GSA's $24M ARRA-funded construction contract for Indianapolis facility upgrades awarded to Shiel Sexton Co. Inc

Contract Overview

Contract Amount: $24,029,231 ($24.0M)

Contractor: Shiel Sexton CO Inc

Awarding Agency: General Services Administration

Start Date: 2009-11-13

End Date: 2011-04-30

Contract Duration: 533 days

Daily Burn Rate: $45.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: TAS::47 4543::TAS, RECOVERY - PRE-DESIGN AND DESIGN STAGE CONSTRUCTION MANAGER AS CONSTRUCTOR (CMC) SERVICES AS PART OF THE AMERICAN RECOVERY AND REINVESTMENT ACT (ARRA) OF 2009 PHOTOVOLTAIC ROOF AND DOD SECURITY REQUIREMENTS/PARKING/COMMON AREA UPGRADES PROJECT LOCATED AT THE MAJOR GENERAL EMMETT J. BEAN CENTER IN INDIANAPOLIS, INDIANA.

Place of Performance

Location: INDIANAPOLIS, MARION County, INDIANA, 46249

State: Indiana Government Spending

Plain-Language Summary

General Services Administration obligated $24.0 million to SHIEL SEXTON CO INC for work described as: TAS::47 4543::TAS, RECOVERY - PRE-DESIGN AND DESIGN STAGE CONSTRUCTION MANAGER AS CONSTRUCTOR (CMC) SERVICES AS PART OF THE AMERICAN RECOVERY AND REINVESTMENT ACT (ARRA) OF 2009 PHOTOVOLTAIC ROOF AND DOD SECURITY REQUIREMENTS/PARKING/COMMON AREA UPGRADES PROJECT LOCATED AT THE MA… Key points: 1. Contract focused on photovoltaic roof and security upgrades, leveraging ARRA funds for economic stimulus. 2. Project aimed to improve facility infrastructure and security at the Major General Emmett J. Bean Center. 3. The contract was awarded under a firm-fixed-price structure, indicating defined cost expectations. 4. Duration of 533 days suggests a moderately complex construction and upgrade project. 5. The award was part of a broader initiative under the American Recovery and Reinvestment Act of 2009. 6. Geographic focus on Indiana highlights regional economic impact of ARRA spending.

Value Assessment

Rating: fair

Benchmarking the value of this specific contract is challenging without comparable ARRA-funded projects of similar scope and location. The firm-fixed-price contract suggests a defined budget, but the final cost relative to initial estimates or market rates for similar construction services would require further analysis. The total award amount of approximately $24 million for a 533-day project involving roof and security upgrades appears within a reasonable range for large-scale construction, but a detailed cost breakdown and comparison to industry benchmarks would be necessary for a definitive value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This competitive process is generally expected to yield fair market prices and encourage efficiency. The presence of 5 bidders, as suggested by the 'no' field, implies a reasonable level of interest and competition for this project, which should have contributed to price discovery.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down costs through market forces, ensuring that government funds are used more efficiently and effectively.

Public Impact

The primary beneficiaries are the General Services Administration (GSA) and the Department of Defense (DoD) through improved facility infrastructure and security. Services delivered include construction management, photovoltaic roof installation, and security system upgrades. The project's geographic impact is concentrated in Indianapolis, Indiana, potentially creating local jobs and stimulating the regional economy. Workforce implications include employment opportunities for construction workers, engineers, and project managers in the Indianapolis area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen construction challenges arise, despite the firm-fixed-price structure.
Dependence on the contractor's ability to manage complex security requirements alongside construction.
Risk of delays impacting the intended economic stimulus goals of the ARRA funding.

Positive Signals

Awarded under ARRA, indicating a focus on economic recovery and job creation.
Full and open competition suggests a robust bidding process and potential for competitive pricing.
Firm-fixed-price contract provides cost certainty for the government.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector (NAICS 236220). This sector encompasses a wide range of construction activities for non-residential buildings. The project's focus on upgrades and specific installations like photovoltaic roofs aligns with trends in sustainable building and facility modernization. Comparable spending benchmarks would typically involve other large-scale government or private sector construction projects for similar facilities, considering regional labor and material costs.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large-scale construction project, it is unlikely that small businesses would be primary awardees unless they were part of a joint venture or subcontracting team. The impact on the small business ecosystem would depend on subcontracting opportunities offered by the prime contractor, Shiel Sexton Co. Inc.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically its Public Buildings Service. Accountability measures would be embedded in the contract terms, including performance standards and delivery schedules. Transparency is generally facilitated through federal contract databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse related to the contract were to arise.

Related Government Programs

American Recovery and Reinvestment Act (ARRA) Projects
GSA Public Buildings Service Construction Contracts
Federal Facility Security Upgrades
Renewable Energy Infrastructure Projects

Risk Flags

Potential for cost escalation due to unforeseen site conditions.
Risk of project delays impacting ARRA stimulus objectives.
Contractor performance risk in meeting complex security and construction requirements.
Dependence on specific ARRA funding mechanisms and timelines.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $24.0 million to SHIEL SEXTON CO INC. TAS::47 4543::TAS, RECOVERY - PRE-DESIGN AND DESIGN STAGE CONSTRUCTION MANAGER AS CONSTRUCTOR (CMC) SERVICES AS PART OF THE AMERICAN RECOVERY AND REINVESTMENT ACT (ARRA) OF 2009 PHOTOVOLTAIC ROOF AND DOD SECURITY REQUIREMENTS/PARKING/COMMON AREA UPGRADES PROJECT LOCATED AT THE MAJOR GENERAL EMMETT J. BEAN CENTER IN INDIANAPOLIS, INDIANA.

Who is the contractor on this award?

The obligated recipient is SHIEL SEXTON CO INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $24.0 million.

What is the period of performance?

Start: 2009-11-13. End: 2011-04-30.

What was the track record of Shiel Sexton Co. Inc. with federal contracts prior to this award?

Information on Shiel Sexton Co. Inc.'s prior federal contract history is not detailed in the provided data. However, as a recipient of a significant ARRA-funded contract from the GSA, it can be inferred that the company likely possessed the necessary qualifications and experience to undertake such a project. A comprehensive review would involve examining their past performance on similar government contracts, including adherence to schedules, budget management, and quality of work. This would typically be assessed through sources like the Contractor Performance Assessment Reporting System (CPARS) if available.

How does the per-square-foot cost of this project compare to similar federal building upgrade projects?

The provided data does not include the square footage of the facility or a detailed cost breakdown, making a direct per-square-foot cost comparison impossible. The total award of $24,029,231.10 for a 533-day project involving roof and security upgrades needs to be contextualized with the size and complexity of the Major General Emmett J. Bean Center. To benchmark effectively, one would need to identify comparable federal construction projects of similar scope (roofing, security, facility upgrades) in the same geographic region and analyze their cost per square foot, accounting for inflation and specific project requirements.

What were the primary risks identified by the GSA during the procurement process for this contract?

The provided data does not explicitly list the risks identified by the GSA during the procurement. However, for a project of this nature and scale, common risks typically include potential construction delays due to weather or unforeseen site conditions, cost overruns (even with a firm-fixed-price contract, change orders can occur), contractor performance issues, and challenges in meeting specific security requirements. The firm-fixed-price contract structure itself is a mechanism to mitigate financial risk for the government, shifting much of the cost uncertainty to the contractor.

How effective was this ARRA-funded project in achieving its stated goals of economic stimulus and infrastructure improvement?

The effectiveness of this project in achieving economic stimulus and infrastructure improvement can be assessed through several lenses. From an infrastructure perspective, the successful completion of photovoltaic roof and security upgrades would have demonstrably improved the facility's energy efficiency and security posture. Regarding economic stimulus, the project likely generated employment opportunities in the Indianapolis area during its 533-day duration, contributing to local economic activity. Quantifying the precise economic impact would require analyzing job creation figures, local spending by the contractor and subcontractors, and the long-term benefits of the upgraded infrastructure.

What is the historical spending pattern for similar construction and upgrade projects at GSA facilities in Indiana?

The provided data focuses on a single contract and does not offer historical spending patterns for GSA facilities in Indiana. To analyze historical spending, one would need to access broader datasets of GSA contracts awarded within Indiana for similar construction and upgrade services over multiple fiscal years. This analysis would involve identifying trends in contract values, types of services procured, competition levels, and average project durations to understand typical investment levels and market dynamics for such projects in the region.

Were there any significant performance issues or contract modifications during the execution of this project?

The provided data does not contain information regarding significant performance issues or contract modifications during the execution of this project. The award details (start/end dates, award amount) suggest a defined scope and timeline. To ascertain any issues or modifications, one would need to consult contract performance reports, modification logs, or official GSA project files associated with this specific contract. Such information is often found in contract management systems or agency archives.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 902 N CAPITOL AVE, INDIANAPOLIS, IN, 46204

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

Financial Breakdown

Contract Ceiling: $75,761,471

Exercised Options: $24,029,231

Current Obligation: $24,029,231

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS05P09GBD0036

IDV Type: IDC

Timeline