DoD Awards $20.3M Construction Contract to Advon Corp for Primary Facility in Georgia
Contract Overview
Contract Amount: $20,323,976 ($20.3M)
Contractor: Advon Corporation
Awarding Agency: Department of Defense
Start Date: 2024-09-17
End Date: 2028-07-10
Contract Duration: 1,392 days
Daily Burn Rate: $14.6K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: PRIMARY FACILITY
Place of Performance
Location: DAHLONEGA, LUMPKIN County, GEORGIA, 30533
State: Georgia Government Spending
Plain-Language Summary
Department of Defense obligated $20.3 million to ADVON CORPORATION for work described as: PRIMARY FACILITY Key points: 1. The contract is for commercial and institutional building construction. 2. Advon Corporation is the contractor for this $20.3 million award. 3. The contract was awarded by the Department of the Army. 4. The period of performance spans from September 2024 to July 2028. 5. This is a firm-fixed-price contract.
Value Assessment
Rating: fair
The contract value of $20.3 million for a primary facility construction project appears within a reasonable range for large-scale construction. However, without specific details on the facility's scope and complexity, a precise pricing assessment against similar contracts is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a limited competition. This method may have restricted the pool of potential bidders, potentially impacting the price discovery and the government's ability to secure the most competitive pricing.
Taxpayer Impact: The limited competition raises questions about whether taxpayers received the best possible price for this significant construction project.
Public Impact
Local economic impact through construction jobs and material sourcing in Georgia. Potential for improved infrastructure or facilities supporting military operations. Ensures a critical facility is constructed, supporting the Army's mission. Long-term asset for the Department of Defense.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may have led to higher costs.
- Contract duration is substantial, increasing risk of cost overruns or scope creep.
- Lack of small business participation noted.
Positive Signals
- Firm-fixed-price contract provides cost certainty.
- Awarded to a single contractor, potentially streamlining project management.
- Clear end date for the contract.
Sector Analysis
The construction sector is characterized by significant project values and long lead times. This contract falls within the typical range for large-scale institutional building projects, with benchmarks varying widely based on specific requirements and location.
Small Business Impact
The data indicates that small businesses were not directly involved in this contract award (ss: false, sb: false). Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses.
Oversight & Accountability
The contract's 'Full and Open Competition After Exclusion of Sources' suggests a specific justification was made for limiting the competitive pool. Oversight will be crucial to ensure the justification was sound and that the contractor meets all performance requirements.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Limited competition may result in suboptimal pricing.
- Long contract duration increases exposure to unforeseen risks.
- No explicit mention of small business subcontracting goals.
- Potential for scope creep despite fixed-price nature.
- Specifics of 'primary facility' are not detailed, hindering full value assessment.
Tags
commercial-and-institutional-building-co, department-of-defense, ga, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $20.3 million to ADVON CORPORATION. PRIMARY FACILITY
Who is the contractor on this award?
The obligated recipient is ADVON CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $20.3 million.
What is the period of performance?
Start: 2024-09-17. End: 2028-07-10.
What specific factors justified the exclusion of sources in this 'Full and Open Competition After Exclusion of Sources' award, and how did this impact the final price?
The justification for excluding sources in a 'Full and Open Competition After Exclusion of Sources' award typically involves specific technical requirements, unique capabilities, or urgent needs that only a limited number of contractors can meet. This exclusion can reduce the number of bidders, potentially leading to less aggressive pricing compared to unrestricted full and open competition. The impact on the final price depends on the competitiveness among the remaining eligible bidders and the thoroughness of the government's price analysis.
What are the key performance indicators (KPIs) for this construction contract, and how will the Department of the Army ensure timely and quality completion within budget?
Key performance indicators for this construction contract would likely include adherence to the project schedule, quality of workmanship meeting specified standards, safety compliance on-site, and effective cost management. The Department of the Army will likely employ contract officers, technical representatives, and quality assurance personnel to monitor progress, conduct inspections, review deliverables, and manage any change orders or disputes to ensure the project's successful completion within the agreed-upon terms.
Given the 4-year performance period, what mechanisms are in place to manage potential cost increases or scope creep, especially with a firm-fixed-price contract?
While a firm-fixed-price contract aims to cap costs, mechanisms to manage potential cost increases or scope creep include strict change order control processes, clear definition of contract requirements to minimize ambiguity, and robust oversight. The government will likely have procedures for evaluating any proposed changes, assessing their impact on cost and schedule, and approving them only if absolutely necessary and justified. Contractor performance monitoring will also be key to identifying and addressing potential issues early.
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: SEALED BID
Solicitation ID: W912HN24B4004
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2882 REMINGTON GREEN LN, TALLAHASSEE, FL, 32308
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $20,323,976
Exercised Options: $20,323,976
Current Obligation: $20,323,976
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2024-09-17
Current End Date: 2028-07-10
Potential End Date: 2028-07-10 00:00:00
Last Modified: 2025-09-12
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