NIH renovates labs and offices for $12.8M, impacting commercial building construction sector

Contract Overview

Contract Amount: $12,809,246 ($12.8M)

Contractor: Gilbane Building Company

Awarding Agency: Department of Health and Human Services

Start Date: 2007-09-12

End Date: 2012-11-20

Contract Duration: 1,896 days

Daily Burn Rate: $6.8K/day

Number of Offers Received: 1

Pricing Type: OTHER (NONE OF THE ABOVE)

Sector: Construction

Official Description: CHANGE #1, NJE26507, RENOVATE LABS & OFFICES & MOVE 8 INSTITUTES FROM THEIR SPACES IN THE KNUCKLE AREAS OF BLDG 10 & MOVE THEM INTO THESE NEWLY RENOVATED SPACES, BLDG.10 - HQF60037 - LOG#22059 - NATE ADAMS - CT#292-03-D-0107 - R&I

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.8 million to GILBANE BUILDING COMPANY for work described as: CHANGE #1, NJE26507, RENOVATE LABS & OFFICES & MOVE 8 INSTITUTES FROM THEIR SPACES IN THE KNUCKLE AREAS OF BLDG 10 & MOVE THEM INTO THESE NEWLY RENOVATED SPACES, BLDG.10 - HQF60037 - LOG#22059 - NATE ADAMS - CT#292-03-D-0107 - R&I Key points: 1. Spending focused on facility renovation and relocation within NIH headquarters. 2. Contract awarded to Gilbane Building Company, a major construction firm. 3. Project duration of 1896 days indicates a significant, long-term undertaking. 4. No explicit mention of small business participation.

Value Assessment

Rating: fair

The contract value of $12.8M for lab and office renovation appears within a reasonable range for a project of this scope and duration. Benchmarking against similar large-scale federal construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The competition method is not specified, which makes it difficult to assess the effectiveness of price discovery. If the contract was awarded through a limited or sole-source process, it may have resulted in higher costs than a full and open competition.

Taxpayer Impact: Taxpayer funds are being used for facility upgrades. The ultimate impact depends on the efficiency of the renovation and the long-term utility of the improved spaces.

Public Impact

Improved research and office facilities for 8 institutes within NIH. Potential for enhanced collaboration and operational efficiency through consolidated spaces. Disruption to ongoing research activities during the renovation and move process.

Waste & Efficiency Indicators

Waste Risk Score: 67 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Commercial and Institutional Building Construction. Federal spending in this sector often involves significant capital investments for infrastructure upgrades and new facilities, with costs influenced by project complexity, location, and prevailing market rates.

Small Business Impact

The data indicates that small business participation was not a stated factor (sb: false). Further investigation is needed to determine if subcontracting opportunities were offered and utilized by small businesses.

Oversight & Accountability

Oversight would typically involve regular progress reports, site inspections, and financial reviews by NIH contracting officers to ensure the project stays on schedule and within budget.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-health-and-human-services, md, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.8 million to GILBANE BUILDING COMPANY. CHANGE #1, NJE26507, RENOVATE LABS & OFFICES & MOVE 8 INSTITUTES FROM THEIR SPACES IN THE KNUCKLE AREAS OF BLDG 10 & MOVE THEM INTO THESE NEWLY RENOVATED SPACES, BLDG.10 - HQF60037 - LOG#22059 - NATE ADAMS - CT#292-03-D-0107 - R&I

Who is the contractor on this award?

The obligated recipient is GILBANE BUILDING COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $12.8 million.

What is the period of performance?

Start: 2007-09-12. End: 2012-11-20.

What was the specific procurement method used for this contract, and how did it influence the final price?

The specific procurement method is not detailed in the provided data. Understanding whether this was a competitive bid, sole-source award, or other mechanism is crucial for evaluating price reasonableness. Competitive processes generally lead to better price discovery and potentially lower costs for taxpayers compared to non-competitive awards.

What are the key performance indicators and risk mitigation strategies employed to manage this large-scale renovation project?

Key performance indicators likely include adherence to schedule, budget, quality standards, and safety protocols. Risk mitigation strategies would typically involve detailed project planning, contingency budgeting, regular site inspections, stakeholder communication, and proactive identification of potential issues like material shortages or unforeseen site conditions.

How will the renovated labs and offices contribute to the long-term research mission and operational efficiency of the affected NIH institutes?

The renovation aims to provide modern, efficient spaces conducive to cutting-edge research and collaboration. By consolidating institutes and upgrading facilities, the project is expected to enhance operational workflows, facilitate interdisciplinary work, and potentially accelerate scientific discovery, thereby maximizing the return on taxpayer investment.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

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

Contractor Details

Parent Company: Gilbane, Inc. (UEI: 022726165)

Address: 7901 SANDY SPRING RD, LAUREL, MD, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $12,809,246

Exercised Options: $12,809,246

Current Obligation: $12,809,246

Parent Contract

Parent Award PIID: 292030107

IDV Type: IDC

Timeline

Start Date: 2007-09-12

Current End Date: 2012-11-20

Potential End Date: 2012-11-20 00:00:00

Last Modified: 2014-02-20

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