DoD Awards $49.9M for Rotary Wing HQ and Hangar Construction in Alabama
Contract Overview
Contract Amount: $49,920,269 ($49.9M)
Contractor: BL Harbert International LLC
Awarding Agency: Department of Defense
Start Date: 2009-07-15
End Date: 2013-12-30
Contract Duration: 1,629 days
Daily Burn Rate: $30.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 43
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: DESIGN CONSTRUCT ROTARY WING HEADQUARTERS AND HANGAR REDSTONE
Place of Performance
Location: HUNTSVILLE, MADISON County, ALABAMA, 35808
State: Alabama Government Spending
Plain-Language Summary
Department of Defense obligated $49.9 million to BL HARBERT INTERNATIONAL LLC for work described as: DESIGN CONSTRUCT ROTARY WING HEADQUARTERS AND HANGAR REDSTONE Key points: 1. Construction project for critical military infrastructure. 2. Awarded to BL Harbert International LLC, a significant player in commercial construction. 3. Full and open competition suggests potential for competitive pricing. 4. Project duration of over 4 years indicates complexity and scale.
Value Assessment
Rating: good
The award amount of $49.9M for a large-scale construction project appears reasonable given the scope. Benchmarking against similar military construction projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a broad solicitation process. This method generally promotes competitive pricing and allows for a wide range of qualified contractors to bid.
Taxpayer Impact: Competitive bidding in this instance likely resulted in a fair market price, maximizing taxpayer value for the construction of essential military facilities.
Public Impact
Supports military readiness by providing necessary facilities for rotary wing operations. Creates jobs in the construction sector within Alabama. Enhances the infrastructure at Redstone Arsenal.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in long-term construction projects.
- Dependence on a single contractor for the duration of the project.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract type limits cost uncertainty.
Sector Analysis
This project falls within the Commercial and Institutional Building Construction sector. Spending in this sector for defense-related infrastructure is substantial, driven by modernization and operational needs.
Small Business Impact
While the primary award went to BL Harbert International LLC, the solicitation under full and open competition may have provided opportunities for small businesses to participate as subcontractors.
Oversight & Accountability
The Department of the Army's oversight would be crucial throughout the design and construction phases to ensure adherence to specifications, budget, and timeline.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long project duration increases risk of cost escalation.
- Potential for scope creep during design and construction.
- Reliance on a single prime contractor for a complex project.
Tags
commercial-and-institutional-building-co, department-of-defense, al, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $49.9 million to BL HARBERT INTERNATIONAL LLC. DESIGN CONSTRUCT ROTARY WING HEADQUARTERS AND HANGAR REDSTONE
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 $49.9 million.
What is the period of performance?
Start: 2009-07-15. End: 2013-12-30.
What was the competitive landscape like for this solicitation, and how did it influence the final price?
The contract was awarded under full and open competition, suggesting multiple bids were received. This competitive environment typically drives prices down towards market rates, ensuring the government secures a fair price for the construction services. The number of bids and the spread between them would offer further insight into the pricing effectiveness.
What are the primary risks associated with a multi-year construction project of this magnitude?
Key risks include potential cost escalations due to material price fluctuations, unforeseen site conditions requiring design changes, contractor performance issues, and schedule delays. Effective project management, contingency planning, and robust oversight are critical to mitigating these risks and ensuring successful project completion.
How does this investment contribute to the overall effectiveness of rotary wing operations at Redstone Arsenal?
The new headquarters and hangar facilities are essential for housing, maintaining, and supporting rotary wing aircraft and personnel. This modern infrastructure directly enhances operational readiness, improves maintenance efficiency, and provides a secure and functional environment, thereby increasing the overall effectiveness of the rotary wing units stationed there.
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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 43
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, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $49,920,269
Exercised Options: $49,920,269
Current Obligation: $49,920,269
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W9127807D0021
IDV Type: IDC
Timeline
Start Date: 2009-07-15
Current End Date: 2013-12-30
Potential End Date: 2013-12-30 00:00:00
Last Modified: 2021-02-26
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