Interior Department awards $31.6M for Hains Point HQ renovation, with The Christman Company as prime

Contract Overview

Contract Amount: $31,597,740 ($31.6M)

Contractor: Christman Company, the

Awarding Agency: Department of the Interior

Start Date: 2019-09-05

End Date: 2025-05-30

Contract Duration: 2,094 days

Daily Burn Rate: $15.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NCRO 251176 BUILDING RENOVATION; NCR REGIONAL HEADQUARTERS, NCR CAMPUS, HAINS POINT, WASHINGTON, DC

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Interior obligated $31.6 million to CHRISTMAN COMPANY, THE for work described as: NCRO 251176 BUILDING RENOVATION; NCR REGIONAL HEADQUARTERS, NCR CAMPUS, HAINS POINT, WASHINGTON, DC Key points: 1. Contract value of $31.6 million for a significant renovation project. 2. Project involves construction for the National Park Service's regional headquarters. 3. The contract is a firm-fixed-price type, indicating defined costs. 4. Competition was full and open, suggesting a robust bidding process. 5. The contract duration is substantial, spanning over 2000 days. 6. Geographic focus is Washington, D.C., impacting local construction resources.

Value Assessment

Rating: good

The contract value of $31.6 million for a large-scale building renovation appears reasonable given the scope of work for a regional headquarters. Benchmarking against similar large commercial and institutional building construction projects in the Washington D.C. metropolitan area would provide further context on value for money. The firm-fixed-price structure helps manage cost 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. With 5 bids received, this suggests a healthy level of competition for this significant construction project. The presence of multiple bidders generally leads to more competitive pricing and a wider selection of qualified contractors.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down costs through market forces and ensures the government secures the best value from a broad pool of qualified contractors.

Public Impact

The National Park Service benefits from an upgraded regional headquarters facility. The renovation will likely improve operational efficiency and working conditions for NPS staff. The project is located in Washington, D.C., potentially creating local construction jobs. The Hains Point campus will see significant physical improvements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could introduce risks related to material cost fluctuations or outdated construction methods if not managed proactively.
Potential for scope creep in large renovation projects if not tightly controlled.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Full and open competition suggests a competitive bidding process leading to potentially better pricing.
Award to an established contractor like The Christman Company may indicate a track record of successful project completion.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the construction industry. Large-scale government building renovations are common, requiring specialized expertise in project management, structural engineering, and compliance with federal building codes. The market for such projects in the D.C. area is competitive, with numerous firms capable of undertaking substantial renovations.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside criterion for this award, nor is there an indication of a small business prime contractor. However, the prime contractor, The Christman Company, may engage small businesses as subcontractors to fulfill specific project needs, contributing to the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the National Park Service contracting officers and project managers. The firm-fixed-price nature of the contract provides a degree of cost control. Transparency is generally maintained through federal contract databases. The Inspector General for the Department of the Interior may have jurisdiction for audits and investigations if any irregularities arise.

Related Government Programs

Federal Building Renovations
National Park Service Facilities Management
Washington D.C. Construction Contracts
Department of the Interior Capital Investments

Risk Flags

Long contract duration may increase risk of cost escalation or obsolescence.
Potential for scope creep in large renovation projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $31.6 million to CHRISTMAN COMPANY, THE. NCRO 251176 BUILDING RENOVATION; NCR REGIONAL HEADQUARTERS, NCR CAMPUS, HAINS POINT, WASHINGTON, DC

Who is the contractor on this award?

The obligated recipient is CHRISTMAN COMPANY, THE.

Which agency awarded this contract?

Awarding agency: Department of the Interior (National Park Service).

What is the total obligated amount?

The obligated amount is $31.6 million.

What is the period of performance?

Start: 2019-09-05. End: 2025-05-30.

What is The Christman Company's track record with similar federal renovation projects?

The Christman Company has a significant history of undertaking large-scale construction and renovation projects for various federal agencies, including military installations, educational institutions, and government office buildings. Their portfolio often includes complex projects requiring adherence to strict federal standards and timelines. While specific details on past performance for projects of identical scope and value to the NCRO 251176 contract would require deeper investigation into contract databases and performance reports, their general experience suggests a capacity to manage such endeavors. Reviewing past federal contract awards and any associated performance evaluations would provide a more precise understanding of their reliability and success rate in delivering similar federal renovation projects.

How does the $31.6 million contract value compare to similar large-scale federal building renovations in the D.C. area?

The $31.6 million contract value for the NCRO 251176 building renovation is substantial and aligns with the typical cost range for major renovations of large institutional or commercial buildings in the Washington D.C. metropolitan area. Projects of this scale often involve extensive structural work, system upgrades (HVAC, electrical, plumbing), interior fit-outs, and compliance with historical preservation or specific agency requirements. Comparable projects, such as renovations of federal agency headquarters, courthouses, or significant public facilities in the region, can range from tens of millions to over a hundred million dollars, depending on the building's size, condition, and complexity of the required work. The Christman Company's bid, being one of five under full and open competition, suggests it was competitively priced within this market context.

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

While a firm-fixed-price (FFP) contract offers cost certainty to the government, it carries inherent risks for the contractor, especially on long-duration projects like this 2094-day renovation. The primary risk is that unforeseen cost increases in labor, materials, or subcontractors over the project's lifespan could erode the contractor's profit margin or lead to financial losses if not adequately accounted for in the initial bid. For the government, the risk lies in potential contractor performance issues if the contractor struggles financially or becomes demotivated due to cost overruns. Additionally, if the scope of work needs to change significantly, managing change orders under an FFP contract can become contentious. Proactive risk management, clear contract administration, and robust oversight are crucial to mitigate these potential issues.

How effective is full and open competition in ensuring value for money for taxpayer-funded construction projects?

Full and open competition is widely considered the most effective method for ensuring value for money in taxpayer-funded construction projects. By allowing all responsible contractors to bid, it fosters a competitive environment where companies strive to offer the best combination of price, quality, and performance to win the contract. This process drives down prices through market forces and encourages innovation as contractors seek to differentiate themselves. The presence of multiple bids, as seen with the five received for this project, provides a strong basis for price discovery and allows the government to select the most advantageous offer. While effective, the success of competition also relies on clear solicitation requirements and a fair evaluation process to prevent bid rigging or other anti-competitive practices.

What are the potential workforce implications of a large-scale renovation project in Washington D.C.?

A large-scale renovation project like NCRO 251176, valued at $31.6 million and spanning over five years, can have significant workforce implications, particularly in the Washington D.C. area. It is likely to create numerous skilled job opportunities in various trades, including carpentry, electrical work, plumbing, HVAC, masonry, and project management. The prime contractor, The Christman Company, and its subcontractors will need to hire and deploy a substantial workforce. This demand can benefit the local labor market by providing employment and potentially driving up wages in the construction sector. Conversely, a high demand for skilled labor could also lead to shortages in other projects or increased labor costs. The project's duration means sustained employment opportunities over an extended period.

How does the National Park Service typically manage large capital improvement projects like this renovation?

The National Park Service (NPS), as part of the Department of the Interior, typically manages large capital improvement projects through a structured process involving planning, design, procurement, construction, and closeout. For a project of this magnitude, the NPS would likely establish a dedicated project management team comprising contracting officers, project managers, engineers, and subject matter experts. They would oversee the contractor's performance, ensure compliance with federal regulations and specifications, manage budgets and schedules, and conduct regular site inspections. The use of firm-fixed-price contracts and full and open competition are standard procurement strategies aimed at achieving cost-effectiveness and selecting qualified contractors. Oversight often involves regular progress meetings, site reviews, and adherence to established reporting protocols to ensure project success and accountability.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 208 N CAPITOL AVE FL 4, LANSING, MI, 48933

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $31,597,740

Exercised Options: $31,597,740

Current Obligation: $31,597,740

Actual Outlays: $31,563,409

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline