GSA's $170M Covered Walkway Contract Awarded to Skanska USA Building Inc. for Census Personnel

Contract Overview

Contract Amount: $170,322,460 ($170.3M)

Contractor: Skanska USA Building Inc.

Awarding Agency: General Services Administration

Start Date: 2004-01-22

End Date: 2012-06-30

Contract Duration: 3,082 days

Daily Burn Rate: $55.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FURNISH AND INSTALL COVERED WALKWAY FOR CENSUS PERSONNEL AND VISITORS.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20407

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $170.3 million to SKANSKA USA BUILDING INC. for work described as: FURNISH AND INSTALL COVERED WALKWAY FOR CENSUS PERSONNEL AND VISITORS. Key points: 1. The contract value of $170.3 million for a covered walkway is substantial, indicating a significant infrastructure project. 2. Skanska USA Building Inc. secured this contract, suggesting strong capabilities in commercial and institutional building construction. 3. The project duration of 3082 days (over 8 years) implies a long-term commitment and potential for cost overruns or scope creep. 4. The absence of small business participation is noted, which could be a missed opportunity for economic development.

Value Assessment

Rating: fair

The contract value of $170.3 million for a covered walkway appears high for the described scope. Benchmarking against similar construction projects of this nature is difficult without more detailed specifications, but the cost per day is significant.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is a positive sign for price discovery. However, the long duration and significant value may have influenced the bidding landscape.

Taxpayer Impact: The substantial investment of $170.3 million represents a significant taxpayer expenditure for a specific facility enhancement.

Public Impact

Enhances accessibility and safety for Census Bureau personnel and visitors. Represents a long-term investment in federal infrastructure. Potential impact on local construction labor market during the project's extensive duration. The project's scale may influence surrounding property values or traffic patterns.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Federal spending in this sector often involves large-scale infrastructure projects with significant capital investment. Benchmarks for similar projects are highly variable based on scope and location.

Small Business Impact

The contract data indicates no small business participation (sb: false). This suggests that the prime contractor did not subcontract to small businesses for this project, which is a missed opportunity for supporting small business growth.

Oversight & Accountability

The General Services Administration (GSA) is responsible for overseeing this contract. The long duration necessitates ongoing oversight to ensure project milestones are met and costs remain controlled.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, general-services-administration, dc, dca, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $170.3 million to SKANSKA USA BUILDING INC.. FURNISH AND INSTALL COVERED WALKWAY FOR CENSUS PERSONNEL AND VISITORS.

Who is the contractor on this award?

The obligated recipient is SKANSKA USA BUILDING INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $170.3 million.

What is the period of performance?

Start: 2004-01-22. End: 2012-06-30.

What specific features or complexities justify the $170.3 million cost for a covered walkway?

The high cost suggests the walkway may incorporate advanced architectural designs, climate control systems, security features, or integration with existing complex structures. Without detailed project specifications, it's difficult to ascertain the exact drivers of the cost. Further inquiry into the project's scope of work and design documents would be necessary to fully understand the justification for this significant expenditure.

What are the potential risks associated with an 8-year construction timeline for a covered walkway?

An extended timeline increases the risk of material cost inflation, design obsolescence, and contractor performance issues. It also prolongs the period of potential disruption to the site. Furthermore, the long duration makes it harder to maintain consistent oversight and accountability, potentially leading to scope creep or budget overruns if not managed meticulously.

How effectively does the full and open competition process ensure value for money given the contract's scale and duration?

While full and open competition is designed to foster competitive pricing, the long duration and specialized nature of such a large construction project might limit the number of truly competitive bids. The initial price discovery is strong, but ongoing management is crucial to ensure the final cost reflects true value and avoids escalation over the eight-year period.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Skanska AB (UEI: 353937956)

Address: 1633 LITTLETON ROAD, PARSIPPANY, NJ, 11

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

Financial Breakdown

Contract Ceiling: $308,603,740

Exercised Options: $308,603,740

Current Obligation: $170,322,460

Timeline

Start Date: 2004-01-22

Current End Date: 2012-06-30

Potential End Date: 2012-06-30 00:00:00

Last Modified: 2012-12-13

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