DoD Awards $73.5M Design-Build Lab Contract to Skanska USA Building Inc. Under Full and Open Competition
Contract Overview
Contract Amount: $73,530,037 ($73.5M)
Contractor: Skanska USA Building Inc
Awarding Agency: Department of Defense
Start Date: 2009-04-01
End Date: 2014-01-31
Contract Duration: 1,766 days
Daily Burn Rate: $41.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: DESIGN-BUILD RESEARCH LAB (CLIN 1) 14341
Place of Performance
Location: FORT WORTH, TARRANT County, TEXAS, 76102
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $73.5 million to SKANSKA USA BUILDING INC for work described as: DESIGN-BUILD RESEARCH LAB (CLIN 1) 14341 Key points: 1. The contract value of $73.5 million for a design-build research lab represents a significant investment in infrastructure. 2. Skanska USA Building Inc. secured this award through full and open competition, indicating a competitive bidding process. 3. The project duration of 1766 days (approx. 4.8 years) suggests a complex and long-term undertaking. 4. The firm fixed price contract type aims to control costs for the Department of Defense.
Value Assessment
Rating: fair
The contract value of $73.5M for a design-build research lab is substantial. Benchmarking against similar large-scale institutional construction projects is difficult without more specific cost breakdowns, but the price appears within a reasonable range for a project of this scope and duration.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The award was made under full and open competition, suggesting multiple bidders participated. This method generally promotes price discovery and competitive pricing, leading to potentially better value for the government.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more efficient price for the design-build research lab.
Public Impact
This project will likely result in a new or upgraded research facility, potentially enhancing scientific or technological capabilities. The construction phase will create jobs and stimulate economic activity in the Texas region. The long-term operational use of the lab will depend on its specific research focus and funding.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed cost breakdown for benchmarking.
- Potential for cost overruns in long-duration construction projects.
- Dependence on specific research outcomes for ultimate value.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract type.
- Significant investment in research infrastructure.
Sector Analysis
This contract falls under Commercial and Institutional Building Construction, a sector that experienced significant activity during the late 2000s and early 2010s. Government spending on research facilities is often driven by national security or scientific advancement priorities.
Small Business Impact
The data indicates that neither small business set-asides nor subcontracting were explicitly mentioned for this contract. Further investigation would be needed to determine if small businesses were involved in the supply chain or as subcontractors.
Oversight & Accountability
The award was made by the Department of the Army, a component of the Department of Defense. Standard government oversight processes for large construction contracts would apply, including monitoring progress, quality, and adherence to the contract terms.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long project duration increases risk of cost escalation and obsolescence.
- Lack of detailed cost breakdown hinders thorough value assessment.
- Potential for scope creep or changes in research needs impacting fixed-price contract.
- No explicit mention of small business participation.
Tags
commercial-and-institutional-building-co, department-of-defense, tx, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $73.5 million to SKANSKA USA BUILDING INC. DESIGN-BUILD RESEARCH LAB (CLIN 1) 14341
Who is the contractor on this award?
The obligated recipient is SKANSKA USA BUILDING INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $73.5 million.
What is the period of performance?
Start: 2009-04-01. End: 2014-01-31.
What specific research capabilities will this lab support, and how does that align with DoD priorities?
The provided data does not specify the research capabilities of the lab. However, given the Department of the Army's mission, it could support areas such as materials science, engineering, defense technology development, or soldier performance research. Alignment with DoD priorities would depend on the specific research agenda funded and directed by the Army.
What were the key factors that led to Skanska USA Building Inc. winning this competitive bid?
While the data confirms full and open competition, it doesn't detail the evaluation criteria or specific strengths of Skanska's proposal. Typically, winning bids for design-build projects consider factors like technical approach, past performance, management capability, schedule adherence, and price. Skanska likely demonstrated a superior combination of these elements.
How will the long duration and firm fixed price impact the project's adaptability to unforeseen research needs or technological advancements?
A firm fixed price contract can limit flexibility for scope changes, which might be challenging for a research lab where needs can evolve. The long duration increases the risk of technological obsolescence or shifts in research focus. Change orders would likely be required and potentially costly if significant adjustments are needed, impacting the overall value.
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: W9126G08R0216
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Skanska AB (UEI: 353937956)
Address: 18615 TUSCANY STONE STE 245, SAN ANTONIO, TX, 78258
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $73,530,037
Exercised Options: $73,530,037
Current Obligation: $73,530,037
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2009-04-01
Current End Date: 2014-01-31
Potential End Date: 2014-01-31 00:00:00
Last Modified: 2021-02-27
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