DoD's $15M Readiness Center Construction Contract Awarded to Baggette Construction, Inc. in 2007

Contract Overview

Contract Amount: $14,966,896 ($15.0M)

Contractor: Baggette Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2007-08-27

End Date: 2009-07-31

Contract Duration: 704 days

Daily Burn Rate: $21.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COMBINATION (TWO OR MORE)

Sector: Construction

Official Description: CONSTRUCTION OF READINESS CENTER AT FT MCCLELLAN, AL

Place of Performance

Location: ANNISTON, CALHOUN County, ALABAMA, 36205

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $15.0 million to BAGGETTE CONSTRUCTION, INC. for work described as: CONSTRUCTION OF READINESS CENTER AT FT MCCLELLAN, AL Key points: 1. The contract value of $14.97 million for a readiness center construction project represents a significant investment in military infrastructure. 2. The project was awarded through full and open competition, suggesting a robust bidding process. 3. The duration of the contract (704 days) indicates a substantial construction timeline. 4. The absence of small business set-aside flags suggests the primary contractor is not a small business, and subcontracting opportunities for small businesses are not explicitly mandated by this contract. 5. The contract was awarded by the Department of the Army, a major component of the Department of Defense. 6. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction.

Value Assessment

Rating: fair

Benchmarking the value of this 2007 construction contract is challenging without specific cost breakdowns or comparable project data from that period. The reported award amount of $14.97 million needs to be assessed against the scope of work, which included the construction of a readiness center. Without detailed cost per square foot or per unit of facility, a precise value-for-money assessment is difficult. However, the bid range of $2.13 million suggests significant variation among bidders, which could indicate differing cost estimations or approaches.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. The presence of 6 bidders indicates a competitive environment for this construction project. A higher number of bidders generally leads to more competitive pricing and a greater likelihood of selecting the best value proposal for the government. The bid range of $2.13 million suggests that while competition existed, there were notable differences in the bids submitted.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it promotes competitive pricing and ensures the government receives the best possible value for its investment.

Public Impact

The primary beneficiaries of this contract are the U.S. Army personnel who will utilize the new readiness center. The services delivered include the construction of a new facility designed to support military readiness and training. The geographic impact is localized to Fort McClellan, Alabama, enhancing military infrastructure in that specific region. The project likely involved a significant number of construction workers, contributing to local employment and the skilled trades sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns given the project's duration and the inherent complexities of large-scale construction.
Risk of schedule delays impacting the operational readiness of the facility.
Quality control during construction is a standard concern for large infrastructure projects.
Ensuring compliance with all environmental and safety regulations throughout the construction process.

Positive Signals

Awarded through full and open competition, suggesting a competitive bidding process that should yield fair pricing.
The contract was awarded to Baggette Construction, Inc., implying they met the qualifications and requirements set forth.
The project aims to enhance military readiness, a critical function for national defense.
The construction is located at Fort McClellan, AL, indicating a specific and necessary infrastructure development.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant part of the broader construction industry. The construction of military facilities like readiness centers is a specialized niche within this sector, often involving stringent security and operational requirements. Comparable spending benchmarks for military construction projects can vary widely based on size, complexity, and location. The Department of Defense is a major client for construction services, with significant annual spending on infrastructure development and maintenance.

Small Business Impact

The contract data indicates that this was not a small business set-aside, and the primary contractor, Baggette Construction, Inc., is not flagged as a small business. This suggests that opportunities for small businesses would primarily arise through subcontracting. Without specific subcontracting plans mandated in the award details, the extent of small business participation is not explicitly defined, though large prime contractors often engage small businesses for specialized services.

Oversight & Accountability

Oversight for this construction contract would typically be managed by the contracting officer and project management personnel within the Department of the Army. Accountability measures would include adherence to contract specifications, quality control inspections, and timely completion. Transparency is generally maintained through contract award databases and public reporting, although detailed project-specific oversight reports may not always be publicly accessible. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Military Construction Projects
Department of Defense Facilities
Readiness and Training Centers
General Building Construction

Risk Flags

Potential for cost overruns
Risk of schedule delays
Quality control concerns
Safety compliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.0 million to BAGGETTE CONSTRUCTION, INC.. CONSTRUCTION OF READINESS CENTER AT FT MCCLELLAN, AL

Who is the contractor on this award?

The obligated recipient is BAGGETTE 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 $15.0 million.

What is the period of performance?

Start: 2007-08-27. End: 2009-07-31.

What was the specific scope of work for the Readiness Center construction at Fort McClellan?

The specific scope of work for the Readiness Center construction at Fort McClellan, Alabama, involved the physical building of a new facility intended to support military readiness and training operations. While the provided data does not detail the exact square footage, number of rooms, or specific amenities, it is understood to be a comprehensive construction project. This would typically include site preparation, foundation work, structural erection, installation of utilities (electrical, plumbing, HVAC), interior finishing, and potentially exterior landscaping and parking facilities. The project aimed to provide a modern and functional space for military personnel stationed at or utilizing Fort McClellan.

How does the bid range of $2.13 million compare to the final award amount of $14.97 million?

The bid range of $2.13 million is not directly comparable to the final award amount of $14.97 million as presented. It is highly probable that the 'br' (bid range) value of 21260 represents a different metric or a typo, as a bid range of $2,130 would be exceptionally low for a project of this magnitude. Assuming 'br' might represent a percentage or a different unit, it's difficult to draw a direct conclusion. If 'br' were intended to be a dollar amount, it would imply a significant discrepancy between the lowest bid and the awarded contract value, which would warrant further investigation into the bidding process and award justification. However, given the context of a $14.97 million award, a bid range of $2.13 million is not logically feasible.

What were the key performance indicators (KPIs) for this construction contract?

Key performance indicators (KPIs) for a construction contract of this nature typically revolve around schedule adherence, cost control, quality of workmanship, and safety compliance. For this specific contract, KPIs would likely have included meeting the substantial completion date of July 31, 2009, and staying within the awarded budget of $14.97 million. Quality would be assessed through inspections against architectural and engineering specifications, ensuring materials and construction methods met required standards. Safety KPIs would involve tracking incident rates and ensuring compliance with all OSHA and military-specific safety regulations throughout the construction period. Adherence to environmental regulations would also be a critical KPI.

What is the significance of the NAICS code 236220 for this contract?

The North American Industry Classification System (NAICS) code 236220 signifies 'Commercial and Institutional Building Construction.' This code accurately categorizes the primary activity of the contract, which is the construction of a readiness center. This classification helps in understanding the industry context, identifying comparable projects, and analyzing market trends within the commercial and institutional building sector. It indicates that the contractor is involved in building structures intended for commercial or public use, rather than residential or heavy civil engineering projects. This specificity aids in benchmarking costs, labor requirements, and regulatory considerations relevant to this type of construction.

Were there any notable challenges or issues reported during the execution of this contract?

The provided data does not contain specific details regarding challenges or issues encountered during the execution of this contract. However, large-scale construction projects, especially those for military installations, can commonly face challenges such as unforeseen site conditions, weather delays, material shortages, labor disputes, or changes in project requirements. Without access to project close-out reports, inspection records, or contract modification histories, it is impossible to identify any specific notable challenges that may have arisen during the construction of the readiness center at Fort McClellan.

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: SEALED BID

Solicitation ID: W912JA07B0002

Offers Received: 6

Pricing Type: COMBINATION (TWO OR MORE) (2)

Evaluated Preference: NONE

Contractor Details

Address: 4603 MARSHA AVE SE, DECATUR, AL, 05

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $15,001,173

Exercised Options: $15,001,173

Current Obligation: $14,966,896

Contract Characteristics

Cost or Pricing Data: NO

Timeline