DoD's $30.5M Design-Build Construction Contract for Combined Support Maintenance Shop Awarded to Whiting-Turner

Contract Overview

Contract Amount: $30,449,543 ($30.4M)

Contractor: Whiting-Turner Contracting Company, the

Awarding Agency: Department of Defense

Start Date: 2013-08-27

End Date: 2017-01-11

Contract Duration: 1,233 days

Daily Burn Rate: $24.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 13

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN BUILD CONSTRUCTION - COMBINED SUPPORT MAINTENANCE SHOP (CSMS)

Place of Performance

Location: TOWSON, BALTIMORE County, MARYLAND, 21286

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $30.4 million to WHITING-TURNER CONTRACTING COMPANY, THE for work described as: DESIGN BUILD CONSTRUCTION - COMBINED SUPPORT MAINTENANCE SHOP (CSMS) Key points: 1. The contract was awarded using full and open competition, suggesting a competitive bidding process. 2. The firm-fixed-price contract type aims to control costs for the government. 3. The project involved design and build construction, indicating a comprehensive scope. 4. The contract duration was over three years, suggesting a significant project timeline. 5. The project was located in Maryland, providing regional economic impact. 6. The absence of small business set-asides means opportunities for larger contractors.

Value Assessment

Rating: fair

Benchmarking the value of this specific contract is challenging without detailed cost breakdowns and comparable project data. However, the firm-fixed-price structure suggests an attempt to cap government liability. The total award amount of $30.5 million for a combined support maintenance shop (CSMS) needs to be assessed against the scope of work, including design and construction, and the specific requirements of the Department of the Army. Without more granular cost data or comparisons to similar facilities built in the same region and timeframe, a definitive value-for-money assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 13 bids suggests a healthy level of competition for this project. A higher number of bidders generally leads to more competitive pricing and a greater likelihood that the government will receive the best value. The competition level here appears adequate for a project of this nature.

Taxpayer Impact: The robust competition for this contract likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition scenario.

Public Impact

The Department of the Army benefits from the construction of a new or upgraded maintenance facility. The project delivers essential infrastructure for military vehicle and equipment maintenance. The geographic impact is primarily within Maryland, supporting local construction and related industries. The construction phase likely created temporary jobs for skilled trades and laborers in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen issues arise during design or construction, despite the fixed-price nature.
The long duration of the contract could lead to scope creep or changes if not managed tightly.
Reliance on a single large contractor for both design and build may limit flexibility in certain aspects.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Full and open competition with multiple bidders suggests a competitive pricing environment.
The contract award to a known entity like Whiting-Turner Contracting Company may indicate a track record of successful project delivery.

Sector Analysis

The construction sector, particularly commercial and institutional building construction, is a significant area of federal spending. This contract falls within the broader category of infrastructure development for defense purposes. The market for design-build services is competitive, with numerous firms capable of undertaking large-scale government projects. Federal spending in this area is often driven by the need to modernize aging facilities or build new ones to meet evolving operational requirements.

Small Business Impact

This contract was not set aside for small businesses, and the award to Whiting-Turner Contracting Company, a large firm, indicates it was competed broadly. There is no explicit information provided regarding subcontracting plans for small businesses. Without specific set-aside requirements or mandated subcontracting goals, the direct impact on the small business ecosystem for this particular contract is likely minimal, though large prime contractors often engage small businesses for specialized services.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and project managers within the Department of the Army. The firm-fixed-price nature of the contract provides a degree of accountability for the contractor to deliver the project within the agreed-upon cost. Transparency would be enhanced through contract award notices and potentially through public reporting on project milestones, though detailed oversight mechanisms are not specified in the provided data. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Construction Projects
Department of Defense Facilities Management
Design-Build Contracts
Army Corps of Engineers Construction

Risk Flags

Potential for cost overruns if design complexity is underestimated.
Risk of scope creep during the extended project duration.
Quality control concerns if contractor faces profitability pressures.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $30.4 million to WHITING-TURNER CONTRACTING COMPANY, THE. DESIGN BUILD CONSTRUCTION - COMBINED SUPPORT MAINTENANCE SHOP (CSMS)

Who is the contractor on this award?

The obligated recipient is WHITING-TURNER CONTRACTING COMPANY, THE.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $30.4 million.

What is the period of performance?

Start: 2013-08-27. End: 2017-01-11.

What is the typical cost range for similar Combined Support Maintenance Shops (CSMS) built by the Department of Defense in the last decade?

Determining a precise cost range for similar CSMS projects is complex due to variations in size, scope, location, and specific functional requirements. However, federal spending data indicates that large-scale military facility construction projects, especially those involving design-build elements, can range from tens of millions to hundreds of millions of dollars. For a facility of this nature, which supports combined maintenance operations, the $30.5 million award suggests a moderately sized project. Factors influencing cost include the complexity of the design, the specific equipment to be housed, environmental considerations, and prevailing construction market rates in the region. Without detailed specifications for this particular CSMS, direct comparisons are difficult, but it aligns with the upper end of medium-sized construction contracts for specialized military infrastructure.

How does the number of bids (13) compare to the average number of bids for similar large-scale construction contracts awarded by the Department of the Army?

An average of 13 bids for a large-scale construction contract awarded by the Department of the Army under full and open competition is generally considered a strong indicator of robust market interest. While averages can fluctuate based on the specific type of construction, project value, and current market conditions, many large federal construction procurements see anywhere from 5 to 15 bids. A higher number of bids, like 13 in this case, suggests that the solicitation was well-publicized, the requirements were clear, and the opportunity was attractive to a significant portion of the industry. This level of competition typically benefits the government by fostering competitive pricing and increasing the likelihood of selecting a contractor that offers the best overall value.

What are the potential risks associated with a firm-fixed-price contract for a design-build project of this magnitude?

While firm-fixed-price (FFP) contracts are designed to provide cost certainty for the government, they carry inherent risks, particularly for complex design-build projects. For the contractor, the primary risk is underestimating the costs associated with design development or construction, potentially leading to reduced profit margins or even losses if unforeseen issues arise. For the government, the risk lies in the contractor potentially cutting corners on quality or scope to maintain profitability if cost pressures mount. In a design-build scenario, changes to the design after the contract is awarded can be contentious and costly under an FFP structure, often requiring formal change orders that can increase the overall price. Effective management and clear contract specifications are crucial to mitigate these risks.

What is Whiting-Turner Contracting Company's track record with the Department of Defense or similar federal agencies for construction projects?

Whiting-Turner Contracting Company has a significant and well-established track record of performing large-scale construction projects for various federal agencies, including the Department of Defense. They are known for their expertise in a wide range of construction types, including institutional, commercial, and specialized facilities. Their portfolio often includes projects with complex requirements and significant budgets, similar to the CSMS contract. While specific performance metrics for every contract are not publicly detailed, their consistent ability to win and execute large federal contracts suggests a strong performance history and a capacity to meet government standards for quality, schedule, and cost control. Their experience likely contributed to their successful bid on this Army project.

How does the $30.5 million award compare to overall federal spending on commercial and institutional building construction?

The $30.5 million award for this specific Combined Support Maintenance Shop (CSMS) represents a fraction of the total federal spending on commercial and institutional building construction annually. Federal agencies, particularly the Department of Defense, are consistently among the largest government spenders in this category, funding a vast array of projects from barracks and administrative buildings to specialized research facilities and maintenance depots. While $30.5 million is a substantial sum for a single project, it is one of thousands of construction contracts awarded each year. Benchmarking this single award against the total federal construction budget provides context; it highlights the scale of individual projects while underscoring the immense overall investment in federal infrastructure.

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

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W91ZRS13R0001

Offers Received: 13

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 E JOPPA RD, BALTIMORE, MD, 21286

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,449,543

Exercised Options: $30,449,543

Current Obligation: $30,449,543

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline