractor: Lydig Construction, Inc.
Awarding Agency: Department of Defense
Start Date: 2010-04-29
End Date: 2012-09-30
Contract Duration: 885 days
Daily Burn Rate: $23.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 14
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: CONSTRUCT FITNESS CENTER
Place of Performance
Location: AIRWAY HEIGHTS, SPOKANE County, WASHINGTON, 99001
Plain-Language Summary
Department of Defense obligated $20.7 million to LYDIG CONSTRUCTION, INC. for work described as: CONSTRUCT FITNESS CENTER Key points: 1. Contract awarded to Lydig Construction, Inc. for a fitness center. 2. The contract falls under the Commercial and Institutional Building Construction sector. 3. Full and open competition was utilized for this award. 4. The project duration was 885 days. 5. The award value is $20,742,037.
Value Assessment
Rating: fair
The contract value of $20.7 million for a fitness center appears within a reasonable range for large-scale construction projects. However, without specific details on the facility's size, amenities, and location, a precise comparison is difficult. Benchmarking against similar military construction projects would provide better context.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition suggests a robust price discovery process, allowing multiple qualified contractors to bid. This method generally leads to more competitive pricing by leveraging market forces.
Taxpayer Impact: Taxpayer funds were utilized through a competitive bidding process, aiming for value for money in the construction of a military facility.
Public Impact
Enhances military readiness and quality of life for service members. Supports the local economy through construction jobs and material sourcing. Represents a significant investment in military infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large construction projects.
- Delays in project completion impacting facility availability.
- Scope creep leading to increased final costs.
Positive Signals
- Awarded through full and open competition, promoting fairness.
- Firm fixed price contract helps control costs.
- Project contributes to military infrastructure improvement.
Sector Analysis
This contract falls within the construction sector, specifically commercial and institutional building construction. Spending in this sector can fluctuate based on government infrastructure needs and budget allocations. Benchmarks for similar projects would typically consider square footage, complexity, and location.
Small Business Impact
The data indicates that this contract was not awarded to a small business. Further analysis would be needed to determine if small business subcontracting opportunities were included or pursued.
Oversight & Accountability
The Department of the Army awarded this contract, implying oversight from within the Department of Defense. Standard procurement regulations and oversight mechanisms would apply to ensure compliance and accountability.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Large contract value increases financial exposure.
- Construction projects are inherently subject to delays.
- Potential for change orders to increase final cost.
- Dependence on contractor performance for quality and timeliness.
Tags
commercial-and-institutional-building-co, department-of-defense, wa, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $20.7 million to LYDIG CONSTRUCTION, INC.. CONSTRUCT FITNESS CENTER
Who is the contractor on this award?
The obligated recipient is LYDIG CONSTRUCTION, 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 $20.7 million.
What is the period of performance?
Start: 2010-04-29. End: 2012-09-30.
What was the competitive landscape like for this specific fitness center construction project?
The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. This suggests a competitive environment where multiple construction firms likely vied for the project, potentially driving down costs and ensuring a fair market price was achieved through the bidding process.
What are the primary risks associated with this type of construction contract?
Key risks include potential construction delays due to unforeseen site conditions, weather, or supply chain issues. Cost overruns are also a concern, even with a firm fixed price, if scope changes or significant change orders are required. Ensuring quality of construction and adherence to specifications throughout the project lifecycle is another critical risk area.
How effectively does this contract contribute to the Department of Defense's mission?
This fitness center contract directly supports the Department of Defense's mission by enhancing the physical readiness and morale of service members stationed at the facility. A modern, well-equipped fitness center is crucial for maintaining troop health, well-being, and overall operational effectiveness, contributing to a higher quality of life.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912DW10R0012
Offers Received: 14
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11001 E MONTGOMERY DR, SPOKANE VALLEY, WA, 05
Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $20,742,037
Exercised Options: $20,742,037
Current Obligation: $20,742,037
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2010-04-29
Current End Date: 2012-09-30
Potential End Date: 2012-09-30 00:00:00
Last Modified: 2012-09-27
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