DoD awards $14.6M contract for Hanscom AFB Child Development Center renovation

Contract Overview

Contract Amount: $14,629,596 ($14.6M)

Contractor: Veterans Development Corporation, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-26

End Date: 2027-09-20

Contract Duration: 724 days

Daily Burn Rate: $20.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THE PURPOSE OF THIS PROJECT IS TO SELECTIVELY RENOVATE THE CHILD DEVELOPMENT CENTER, BUILDING 1994, LOCATED ON HANSCOM AIR FORCE BASE.

Place of Performance

Location: HANSCOM AFB, MIDDLESEX County, MASSACHUSETTS, 01731

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $14.6 million to VETERANS DEVELOPMENT CORPORATION, INC. for work described as: THE PURPOSE OF THIS PROJECT IS TO SELECTIVELY RENOVATE THE CHILD DEVELOPMENT CENTER, BUILDING 1994, LOCATED ON HANSCOM AIR FORCE BASE. Key points: 1. Contract awarded for renovation of a critical facility at Hanscom Air Force Base. 2. The project aims to improve infrastructure for child development services. 3. Competition was full and open after exclusion of sources, indicating a broad search for qualified bidders. 4. The contract type is a definitive contract with a firm fixed price, suggesting cost certainty. 5. The duration of the contract is approximately 724 days, aligning with typical construction project timelines. 6. The award was made to Veterans Development Corporation, Inc.

Value Assessment

Rating: good

The contract value of $14.6 million for the renovation of a Child Development Center appears reasonable given the scope of construction and the firm fixed-price nature of the award. Benchmarking against similar institutional building construction projects of this scale would provide further context, but the price seems aligned with market rates for such specialized renovations. The fixed-price structure shifts risk to the contractor, which can be beneficial for the government if managed effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources.' This means that while the competition was intended to be broad, certain sources were initially excluded, possibly due to specific requirements or pre-qualification processes. The presence of 6 bidders (no) suggests a healthy level of competition, which typically leads to better pricing and value for the government.

Taxpayer Impact: The broad competition, despite initial source exclusions, likely resulted in a competitive price, benefiting taxpayers by ensuring they are not overpaying for the renovation services.

Public Impact

Military families and children at Hanscom Air Force Base will benefit from an improved and modernized Child Development Center. The renovation will enhance the safety, functionality, and capacity of the facility. The project supports the Air Force's commitment to providing essential services for its personnel and their dependents. The construction work will likely involve local and regional skilled labor, contributing to the regional economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if unforeseen structural issues are discovered during renovation.
Dependence on contractor's ability to manage schedule and avoid delays.
Ensuring compliance with all environmental and safety regulations during construction.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Full and open competition after source exclusion suggests a thorough vetting process.
Contract awarded to a company with experience in commercial and institutional building construction.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Federal spending in this area often supports critical infrastructure for government operations, including facilities like child development centers. The market for such specialized construction is competitive, with numerous firms capable of undertaking projects of this nature. The value of this contract is modest within the overall federal construction spending landscape.

Small Business Impact

The data indicates that small business participation (sb: false) was not a specific set-aside for this contract. While the prime contractor, Veterans Development Corporation, Inc., may be a small business, the contract itself was not designated as such. There is no explicit information on subcontracting plans for small businesses, which could be a missed opportunity to engage the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force contracting and project management offices at Hanscom Air Force Base. The firm fixed-price nature of the contract provides a degree of accountability for the contractor regarding cost. Transparency is generally maintained through contract award databases and reporting, though specific project-level oversight details are not provided.

Related Government Programs

Military Construction Projects
Child Care Facilities
Base Infrastructure Modernization
Department of Defense Facilities Management

Risk Flags

Potential for unforeseen conditions impacting schedule and cost.
Contractor performance risk.
Compliance with construction quality and safety standards.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.6 million to VETERANS DEVELOPMENT CORPORATION, INC.. THE PURPOSE OF THIS PROJECT IS TO SELECTIVELY RENOVATE THE CHILD DEVELOPMENT CENTER, BUILDING 1994, LOCATED ON HANSCOM AIR FORCE BASE.

Who is the contractor on this award?

The obligated recipient is VETERANS DEVELOPMENT CORPORATION, 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 $14.6 million.

What is the period of performance?

Start: 2025-09-26. End: 2027-09-20.

What is the track record of Veterans Development Corporation, Inc. on similar federal construction projects?

A review of federal contract databases indicates that Veterans Development Corporation, Inc. has a history of performing construction services for the federal government. While specific details on past projects, including their scale, complexity, and client agencies, would require deeper analysis, their selection for this $14.6 million project suggests they possess the necessary qualifications and experience. Further investigation into past performance reviews and any reported issues on previous contracts would provide a more comprehensive understanding of their reliability and capability in executing similar renovations.

How does the awarded price compare to similar Child Development Center renovations at other military installations?

Benchmarking this $14.6 million contract against similar Child Development Center renovations at other military installations is crucial for assessing value for money. Factors such as square footage, scope of work (e.g., structural, MEP, finishes), age and condition of the existing facility, and regional construction cost indices significantly influence project pricing. Without access to detailed cost breakdowns and comparable project data, a precise comparison is difficult. However, the firm fixed-price nature of this award suggests the government sought cost certainty, and the competitive bidding process should have driven the price towards market norms for similar scope and complexity.

What are the primary risks associated with this specific renovation project?

The primary risks associated with this renovation project include potential unforeseen structural or environmental issues discovered during demolition and construction, which could lead to cost overruns or schedule delays, despite the firm fixed-price contract. Another significant risk is the contractor's ability to adhere to the schedule, given the 724-day duration, which could impact the availability of essential child development services. Ensuring the contractor maintains high-quality workmanship and complies with all safety and regulatory standards throughout the project lifecycle also presents an ongoing risk that requires diligent oversight.

How effective is the 'full and open competition after exclusion of sources' method in ensuring optimal value?

The 'full and open competition after exclusion of sources' method aims to balance broad market reach with specific project needs. By initially excluding certain sources, the government can focus its outreach on contractors demonstrably capable of meeting stringent requirements, potentially reducing the number of unqualified bids and streamlining the evaluation process. When combined with a sufficient number of responsive bidders, as indicated by the 6 bidders in this case, this approach can still foster robust price competition. However, the effectiveness hinges on whether the exclusions were justified and did not unduly limit the pool of highly competitive contractors, which could potentially lead to a less optimal outcome than true unrestricted full and open competition.

What is the historical spending trend for Child Development Center renovations at Hanscom AFB or similar bases?

Analyzing historical spending trends for Child Development Center renovations at Hanscom AFB or comparable bases would provide valuable context for this $14.6 million award. Understanding the average cost per square foot, typical project durations, and the frequency of such renovations can help determine if current spending is in line with past investments or if there are significant deviations. Without specific historical data for this facility or similar ones, it's challenging to ascertain if this contract represents an increase or decrease in investment. However, the need for renovation suggests ongoing investment in maintaining aging military infrastructure.

What are the implications of the 'definitive contract' type for project management and flexibility?

A definitive contract, particularly when it's a firm fixed-price type as in this case, establishes clear terms, conditions, and pricing for the entire project duration. This provides significant clarity and predictability for both the government and the contractor regarding cost and scope. For project management, it means the focus is on ensuring the contractor delivers the specified renovation within the agreed-upon price and schedule. Flexibility is generally limited under such contracts; significant changes to the scope would typically require formal contract modifications (change orders), which can be time-consuming and may involve price adjustments, potentially negating some of the initial cost certainty.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA283525R0006

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 144 LINCOLN ST, NORWELL, MA, 02061

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

Financial Breakdown

Contract Ceiling: $14,629,596

Exercised Options: $14,629,596

Current Obligation: $14,629,596

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline