DoD Awards $39.5M Construction Contract to Granite Construction Company
Contract Overview
Contract Amount: $39,497,707 ($39.5M)
Contractor: Granite Construction Company
Awarding Agency: Department of Defense
Start Date: 2019-05-30
End Date: 2021-09-01
Contract Duration: 825 days
Daily Burn Rate: $47.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: LDSM - VOLUME 1 BASE
Place of Performance
Location: LEWISVILLE, DENTON County, TEXAS, 75057
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $39.5 million to GRANITE CONSTRUCTION COMPANY for work described as: LDSM - VOLUME 1 BASE Key points: 1. Contract awarded to a single large business, Granite Construction Company. 2. The contract is for heavy and civil engineering construction services. 3. Spending is within the Department of Defense, specifically the Army. 4. The contract type is Firm Fixed Price, indicating price certainty.
Value Assessment
Rating: fair
The award amount of $39.5M is substantial for a single contract. Benchmarking against similar heavy civil engineering construction contracts would be necessary to fully assess value, but the 'br' value of 47876 suggests a potential for cost efficiencies or a specific scope.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which is a positive sign for price discovery. However, the specific details of the bidding process and the number of bids received are not provided, making it difficult to fully assess the competitive landscape.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently. The final price reflects the outcome of this competitive process.
Public Impact
Infrastructure development funded by taxpayers. Potential impact on local construction labor markets. Ensuring quality and timely completion of essential construction projects.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed bid information.
- No specific small business participation noted.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type.
Sector Analysis
This contract falls within the heavy and civil engineering construction sector, which is crucial for national infrastructure. Spending benchmarks in this sector can vary widely based on project scope, location, and material costs.
Small Business Impact
The data indicates that this contract was not awarded to a small business (ss: false, sb: false). Further analysis would be needed to determine if small business subcontracting opportunities were included or pursued.
Oversight & Accountability
The contract is managed by the Department of the Army, part of the Department of Defense. Standard DoD oversight mechanisms for construction contracts would apply, focusing on performance, quality, and financial management.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Lack of detailed bid information.
- No specific small business participation identified.
- Unclear meaning of 'br' value.
- Potential for large-scale construction project risks (schedule, cost, quality).
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, tx, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $39.5 million to GRANITE CONSTRUCTION COMPANY. LDSM - VOLUME 1 BASE
Who is the contractor on this award?
The obligated recipient is GRANITE CONSTRUCTION COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $39.5 million.
What is the period of performance?
Start: 2019-05-30. End: 2021-09-01.
What was the total number of bids received under the full and open competition, and how did Granite Construction Company's bid compare to others?
The provided data does not specify the number of bids received or the comparative pricing of competing offers. Understanding this would offer greater insight into the effectiveness of the competition in securing the best value for the government and taxpayers. Without this, it's difficult to definitively assess if the price achieved was optimal.
Are there any specific risks associated with Granite Construction Company's performance on this contract, given its size and scope?
The data does not highlight any specific performance risks for Granite Construction Company on this contract. However, large-scale construction projects inherently carry risks related to schedule delays, cost overruns, and quality control. The 'br' value of 47876 might indicate a specific risk mitigation strategy or a unique project characteristic that warrants further investigation.
How does the 'br' value of 47876 relate to the overall contract value and potential cost savings or efficiencies achieved?
The 'br' value of 47876 is not clearly defined in the provided data context. If it represents a benchmark or a specific cost component, its relationship to the $39.5M award needs clarification. Understanding its meaning is crucial for assessing whether the contract achieved significant cost efficiencies or represented a fair market price for the services rendered.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering 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: W9126G18R0770
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Granite Construction Incorporated
Address: 585 W BEACH ST, WATSONVILLE, CA, 95076
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $39,497,707
Exercised Options: $39,497,707
Current Obligation: $39,497,707
Actual Outlays: $11,408,940
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2019-05-30
Current End Date: 2021-09-01
Potential End Date: 2021-09-01 00:00:00
Last Modified: 2022-11-18
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