DoD Awards $21.2M for Denver Maintenance Facility Construction to Peter Vander Werff Construction
Contract Overview
Contract Amount: $21,194,151 ($21.2M)
Contractor: Peter Vander Werff Construction, Inc.
Awarding Agency: Department of Defense
Start Date: 2023-09-29
End Date: 2026-01-06
Contract Duration: 830 days
Daily Burn Rate: $25.5K/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: CONSTRUCTION OF JP MARTINEZ ARC - AREA MAINTENANCE SUPPORT ACTIVITY, DENVER, CO
Place of Performance
Location: DENVER, DENVER County, COLORADO, 80239
State: Colorado Government Spending
Plain-Language Summary
Department of Defense obligated $21.2 million to PETER VANDER WERFF CONSTRUCTION, INC. for work described as: CONSTRUCTION OF JP MARTINEZ ARC - AREA MAINTENANCE SUPPORT ACTIVITY, DENVER, CO Key points: 1. Contract awarded for construction of JP Martinez ARC in Denver, CO. 2. Peter Vander Werff Construction, Inc. secured the $21.2 million contract. 3. The project falls under the Commercial and Institutional Building Construction sector. 4. Awarded via full and open competition after exclusion of sources, indicating a specific justification for the procurement method.
Value Assessment
Rating: good
The contract value of $21.2 million appears reasonable for a large-scale construction project of this nature. Benchmarking against similar Department of the Army maintenance facility projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The procurement utilized 'full and open competition after exclusion of sources,' suggesting that while competition was sought, certain sources were initially excluded. This method can impact price discovery if the exclusion was not fully justified or if it limited the pool of qualified bidders.
Taxpayer Impact: Taxpayer funds are being utilized for essential infrastructure development, with competition aiming to secure the best value.
Public Impact
Enhances critical maintenance and support capabilities for the Department of the Army in Denver. Supports local economic activity through construction jobs and material procurement. Ensures operational readiness by providing a dedicated facility for maintenance activities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large construction projects.
- Ensuring compliance with environmental and safety regulations during construction.
Positive Signals
- Addresses a clear need for improved maintenance infrastructure.
- Awarded through a competitive process, aiming for cost-effectiveness.
- Long-term benefit to military operational capabilities.
Sector Analysis
This contract falls within the Construction sector, specifically Commercial and Institutional Building Construction. Spending in this sector is often driven by infrastructure needs, modernization efforts, and facility upgrades across various government agencies.
Small Business Impact
The data does not indicate specific subcontracting goals for small businesses on this contract. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The Department of the Army's oversight will be crucial to ensure the project stays on schedule, within budget, and meets all quality and safety standards.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for scope creep leading to budget increases.
- Risk of delays due to unforeseen site conditions or material shortages.
- Ensuring the selected contractor has adequate bonding and insurance.
- Post-construction warranty and defect resolution.
Tags
commercial-and-institutional-building-co, department-of-defense, co, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $21.2 million to PETER VANDER WERFF CONSTRUCTION, INC.. CONSTRUCTION OF JP MARTINEZ ARC - AREA MAINTENANCE SUPPORT ACTIVITY, DENVER, CO
Who is the contractor on this award?
The obligated recipient is PETER VANDER WERFF 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 $21.2 million.
What is the period of performance?
Start: 2023-09-29. End: 2026-01-06.
What specific factors led to the exclusion of certain sources in the 'full and open competition after exclusion of sources' method, and how did this impact the final price?
The exclusion of sources typically occurs when specific capabilities, security clearances, or past performance are required that only a limited number of contractors possess. This can reduce competition, potentially leading to higher prices than a truly open competition. A detailed review of the solicitation documents and award justification would clarify the reasons for exclusion and its pricing implications.
What are the key performance indicators (KPIs) for this construction project, and how will their achievement be measured to ensure value for taxpayer money?
Key performance indicators for construction projects often include adherence to schedule, budget compliance, quality of workmanship, and safety record. The Department of the Army will likely establish specific metrics and inspection protocols to monitor progress and quality. Regular progress reports, site inspections, and final acceptance criteria will be used to measure performance and ensure the project delivers the intended value.
Beyond the initial construction, what is the long-term operational and maintenance cost projection for this facility, and has this been factored into the overall value assessment?
The initial contract focuses on construction. Long-term operational and maintenance costs are typically budgeted separately and are crucial for a complete value assessment. While not detailed here, the Department of the Army would consider lifecycle costs when planning for facilities. Understanding these future costs is essential for evaluating the true long-term investment and ensuring the facility remains cost-effective to operate.
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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: W912QR19R0011
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 125 W LEXINGTON AVE, EL CAJON, CA, 92020
Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $21,195,551
Exercised Options: $21,194,151
Current Obligation: $21,194,151
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912QR21D0084
IDV Type: IDC
Timeline
Start Date: 2023-09-29
Current End Date: 2026-01-06
Potential End Date: 2026-01-06 00:00:00
Last Modified: 2025-12-19
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