DoD's $13.8M Tyndall AFB Dormitory Contract Awarded to Caddell Construction for Design and Construction

Contract Overview

Contract Amount: $13,818,976 ($13.8M)

Contractor: Caddell Construction CO., Inc.

Awarding Agency: Department of Defense

Start Date: 2007-05-09

End Date: 2011-12-28

Contract Duration: 1,694 days

Daily Burn Rate: $8.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 16

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: UNRESTRICTED GULF COAST CONTRACT FOR: DESIGN/CONSTRUCT 120 PERSON DORMITORY, TYNDALL AFB, FLORIDA

Place of Performance

Location: PANAMA CITY, BAY County, FLORIDA, 32403

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $13.8 million to CADDELL CONSTRUCTION CO., INC. for work described as: UNRESTRICTED GULF COAST CONTRACT FOR: DESIGN/CONSTRUCT 120 PERSON DORMITORY, TYNDALL AFB, FLORIDA Key points: 1. The contract was awarded under full and open competition, suggesting a competitive bidding process. 2. The firm-fixed-price contract type indicates that the contractor assumes the risk for cost overruns. 3. The project duration of 1694 days (approximately 4.6 years) is substantial, allowing for thorough execution. 4. The contract was awarded by the Department of the Army, a component of the Department of Defense. 5. The project is located in Florida, a state with significant military installations and construction activity. 6. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific cost breakdowns or comparable project data. However, the total award amount of $13.8 million for the design and construction of a 120-person dormitory at Tyndall AFB appears to be within a reasonable range for such a project, considering the scope and duration. The firm-fixed-price nature of the contract shifts cost risk to the contractor, which can sometimes lead to higher initial bids but provides budget certainty for the government.

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. The data shows 16 bids were received, suggesting a healthy level of competition for this project. A higher number of bidders generally leads to more competitive pricing and a greater likelihood of the government securing the best value.

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

Military personnel stationed at Tyndall Air Force Base will benefit from improved housing facilities. The project delivers essential infrastructure for the Department of Defense, supporting military readiness. The geographic impact is concentrated in the Florida Panhandle, specifically at Tyndall AFB. The construction phase will likely involve a workforce of skilled tradespeople and construction professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long project duration could introduce risks related to material cost fluctuations or unforeseen site conditions.
Firm-fixed-price contracts can sometimes lead to contractors cutting corners if not adequately overseen.
Dependence on a single contractor for both design and construction could limit flexibility if changes are needed.

Positive Signals

Full and open competition with 16 bids suggests a competitive market and potential for good value.
Firm-fixed-price contract provides budget certainty for the government.
The project addresses a clear need for improved military housing infrastructure.

Sector Analysis

This contract falls within the commercial and institutional building construction sector, a significant segment of the broader construction industry. The market for military construction is often characterized by large, complex projects awarded through competitive bidding processes. Spending in this sector is influenced by defense budgets, infrastructure needs, and geopolitical factors. Comparable projects might include other dormitory constructions or barracks upgrades at military installations nationwide.

Small Business Impact

The data indicates that this contract was not set aside for small businesses and that the awardee, Caddell Construction Co., Inc., is likely a large business. There is no explicit information regarding subcontracting plans for small businesses. Without specific subcontracting goals or reporting, the direct impact on the small business ecosystem is unclear, though large prime contractors often utilize small businesses for specialized services.

Oversight & Accountability

Oversight for this Department of Defense contract would typically be managed by the contracting officer and their representatives within the Department of the Army. Quality assurance surveillance plans (QASPs) would likely be in place to monitor performance, cost, and schedule. Transparency is generally maintained through contract award databases, though detailed project-specific oversight reports are not always publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Housing Construction
Department of Defense Infrastructure Projects
Tyndall Air Force Base Development
Federal Building Construction Contracts

Risk Flags

Long project duration may increase risk of cost escalation or performance issues.
Firm-fixed-price contracts require careful monitoring to ensure quality is not compromised.
Potential for unforeseen site conditions or material availability issues over a multi-year project.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.8 million to CADDELL CONSTRUCTION CO., INC.. UNRESTRICTED GULF COAST CONTRACT FOR: DESIGN/CONSTRUCT 120 PERSON DORMITORY, TYNDALL AFB, FLORIDA

Who is the contractor on this award?

The obligated recipient is CADDELL CONSTRUCTION CO., 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 $13.8 million.

What is the period of performance?

Start: 2007-05-09. End: 2011-12-28.

What is Caddell Construction Co., Inc.'s track record with the Department of Defense?

Caddell Construction Co., Inc. has a significant history of contracting with the Department of Defense and other federal agencies. They specialize in large-scale construction projects, including military facilities, embassies, and correctional institutions. Their portfolio often includes projects similar in scope to the Tyndall AFB dormitory, such as barracks, training facilities, and administrative buildings. Reviewing their past performance on similar DoD contracts, including any reported issues or successes, would provide further context on their reliability and capability for executing this project effectively. Their extensive experience suggests a strong understanding of federal contracting requirements and military construction standards.

How does the cost per person for this dormitory compare to similar military housing projects?

To accurately compare the cost per person, we would need to analyze the total contract value against the number of individuals the dormitory is designed to house. The total award was approximately $13.8 million for a 120-person dormitory, resulting in a cost of roughly $115,000 per person. Benchmarking this figure against other recently constructed military dormitories or barracks projects would be necessary. Factors such as location (e.g., high-cost areas), specific amenities included, and the complexity of design and site conditions can significantly influence per-person costs. Without a broader dataset of comparable projects, it's difficult to definitively state if this represents a high, low, or average cost.

What are the primary risks associated with a firm-fixed-price contract for a project of this duration?

The primary risk with a firm-fixed-price (FFP) contract, especially for a long-duration project like this (1694 days), is the potential for cost escalation impacting the contractor. While FFP shifts cost risk to the contractor, unforeseen events such as significant increases in material prices (e.g., steel, concrete), labor shortages driving up wages, or unexpected site conditions can erode the contractor's profit margin. If the contractor faces substantial cost increases beyond their control, they might seek change orders, potentially leading to disputes or impacting project quality if they attempt to cut costs elsewhere. The government benefits from price certainty, but must ensure the initial price reflects a realistic assessment of potential risks.

How effective is full and open competition in ensuring value for money in large construction contracts?

Full and open competition is generally considered the most effective method for ensuring value for money in large construction contracts. By allowing all responsible sources to compete, the government maximizes the pool of potential bidders, thereby increasing the likelihood of receiving competitive pricing and innovative solutions. The presence of multiple bidders drives down prices as contractors vie for the award. Furthermore, a competitive process allows the government to evaluate proposals based on a range of factors, including price, technical approach, past performance, and schedule, enabling a comprehensive best-value determination. The 16 bids received in this case strongly suggest that full and open competition was effective in attracting significant interest.

What historical spending patterns exist for dormitory construction at Tyndall AFB or similar Air Force installations?

Historical spending patterns for dormitory construction at Tyndall AFB and similar Air Force installations often reflect the military's ongoing need to modernize and maintain housing infrastructure. Spending typically fluctuates based on congressional appropriations, specific base development plans, and the age of existing facilities. Major construction initiatives, like those following significant weather events (e.g., hurricanes impacting the Gulf Coast), can lead to spikes in spending. Analyzing past contracts for dormitory projects at Tyndall AFB or comparable bases would reveal trends in contract values, types of construction, and the contractors most frequently awarded such work. This historical data is crucial for understanding budget allocation and identifying potential cost efficiencies.

What are the potential implications of the 1694-day duration on project management and oversight?

A project duration of 1694 days (approximately 4.6 years) presents unique challenges and opportunities for project management and oversight. On the one hand, the extended timeline allows for meticulous planning, phased construction, and potentially the incorporation of complex design elements without undue pressure. It also provides ample opportunity for robust quality assurance and inspection throughout the process. On the other hand, such a long duration increases the risk of scope creep, potential contractor performance degradation over time, and the need for sustained government oversight resources. Managing stakeholder expectations, maintaining team continuity, and adapting to potential changes in regulations or technology over nearly five years are critical aspects of successful oversight for projects of this length.

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: SEALED BID

Offers Received: 16

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2700 LAGOON PARK DR, MONTGOMERY, AL, 02

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $13,818,976

Exercised Options: $13,818,976

Current Obligation: $13,818,976

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9127807D0032

IDV Type: IDC

Timeline