DoD Awards $36.4M Construction Contract to BL Harbert International for 2nd ID HQ
Contract Overview
Contract Amount: $36,353,393 ($36.4M)
Contractor: BL Harbert International LLC
Awarding Agency: Department of Defense
Start Date: 2014-10-10
End Date: 2017-12-20
Contract Duration: 1,167 days
Daily Burn Rate: $31.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF CONSTSVCS FOR 2ND ID HQ OPERATIONS AREA
Plain-Language Summary
Department of Defense obligated $36.4 million to BL HARBERT INTERNATIONAL LLC for work described as: IGF::OT::IGF CONSTSVCS FOR 2ND ID HQ OPERATIONS AREA Key points: 1. Significant investment in military infrastructure for 2nd ID HQ. 2. BL Harbert International, a large business, secured the contract. 3. Risk of cost overruns or delays in large construction projects. 4. Construction sector spending is substantial, requiring careful oversight.
Value Assessment
Rating: fair
The contract value of $36.4M is substantial for heavy engineering construction. Benchmarking against similar large-scale military construction projects would be necessary to fully assess its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.
Taxpayer Impact: Taxpayer funds are being utilized for essential military infrastructure development, aiming for long-term operational benefits.
Public Impact
Enhances operational capabilities and readiness for the 2nd Infantry Division. Supports the construction industry and associated jobs. Represents a significant federal investment in military base infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for construction cost overruns.
- Schedule delays impacting operational readiness.
- Quality control during construction.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract limits cost uncertainty.
- Addresses critical infrastructure needs.
Sector Analysis
This contract falls within the heavy and civil engineering construction sector, which is a significant area of federal spending, particularly for defense infrastructure. Benchmarks for similar projects would indicate typical cost ranges and timelines.
Small Business Impact
The contract was awarded to BL Harbert International LLC, a large business. There is no indication of small business subcontracting in the provided data.
Oversight & Accountability
Oversight would typically involve contract management by the Department of the Army to ensure adherence to specifications, budget, and schedule, mitigating risks associated with large construction projects.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns due to unforeseen site conditions.
- Risk of schedule delays impacting military readiness.
- Ensuring quality of construction meets military standards.
- Contractor performance and financial stability.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $36.4 million to BL HARBERT INTERNATIONAL LLC. IGF::OT::IGF CONSTSVCS FOR 2ND ID HQ OPERATIONS AREA
Who is the contractor on this award?
The obligated recipient is BL HARBERT INTERNATIONAL LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $36.4 million.
What is the period of performance?
Start: 2014-10-10. End: 2017-12-20.
What is the typical cost per square foot for similar military construction projects of this scale?
The cost per square foot for similar military construction projects can vary widely based on location, complexity, and specific requirements. However, for large-scale facilities, costs can range from $300 to $700 per square foot or more. A detailed analysis would require comparing the project's scope and specifications against recent, comparable federal construction contracts.
What are the primary risks associated with the firm fixed price contract type for this project?
While a firm fixed price contract aims to control costs, risks can still emerge. These include potential disputes over change orders if the scope expands, contractor underestimation of costs leading to quality compromises, or unforeseen site conditions requiring costly modifications. Effective contract management is crucial to mitigate these risks.
How does this investment contribute to the overall effectiveness and readiness of the 2nd Infantry Division?
This investment is critical for modernizing and consolidating the 2nd Infantry Division's headquarters, directly enhancing operational effectiveness and readiness. Improved facilities can streamline command and control, provide better living and working conditions for personnel, and ensure the infrastructure can support current and future mission requirements.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912UM14R0002
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: B.L. Harbert Holdings, L.L.C. (UEI: 147371236)
Address: 820 SHADES CREEK PKWY STE 3000, BIRMINGHAM, AL, 35209
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership
Financial Breakdown
Contract Ceiling: $36,353,393
Exercised Options: $36,353,393
Current Obligation: $36,353,393
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $55,802
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2014-10-10
Current End Date: 2017-12-20
Potential End Date: 2017-12-20 00:00:00
Last Modified: 2021-02-25
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