Army's $342M Germany Construction Contract Awarded to Bundesamt für Bauwesen und Raumordnung

Contract Overview

Contract Amount: $10,264,321 ($10.3M)

Contractor: Bundesamt F¿R Bauwesen UND Raumordnung

Awarding Agency: Department of Defense

Start Date: 2004-01-25

End Date: 2011-07-06

Contract Duration: 2,719 days

Daily Burn Rate: $3.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: 200508!500045!2100!W912GB!USA ENGINEER DISTRICT, EUROPE !W912GB04C0002 !A!N! !N! !P00001!20050125!20050930!342257649!342257649!342257649!N!FEDERAL REPUBLIC OF GERMANY !POSTFACH 7360 !KOBLENZ !GM!56073!00000! !GM!* !* !GERMANY !+000000261615!N!N!000000000000!Y199!OTHER MISCELLANEOUS BUILDINGS !C2 !CONSTRUCTION !000 !* !541310!E! !3! ! !B! ! !20200930!B! ! !N!Z!A!U!J!2!002!B! !Z!N!Z!B!GM!N!L!U! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! ! !0001! !

Plain-Language Summary

Department of Defense obligated $10.3 million to BUNDESAMT F¿R BAUWESEN UND RAUMORDNUNG for work described as: 200508!500045!2100!W912GB!USA ENGINEER DISTRICT, EUROPE !W912GB04C0002 !A!N! !N! !P00001!20050125!20050930!342257649!342257649!342257649!N!FEDERAL REPUBLIC OF GERMANY !POSTFACH 7360 !KOBLENZ !GM!56073!00000! !GM!* !* … Key points: 1. The contract, valued at $342,257,649, is for construction services in Germany. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. The contract duration is 2719 days, spanning from January 2005 to July 2011. 4. The primary service category is Architectural Services (NAICS 541310).

Value Assessment

Rating: fair

The contract value of $342M is substantial. Without specific per-unit cost data or benchmarks for similar large-scale construction projects in Germany, a precise pricing assessment is difficult. However, the duration suggests a long-term commitment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, suggesting that multiple bidders had the opportunity to submit proposals. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The competitive nature of the award is intended to ensure taxpayer funds are used efficiently for necessary construction services.

Public Impact

Significant federal investment in construction services abroad. Potential impact on local German construction markets and labor. Long-term commitment of resources for infrastructure development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long contract duration may lead to cost overruns or scope creep.
  • Potential for economic fluctuations impacting project costs over 7+ years.
  • Geopolitical risks associated with long-term projects in international locations.

Positive Signals

  • Full and open competition suggests a fair market approach.
  • Clear service category (Architectural Services) provides focus.
  • Awarded by a reputable agency (US Army Corps of Engineers).

Sector Analysis

This contract falls under the construction sector, specifically architectural services. Federal spending in this area often supports infrastructure development, military base improvements, and international projects. Benchmarks for large-scale construction contracts can vary widely based on location, scope, and complexity.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. The awardee, Bundesamt für Bauwesen und Raumordnung, is a government agency, suggesting this was not a small business contract.

Oversight & Accountability

The contract was awarded by the Department of the Army, indicating established oversight mechanisms. However, the long duration necessitates continuous monitoring to ensure performance and cost control.

Related Government Programs

  • Architectural Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Long contract duration increases risk of cost escalation.
  • International location introduces geopolitical and logistical complexities.
  • Lack of specific project details hinders full understanding of scope.
  • Potential for economic shifts impacting material and labor costs over time.

Tags

architectural-services, department-of-defense, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.3 million to BUNDESAMT F¿R BAUWESEN UND RAUMORDNUNG. 200508!500045!2100!W912GB!USA ENGINEER DISTRICT, EUROPE !W912GB04C0002 !A!N! !N! !P00001!20050125!20050930!342257649!342257649!342257649!N!FEDERAL REPUBLIC OF GERMANY !POSTFACH 7360 !KOBLENZ !GM!56073!00000! !GM!* !* !GERMANY !+000000261615!N!N!000000000000!Y199!OTHER MISCELLANEOUS BUILDINGS !C2 !CONSTRUCTION !000 !* !541310!E! !3! ! !B! ! !202

Who is the contractor on this award?

The obligated recipient is BUNDESAMT F¿R BAUWESEN UND RAUMORDNUNG.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $10.3 million.

What is the period of performance?

Start: 2004-01-25. End: 2011-07-06.

What specific construction projects were undertaken under this contract, and how did they align with US Army Europe's mission objectives?

The contract was for 'OTHER MISCELLANEOUS BUILDINGS' and 'CONSTRUCTION' services. Without further details, it's difficult to ascertain the exact nature of the buildings or projects. However, such contracts typically support infrastructure needs for military installations, housing, or operational facilities within the European theater, directly aligning with the Army's mission to maintain readiness and operational capabilities abroad.

What were the key performance indicators and quality assurance measures implemented to manage this multi-year construction project effectively?

Standard government contracts of this magnitude typically include detailed performance work statements, quality assurance surveillance plans (QASP), and regular progress reviews. Specific KPIs would likely focus on schedule adherence, budget management, safety compliance, and the quality of construction against specified standards. The contracting officer's representative (COR) would be responsible for monitoring these aspects.

How did the competitive bidding process ensure the best value was achieved for the taxpayer, given the significant contract value and duration?

The 'full and open competition' designation suggests that multiple qualified firms were invited to bid, fostering a competitive environment. The evaluation criteria, likely including technical approach, past performance, and price, would have been used to select the offer that represented the best value. The long duration, however, necessitates careful monitoring to ensure the initial value proposition holds throughout the project lifecycle.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesArchitectural Services

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Bundesamt FÜR Bauwesen UND Raumordnung (UEI: 332619535)

Address: DEICHMANNS AUE 31-37, BONN

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2004-01-25

Current End Date: 2011-07-06

Potential End Date: 2011-07-06 00:00:00

Last Modified: 2012-06-28

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