Fort Bragg NCO Academy task order awarded to Caddell Construction for $34.7M, highlighting construction sector spending
Contract Overview
Contract Amount: $34,740,232 ($34.7M)
Contractor: Caddell Construction CO. (DE), LLC
Awarding Agency: Department of Defense
Start Date: 2012-07-30
End Date: 2014-08-29
Contract Duration: 760 days
Daily Burn Rate: $45.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 53
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TASK ORDER AWARD FOR NCO ACADEMY, PROJECT NUMBER 43335, FORT BRAGG, NC
Place of Performance
Location: FORT BRAGG, CUMBERLAND County, NORTH CAROLINA, 28307
Plain-Language Summary
Department of Defense obligated $34.7 million to CADDELL CONSTRUCTION CO. (DE), LLC for work described as: TASK ORDER AWARD FOR NCO ACADEMY, PROJECT NUMBER 43335, FORT BRAGG, NC 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 760 days points to a significant construction undertaking. 4. The award was made by the Department of the Army, a major component of the DoD. 5. The North Carolina location places this project within a specific regional construction market.
Value Assessment
Rating: fair
Benchmarking this specific task order's value is challenging without comparable projects. However, the award amount of $34.7 million for a military academy construction project appears within a reasonable range for large-scale institutional building. The firm-fixed-price structure shifts cost risk to the contractor, which can be favorable for the government if managed effectively. Further analysis would require comparing unit costs for similar construction elements (e.g., per square foot, per student capacity) against industry standards and other government projects.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 53 bids suggests a robust level of interest and a competitive marketplace for this type of construction service. A high number of bidders generally supports price discovery and can lead to more favorable pricing for the government.
Taxpayer Impact: The extensive competition for this contract likely resulted in a more competitive bid, potentially saving taxpayer dollars compared to a less competitive procurement.
Public Impact
The primary beneficiaries are the U.S. Army personnel who will receive training at the new Non-Commissioned Officer Academy. The project delivers essential infrastructure for military education and leadership development. The geographic impact is concentrated in Fort Bragg, North Carolina, supporting local economic activity during construction. The construction workforce in North Carolina and surrounding areas will benefit from employment opportunities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if the firm-fixed-price contract does not adequately account for all project contingencies.
- Risk of construction delays impacting the operational readiness of the NCO Academy.
- Ensuring the quality of construction meets military standards for durability and functionality.
Positive Signals
- Awarded through full and open competition, indicating a competitive market.
- Firm-fixed-price contract places cost risk on the contractor.
- Significant number of bids received suggests strong contractor interest and capability.
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Federal spending in this area often supports critical infrastructure, including military facilities, educational institutions, and government buildings. The market for large-scale construction projects, especially those for the Department of Defense, is characterized by a mix of large, established firms and specialized subcontractors. The total federal spending on construction is substantial, with military construction being a key component.
Small Business Impact
While this contract was awarded to Caddell Construction Co. (DE), LLC, a large business, the analysis does not indicate specific small business set-aside provisions or subcontracting goals. Large federal construction contracts often include requirements for small business participation, but this information is not detailed in the provided data. The impact on the small business ecosystem would depend on whether Caddell Construction utilizes small businesses for subcontracting opportunities.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the project management team within the Department of the Army. Accountability measures are inherent in the firm-fixed-price contract, requiring the contractor to deliver the specified construction within the agreed-upon price. Transparency is generally facilitated through contract award databases and public reporting, though detailed project oversight documentation may not be publicly accessible.
Related Government Programs
- Military Construction Projects
- Department of Defense Facilities
- Training and Education Infrastructure
- General Building Construction
Risk Flags
- Potential for cost overruns if not managed tightly
- Risk of quality compromise if contractor profit margins are squeezed
- Dependence on contractor's ability to manage complex construction schedule
Tags
construction, department-of-defense, department-of-the-army, firm-fixed-price, full-and-open-competition, military-construction, north-carolina, fort-bragg, institutional-building, large-business
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $34.7 million to CADDELL CONSTRUCTION CO. (DE), LLC. TASK ORDER AWARD FOR NCO ACADEMY, PROJECT NUMBER 43335, FORT BRAGG, NC
Who is the contractor on this award?
The obligated recipient is CADDELL CONSTRUCTION CO. (DE), 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 $34.7 million.
What is the period of performance?
Start: 2012-07-30. End: 2014-08-29.
What is Caddell Construction Co.'s track record with the Department of Defense?
Caddell Construction Co. (DE), LLC has a significant history of performing construction contracts for the Department of Defense and other federal agencies. They specialize in large-scale, complex projects, including military facilities, embassies, and correctional institutions. Their portfolio often includes projects requiring high security, specialized construction techniques, and adherence to stringent government standards. Reviewing their past performance on similar projects, including any past performance evaluations or disputes, would provide further insight into their reliability and capability for executing contracts like the NCO Academy task order.
How does the $34.7 million award compare to similar military construction projects?
Comparing the $34.7 million award for the NCO Academy at Fort Bragg requires context regarding the project's scope, size (e.g., square footage, capacity), and specific requirements. Military construction projects vary widely in cost based on location, complexity, and specialized features. For instance, barracks construction might differ significantly in cost per square foot compared to a specialized training facility. Without detailed project specifications, a direct comparison is difficult. However, for a substantial institutional building project within the Department of Defense, this award amount appears to be within a plausible range, especially considering the firm-fixed-price nature which often includes contingencies.
What are the primary risks associated with this firm-fixed-price construction contract?
The primary risk with a firm-fixed-price (FFP) contract, like this task order, is that the contractor (Caddell Construction) bears the financial responsibility for any cost overruns. If the project's actual costs exceed the fixed price due to unforeseen issues, scope creep not properly managed, or poor contractor performance, the contractor's profit margin will be reduced or they could incur a loss. Conversely, the government benefits from cost certainty. Risks for the government include the contractor potentially cutting corners on quality to maintain profitability if not adequately overseen, or the initial fixed price being inflated to account for contractor risk.
How effective is full and open competition in ensuring value for taxpayer money in large construction projects?
Full and open competition is generally considered the most effective method for ensuring value for taxpayer money in large construction projects. By allowing all responsible sources to compete, it fosters a competitive environment that drives down prices and encourages innovation. The high number of bids (53 in this case) suggests that the market was robust and that the government likely received competitive pricing. However, the effectiveness also depends on the clarity of the solicitation, the evaluation criteria, and the government's ability to manage the contract effectively post-award to ensure the contractor delivers the required quality and scope within the agreed price.
What is the historical spending trend for similar construction projects by the Department of the Army?
Historical spending trends for similar construction projects by the Department of the Army show a consistent and substantial investment in infrastructure. The Army regularly procures construction services for barracks, training facilities, administrative buildings, and specialized operational structures across numerous installations worldwide. Spending levels can fluctuate based on military readiness needs, modernization initiatives, and congressional appropriations. Analyzing past spending on projects of comparable scale and type (e.g., educational facilities, large institutional buildings) would reveal patterns in contract values, award types, and contractor participation, providing a benchmark for the NCO Academy task order.
What are the implications of the project's location in North Carolina for cost and execution?
The project's location in North Carolina (Fort Bragg) has several implications for cost and execution. Labor costs, material availability, and local permitting requirements are specific to the region. North Carolina has a developed construction market, but the demand for large projects, especially military ones, can influence pricing. Proximity to suppliers and a skilled workforce can streamline execution, while potential weather-related delays (depending on the season of construction) and logistical challenges associated with military base operations need to be factored into the project plan and cost estimates. Local economic conditions and competition among regional contractors will also play a role.
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: W912HN09R0088
Offers Received: 53
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Caddell Construction CO., Inc. (UEI: 102087285)
Address: 2700 LAGOON PARK DR, MONTGOMERY, AL, 02
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership
Financial Breakdown
Contract Ceiling: $34,740,232
Exercised Options: $34,740,232
Current Obligation: $34,740,232
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912HN10D0044
IDV Type: IDC
Timeline
Start Date: 2012-07-30
Current End Date: 2014-08-29
Potential End Date: 2014-08-29 00:00:00
Last Modified: 2014-09-18
More Contracts from Caddell Construction CO. (DE), LLC
- ---------- Comments: Please Resubmit Once Revised Action Memo and Rfca ARE Fully Cleared. COR: Daniel Replogle Contracting Officer: Alla Weinstein Approved Action Memo and Rfca ARE Attached. Rfca Link: Https://Usdos.sharepoint.com/:f:/S/Pdcrfca — $676.8M (Department of State)
- Design and Construction of the NEW Embassy Compound Located in Juba, South Sudan — $614.7M (Department of State)
- Construction Services for NEW Embassy Compound (NEC) in Mexico City, Mexicoigf::ot::igf Obligation Amount Includes Value Added TAX (VAT) — $584.2M (Department of State)
- THE Purpose of This Award IS to Provide Construction Services for a NEW Embassy Compound in Brasilia Brazil — $376.3M (Department of State)
- Design/Build NEW Embassy Compound in Port of Spain, Trinidad and Tobago — $350.2M (Department of State)
View all Caddell Construction CO. (DE), LLC federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)