National Archives awards $3.5M IDIQ for construction services to Grunley Construction

Contract Overview

Contract Amount: $3,495,110 ($3.5M)

Contractor: Grunley Construction CO., Inc.

Awarding Agency: National Archives and Records Administration

Start Date: 2024-08-06

End Date: 2026-03-20

Contract Duration: 591 days

Daily Burn Rate: $5.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: GRUNLEY CM/DB IDIQ

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

National Archives and Records Administration obligated $3.5 million to GRUNLEY CONSTRUCTION CO., INC. for work described as: GRUNLEY CM/DB IDIQ Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract is a firm-fixed-price delivery order, providing cost certainty for the government. 3. The duration of 591 days indicates a medium-term project scope. 4. The contract is for commercial and institutional building construction, a common government need. 5. The awardee, Grunley Construction Co., Inc., has experience in this sector. 6. The contract is not set aside for small businesses, potentially limiting small business participation.

Value Assessment

Rating: good

The contract's firm-fixed-price nature provides a clear cost structure. Benchmarking against similar commercial and institutional building construction contracts awarded by agencies like the National Archives would be necessary for a precise value assessment. However, the competitive award process generally supports favorable pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. The data indicates one award, but the initial solicitation likely attracted multiple bids given the competitive nature of the process. This level of competition is generally expected to drive competitive pricing.

Taxpayer Impact: Full and open competition is the most advantageous for taxpayers as it maximizes the pool of potential bidders, leading to potentially lower prices and better quality services.

Public Impact

The National Archives and Records Administration will benefit from improved facilities or infrastructure. Services delivered include commercial and institutional building construction. The geographic impact is focused on Maryland, where the contract is being performed. The contract supports the construction workforce in the Maryland region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of small business set-aside may limit opportunities for smaller firms in the construction sector.
The firm-fixed-price contract could pose risks if unforeseen issues arise during construction that increase costs beyond initial estimates.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
The contractor has experience in commercial and institutional building construction.
Firm-fixed-price contract provides cost certainty for the government.

Sector Analysis

The commercial and institutional building construction sector is a significant part of the U.S. economy, with government contracts forming a notable segment. Agencies like the National Archives frequently require construction services for maintaining and upgrading their facilities. Benchmarking this contract's value would involve comparing its total value and scope to other similar construction projects awarded by federal agencies.

Small Business Impact

This contract was not set aside for small businesses, and the data indicates no small business participation (sb: false). This means that larger firms were eligible to bid and potentially win the contract. While this ensures a broad competitive field, it may limit subcontracting opportunities for small businesses unless the prime contractor voluntarily includes them in their subcontracting plan.

Oversight & Accountability

Oversight for this contract would typically be managed by the National Archives and Records Administration's contracting officers and program managers. Accountability measures are inherent in the firm-fixed-price contract type, requiring the contractor to deliver specified services within the agreed-upon price. Transparency is generally maintained through contract award databases and public reporting mechanisms.

Related Government Programs

Federal Building Construction Contracts
Government Facilities Maintenance and Repair
Architectural and Engineering Services
Construction Services for Federal Agencies

Risk Flags

Potential for cost overruns in firm-fixed-price construction contracts.
Limited small business participation opportunities.

Frequently Asked Questions

What is this federal contract paying for?

National Archives and Records Administration awarded $3.5 million to GRUNLEY CONSTRUCTION CO., INC.. GRUNLEY CM/DB IDIQ

Who is the contractor on this award?

The obligated recipient is GRUNLEY CONSTRUCTION CO., INC..

Which agency awarded this contract?

Awarding agency: National Archives and Records Administration (National Archives and Records Administration).

What is the total obligated amount?

The obligated amount is $3.5 million.

What is the period of performance?

Start: 2024-08-06. End: 2026-03-20.

What is Grunley Construction Co., Inc.'s track record with federal contracts, particularly with the National Archives?

Grunley Construction Co., Inc. has a history of performing federal contracts. While specific details on their past performance with the National Archives require deeper database analysis, their presence as an awardee suggests prior successful engagements or a strong proposal. Federal procurement data often shows a pattern of repeat awards to contractors who demonstrate reliability, quality, and competitive pricing. Further investigation into their contract history with NARA and other federal agencies would reveal the extent and nature of their past work, including any performance issues or commendations.

How does the $3.5 million contract value compare to similar construction projects for federal agencies?

The $3.5 million contract value for commercial and institutional building construction is a moderate amount for federal projects. Larger agencies like the General Services Administration (GSA) or the Department of Defense often award construction contracts in the tens or hundreds of millions of dollars for major facility upgrades or new constructions. However, for specific projects like renovations, repairs, or smaller facility enhancements at individual agency sites, $3.5 million is a typical range. Benchmarking against similar IDIQ (Indefinite Delivery/Indefinite Quantity) contracts or delivery orders for construction services in the Maryland region would provide a more precise comparison of value for money.

What are the primary risks associated with this firm-fixed-price delivery order for construction?

The primary risk with a firm-fixed-price (FFP) contract, especially in construction, is the potential for cost overruns if unforeseen conditions arise during the project. For example, discovering hazardous materials, encountering unexpected site complexities, or significant material price escalations not accounted for in the initial bid could strain the fixed price. The government's risk is minimized in terms of price, but the contractor bears the burden of managing costs to meet the agreed-upon price. Effective project management, clear scope definition, and thorough site investigations prior to bidding are crucial to mitigate these risks.

How effective is full and open competition in ensuring value for money for construction contracts of this size?

Full and open competition is generally considered the most effective method for ensuring value for money in federal contracting, including for construction projects of this size. By allowing all responsible contractors to bid, it fosters a competitive environment that drives down prices and encourages innovation and quality. For a $3.5 million contract, a competitive process is likely to yield multiple bids, allowing the National Archives to select the offer that represents the best overall value, considering price, technical approach, and past performance. The effectiveness is maximized when the solicitation is well-defined and the evaluation criteria are clear and objective.

What is the historical spending pattern for construction services by the National Archives and Records Administration?

The National Archives and Records Administration (NARA) historically spends funds on construction services to maintain and upgrade its numerous facilities across the country. Their spending patterns would typically reflect needs for renovations, repairs, climate control system upgrades, and potentially new construction or expansions. Analyzing NARA's procurement history would reveal the frequency and average value of their construction contracts, as well as the types of services most commonly procured. This data can indicate whether this $3.5 million award is consistent with their typical project sizes and investment levels in facility management.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 15020 SHADY GROVE RD STE 500, ROCKVILLE, MD, 20850

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

Financial Breakdown

Contract Ceiling: $3,495,110

Exercised Options: $3,495,110

Current Obligation: $3,495,110

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 88310320D00010

IDV Type: IDC

Timeline