Army Reserve Center Construction Contract Re-awarded for $22.6M After Protest, Firm Fixed Price
Contract Overview
Contract Amount: $22,652,305 ($22.7M)
Contractor: Blinderman Construction CO Inc
Awarding Agency: Department of Defense
Start Date: 2017-05-12
End Date: 2019-11-12
Contract Duration: 914 days
Daily Burn Rate: $24.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF RE-AWARD OF THE DESIGN AND CONSTRUCTION OF AN ARMY RESERVE CENTER (ARC) AT ARLINGTON HEIGHTS, IL FOLLOWING CORRECTIVE ACTION TAKEN BY THE AGENCY IN RESPONSE TO PROTESTS RECEIVED.
Place of Performance
Location: ARLINGTON HEIGHTS, COOK County, ILLINOIS, 60006
State: Illinois Government Spending
Plain-Language Summary
Department of Defense obligated $22.7 million to BLINDERMAN CONSTRUCTION CO INC for work described as: IGF::OT::IGF RE-AWARD OF THE DESIGN AND CONSTRUCTION OF AN ARMY RESERVE CENTER (ARC) AT ARLINGTON HEIGHTS, IL FOLLOWING CORRECTIVE ACTION TAKEN BY THE AGENCY IN RESPONSE TO PROTESTS RECEIVED. Key points: 1. Contract awarded to BLINDERMAN CONSTRUCTION CO INC for $22.6M. 2. Construction is for an Army Reserve Center in Arlington Heights, IL. 3. Full and open competition was used after initial exclusion of sources. 4. The contract type is Firm Fixed Price, indicating price certainty. 5. Project duration is 914 days.
Value Assessment
Rating: fair
The contract value of $22.6M for an Army Reserve Center is a significant investment. Benchmarking against similar construction projects would be necessary to assess if this price is competitive, especially considering the corrective actions taken post-protest.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after initial source exclusion, suggesting an attempt to broaden the bidding pool. The corrective action taken in response to protests indicates potential issues in the initial procurement process that may have impacted price discovery.
Taxpayer Impact: Taxpayer funds are being used for this construction project. The re-award process and potential delays due to protests could increase overall project costs.
Public Impact
Military readiness is enhanced by new facilities for Army Reserve personnel. Local economy may benefit from construction jobs and related services. Potential for increased transparency and fairness in government contracting due to protest resolution.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Corrective action after protest suggests initial procurement flaws.
- Long project duration (914 days) increases risk of cost overruns or delays.
Positive Signals
- Full and open competition was ultimately utilized.
- Firm Fixed Price contract provides cost certainty.
Sector Analysis
This project falls under Commercial and Institutional Building Construction. Spending in this sector can vary widely based on project scope, location, and economic conditions. Federal construction projects often face scrutiny due to their scale and public funding.
Small Business Impact
The data indicates the contract was awarded to BLINDERMAN CONSTRUCTION CO INC and does not specify if small businesses were involved as subcontractors. Further investigation would be needed to determine small business participation.
Oversight & Accountability
The corrective action taken in response to protests suggests that oversight mechanisms are functioning, albeit leading to a re-award. Ensuring accountability throughout the construction phase will be crucial.
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 long project duration.
- Initial procurement process involved protests and corrective actions, indicating potential flaws.
- Lack of detail on small business participation.
- Need for further analysis to benchmark price competitiveness.
Tags
commercial-and-institutional-building-co, department-of-defense, il, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.7 million to BLINDERMAN CONSTRUCTION CO INC. IGF::OT::IGF RE-AWARD OF THE DESIGN AND CONSTRUCTION OF AN ARMY RESERVE CENTER (ARC) AT ARLINGTON HEIGHTS, IL FOLLOWING CORRECTIVE ACTION TAKEN BY THE AGENCY IN RESPONSE TO PROTESTS RECEIVED.
Who is the contractor on this award?
The obligated recipient is BLINDERMAN 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 $22.7 million.
What is the period of performance?
Start: 2017-05-12. End: 2019-11-12.
What were the specific reasons for the initial exclusion of sources and the subsequent protests?
The provided data does not detail the specific reasons for the initial exclusion of sources or the nature of the protests. Understanding these details is crucial for assessing the integrity of the procurement process and whether the corrective actions fully addressed the underlying issues. This information would shed light on potential systemic weaknesses or specific procedural errors.
How does the final awarded price compare to the initial bid or estimated cost before the protest?
The data does not provide the initial bid or estimated cost before the protest, making a direct comparison impossible. Knowing this would help determine if the corrective actions and re-award process resulted in a more or less favorable price for the government. It's essential to understand if the final price reflects fair market value or if the protest process led to cost escalations.
What is the projected impact of the 914-day duration on the overall cost and the Army's operational readiness?
A 914-day duration for construction presents significant risks for cost escalation due to inflation, material price fluctuations, and potential unforeseen site conditions. Furthermore, such a lengthy timeline could delay the operational readiness of the Army Reserve unit intended to use the facility, potentially impacting training and deployment capabilities.
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
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 224 N. DESPLAINES STREET SUITE 650, CHICAGO, IL, 60661
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $22,823,305
Exercised Options: $22,652,305
Current Obligation: $22,652,305
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2017-05-12
Current End Date: 2019-11-12
Potential End Date: 2020-04-12 00:00:00
Last Modified: 2020-10-03
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