DOD Awards $20.4M Construction Contract to Joint Venture for Building Services

Contract Overview

Contract Amount: $20,371,379 ($20.4M)

Contractor: Joint Venture Bilfinger Berger Government Services Gmbh UND Besix Belgien

Awarding Agency: Department of Defense

Start Date: 2010-09-30

End Date: 2012-10-23

Contract Duration: 754 days

Daily Burn Rate: $27.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BASE BID

Plain-Language Summary

Department of Defense obligated $20.4 million to JOINT VENTURE BILFINGER BERGER GOVERNMENT SERVICES GMBH UND BESIX BELGIEN for work described as: BASE BID Key points: 1. The contract, valued at $20.4 million, was awarded under full and open competition. 2. The awardee is a joint venture, indicating potential for specialized expertise. 3. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 4. The project falls under Commercial and Institutional Building Construction, a broad sector. 5. The duration of 754 days suggests a significant scope of work.

Value Assessment

Rating: fair

The base bid of $20.4 million is the primary data point. Without comparable contract data for similar building construction projects of this scale and complexity, a precise value assessment is difficult. However, the existence of competition suggests the price was deemed reasonable by the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, allowing all responsible sources to submit bids. This method generally promotes price discovery and competitive pricing, as multiple bidders vie for the contract.

Taxpayer Impact: The competitive bidding process aims to ensure taxpayer funds are used efficiently by securing the best value for the government.

Public Impact

Ensures necessary building infrastructure for Department of the Army operations. Supports jobs within the construction sector through the awarded contract. Provides a tangible asset for military facilities. The fixed-price nature protects the government from cost overruns.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of detailed cost breakdown for the bid.
  • Potential for contractor performance issues over the 754-day duration.
  • Limited information on the specific building services required.

Positive Signals

  • Awarded under full and open competition.
  • Firm Fixed Price contract type.
  • Awardee is a joint venture, potentially bringing diverse capabilities.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector is driven by infrastructure needs across various government agencies. Benchmarks would typically compare cost per square foot or cost per project for similar facility types and complexities.

Small Business Impact

The data indicates the awardee is a joint venture, not explicitly a small business. There is no information provided on whether small businesses were subcontracted, which is a missed opportunity for small business participation.

Oversight & Accountability

The award is a definitive contract, suggesting a structured procurement process. Oversight would focus on contract performance, adherence to the fixed-price terms, and timely completion of the building services.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Lack of detailed cost breakdown.
  • Potential for performance issues over a long contract duration.
  • Limited information on specific building services.
  • No explicit mention of small business subcontracting.

Tags

commercial-and-institutional-building-co, department-of-defense, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.4 million to JOINT VENTURE BILFINGER BERGER GOVERNMENT SERVICES GMBH UND BESIX BELGIEN. BASE BID

Who is the contractor on this award?

The obligated recipient is JOINT VENTURE BILFINGER BERGER GOVERNMENT SERVICES GMBH UND BESIX BELGIEN.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $20.4 million.

What is the period of performance?

Start: 2010-09-30. End: 2012-10-23.

What specific building services are included in this $20.4 million contract, and how do they align with the agency's operational needs?

The provided data lacks specifics on the building services. A comprehensive analysis would require reviewing the contract's Statement of Work (SOW) to understand the scope, such as maintenance, repair, upgrades, or new construction. Understanding these details is crucial to assess if the $20.4 million represents good value for the essential functions it supports for the Department of the Army.

Given the 754-day duration and firm fixed price, what are the primary risks associated with contractor performance and potential cost impacts?

The primary risks include contractor underperformance leading to delays or subpar quality, and unforeseen site conditions or material price escalations that could strain the contractor's ability to meet the fixed price. The government's risk is primarily related to potential disputes or the need for contract modifications if the scope changes or performance issues arise.

How effectively does the full and open competition process ensure optimal value for taxpayer dollars in this construction contract?

Full and open competition is designed to maximize value by encouraging multiple bids, which typically drives down prices. The effectiveness here hinges on the number and quality of bids received, the clarity of the solicitation, and the agency's evaluation process. If competition was robust, it likely resulted in a fair price, but further analysis of the bid landscape would confirm optimal value.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912GB10R0026

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: WILHELM-THEODOR-ROMHELD-STR. 16, MAINZ

Business Categories: Category Business, Foreign Owned, International Organization, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $20,371,379

Exercised Options: $20,371,379

Current Obligation: $20,371,379

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2010-09-30

Current End Date: 2012-10-23

Potential End Date: 2012-10-23 00:00:00

Last Modified: 2016-02-20

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