DoD's $23.7M building systems renewal contract awarded to Robins & Morton Group shows fair value with 3 bidders

Contract Overview

Contract Amount: $23,680,940 ($23.7M)

Contractor: THE Robins & Morton Group

Awarding Agency: Department of Defense

Start Date: 2017-09-30

End Date: 2020-02-19

Contract Duration: 872 days

Daily Burn Rate: $27.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF REPAIR BILLY JOHNSON DENTAL CLINIC (RENEWAL OF BLDG SYSTEMS), BLDG 36014, CARL R DARNALL ARMY MEDICAL CENTER, FT. HOOD, TEXA

Place of Performance

Location: FORT HOOD, BELL County, TEXAS, 76544

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $23.7 million to THE ROBINS & MORTON GROUP for work described as: IGF::OT::IGF REPAIR BILLY JOHNSON DENTAL CLINIC (RENEWAL OF BLDG SYSTEMS), BLDG 36014, CARL R DARNALL ARMY MEDICAL CENTER, FT. HOOD, TEXA Key points: 1. The contract represents a significant investment in maintaining critical infrastructure at a major Army medical center. 2. Competition dynamics suggest a reasonably contested award, potentially leading to competitive pricing. 3. The fixed-price nature of the contract shifts performance risk to the contractor. 4. The duration of the contract aligns with the scope of major building system overhauls. 5. This contract falls within the broader category of facility maintenance and repair for government installations.

Value Assessment

Rating: good

The contract's value of approximately $23.7 million for building systems renewal appears reasonable given the scope of work at a large Army medical center. Benchmarking against similar large-scale facility renovation projects for government entities suggests that pricing is within expected ranges. The firm-fixed-price structure provides cost certainty for the government, indicating good value if the project is completed within budget and to specifications.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, with three bids received. This level of competition, while not extensive, is sufficient to indicate that multiple contractors were interested and capable of performing the work. The presence of three bidders suggests a degree of market interest and provides a basis for price comparison, contributing to a fair price discovery process.

Taxpayer Impact: The full and open competition with multiple bidders indicates that taxpayer dollars were likely used efficiently, as the government had the opportunity to select from competitive offers.

Public Impact

Beneficiaries include military personnel, their families, and civilian staff at the Carl R. Darnall Army Medical Center. The contract delivers essential upgrades to building systems, ensuring the continued operational integrity of the medical facility. The geographic impact is localized to Fort Hood, Texas, supporting a key military installation. Workforce implications include employment opportunities for construction and skilled trades within the Texas region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen issues arise during renewal of aging building systems.
Risk of schedule delays impacting the operational continuity of the medical center.
Ensuring contractor adherence to stringent healthcare facility construction and safety standards.

Positive Signals

Firm-fixed-price contract structure limits the government's exposure to cost increases.
Award to an established contractor suggests a degree of confidence in their ability to execute.
Renewal of critical building systems enhances long-term facility reliability and reduces future emergency repair needs.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically focusing on major system renewals for a large government facility. The market for such large-scale construction and renovation projects is competitive, with established firms often bidding on significant government contracts. Spending benchmarks for similar facility upgrades at military installations can vary widely based on size and complexity, but this contract's value is substantial within its specific context.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses in the provided data. This suggests that the primary award went to a larger entity, and the direct impact on the small business ecosystem may be limited unless the prime contractor actively engages small businesses for subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant Army Corps of Engineers or base facilities management personnel. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified services and systems. Transparency is generally maintained through contract award databases, though detailed project progress reports may not be publicly accessible.

Related Government Programs

Military Construction
Facility Maintenance and Repair
Healthcare Infrastructure Projects
Army Base Operations Support

Risk Flags

Potential for schedule delays impacting critical medical services.
Risk of cost escalation if unforeseen conditions are encountered.
Ensuring compliance with stringent healthcare facility regulations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.7 million to THE ROBINS & MORTON GROUP. IGF::OT::IGF REPAIR BILLY JOHNSON DENTAL CLINIC (RENEWAL OF BLDG SYSTEMS), BLDG 36014, CARL R DARNALL ARMY MEDICAL CENTER, FT. HOOD, TEXA

Who is the contractor on this award?

The obligated recipient is THE ROBINS & MORTON GROUP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $23.7 million.

What is the period of performance?

Start: 2017-09-30. End: 2020-02-19.

What is the track record of The Robins & Morton Group with federal contracts, particularly within the Department of Defense?

The Robins & Morton Group has a history of securing and performing federal contracts, including significant work within the Department of Defense. While specific details on past performance metrics for this exact contract are not provided, their involvement in large-scale construction projects for government entities suggests experience with federal procurement processes and requirements. Analyzing their portfolio of past federal awards can provide further insight into their reliability and capacity for complex projects like building systems renewal at military installations. Their success in obtaining this contract indicates they met the government's criteria for technical capability and past performance.

How does the awarded value of $23.7 million compare to similar building system renewal projects at other large military medical centers?

The $23.7 million award for building systems renewal at the Carl R. Darnall Army Medical Center is substantial, reflecting the complexity and scale of work typically required for major medical facilities. Comparable projects at other large military medical centers can range from tens to hundreds of millions of dollars, depending on the age of the facility, the scope of systems being renewed (e.g., HVAC, electrical, plumbing, medical gas), and the specific requirements of the installation. Without direct comparisons of project scope and duration, it's challenging to provide a precise benchmark. However, the presence of three bidders suggests the price was competitive within the market for such specialized, large-scale government construction contracts.

What are the primary risks associated with renewing building systems in an operational military medical center, and how were they mitigated?

Primary risks include disruption to ongoing medical operations, potential for unforeseen structural or system issues discovered during renovation, and ensuring compliance with stringent healthcare facility codes and safety standards. Mitigation strategies often involve phased construction to minimize operational impact, detailed pre-construction surveys and risk assessments, robust project management by the contractor, and close government oversight. The firm-fixed-price contract shifts some financial risk to the contractor, incentivizing them to manage these challenges effectively. Clear communication protocols between the contractor and the medical center staff are also crucial for managing day-to-day risks.

What is the expected impact of these building system upgrades on the long-term operational effectiveness and efficiency of the medical center?

The building system upgrades are expected to significantly enhance the long-term operational effectiveness and efficiency of the Carl R. Darnall Army Medical Center. By replacing or modernizing aging HVAC, electrical, plumbing, and potentially specialized medical gas systems, the facility will benefit from improved reliability, reduced energy consumption, and better environmental controls crucial for patient care. This modernization can lead to fewer unexpected breakdowns, lower maintenance costs, and ensure compliance with current building codes and healthcare standards, thereby supporting the center's mission without interruption and potentially improving patient and staff comfort and safety.

How has federal spending on facility maintenance and repair for military installations trended over the past five years, and where does this contract fit?

Federal spending on facility maintenance and repair for military installations has generally remained a significant budget item, often fluctuating based on infrastructure needs, congressional appropriations, and strategic priorities. While specific aggregate data for the past five years isn't provided here, large-scale projects like this $23.7 million building systems renewal represent a substantial portion of that spending. Such contracts are critical for ensuring the readiness and operational capability of military bases. This particular contract fits within the broader trend of investing in the upkeep and modernization of aging military infrastructure to meet current operational demands and long-term sustainability goals.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W9127815R0004

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 400 SHADES CREEK PKWY STE 200, BIRMINGHAM, AL, 35209

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,680,940

Exercised Options: $23,680,940

Current Obligation: $23,680,940

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9127817D0043

IDV Type: IDC

Timeline