DoD Awards $38.5M for Pre-Construction Services to PCL Construction Services, Inc
Contract Overview
Contract Amount: $38,528,360 ($38.5M)
Contractor: PCL Construction Services, Inc.
Awarding Agency: Department of Defense
Start Date: 2006-08-04
End Date: 2008-09-30
Contract Duration: 788 days
Daily Burn Rate: $48.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: PRE-CONSTRUCTION SERVICES
Place of Performance
Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80913
State: Colorado Government Spending
Plain-Language Summary
Department of Defense obligated $38.5 million to PCL CONSTRUCTION SERVICES, INC. for work described as: PRE-CONSTRUCTION SERVICES Key points: 1. Significant contract value of $38.5 million for pre-construction services. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. Contract duration of 788 days suggests a substantial project timeline. 4. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction.
Value Assessment
Rating: fair
The contract value of $38.5 million for pre-construction services appears substantial. Benchmarking against similar contracts for pre-construction services would be necessary to determine if this pricing is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting that multiple bidders had the opportunity to submit proposals. This method generally promotes price discovery and can lead to more competitive pricing.
Taxpayer Impact: The use of full and open competition is a positive indicator for taxpayer value, as it aims to secure the best possible price through a competitive process.
Public Impact
Impacts the construction sector by initiating a large-scale project. Potential for job creation and economic activity in the region where services are rendered. Ensures proper planning and design phases for future construction projects.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific details on the scope of 'pre-construction services'.
- Potential for cost overruns if initial estimates are inaccurate.
- Contract duration may be lengthy for pre-construction phase.
Positive Signals
- Awarded through full and open competition.
- Clear contract type (Firm Fixed Price) for cost control.
- Department of Defense is a major contracting agency.
Sector Analysis
The contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector can fluctuate based on government infrastructure needs and economic conditions. Benchmarks for pre-construction services vary widely based on project complexity and scale.
Small Business Impact
While awarded under full and open competition, there is no explicit mention of small business participation or set-asides in the provided data. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The Department of Defense, as a large federal agency, typically has robust oversight mechanisms. However, the effectiveness of oversight for this specific contract would depend on the agency's internal processes and monitoring.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Contract value is substantial.
- Contract duration is lengthy.
- Scope of 'pre-construction services' is not detailed.
- Potential for cost escalation if scope is not well-defined.
- Small business participation is not explicitly stated.
Tags
commercial-and-institutional-building-co, department-of-defense, co, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $38.5 million to PCL CONSTRUCTION SERVICES, INC.. PRE-CONSTRUCTION SERVICES
Who is the contractor on this award?
The obligated recipient is PCL CONSTRUCTION SERVICES, 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 $38.5 million.
What is the period of performance?
Start: 2006-08-04. End: 2008-09-30.
What specific services are included under 'pre-construction services' for this contract, and how do they align with industry standards?
Pre-construction services typically encompass a range of activities such as feasibility studies, site analysis, design development, cost estimating, scheduling, and value engineering. The specific scope for this $38.5 million contract would need to be detailed in the contract documents. Understanding these specifics is crucial to assess if the services provided are comprehensive and align with industry best practices for large-scale construction projects.
What is the potential risk associated with the firm fixed price contract type for pre-construction services, given the project's complexity?
A firm fixed price contract aims to provide cost certainty. However, for complex pre-construction services, there's a risk that unforeseen issues or scope creep could lead to contractor claims or reduced profit margins if not managed meticulously. The government bears the risk of inaccurate initial scope definition, while the contractor assumes risks related to cost overruns due to their own inefficiencies or poor planning.
How effectively does the 'full and open competition' method ensure optimal value for taxpayer money in this specific instance?
Full and open competition is designed to maximize value by encouraging a wide range of qualified bidders to compete, driving down prices and improving service quality. For this $38.5 million contract, the success of this method in delivering taxpayer value hinges on the clarity of the solicitation, the competitiveness of the bids received, and the thoroughness of the evaluation process. Without bid data, it's difficult to definitively assess the outcome.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W9128F06R0034
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: PCL U.S. Holdings Inc (UEI: 245222591)
Address: 2000 S COLORADO BLVD STE 2-500, DENVER, CO, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $38,528,360
Exercised Options: $38,528,360
Current Obligation: $38,528,360
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2006-08-04
Current End Date: 2008-09-30
Potential End Date: 2008-09-30 00:00:00
Last Modified: 2009-03-11
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