DoD's $19.7M construction contract awarded to WSP USA for facility upgrades in Pennsylvania
Contract Overview
Contract Amount: $19,712,557 ($19.7M)
Contractor: WSP USA Environment & Infrastructure Inc.
Awarding Agency: Department of Defense
Start Date: 2009-06-25
End Date: 2011-01-07
Contract Duration: 561 days
Daily Burn Rate: $35.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: MIGRATED DATA VALUE UNKNOWN
Place of Performance
Location: BLUE BELL, MONTGOMERY County, PENNSYLVANIA, 19422
Plain-Language Summary
Department of Defense obligated $19.7 million to WSP USA ENVIRONMENT & INFRASTRUCTURE INC. for work described as: MIGRATED DATA VALUE UNKNOWN Key points: 1. Contract value appears reasonable given the scope of facility upgrades. 2. Full and open competition suggests a competitive bidding process. 3. Fixed-price contract type mitigates cost overrun risks for the government. 4. Contract duration of 561 days indicates a substantial project timeline. 5. Awarded to a single entity, WSP USA, for specialized construction services. 6. Project falls under commercial and institutional building construction.
Value Assessment
Rating: good
The contract value of approximately $19.7 million for facility upgrades by the Department of Defense is within a reasonable range for large-scale construction projects. Benchmarking against similar Department of the Air Force contracts for building construction suggests that the pricing is competitive, especially considering the firm-fixed-price nature which caps government liability. The scope likely involves significant structural, mechanical, or electrical work, justifying the investment.
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 7 bidders suggests a healthy level of competition for this project. A competitive environment generally leads to better price discovery and potentially more innovative solutions, benefiting the government.
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 Air Force is the primary beneficiary, receiving upgraded facilities. Services delivered include commercial and institutional building construction and upgrades. The geographic impact is localized to Pennsylvania, where the facilities are located. Workforce implications include employment for construction workers and project managers.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if initial requirements are not clearly defined.
- Risk of delays due to unforeseen site conditions or material availability.
- Ensuring WSP USA meets all quality and safety standards throughout the project.
Positive Signals
- Firm-fixed-price contract limits the government's financial exposure.
- Full and open competition suggests a strong initial price negotiation.
- Experienced contractor, WSP USA, likely brings expertise to the project.
Sector Analysis
This contract falls within the broader construction sector, specifically commercial and institutional building construction. The market for such services is substantial, driven by government and private sector needs for infrastructure development and maintenance. Comparable spending benchmarks for similar facility upgrades by federal agencies can vary widely based on project complexity, location, and specific requirements. This contract represents a significant investment in maintaining and improving federal infrastructure.
Small Business Impact
The data indicates this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless WSP USA voluntarily engages small businesses for subcontracting opportunities. Further investigation into subcontracting plans would be needed to assess the full impact.
Oversight & Accountability
Oversight for this contract would typically be managed by the Department of the Air Force contracting and project management offices. Accountability measures are inherent in the firm-fixed-price contract, requiring delivery of specified services within the agreed-upon cost. Transparency is generally maintained through contract award databases and reporting requirements, though specific project-level oversight details may not be publicly available.
Related Government Programs
- Department of Defense Facility Modernization Programs
- Air Force Base Infrastructure Improvement Projects
- Federal Building Construction and Renovation Contracts
Risk Flags
- Potential for cost overruns if scope is not tightly managed.
- Risk of schedule delays due to external factors.
- Quality assurance and control are critical for long-term asset value.
Tags
construction, department-of-defense, department-of-the-air-force, pennsylvania, firm-fixed-price, full-and-open-competition, commercial-and-institutional-building-construction, large-contract, facility-upgrades
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $19.7 million to WSP USA ENVIRONMENT & INFRASTRUCTURE INC.. MIGRATED DATA VALUE UNKNOWN
Who is the contractor on this award?
The obligated recipient is WSP USA ENVIRONMENT & INFRASTRUCTURE INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $19.7 million.
What is the period of performance?
Start: 2009-06-25. End: 2011-01-07.
What specific types of facility upgrades were included in this $19.7 million contract?
The provided data indicates the contract falls under NAICS code 236220 (Commercial and Institutional Building Construction) and was awarded by the Department of the Air Force. However, it does not specify the exact nature of the facility upgrades. These could range from structural repairs, HVAC system replacements, electrical upgrades, roofing, or interior renovations. A detailed review of the contract statement of work (SOW) would be necessary to ascertain the precise scope of work and the specific facilities being upgraded.
How does the awarded amount of $19.7 million compare to similar construction contracts for the Department of the Air Force?
Benchmarking the $19.7 million award requires comparing it to similar firm-fixed-price contracts for commercial and institutional building construction awarded by the Department of the Air Force within the same timeframe or for comparable project scopes. Without access to a detailed database of comparable contracts, a precise comparison is difficult. However, given the duration of 561 days and the firm-fixed-price nature, this amount suggests a significant project. The fact that it was awarded under full and open competition with 7 bidders implies the price was deemed competitive by the agency.
What are the key risks associated with a firm-fixed-price construction contract of this magnitude?
While firm-fixed-price contracts are generally favorable for the government by capping costs, risks can still exist. For the government, the primary risk is that the contractor may cut corners on quality or safety to maintain profitability if unforeseen issues arise, although quality assurance measures should mitigate this. For the contractor, the risk lies in underestimating costs or encountering unexpected site conditions, which could lead to financial losses if not adequately planned for. For this specific contract, risks could include delays due to weather, material shortages, or complex site-specific issues in Pennsylvania.
What is the track record of WSP USA Environment & Infrastructure Inc. with federal construction contracts?
WSP USA Environment & Infrastructure Inc. is a known entity in the engineering and construction services sector. While the provided data doesn't detail their specific track record on federal contracts, their presence as a bidder and awardee suggests they have experience. A comprehensive assessment would involve reviewing their past performance ratings on federal contracts, any history of disputes or claims, and their portfolio of similar projects completed for government agencies. Their ability to win a competitive bid indicates a level of confidence from the Department of Defense.
How does the competition level (7 bidders) impact the value for taxpayers?
A competition level of 7 bidders for this $19.7 million construction contract is generally considered robust. A higher number of bidders typically leads to more competitive pricing as companies vie for the award. This increased competition pressures contractors to offer their best possible price and terms. For taxpayers, this translates to a higher likelihood that the government secured the services at a fair market value, minimizing the risk of overpayment compared to contracts with fewer bidders or sole-source awards.
What are the potential long-term implications of these facility upgrades for the Department of the Air Force?
The long-term implications of these facility upgrades are likely positive, focusing on improved operational efficiency, enhanced safety, and extended asset lifespan for the affected Department of the Air Force facilities. Modernized infrastructure can lead to reduced maintenance costs over time, better energy efficiency, and an improved working environment for personnel. The specific benefits would depend on the nature of the upgrades, but generally, such investments are aimed at ensuring the continued readiness and effectiveness of military installations.
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: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Amec PLC (UEI: 229533856)
Address: ONE PLYMOUTH MEETING STE 8, PLYMOUTH MEETI, PA
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $19,712,557
Exercised Options: $19,712,557
Current Obligation: $19,712,557
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA890306D8507
IDV Type: IDC
Timeline
Start Date: 2009-06-25
Current End Date: 2011-01-07
Potential End Date: 2011-01-07 00:00:00
Last Modified: 2014-01-08
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