GSA Awards Cornerstone Construction $2.3M Task Order for Commercial Building Construction in New Hampshire

Contract Overview

Contract Amount: $2,314,583 ($2.3M)

Contractor: Cornerstone Construction Services, LLC

Awarding Agency: General Services Administration

Start Date: 2024-05-28

End Date: 2026-04-13

Contract Duration: 685 days

Daily Burn Rate: $3.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AWARD OF TASK ORDER 47PB0024F0313

Place of Performance

Location: CONCORD, MERRIMACK County, NEW HAMPSHIRE, 03301

State: New Hampshire Government Spending

Plain-Language Summary

General Services Administration obligated $2.3 million to CORNERSTONE CONSTRUCTION SERVICES, LLC for work described as: AWARD OF TASK ORDER 47PB0024F0313 Key points: 1. The award is for commercial and institutional building construction. 2. The contract was awarded under full and open competition after exclusion of sources. 3. The task order has a duration of 685 days. 4. The contract type is Firm Fixed Price. 5. The awardee is Cornerstone Construction Services, LLC.

Value Assessment

Rating: fair

The award amount of $2.31M for a 685-day task order appears reasonable for commercial building construction services. Benchmarking against similar GSA contracts for construction projects of this scope and duration would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a competitive process was used, but specific sources were excluded. This method aims for fair pricing while potentially narrowing the field of bidders.

Taxpayer Impact: The competitive award process is intended to ensure taxpayer funds are used efficiently, though the exclusion of sources warrants scrutiny to confirm no viable bidders were unfairly omitted.

Public Impact

This award supports infrastructure development and maintenance within the public buildings sector. The project will likely create or sustain jobs in the construction industry in New Hampshire. Federal facilities in New Hampshire will benefit from the construction services provided.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Reason for excluding sources in 'Full and Open Competition After Exclusion of Sources' needs clarification.
Potential for cost overruns in fixed-price contracts if unforeseen issues arise during construction.

Positive Signals

Awarded under a competitive process.
Clear task order with defined start and end dates.
Firm Fixed Price contract type provides cost certainty.

Sector Analysis

The award falls under the Commercial and Institutional Building Construction sector (NAICS 236220). Spending in this sector is crucial for maintaining and upgrading federal facilities, with typical contract values varying widely based on project scope and complexity.

Small Business Impact

The awardee, Cornerstone Construction Services, LLC, is not indicated as a small business. Further analysis would be needed to determine if small business participation goals were met through subcontracting or if opportunities were missed.

Oversight & Accountability

The General Services Administration (GSA) is responsible for overseeing this task order. The Public Buildings Service within GSA likely manages the execution and ensures compliance with contract terms and taxpayer value.

Related Government Programs

Commercial and Institutional Building Construction
General Services Administration Contracting
Public Buildings Service Programs

Risk Flags

Potential for cost overruns due to fixed-price nature.
Lack of clarity on reasons for excluding sources.
Contractor is not identified as a small business.
Long duration of the task order (685 days) increases exposure to market fluctuations.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $2.3 million to CORNERSTONE CONSTRUCTION SERVICES, LLC. AWARD OF TASK ORDER 47PB0024F0313

Who is the contractor on this award?

The obligated recipient is CORNERSTONE CONSTRUCTION SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $2.3 million.

What is the period of performance?

Start: 2024-05-28. End: 2026-04-13.

What specific criteria led to the exclusion of certain sources in this 'Full and Open Competition After Exclusion of Sources' award?

The exclusion of sources typically occurs when specific capabilities, past performance, or security clearances are required that only a limited number of contractors can meet. The justification for exclusion should be documented by the agency to ensure it was necessary and did not unduly restrict competition, thereby potentially impacting price discovery and overall value for taxpayer funds.

What are the primary risks associated with this Firm Fixed Price contract for building construction?

The main risk with a Firm Fixed Price contract in construction is that the contractor may face unforeseen challenges (e.g., material price increases, site conditions, design changes) that erode their profit margin or lead to disputes. If the contractor cannot absorb these costs, they might seek change orders, potentially increasing the overall price, or deliver substandard work to maintain profitability.

How effectively does this award leverage competition to ensure optimal value for the government?

The 'Full and Open Competition After Exclusion of Sources' method suggests a balance between broad competition and specific requirements. While competition was present, the exclusion of sources limits the pool. The effectiveness hinges on whether the excluded sources were genuinely unable to meet critical requirements or if their exclusion unnecessarily reduced competitive pressure, potentially impacting the final price and value achieved.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47PB0024R0040

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 18 COMMERCE WAY STE 1000, WOBURN, MA, 01801

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $2,314,583

Exercised Options: $2,314,583

Current Obligation: $2,314,583

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $601,973

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47PB0023D0015

IDV Type: IDC

Timeline