DoD Awards $19.4M for Missile Command HQ Renovation, Facing Potential Cost Overruns

Contract Overview

Contract Amount: $19,379,286 ($19.4M)

Contractor: David Boland Inc

Awarding Agency: Department of Defense

Start Date: 2020-09-09

End Date: 2025-09-30

Contract Duration: 1,847 days

Daily Burn Rate: $10.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: B546 MISSILE COMMAND HQ RENOVATION

Place of Performance

Location: MINOT AFB, WARD County, NORTH DAKOTA, 58705

State: North Dakota Government Spending

Plain-Language Summary

Department of Defense obligated $19.4 million to DAVID BOLAND INC for work described as: B546 MISSILE COMMAND HQ RENOVATION Key points: 1. The contract value is $19.4 million for a renovation project. 2. Competition was full and open, indicating a competitive bidding process. 3. The project duration is substantial at 1847 days, raising concerns about potential delays and cost escalation. 4. The sector is Commercial and Institutional Building Construction.

Value Assessment

Rating: questionable

The contract value of $19.4 million for a renovation is significant. Without specific benchmarks for similar HQ renovations, it's difficult to definitively assess pricing. However, the long duration and potential for unforeseen issues in construction projects warrant careful monitoring.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically aims to secure the best value for the government by allowing all eligible bidders to participate.

Taxpayer Impact: While full and open competition is generally favorable for taxpayers, the substantial contract value and long duration necessitate vigilant oversight to ensure the final cost remains justified.

Public Impact

Military personnel and civilian staff at Missile Command HQ will experience improved facilities. Local construction jobs may be created or sustained by this project. The renovation could impact base operations and accessibility during the construction period.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector can vary widely based on infrastructure needs, modernization efforts, and economic conditions. Benchmarks for large-scale renovations are highly project-specific.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract. Further analysis would be needed to determine if small businesses had opportunities to participate as prime contractors or subcontractors.

Oversight & Accountability

The long duration of the contract and its significant value suggest a need for robust oversight from the Department of Defense to ensure adherence to schedule, budget, and quality standards throughout the renovation process.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-defense, nd, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.4 million to DAVID BOLAND INC. B546 MISSILE COMMAND HQ RENOVATION

Who is the contractor on this award?

The obligated recipient is DAVID BOLAND 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 $19.4 million.

What is the period of performance?

Start: 2020-09-09. End: 2025-09-30.

What specific improvements are included in the renovation, and how do they align with the operational needs of Missile Command HQ?

The provided data does not detail the specific improvements planned for the Missile Command HQ renovation. A thorough review of the contract's statement of work would be necessary to understand the scope, including any upgrades to infrastructure, technology integration, or workspace enhancements. Understanding these details is crucial for assessing the project's value and its alignment with the command's evolving operational requirements.

Given the 1847-day duration, what risk mitigation strategies are in place to manage potential cost escalations and schedule delays?

The extended 1847-day duration presents a significant risk for cost escalation and schedule delays. Mitigation strategies should include detailed project management plans, contingency funds for unforeseen issues, regular progress reviews, and clear communication channels between the Department of Defense and David Boland Inc. The firm fixed price contract type, while aiming for cost certainty, may require careful change order management to address inevitable construction challenges without excessive cost increases.

How will the effectiveness of the renovation be measured post-completion to ensure it meets the intended operational benefits for Missile Command HQ?

The effectiveness of the renovation will likely be measured through post-occupancy evaluations, user feedback from Missile Command HQ personnel, and assessment of key performance indicators related to facility functionality and operational efficiency. This could include metrics on energy usage, workspace productivity, and the reliability of upgraded systems. Ensuring the renovation meets its intended benefits requires clear objectives set at the outset and a structured process for evaluating outcomes.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9128F20R0028

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 219 INDIAN RIVER AVE STE 201, TITUSVILLE, FL, 32796

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,379,286

Exercised Options: $19,379,286

Current Obligation: $19,379,286

Actual Outlays: $-126,641

Subaward Activity

Number of Subawards: 14

Total Subaward Amount: $8,106,301

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2020-09-09

Current End Date: 2025-09-30

Potential End Date: 2025-09-30 00:00:00

Last Modified: 2025-07-02

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