DoD's $26.6M FT Knox Training Structure Contract Awarded to P & R JV Under Full and Open Competition

Contract Overview

Contract Amount: $26,615,197 ($26.6M)

Contractor: P & R JV

Awarding Agency: Department of Defense

Start Date: 2022-12-29

End Date: 2025-06-23

Contract Duration: 907 days

Daily Burn Rate: $29.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FT KNOX TARGET TRAINING STRUCTURE

Place of Performance

Location: FORT KNOX, HARDIN County, KENTUCKY, 40121

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $26.6 million to P & R JV for work described as: FT KNOX TARGET TRAINING STRUCTURE Key points: 1. The contract for a training structure at Fort Knox is valued at $26.6 million. 2. P & R JV secured the award through full and open competition. 3. The contract is a firm-fixed-price definitive contract with a duration of 907 days. 4. The awarding agency is the Department of the Army, part of the Department of Defense. 5. The project falls under the Commercial and Institutional Building Construction sector.

Value Assessment

Rating: good

The contract value of $26.6 million for a training structure appears reasonable given the scope and duration. Benchmarking against similar construction projects of this scale would provide a more precise assessment, but the firm-fixed-price structure suggests cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive bidding process is expected to yield a fair price, maximizing taxpayer value for the construction of this essential training facility.

Public Impact

Military personnel will benefit from a new, modern training structure at Fort Knox. The construction project will likely create jobs in the Kentucky region. The facility will support readiness and enhance training capabilities for the U.S. Army.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if unforeseen site conditions arise.
  • Dependence on contractor's ability to meet schedule and quality standards.

Positive Signals

  • Firm-fixed-price contract provides cost certainty.
  • Full and open competition likely resulted in competitive pricing.
  • Strategic location at Fort Knox enhances training effectiveness.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector is crucial for infrastructure development and military readiness. Benchmarks for similar projects vary widely based on size, complexity, and location, but a $26.6 million project suggests a significant undertaking.

Small Business Impact

The contract was awarded to P & R JV. Further analysis is needed to determine the extent of small business participation within this joint venture or as subcontractors on this project.

Oversight & Accountability

The Department of the Army is responsible for oversight of this contract. Standard procurement regulations and contract management practices are expected to ensure accountability and adherence to terms.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Contract duration is substantial (907 days), increasing exposure to market fluctuations.
  • Potential for scope creep if requirements are not clearly defined.
  • Dependence on a single contractor (P & R JV) for project completion.
  • Geographic concentration of the project in Kentucky.

Tags

commercial-and-institutional-building-co, department-of-defense, ky, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.6 million to P & R JV. FT KNOX TARGET TRAINING STRUCTURE

Who is the contractor on this award?

The obligated recipient is P & R JV.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $26.6 million.

What is the period of performance?

Start: 2022-12-29. End: 2025-06-23.

What specific training capabilities will this new structure enable or enhance for the Army?

The new training structure at Fort Knox is designed to provide a modern, versatile environment for various military training scenarios. While specific details are not provided, such facilities often incorporate advanced simulation technology, adaptable spaces for different unit sizes, and realistic operational environments to improve soldier proficiency in areas like combat readiness, tactical maneuvers, and specialized skill development.

Are there any identified risks associated with the firm-fixed-price contract type for this construction project?

Firm-fixed-price contracts offer cost certainty to the government but can pose risks to the contractor if costs escalate unexpectedly due to unforeseen issues like material price increases or site complications. For the government, the primary risk is that the contractor may cut corners on quality to maintain profitability if margins are tight, necessitating robust quality assurance and oversight.

How does the $26.6 million cost compare to similar construction projects within the Department of Defense?

Without specific details on the structure's size, complexity, and features, a direct cost comparison is challenging. However, $26.6 million for a significant institutional building project within the DoD is within a typical range. Factors like location, specialized requirements (e.g., advanced technology integration), and prevailing construction market rates in Kentucky would influence its relative cost-effectiveness.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: ARCHITECT/ENGINEER SERVICESARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912QR21R0024

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: HZE

Contractor Details

Address: 342 E DIXIE AVE, ELIZABETHTOWN, KY, 42701

Business Categories: Category Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $26,615,197

Exercised Options: $26,615,197

Current Obligation: $26,615,197

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2022-12-29

Current End Date: 2025-06-23

Potential End Date: 2025-06-23 00:00:00

Last Modified: 2025-11-06

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