Department of Defense awards $21.15M contract for prefabricated buildings, highlighting full and open competition

Contract Overview

Contract Amount: $21,152,241 ($21.2M)

Contractor: Smiths Detection Inc.

Awarding Agency: Department of Defense

Start Date: 2006-04-05

End Date: 2012-01-31

Contract Duration: 2,127 days

Daily Burn Rate: $9.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: 200607!002103!2100!W52H09!TACOM ROCK ISLAND !W52H0906D0092 !A!N! !N!0001 ! !20060405!20101031!194239018!047108485!210273256!N!SMITHS DETECTION-EDGEWOOD INC !2202 LAKESIDE BLVD !EDGEWOOD !MD!21040!04000!510!24!BALTIMORE !BALTIMORE (CITY) !MARYLAND !+000010433595!N!N!000000000000!5410!PREFABRICATED AND PORTABLE BUILDINGS !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !346 !CBDP !314912!E! !5!B!S! ! ! !99990909!B! ! !A! !A!N!J!2!003!B! !A!N!A! ! !N!C!N! ! ! !C!D!A!A!000!A!C!N! ! ! ! ! ! !0001! !

Place of Performance

Location: EDGEWOOD, HARFORD County, MARYLAND, 21040

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $21.2 million to SMITHS DETECTION INC. for work described as: 200607!002103!2100!W52H09!TACOM ROCK ISLAND !W52H0906D0092 !A!N! !N!0001 ! !20060405!20101031!194239018!047108485!210273256!N!SMITHS DETECTION-EDGEWOOD INC !2202 LAKESIDE BLVD !EDGEWOOD !MD!21040!04000!510!24!BALTIMORE !BALT… Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract value of $21.15 million is a significant investment in prefabricated building solutions. 3. The duration of the contract (over 5 years) indicates a long-term need for these facilities. 4. The award to Smiths Detection Inc. suggests a focus on specialized or secure building requirements. 5. The contract falls under the 'Prefabricated and Portable Buildings' category, indicating a specific type of construction need. 6. The 'All Other Supplies and Equipment' classification may indicate a broad scope beyond just basic structures.

Value Assessment

Rating: good

The contract value of $21.15 million for prefabricated buildings over a period of approximately 5.8 years appears reasonable given the scope. Benchmarking against similar large-scale construction or facility deployment contracts would provide a clearer picture of value for money. The fixed-price nature of the contract helps manage cost overruns, but the initial pricing is key.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. This suggests a robust bidding process with the potential for multiple qualified contractors to participate. The presence of 3 bids (as indicated by 'no': 3) further supports the notion of a competitive environment, which typically drives better pricing and quality.

Taxpayer Impact: Taxpayers likely benefited from a competitive bidding process that aimed to secure the best possible price and value for the prefabricated buildings. The open competition increases the likelihood that the government secured a fair market price.

Public Impact

The primary beneficiaries are likely military personnel or government agencies requiring temporary or semi-permanent structures. The contract delivers prefabricated and portable buildings, which can be used for barracks, offices, storage, or specialized facilities. The geographic impact is not specified but could be global, depending on where the Department of Defense requires such structures. Workforce implications could include jobs in manufacturing for the prefabricated units and construction/installation at the deployment sites.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the scope of 'All Other Supplies and Equipment' is broader than initially anticipated.
Logistical challenges in deploying prefabricated buildings to remote or austere environments.
Dependence on a single contractor for a significant duration could pose risks if performance issues arise.

Positive Signals

Awarded through full and open competition, indicating a competitive market for these services.
Firm Fixed Price contract type helps control costs and provides budget certainty.
Long contract duration suggests a stable, ongoing requirement and potential for contractor expertise development.

Sector Analysis

This contract falls within the construction and facilities sector, specifically focusing on prefabricated and portable buildings. The market for such solutions is driven by demand for rapid deployment, cost-effectiveness, and flexibility in facility provision. The Department of Defense is a major consumer of these types of structures for operational and logistical support globally. Comparable spending benchmarks would involve analyzing other government contracts for modular or temporary building solutions.

Small Business Impact

The data does not indicate any specific small business set-aside provisions for this contract. However, the prime contractor, Smiths Detection Inc., may engage small businesses for subcontracting opportunities related to materials, logistics, or specialized components. The impact on the small business ecosystem would depend on the extent of any subcontracting plan and the availability of small businesses capable of meeting those requirements.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program management office within the Department of the Army. Accountability measures are embedded in the firm-fixed-price contract terms, with performance standards and delivery schedules. Transparency is generally provided through contract award databases, though detailed performance metrics may not always be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Construction
Base Operations Support
Logistics and Supply Chain Management
Procurement of Facilities

Risk Flags

Potential for scope creep due to 'All Other Supplies and Equipment' classification.
Contractor's primary expertise may not be in construction, requiring careful performance monitoring.
Logistical challenges for deployment in diverse operational environments.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.2 million to SMITHS DETECTION INC.. 200607!002103!2100!W52H09!TACOM ROCK ISLAND !W52H0906D0092 !A!N! !N!0001 ! !20060405!20101031!194239018!047108485!210273256!N!SMITHS DETECTION-EDGEWOOD INC !2202 LAKESIDE BLVD !EDGEWOOD !MD!21040!04000!510!24!BALTIMORE !BALTIMORE (CITY) !MARYLAND !+000010433595!N!N!000000000000!5410!PREFABRICATED AND PORTABLE BUILDINGS !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !346 !CBDP !314912!E! !5!B!S! ! ! !999

Who is the contractor on this award?

The obligated recipient is SMITHS DETECTION 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: 2006-04-05. End: 2012-01-31.

What is the typical cost per square foot for prefabricated buildings procured by the Department of Defense under similar contracts?

Determining a precise per-square-foot cost is challenging without detailed specifications of the buildings (e.g., size, insulation, amenities, intended use). However, industry benchmarks for commercial prefabricated buildings can range from $50 to $200+ per square foot, depending on complexity and features. For military applications, which may require enhanced durability, security, or specialized environmental controls, costs could be at the higher end or exceed this range. The total contract value of $21.15 million spread over an unspecified number of units makes a direct per-square-foot calculation difficult without unit quantity and size data. Further analysis would require access to the detailed statement of work and building specifications.

How does the pricing of this contract compare to other recent Department of Defense awards for similar prefabricated structures?

A direct comparison of pricing requires access to detailed specifications and quantities for multiple contracts. However, the $21.15 million award for a contract spanning over five years suggests a significant procurement. If this contract covers a large number of units or highly specialized structures, the price might be competitive. Conversely, if it's for a smaller quantity or simpler design, it could be on the higher side. Benchmarking would involve identifying contracts with similar Product Service Codes (PSC) and contract types (e.g., Firm Fixed Price) awarded around the same period. Without such comparative data, assessing the pricing competitiveness is speculative.

What are the key performance indicators (KPIs) used to evaluate the contractor's performance on this contract?

Key performance indicators for a contract involving prefabricated buildings typically focus on timely delivery, adherence to specifications, quality of materials and workmanship, and successful installation. Specific KPIs might include on-time delivery rates, defect rates identified during inspection, compliance with environmental and safety standards, and successful completion of acceptance testing. The contract likely includes clauses for remedies or penalties for non-performance, such as liquidated damages for late delivery or failure to meet quality standards. The contracting officer's representative (COR) would be responsible for monitoring these KPIs throughout the contract's duration.

What is the track record of Smiths Detection Inc. in fulfilling similar government contracts, particularly for construction or facilities?

Smiths Detection Inc. is primarily known for its security and detection technology, particularly in areas like explosives and narcotics detection. While they may have experience in deploying or managing facilities related to their core business (e.g., secure screening areas, operational bases), their direct experience as a prime contractor for large-scale prefabricated building construction might be less extensive compared to traditional construction firms. Government contract databases would need to be reviewed to ascertain their past performance specifically in building procurement and construction management. Their selection suggests they either have relevant experience or are partnering with entities that do.

What is the historical spending trend for prefabricated and portable buildings by the Department of the Army over the last five fiscal years?

Analyzing the historical spending trend for prefabricated and portable buildings by the Department of the Army requires accessing historical contract data, often categorized by Product Service Codes (PSCs) like 5410 (Prefabricated and Portable Buildings). Without direct access to a comprehensive database query for this specific PSC and agency over the last five fiscal years, providing an exact trend is not possible. However, general trends in defense spending often correlate with operational tempo and global deployments. Periods of increased military activity or base construction/expansion typically see higher spending in this category. A detailed analysis would involve aggregating contract award data from sources like FPDS-NG or USAspending.gov.

What specific types of prefabricated buildings are being procured under this contract (e.g., barracks, offices, storage, specialized facilities)?

The provided data indicates the contract falls under PSC 5410 (Prefabricated and Portable Buildings) and the broader category of 'All Other Supplies and Equipment.' This suggests a range of potential applications. Without the detailed contract statement of work (SOW) or delivery orders, the specific types of buildings are not explicitly defined. They could include anything from temporary office spaces and troop barracks to secure storage units, workshops, or specialized command and control facilities. The 'All Other Supplies and Equipment' classification implies the scope might extend beyond just the building structure to include associated systems or equipment integral to their function.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Smiths Group PLC (UEI: 210273256)

Address: 2202 LAKESIDE BLVD, EDGEWOOD, MD, 01

Business Categories: Category Business, Not Designated a Small Business

Parent Contract

Parent Award PIID: W52H0906D0092

IDV Type: IDC

Timeline