DoD Awards $27.4M Construction Contract to CDM Constructors Inc. for Israel Site Upgrades
Contract Overview
Contract Amount: $27,403,614 ($27.4M)
Contractor: CDM Constructors Inc.
Awarding Agency: Department of Defense
Start Date: 2021-07-01
End Date: 2025-03-30
Contract Duration: 1,368 days
Daily Burn Rate: $20.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: SOFA: SITE 13850 AND 13851, ISRAEL
Plain-Language Summary
Department of Defense obligated $27.4 million to CDM CONSTRUCTORS INC. for work described as: SOFA: SITE 13850 AND 13851, ISRAEL Key points: 1. Contract value of $27.4 million for construction services. 2. CDM Constructors Inc. is the awardee. 3. Competition method was full and open, suggesting potential for competitive pricing. 4. The sector is Commercial and Institutional Building Construction.
Value Assessment
Rating: fair
The contract value of $27.4 million for construction services appears to be within a reasonable range for large-scale infrastructure projects. Benchmarking against similar DoD construction contracts in overseas locations would provide a clearer assessment of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically allows for the widest possible range of bidders and can lead to more competitive pricing. The use of a definitive contract suggests a well-defined scope of work.
Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the best value through market forces.
Public Impact
Supports U.S. military infrastructure and operations in Israel. Potential for job creation through subcontracting opportunities. Impact on local construction markets in the region.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific details on small business participation.
- Potential for cost overruns in overseas construction projects.
- Geopolitical risks associated with operating in Israel.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type can control costs.
- Long-term contract duration allows for phased execution.
Sector Analysis
The Commercial and Institutional Building Construction sector is vital for maintaining and upgrading facilities. Spending in this sector can fluctuate based on geopolitical needs and infrastructure investment priorities, with overseas projects often carrying higher logistical costs.
Small Business Impact
The data indicates that small business participation was not a stated factor in this award (ss: false, sb: false). Further investigation would be needed to determine if any subcontracting opportunities were specifically set aside for small businesses.
Oversight & Accountability
The Department of the Army, under the Department of Defense, is responsible for oversight. The use of a definitive contract and firm fixed price structure implies a degree of accountability for the contractor's performance and cost management.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns due to overseas location.
- Geopolitical risks in the region.
- Limited information on small business utilization.
- Need for detailed scope of work analysis.
- Lack of comparative pricing data for similar projects.
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 $27.4 million to CDM CONSTRUCTORS INC.. SOFA: SITE 13850 AND 13851, ISRAEL
Who is the contractor on this award?
The obligated recipient is CDM CONSTRUCTORS 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 $27.4 million.
What is the period of performance?
Start: 2021-07-01. End: 2025-03-30.
What specific types of construction or upgrades are included in the scope of work for SOFA Sites 13850 and 13851?
The provided data does not detail the specific construction activities. Further analysis of the contract's Statement of Work (SOW) or Performance Work Statement (PWS) is required to understand the exact nature of the upgrades, such as building new facilities, renovating existing structures, or installing specialized equipment. This information is crucial for assessing the project's complexity and potential risks.
How does the $27.4 million contract value compare to similar construction projects managed by the DoD in the Middle East region?
Benchmarking this contract against similar DoD construction projects in the Middle East is essential for a comprehensive value assessment. Factors like local labor costs, material availability, security requirements, and logistical challenges in Israel can significantly influence pricing. Without comparative data, it's difficult to definitively state if this award represents excellent, good, or fair value.
What measures are in place to ensure the effectiveness and timely completion of these construction projects, given the overseas location?
Effectiveness and timely completion are typically ensured through robust contract management, regular site inspections, and performance monitoring by the contracting officer's representative (COR). The firm fixed price nature of the contract incentivizes the contractor to complete the work within budget. However, the overseas location introduces potential risks like supply chain disruptions, geopolitical instability, and differing regulatory environments that require proactive risk mitigation strategies.
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: W912GB21R0006
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 75 STATE ST, SUITE 701, BOSTON, MA, 02109
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $27,403,614
Exercised Options: $27,403,614
Current Obligation: $27,403,614
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2021-07-01
Current End Date: 2025-03-30
Potential End Date: 2025-03-30 00:00:00
Last Modified: 2024-08-11
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