Department of Defense Awards $17.2M Hangar Construction Contract to SHERI - KEY
Contract Overview
Contract Amount: $17,243,306 ($17.2M)
Contractor: Sheri - KEY
Awarding Agency: Department of Defense
Start Date: 2010-05-13
End Date: 2013-05-31
Contract Duration: 1,114 days
Daily Burn Rate: $15.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 8
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: CONSTRUCT HANGAR
Place of Performance
Location: BANGOR, PENOBSCOT County, MAINE, 04401
State: Maine Government Spending
Plain-Language Summary
Department of Defense obligated $17.2 million to SHERI - KEY for work described as: CONSTRUCT HANGAR Key points: 1. Contract awarded to SHERI - KEY for hangar construction. 2. Full and open competition was utilized after exclusion of sources. 3. The contract value is $17,243,305.76. 4. The contract duration was 1114 days.
Value Assessment
Rating: good
The contract value of $17.2M for hangar construction appears reasonable given the duration and scope. Benchmarking against similar large-scale construction projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive bidding process. This method generally promotes price discovery and ensures fair market value.
Taxpayer Impact: The competitive nature of the award suggests taxpayers received fair value for the funds expended on this hangar construction.
Public Impact
Supports military readiness by providing necessary infrastructure. Creates jobs in the construction sector and related industries. Enhances operational capabilities for the Department of Defense.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large construction projects.
- Dependence on a single contractor for a significant duration.
Positive Signals
- Awarded through full and open competition.
- Clear contract type (firm fixed price) limits cost uncertainty.
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector for the Department of Defense is substantial, supporting infrastructure critical for military operations.
Small Business Impact
The data indicates that small business participation was not a stated requirement or outcome for this contract (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed.
Oversight & Accountability
The contract was awarded by the Department of the Army, a component of the Department of Defense. Standard oversight mechanisms for federal construction projects would apply.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for scope creep in construction projects.
- Risk of delays impacting military operational readiness.
- Contractor performance history not detailed.
- Geographic location (Maine) may present weather-related construction challenges.
Tags
commercial-and-institutional-building-co, department-of-defense, me, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $17.2 million to SHERI - KEY. CONSTRUCT HANGAR
Who is the contractor on this award?
The obligated recipient is SHERI - KEY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $17.2 million.
What is the period of performance?
Start: 2010-05-13. End: 2013-05-31.
What was the specific reason for excluding other sources before the full and open competition?
The exclusion of sources prior to full and open competition suggests a specific requirement or circumstance that initially limited the pool of eligible bidders. This could be due to specialized capabilities, unique site conditions, or prior development work. Understanding this exclusion is key to assessing the true competitiveness of the procurement.
How does the final contract price compare to the initial bid or estimated cost?
While the final award price is $17.2M, information on the initial bid range or government estimate is not provided. Comparing the final price to these benchmarks is crucial for evaluating cost-effectiveness. A significant variance could indicate issues with initial estimates or contractor pricing strategies.
What are the long-term maintenance and operational costs associated with this hangar?
The contract focuses on construction, not long-term costs. Assessing the total lifecycle cost, including maintenance, utilities, and operational expenses for the hangar, is essential for a complete understanding of the taxpayer impact. These ongoing costs can often exceed the initial construction expenditure.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912JD10R0001
Offers Received: 8
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 33 SHERIDAN DR, FAIRFIELD, ME, 02
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $17,243,306
Exercised Options: $17,243,306
Current Obligation: $17,243,306
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2010-05-13
Current End Date: 2013-05-31
Potential End Date: 2013-05-31 00:00:00
Last Modified: 2013-04-18
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)