NASA awards $11.9M contract for Title II post-design inspection services to Gilbane Building Company
Contract Overview
Contract Amount: $11,893,456 ($11.9M)
Contractor: Gilbane Building Company
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2003-08-15
End Date: 2008-08-14
Contract Duration: 1,826 days
Daily Burn Rate: $6.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 11
Pricing Type: LABOR HOURS
Sector: Construction
Official Description: TITLE II POST DESIGN INSPECTION SERVICES
Place of Performance
Location: HOUSTON, HARRIS County, TEXAS, 77058
State: Texas Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $11.9 million to GILBANE BUILDING COMPANY for work described as: TITLE II POST DESIGN INSPECTION SERVICES Key points: 1. Contract value represents a significant investment in ensuring construction quality and compliance. 2. The full and open competition suggests a robust market for these specialized services. 3. Contract duration of five years indicates a long-term need for ongoing oversight. 4. The award was made under the "Labor Hours" contract type, which can offer flexibility but requires careful monitoring of effort. 5. Geographic focus on Texas highlights specific regional infrastructure needs. 6. The absence of small business set-aside flags suggests the primary contractor is not a small business, with potential subcontracting implications.
Value Assessment
Rating: good
Benchmarking the value of this contract requires comparing it to similar post-design inspection services for large-scale federal projects. Given the $11.9 million total value over five years, the annual average is approximately $2.38 million. This figure appears reasonable for comprehensive inspection services on complex construction projects, especially considering the specialized engineering and oversight required. Without specific per-unit cost data or detailed scope breakdowns, a precise value-for-money assessment is challenging, but the competitive nature of the award suggests a fair market price was likely achieved.
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 offers. The fact that there were 11 bids received suggests a healthy level of competition for these specialized engineering services. A higher number of bidders generally leads to better price discovery and potentially more innovative solutions, as contractors vie to win the work. This competitive environment is beneficial for the government in securing quality services at a reasonable cost.
Taxpayer Impact: The full and open competition ensures that taxpayer dollars are used efficiently by fostering a competitive environment that drives down costs and improves service quality.
Public Impact
The primary beneficiaries are NASA and its construction projects, ensuring adherence to design specifications and quality standards. Services delivered include critical post-design inspection and oversight during construction phases. The geographic impact is focused on Texas, where the construction projects requiring these services are located. The contract supports a workforce of inspectors, engineers, and project managers, contributing to employment in the engineering and construction services sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if labor hours are not managed effectively under the 'Labor Hours' contract type.
- Ensuring consistent quality of inspection across all project phases and locations within Texas.
- Dependence on a single prime contractor for critical oversight functions.
Positive Signals
- Awarded through full and open competition, indicating a competitive bidding process.
- Multiple bidders (11) suggest a robust market and potential for good pricing.
- Long-term contract duration (5 years) provides stability for project oversight.
Sector Analysis
Engineering services, particularly those related to construction oversight and inspection, form a crucial segment of the professional services market supporting federal infrastructure development. This contract falls within the broader category of construction management and inspection, which is essential for ensuring that public works projects meet design specifications, safety standards, and regulatory requirements. The market for such services is competitive, with numerous firms offering specialized expertise. Comparable spending benchmarks would typically involve analyzing the cost of similar inspection services on projects of comparable scale and complexity across federal agencies.
Small Business Impact
The data indicates that this contract was not set aside for small businesses, and the prime contractor, Gilbane Building Company, is a large entity. This suggests that small businesses may have participated as subcontractors to Gilbane. Further analysis would be needed to determine the extent of small business subcontracting and its impact on the small business ecosystem. Without specific subcontracting plans or goals, it's difficult to assess the direct benefit to small businesses from this particular award.
Oversight & Accountability
Oversight for this contract would typically be managed by NASA's contracting officers and project managers, who are responsible for monitoring performance, ensuring compliance with contract terms, and approving payments. The 'Labor Hours' contract type necessitates close monitoring of the hours expended by the contractor to prevent cost overruns. Transparency is generally maintained through contract reporting requirements and public contract databases. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract's performance.
Related Government Programs
- NASA Construction Management Contracts
- Federal Engineering Services
- Post-Construction Inspection Services
- Architectural and Engineering Services
Risk Flags
- Potential for cost creep due to 'Labor Hours' contract type.
- Ensuring consistent quality of inspection across diverse project sites.
- Dependence on contractor's personnel for critical oversight.
Tags
nasa, engineering-services, construction-inspection, full-and-open-competition, labor-hours, texas, large-business, federal-contract, post-design-inspection, nasa-construction
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $11.9 million to GILBANE BUILDING COMPANY. TITLE II POST DESIGN INSPECTION SERVICES
Who is the contractor on this award?
The obligated recipient is GILBANE BUILDING COMPANY.
Which agency awarded this contract?
Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).
What is the total obligated amount?
The obligated amount is $11.9 million.
What is the period of performance?
Start: 2003-08-15. End: 2008-08-14.
What is Gilbane Building Company's track record with NASA and other federal agencies for similar inspection services?
Gilbane Building Company has a substantial track record with federal agencies, including NASA, for construction and program management services. Their experience often encompasses large-scale projects requiring rigorous inspection and oversight. Analyzing their past performance on contracts with similar scopes, such as post-design inspection, quality assurance, and construction supervision, would provide insight into their capability to deliver on this $11.9 million award. Past performance evaluations, if available in federal databases, would highlight their adherence to schedules, budgets, and quality standards on previous federal projects. This contract's duration and value suggest NASA has confidence in Gilbane's ability to provide consistent and reliable inspection services over a five-year period.
How does the awarded amount of $11.9 million compare to the estimated value or budget for these inspection services?
The awarded amount of $11.9 million represents the total ceiling value for the contract over its five-year duration. To assess its value, it needs to be compared against the government's independent government cost estimate (IGCE) or the agency's budget allocation for these specific Title II post-design inspection services. Since this was a full and open competition with 11 bidders, the awarded price is likely competitive. However, without access to the IGCE or detailed budget information, it's difficult to definitively state if the award was significantly above, below, or in line with expectations. The 'Labor Hours' contract type also means the final cost will depend on the actual hours worked, making the $11.9 million a cap rather than a fixed price.
What are the primary risks associated with a 'Labor Hours' contract type for inspection services, and how are they mitigated?
The primary risk with a 'Labor Hours' contract type is the potential for cost overruns if the contractor expends more hours than anticipated or necessary to complete the work. This can lead to the contract reaching its ceiling value prematurely or exceeding it if not carefully managed. Mitigation strategies employed by NASA would include robust oversight of the contractor's timesheets, regular progress reviews to ensure efficient labor utilization, and clear performance metrics. The contracting officer must diligently monitor the cumulative hours billed against the total contract value and scope of work. Establishing clear deliverables and milestones tied to labor effort can also help manage this risk.
What is the expected impact of these inspection services on the successful completion and long-term integrity of NASA's construction projects in Texas?
These Title II post-design inspection services are critical for ensuring that construction projects align with approved designs, meet stringent quality standards, and comply with all relevant building codes and regulations. By providing diligent oversight during the construction phase, the contractor helps identify and rectify potential issues early, preventing costly rework or structural problems later. This directly impacts the successful completion of NASA's facilities in Texas, ensuring they are safe, functional, and built to last. The long-term integrity of these facilities is paramount for supporting NASA's mission-critical operations, research, and development activities.
How has NASA's spending on engineering and inspection services evolved over the past five years, and does this contract align with historical trends?
Analyzing NASA's historical spending on engineering and inspection services over the past five years would provide context for this $11.9 million contract. Trends might reveal an increasing or decreasing demand for such services, potentially linked to the agency's overall infrastructure investment and project pipeline. If NASA has been undertaking a significant number of construction or renovation projects, spending on inspection services would likely be consistent or growing. This contract, awarded in 2003 for a five-year period, would represent a portion of NASA's overall expenditure in this category during that timeframe. Comparing its value to the average annual spending on similar services would indicate if it falls within typical ranges or represents a notable investment.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 11
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Parent Company: Gilbane, Inc. (UEI: 022726165)
Address: 1331 LAMAR ST STE 1170, HOUSTON, TX, 90
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $12,000,000
Exercised Options: $12,000,000
Current Obligation: $11,893,456
Timeline
Start Date: 2003-08-15
Current End Date: 2008-08-14
Potential End Date: 2008-08-14 00:00:00
Last Modified: 2012-09-05
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