Crow Creek Tribal School Replacement Contract Awarded for $36.8M, Completed Under Budget
Contract Overview
Contract Amount: $36,791,723 ($36.8M)
Contractor: Kraus-Anderson Construction CO
Awarding Agency: Department of the Interior
Start Date: 2010-04-30
End Date: 2012-06-05
Contract Duration: 767 days
Daily Burn Rate: $48.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TAS:: 14 1041:: TAS RECOVERY CRCR PMIS# 156772 DESIGN-BUILD CONSTRUCTION OF CROW CREEK TRIBAL SCHOOL REPLACEMENT, STEPHAN (HYDE COUNTY), SOUTH DAKOTA 57346-6120
Place of Performance
Location: STEPHAN, HYDE County, SOUTH DAKOTA, 57346
Plain-Language Summary
Department of the Interior obligated $36.8 million to KRAUS-ANDERSON CONSTRUCTION CO for work described as: TAS:: 14 1041:: TAS RECOVERY CRCR PMIS# 156772 DESIGN-BUILD CONSTRUCTION OF CROW CREEK TRIBAL SCHOOL REPLACEMENT, STEPHAN (HYDE COUNTY), SOUTH DAKOTA 57346-6120 Key points: 1. The project aimed to replace the Crow Creek Tribal School in South Dakota. 2. KRAUS-ANDERSON CONSTRUCTION CO was the prime contractor. 3. The contract was awarded under full and open competition. 4. The project was completed with a significant underrun of $4.8M. 5. The sector is Commercial and Institutional Building Construction.
Value Assessment
Rating: excellent
The final cost of $36.8M was well below the initial award amount of $41.6M, indicating strong cost control and potentially favorable market conditions during execution.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. The significant underrun further supports effective competition and contractor performance.
Taxpayer Impact: The substantial cost underrun of approximately $4.8M represents a positive outcome for taxpayers, as less federal funding was expended than initially planned.
Public Impact
Improved educational facilities for the Crow Creek community. Economic stimulus through construction jobs in Hyde County, South Dakota. Successful completion of a major infrastructure project in a rural area.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep or unforeseen issues leading to initial award amount.
- Lack of small business participation noted.
Positive Signals
- Significant cost underrun.
- Completed on time.
- Full and open competition.
Sector Analysis
This project falls within the Commercial and Institutional Building Construction sector, which is a significant area of federal spending, particularly for infrastructure and community facilities. Benchmarks for similar school construction projects would typically consider factors like square footage, location, and complexity.
Small Business Impact
The data indicates that small business participation was not a factor in this contract (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed or if the project's nature did not lend itself to small business involvement.
Oversight & Accountability
The contract was awarded by the Department of the Interior, National Park Service. Oversight would have focused on ensuring timely completion, quality of construction, and adherence to the firm-fixed-price terms.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of the Interior Contracting
- National Park Service Programs
Risk Flags
- No small business participation noted.
- Potential for initial overestimation of project costs.
- Contract awarded by National Park Service for a tribal school, requiring inter-agency coordination.
Tags
commercial-and-institutional-building-co, department-of-the-interior, sd, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Interior awarded $36.8 million to KRAUS-ANDERSON CONSTRUCTION CO. TAS:: 14 1041:: TAS RECOVERY CRCR PMIS# 156772 DESIGN-BUILD CONSTRUCTION OF CROW CREEK TRIBAL SCHOOL REPLACEMENT, STEPHAN (HYDE COUNTY), SOUTH DAKOTA 57346-6120
Who is the contractor on this award?
The obligated recipient is KRAUS-ANDERSON CONSTRUCTION CO.
Which agency awarded this contract?
Awarding agency: Department of the Interior (National Park Service).
What is the total obligated amount?
The obligated amount is $36.8 million.
What is the period of performance?
Start: 2010-04-30. End: 2012-06-05.
What factors contributed to the significant cost underrun of nearly $4.8 million on this project?
The substantial cost underrun could be attributed to several factors. These might include highly competitive bidding that drove down initial prices, favorable material and labor costs during the project's execution, efficient project management by the contractor, or a reduction in the project's scope after the initial award. Further investigation into the contractor's final cost submissions and project change orders would clarify the exact reasons.
Given the project's location in a rural area, were there specific challenges in ensuring full and open competition?
While the data states 'FULL AND OPEN COMPETITION', rural locations can sometimes present challenges in attracting a wide range of bidders due to logistical complexities, workforce availability, and smaller local construction markets. However, the successful outcome suggests that the procurement process effectively reached a sufficient pool of qualified contractors, possibly through broader advertising or partnerships, leading to competitive pricing.
What is the long-term impact of this school replacement on the Crow Creek community and its educational outcomes?
The replacement of an aging school with a new facility is expected to have a profoundly positive long-term impact. It likely provides a safer, more modern, and better-equipped learning environment, which can lead to improved student engagement, better educational outcomes, and enhanced community pride. The new facility may also offer expanded resources and capabilities previously unavailable.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: TWO STEP
Solicitation ID: N2011101051
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Kraus Anderson Inc (UEI: 006962104)
Address: 525 SOUTH 8TH ST, MINNEAPOLIS, MN, 55404
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $36,791,723
Exercised Options: $36,791,723
Current Obligation: $36,791,723
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2010-04-30
Current End Date: 2012-06-05
Potential End Date: 2013-07-23 00:00:00
Last Modified: 2016-03-10
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