DoD's $12.9M Fire Station Construction Contract Awarded to Brechbill and Helman Construction Co Inc

Contract Overview

Contract Amount: $12,937,479 ($12.9M)

Contractor: Brechbill and Helman Construction CO Inc

Awarding Agency: Department of Defense

Start Date: 2007-04-25

End Date: 2009-05-31

Contract Duration: 767 days

Daily Burn Rate: $16.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FIRE STATION/BASE SUPPLY FACILITY

Place of Performance

Location: MARTINSBURG, BERKELEY County, WEST VIRGINIA, 25401

State: West Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $12.9 million to BRECHBILL AND HELMAN CONSTRUCTION CO INC for work described as: FIRE STATION/BASE SUPPLY FACILITY Key points: 1. The contract was awarded under full and open competition, suggesting a competitive bidding process. 2. The firm-fixed-price contract type indicates that the contractor assumes the risk for cost overruns. 3. The contract duration of 767 days (approximately 2 years) suggests a moderately complex construction project. 4. The award was made by the Department of the Army, indicating a defense-related infrastructure need. 5. The project is located in West Virginia, potentially bringing economic benefits to the region. 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 specific contract is challenging without comparable recent projects for fire station construction in West Virginia. The total award amount of $12.9 million for a facility of this type and size appears within a reasonable range for large-scale construction, but a detailed cost breakdown and comparison to industry standards for similar facilities would be necessary for a more precise assessment. The firm-fixed-price nature of the contract shifts cost risk to the contractor, which can be favorable for the government if the contractor accurately estimates costs.

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 5 bidders indicates a healthy level of competition for this project. A competitive environment generally leads to better price discovery and potentially lower costs for the government, as contractors vie to offer the most attractive bid.

Taxpayer Impact: The competitive bidding process for this contract likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition award. Multiple bidders ensure that the government receives proposals reflecting market rates and efficient construction practices.

Public Impact

The primary beneficiaries are the military personnel and emergency responders who will utilize the new fire station/base supply facility. The contract delivers essential infrastructure for base operations and safety, enhancing the readiness and operational capabilities of the Army base. The geographic impact is concentrated in West Virginia, where the construction project will take place. The project will likely create temporary employment opportunities for construction workers and related trades in the local and regional economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the fixed-price contract did not adequately account for all project complexities.
Risk of construction delays impacting the operational readiness of the base.
Ensuring the quality of construction meets stringent military standards for facilities.
Availability of skilled labor in the specific geographic region for the duration of the project.

Positive Signals

Awarded under full and open competition, indicating a robust bidding process.
Firm-fixed-price contract structure places cost risk on the contractor.
The contractor, Brechbill and Helman Construction Co Inc, has experience in construction projects.
The project addresses a critical infrastructure need for base operations and safety.

Sector Analysis

The construction sector, particularly for institutional and government facilities, is characterized by significant project values and stringent regulatory requirements. This contract falls within the commercial and institutional building construction sub-sector. The market for military construction is substantial, driven by the need to maintain and upgrade aging infrastructure and build new facilities to support evolving defense strategies. Comparable spending benchmarks would typically involve analyzing other large-scale construction projects for federal agencies, especially within the Department of Defense, focusing on similar facility types and geographic regions.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). As a result, small businesses would have had to compete directly with larger firms under the full and open competition. There is no explicit information on subcontracting plans for small businesses. The absence of a small business set-aside suggests that the primary focus was on securing the most competitive bids from all responsible sources, potentially limiting direct opportunities for small businesses on this specific prime contract.

Oversight & Accountability

Oversight for this Department of the Army contract would typically be managed by the contracting officer and their representatives (CORs) within the Army Corps of Engineers or relevant installation command. Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to deliver the specified facility within the agreed-upon price and schedule. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract lifecycle.

Related Government Programs

Military Construction, Army
Base Realignment and Closure (BRAC) Construction
Department of Defense Facilities Construction
Federal Building Construction
Emergency Services Facilities Construction

Risk Flags

Potential for cost overruns
Risk of construction delays
Quality control during construction
Contractor's financial stability
Adequacy of initial scope definition

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.9 million to BRECHBILL AND HELMAN CONSTRUCTION CO INC. FIRE STATION/BASE SUPPLY FACILITY

Who is the contractor on this award?

The obligated recipient is BRECHBILL AND HELMAN CONSTRUCTION CO 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 $12.9 million.

What is the period of performance?

Start: 2007-04-25. End: 2009-05-31.

What is the track record of Brechbill and Helman Construction Co Inc. with federal contracts, particularly with the Department of Defense?

Brechbill and Helman Construction Co Inc. has a history of federal contracting, primarily with the Department of Defense. Analyzing their past performance on similar construction projects, including any awards, contract modifications, and past performance evaluations, would provide insight into their reliability and capability. Specific details on their experience with fire station construction or similar institutional facilities would be particularly relevant. A review of their contract history might reveal patterns in project completion times, cost adherence, and any disputes or claims filed. This information is crucial for assessing the risk associated with awarding them this significant contract.

How does the awarded amount of $12.9 million compare to the estimated cost or budget for this fire station project?

The awarded amount of $12.9 million represents the final negotiated price for the construction of the fire station/base supply facility. To assess value, this figure needs to be compared against the government's initial cost estimates or budget allocation for the project. If the award was significantly lower than the estimate, it could indicate strong competition or effective negotiation. Conversely, if it was close to or exceeded the estimate, it might suggest that the initial estimates were low or that the competitive landscape was less robust than anticipated. Without access to the government's pre-award estimates, a definitive value-for-money assessment based on budget adherence is not possible.

What are the key risk indicators associated with this firm-fixed-price construction contract?

The primary risk indicator for a firm-fixed-price (FFP) contract is the potential for the contractor to cut corners on quality or scope to maintain profitability if their initial cost estimates were too low or unforeseen issues arise. For this specific project, risks could include construction delays due to weather, material shortages, or labor issues, which could impact base operations. Another risk is the contractor's financial stability and capacity to manage a project of this magnitude over its 767-day duration. Ensuring adequate bonding and performance guarantees are in place is critical. The government also bears the risk if the initial scope of work was poorly defined, leading to change orders that could increase the overall cost.

What is the typical cost range for constructing a military fire station of this size and complexity?

The cost of constructing a military fire station can vary widely based on location, size, specific equipment requirements, and the complexity of the design. However, for a facility likely supporting a significant base, a budget in the range of $10 million to $20 million is not uncommon, especially considering modern safety standards, specialized bay designs for fire apparatus, and administrative/training areas. The $12.9 million award for this project appears to fall within this general range. Detailed cost breakdowns, including per-square-foot costs and specific feature costs (e.g., specialized ventilation, decontamination areas), would be needed for a precise benchmark against industry averages or similar military projects.

How has the Department of the Army's spending on construction projects like this evolved over the past five years?

Analyzing the Department of the Army's historical spending on construction projects, particularly for facilities like fire stations or operational support buildings, would provide context for the $12.9 million award. Trends in military construction spending are influenced by factors such as overall defense budgets, infrastructure modernization initiatives, and specific global security requirements. An upward trend might indicate increased investment in base infrastructure, while a downward trend could suggest budget constraints or a shift in priorities. Understanding these patterns helps assess whether this contract represents a typical investment or a deviation from historical spending levels.

What are the implications of awarding this contract to Brechbill and Helman Construction Co Inc. in terms of potential future work or competition?

A successful execution of this $12.9 million contract by Brechbill and Helman Construction Co Inc. could position them favorably for future Department of Defense construction projects. Positive past performance is a significant factor in source selection for subsequent contracts. If this project is completed on time and within budget, it enhances their reputation and competitiveness. Conversely, any significant issues could negatively impact their prospects. The level of competition observed (5 bidders) suggests that other firms are also capable and interested in such projects, maintaining a competitive environment for future solicitations.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1115 SHELLER AVE, CHAMBERSBURG, PA, 13

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $13,999,375

Exercised Options: $13,502,900

Current Obligation: $12,937,479

Contract Characteristics

Cost or Pricing Data: NO

Timeline