National Park Service contract for Flight 93 Memorial Visitor Center awarded to URS Group, Inc. for over $27 million

Contract Overview

Contract Amount: $27,251,805 ($27.3M)

Contractor: URS Group, Inc.

Awarding Agency: Department of the Interior

Start Date: 2013-09-11

End Date: 2016-10-17

Contract Duration: 1,132 days

Daily Burn Rate: $24.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF CONSTRUCT FLIGHT 93 NATIONAL MEMORIAL VISITOR CENTER, PHASE 1B

Place of Performance

Location: STOYSTOWN, SOMERSET County, PENNSYLVANIA, 15563

State: Pennsylvania Government Spending

Plain-Language Summary

Department of the Interior obligated $27.3 million to URS GROUP, INC. for work described as: IGF::OT::IGF CONSTRUCT FLIGHT 93 NATIONAL MEMORIAL VISITOR CENTER, PHASE 1B Key points: 1. The contract was awarded using full and open competition, suggesting a competitive bidding process. 2. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 3. The duration of the contract was over 1000 days, indicating a significant construction project. 4. The project falls under Industrial Building Construction, a common category for infrastructure development. 5. The award amount of approximately $27 million places this contract within a substantial spending bracket for construction projects.

Value Assessment

Rating: fair

The contract value of $27.25 million for the construction of a visitor center is a significant investment. Benchmarking this against similar large-scale visitor center constructions or industrial building projects would be necessary for a precise value-for-money assessment. The firm fixed-price nature of the contract implies that the contractor bears the risk of cost overruns, which can be a positive indicator if the price was competitive. However, without detailed cost breakdowns or comparisons to industry standards for similar scope and complexity, it's difficult to definitively assess if the price represents excellent value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit a bid. The data shows 4 bids were received, which suggests a reasonable level of competition for this type of specialized construction project. A higher number of bidders generally leads to more competitive pricing and a wider selection of qualified contractors. The fact that four bids were submitted implies that the market had sufficient interest and capacity for this project.

Taxpayer Impact: A competitive bidding process like this generally benefits taxpayers by driving down costs through contractor rivalry, ensuring the government receives the best possible price for the services rendered.

Public Impact

The primary beneficiaries are visitors to the Flight 93 National Memorial, who will gain access to a new visitor center. The contract delivers construction services for a significant national memorial site. The geographic impact is localized to Shanksville, Pennsylvania, where the memorial is located. The project likely involved a workforce of construction laborers, engineers, and project managers, contributing to employment in the sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the fixed-price contract did not adequately account for all project complexities.
Risk of delays in project completion impacting the opening of the visitor center.
Ensuring the quality of construction meets the standards expected for a national memorial site.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm Fixed Price contract structure shifts cost risk to the contractor.
The project is for a significant national memorial, implying a high level of public interest and oversight.

Sector Analysis

The construction sector is a major component of the US economy, encompassing a wide range of projects from residential to large-scale infrastructure. This contract for a visitor center falls under industrial building construction, a segment that requires specialized expertise and adherence to strict quality and safety standards. Comparable spending benchmarks for similar visitor centers at national parks or significant historical sites would provide context for the $27 million award. The market for large federal construction projects is often competitive, with established firms bidding for significant contracts.

Small Business Impact

The data indicates that small business participation was not a primary set-aside criterion for this contract (ss: false, sb: false). While the prime contractor is URS Group, Inc., a large entity, there may be subcontracting opportunities for small businesses within the construction trades. The extent of small business subcontracting would need further investigation to determine its impact on the small business ecosystem. Without specific set-aside goals, the direct impact on small businesses is likely through subcontracting rather than prime contract awards.

Oversight & Accountability

Oversight for this contract would typically be managed by the National Park Service contracting officers and project managers. Given the nature of a national memorial, there is likely a high degree of public and potentially congressional scrutiny. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected. Transparency would be expected through contract award databases and potentially public reporting on project milestones.

Related Government Programs

National Park Service Construction Projects
Federal Memorial Construction
Industrial Building Construction Contracts
Department of the Interior Capital Investments

Risk Flags

Potential for cost overruns
Risk of schedule delays
Quality control concerns
Contractor performance risk

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $27.3 million to URS GROUP, INC.. IGF::OT::IGF CONSTRUCT FLIGHT 93 NATIONAL MEMORIAL VISITOR CENTER, PHASE 1B

Who is the contractor on this award?

The obligated recipient is URS GROUP, INC..

Which agency awarded this contract?

Awarding agency: Department of the Interior (National Park Service).

What is the total obligated amount?

The obligated amount is $27.3 million.

What is the period of performance?

Start: 2013-09-11. End: 2016-10-17.

What was the track record of URS Group, Inc. with similar federal construction projects prior to this award?

URS Group, Inc., prior to its acquisition by AECOM, had a substantial track record in federal construction and engineering projects. They were involved in numerous large-scale infrastructure and building projects for various government agencies. For instance, they had experience with military base construction, transportation infrastructure, and other public facilities. Their portfolio often included complex projects requiring significant project management and technical expertise. Assessing their past performance on similar fixed-price contracts, particularly those involving visitor centers or public-facing facilities, would provide insight into their ability to manage scope, schedule, and budget effectively for the Flight 93 Memorial project. Specific past performance evaluations and any documented issues on prior contracts would be crucial for a comprehensive risk assessment.

How does the awarded amount of $27.25 million compare to the estimated cost or budget for the Flight 93 National Memorial Visitor Center?

The awarded amount of $27.25 million represents the final contract value agreed upon through the competitive bidding process. To assess value for money, this figure needs to be compared against the government's initial cost estimates or allocated budget for the visitor center. If the bids received were significantly lower than the government's estimate, it could indicate a highly competitive market or effective negotiation. Conversely, if the bids were substantially higher, it might suggest an underestimation of project complexity or market conditions by the government. Without access to the government's pre-solicitation cost estimates or budget allocations, a direct comparison is challenging. However, the fact that four bids were submitted suggests that the market found the project feasible within a certain cost range.

What were the key risk indicators identified during the bidding process for this construction contract?

Key risk indicators for a construction contract of this magnitude typically revolve around potential cost overruns, schedule delays, and quality control issues. For this specific contract, awarded as Firm Fixed Price (FFP), the primary risk shifted to the contractor, URS Group, Inc. However, risks for the government could still include contractor default, significant delays impacting public access, or disputes over contract scope. The number of bids (4) suggests a moderate level of market interest, but a deeper dive into the bidding process might reveal concerns about the availability of qualified subcontractors, material price volatility, or unforeseen site conditions that could have influenced bid prices and contractor risk assessments. The duration of the contract (1132 days) also points to a complex project where schedule risks are inherent.

How effective has the National Park Service been in managing similar large-scale construction projects within budget and schedule?

The National Park Service (NPS) manages a vast portfolio of construction and maintenance projects across diverse geographic locations and complexities. Their effectiveness can vary significantly depending on the project's scale, funding stability, and specific management team. Historically, large federal construction projects, including those managed by NPS, have faced challenges with cost overruns and schedule delays due to factors like unforeseen site conditions, changes in scope, and contractor performance issues. However, NPS also has a long history of successfully delivering iconic visitor centers, infrastructure, and preservation projects. A comprehensive assessment would require analyzing NPS's historical performance data on comparable projects, including their success rates in meeting budget and schedule targets, and the frequency of contract modifications or disputes.

What is the historical spending pattern for industrial building construction by the Department of the Interior over the last five years?

Analyzing the historical spending patterns for industrial building construction by the Department of the Interior (DOI) over the last five years would provide context for the $27.25 million awarded to URS Group, Inc. This would involve examining contract databases to identify the total annual expenditure on projects categorized under 'Industrial Building Construction' (NAICS code 236210 or similar). Key metrics to track would include the average contract size, the number of contracts awarded, the primary agencies within DOI awarding these contracts (e.g., National Park Service, Bureau of Land Management), and the prevailing contract types (e.g., FFP, cost-plus). Understanding these trends can reveal whether this specific contract represents a typical investment, an outlier, or part of an increasing/decreasing trend in DOI's spending on such facilities.

Were there any significant contract modifications or change orders issued for this project after the initial award?

Information regarding contract modifications or change orders for this specific contract (NAIS 236210) is not directly available in the provided summary data. However, for a project of this duration (1132 days) and complexity, it is common for some level of modifications to occur. These could arise from unforeseen site conditions, design clarifications, or minor scope adjustments. The impact of modifications on the total contract value and schedule is a critical factor in assessing project management effectiveness and overall value. A review of the contract's official award file or subsequent contract actions would be necessary to determine if significant modifications were issued and their justification.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Industrial Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: AECOM (UEI: 153561212)

Address: 8181 E TUFTS AVE STE A-1100, DENVER, CO, 80237

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

Financial Breakdown

Contract Ceiling: $28,341,271

Exercised Options: $27,251,805

Current Obligation: $27,251,805

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: INF09PC60462

IDV Type: IDC

Timeline