HHS Awards $126.5M for Rapid City Health Center Construction to Flintco, LLC
Contract Overview
Contract Amount: $126,512,105 ($126.5M)
Contractor: Flintco, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2019-09-27
End Date: 2024-02-02
Contract Duration: 1,589 days
Daily Burn Rate: $79.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: RAPID CITY HEALTH CENTER DESIGN BUILD CONSTRUCTION PROJECT, RAPID CITY, SD
Place of Performance
Location: RAPID CITY, PENNINGTON County, SOUTH DAKOTA, 57702
Plain-Language Summary
Department of Health and Human Services obligated $126.5 million to FLINTCO, LLC for work described as: RAPID CITY HEALTH CENTER DESIGN BUILD CONSTRUCTION PROJECT, RAPID CITY, SD Key points: 1. Significant investment in healthcare infrastructure for South Dakota. 2. Flintco, LLC, a large contractor, secured the award. 3. Project duration of nearly 4 years indicates complexity. 4. Firm Fixed Price contract aims to control costs.
Value Assessment
Rating: good
The contract value of $126.5 million is substantial for a healthcare facility. Benchmarking against similar large-scale construction projects is necessary to fully assess value, but the firm fixed price suggests an effort to establish a clear cost ceiling.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing by allowing all qualified contractors to bid.
Taxpayer Impact: The substantial investment represents taxpayer funds allocated to critical healthcare infrastructure, aiming for long-term community benefit.
Public Impact
Improved healthcare access for the Rapid City community. Job creation during the construction phase. Potential for long-term economic development in the region.
Waste & Efficiency Indicators
Waste Risk Score: 70 / 10
Warning Flags
- Potential for cost overruns despite firm fixed price due to project scale and duration.
- Ensuring quality of construction meets healthcare facility standards.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract provides cost certainty.
- Addresses critical healthcare infrastructure needs.
Sector Analysis
This project falls within the Commercial and Institutional Building Construction sector. Spending benchmarks for large healthcare facilities vary significantly by region and scope, but $126.5 million suggests a major undertaking.
Small Business Impact
The award went to Flintco, LLC, a large business. There is no indication of specific subcontracting goals for small businesses within the provided data, which could be an area for oversight.
Oversight & Accountability
The firm fixed price contract and full and open competition suggest a structured procurement process. Ongoing oversight will be crucial to monitor project progress, quality, and adherence to the contract terms.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Health and Human Services Contracting
- Indian Health Service Programs
Risk Flags
- Large contract value requires diligent oversight.
- Long project duration increases risk of delays.
- Potential for cost escalation if scope changes.
- Need to ensure small business participation.
Tags
commercial-and-institutional-building-co, department-of-health-and-human-services, sd, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $126.5 million to FLINTCO, LLC. RAPID CITY HEALTH CENTER DESIGN BUILD CONSTRUCTION PROJECT, RAPID CITY, SD
Who is the contractor on this award?
The obligated recipient is FLINTCO, LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Indian Health Service).
What is the total obligated amount?
The obligated amount is $126.5 million.
What is the period of performance?
Start: 2019-09-27. End: 2024-02-02.
What specific healthcare services will the new facility provide, and how does this align with community needs?
The provided data focuses on the construction aspect and does not detail the specific healthcare services planned for the Rapid City Health Center. Further analysis would require information from the Indian Health Service or Department of Health and Human Services regarding the facility's intended purpose and its alignment with identified community health needs and service gaps.
Are there any identified risks related to the construction timeline or potential delays, and what mitigation strategies are in place?
While the firm fixed price contract aims to control costs, a nearly 4-year duration presents inherent risks for delays due to weather, supply chain issues, or unforeseen site conditions. Mitigation strategies would typically involve detailed project management plans, contingency planning, and clear communication protocols between the contractor and the agency.
How will the effectiveness of the new health center be measured post-construction in terms of patient outcomes and accessibility?
Measuring the effectiveness of the health center post-construction will involve tracking key performance indicators related to patient access, wait times, quality of care, patient satisfaction, and health outcomes for the served population. The Indian Health Service would be responsible for establishing these metrics and monitoring the facility's performance against them.
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: HHSI0219R0017
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1624 W 21ST ST, TULSA, OK, 74107
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $126,512,105
Exercised Options: $126,512,105
Current Obligation: $126,512,105
Actual Outlays: $83,015,322
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2019-09-27
Current End Date: 2024-02-02
Potential End Date: 2024-04-03 00:00:00
Last Modified: 2024-04-25
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