DoD awards $46.4M for Dover AFB medical facility construction to Coakley & Williams Construction

Contract Overview

Contract Amount: $46,427,750 ($46.4M)

Contractor: Coakley & Williams Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-09-28

End Date: 2011-10-15

Contract Duration: 747 days

Daily Burn Rate: $62.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: ARMED FORCES MEDICAL EXAMINER SYSTEM FACILITY, DOVER AFB AWARD.

Place of Performance

Location: DOVER, KENT County, DELAWARE, 19901

State: Delaware Government Spending

Plain-Language Summary

Department of Defense obligated $46.4 million to COAKLEY & WILLIAMS CONSTRUCTION, INC. for work described as: ARMED FORCES MEDICAL EXAMINER SYSTEM FACILITY, DOVER AFB AWARD. Key points: 1. Construction contract awarded through full and open competition, suggesting a competitive bidding process. 2. The firm-fixed-price contract type indicates that the contractor bears the risk of cost overruns. 3. The contract duration of 747 days (approximately 2 years) is typical for a construction project of this scale. 4. The project is located in Delaware, potentially impacting the local construction workforce and economy. 5. The award was made by the Department of the Army, part of the larger Department of Defense. 6. The North American Industry Classification System (NAICS) code 236220 points to Commercial and Institutional Building Construction.

Value Assessment

Rating: fair

Benchmarking the value of this specific construction contract is challenging without detailed cost breakdowns and comparable project data. However, the fixed-price nature of the award suggests a defined cost expectation. The contract value of $46.4 million falls within a range typical for significant institutional building projects. Further analysis would require comparing the cost per square foot or per bed (if applicable) to similar military or government construction projects completed around the same time in similar geographic regions.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. The presence of 7 bidders (no) indicates a healthy level of competition for this project. A competitive bidding process generally helps ensure that the government receives fair market prices and that the most capable contractor is selected.

Taxpayer Impact: Taxpayers benefit from full and open competition as it drives down prices through market forces, ensuring that federal funds are used efficiently for construction projects.

Public Impact

The primary beneficiaries are the U.S. Armed Forces personnel who will utilize the new medical facility at Dover Air Force Base. The project delivers essential infrastructure for medical services, enhancing healthcare capabilities for military personnel. The geographic impact is concentrated at Dover Air Force Base in Delaware. The construction project likely created temporary jobs for skilled trades and laborers in the Delaware region. The facility will support the operational readiness and well-being of service members stationed at or passing through Dover AFB.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise, though mitigated by firm-fixed-price contract.
Delays in construction schedule could impact the operational readiness of the medical facility.
Quality control during construction is critical to ensure the long-term durability and functionality of the facility.

Positive Signals

Firm-fixed-price contract shifts cost risk to the contractor.
Full and open competition with multiple bidders suggests a competitive pricing environment.
Award to an established construction firm implies experience in executing similar projects.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for a government facility. The construction industry is a significant part of the U.S. economy, with federal construction projects representing a substantial segment. Comparable spending benchmarks would involve looking at other large-scale institutional or healthcare facility construction contracts awarded by federal agencies, such as the General Services Administration (GSA) or other military branches, during the same period.

Small Business Impact

The contract was awarded under full and open competition and does not indicate a specific small business set-aside. There is no explicit information provided regarding subcontracting plans for small businesses. Without this data, it's difficult to assess the direct impact on the small business ecosystem for this particular contract, though larger prime contractors often utilize small businesses for specialized construction services.

Oversight & Accountability

Oversight for this construction contract would typically be managed by the contracting officer's representative (COR) from the Department of the Army, ensuring compliance with contract terms, specifications, and quality standards. The firm-fixed-price nature provides a degree of accountability for the contractor regarding cost. Transparency is generally maintained through contract award databases, though detailed project progress and financial reports may not be publicly accessible.

Related Government Programs

Military Construction Projects
Department of Defense Facilities
Healthcare Infrastructure
Government Building Construction
Base Realignment and Closure (BRAC) related construction

Risk Flags

Potential for schedule delays
Risk of quality compromises if costs rise
Dependence on contractor's financial stability
Site condition unforeseen risks

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $46.4 million to COAKLEY & WILLIAMS CONSTRUCTION, INC.. ARMED FORCES MEDICAL EXAMINER SYSTEM FACILITY, DOVER AFB AWARD.

Who is the contractor on this award?

The obligated recipient is COAKLEY & WILLIAMS CONSTRUCTION, 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 $46.4 million.

What is the period of performance?

Start: 2009-09-28. End: 2011-10-15.

What is the track record of Coakley & Williams Construction, Inc. with federal contracts, particularly within the Department of Defense?

Coakley & Williams Construction, Inc. has a history of performing construction services for various government agencies, including the Department of Defense. Analyzing their past federal contract awards, performance ratings, and any past performance issues would provide insight into their reliability and capability for projects like the Armed Forces Medical Examiner System Facility. A review of their contract history would reveal the types and values of previous projects, their on-time and on-budget completion rates, and any disputes or claims filed. This information is crucial for assessing the risk associated with awarding them this significant contract and understanding their experience in delivering complex government facilities.

How does the awarded price of $46.4 million compare to similar military medical facility construction projects?

Direct comparison of the $46.4 million award to similar projects requires detailed data on facility size (square footage), scope of services, specific medical equipment integration, and geographic location, as these factors significantly influence construction costs. However, general benchmarks for institutional construction can provide context. For instance, if this facility is a mid-sized clinic or diagnostic center, the price might be considered within a reasonable range, especially considering potential site preparation and specialized requirements for a medical facility. A more precise comparison would involve analyzing cost-per-square-foot metrics from recently completed, comparable military or healthcare construction projects to determine if this award represents a competitive value for the taxpayer.

What are the primary risk indicators associated with this firm-fixed-price construction contract?

The primary risk indicator for the government in a firm-fixed-price contract is the potential for the contractor to cut corners on quality or materials to maintain profitability if costs escalate unexpectedly. While the contractor bears the financial risk of cost overruns, the government's risk lies in ensuring the final product meets all specifications and quality standards. Other risks include potential schedule delays, which could impact the facility's operational readiness, and the possibility of contractor default, though less likely with established firms. Effective oversight, clear performance metrics, and robust quality assurance processes are essential to mitigate these risks.

What is the expected effectiveness of the new Armed Forces Medical Examiner System Facility once completed?

The effectiveness of the new facility is expected to be high, as it is designed to provide essential medical examination services for the Armed Forces. Its completion should enhance the capacity, efficiency, and potentially the technological capabilities of the medical examiner system. This improved infrastructure is critical for supporting military personnel health, readiness, and administrative processes related to medical evaluations. The facility's effectiveness will be measured by its ability to meet the demand for its services, the quality of care or analysis provided, and its contribution to the overall operational support functions of the military.

How does historical spending on similar construction projects by the Department of Defense compare to this award?

Historical spending on similar construction projects by the Department of Defense can vary widely based on the type, size, and location of the facility. Large-scale projects, such as barracks, training centers, or major hospital expansions, can easily run into hundreds of millions of dollars. This $46.4 million award for a medical examiner system facility appears to be a significant but not exceptionally large investment within the DoD's overall construction portfolio. Analyzing trends in DoD construction spending over the past decade, particularly for specialized facilities, would provide context on whether this award aligns with historical investment patterns or represents a notable increase or decrease in spending for such infrastructure.

What are the implications of the 7 bidders on price discovery and overall value for this contract?

Having seven bidders for this construction contract is a positive indicator for price discovery and overall value. A larger number of bidders generally leads to more competitive pricing as companies vie for the contract. This increased competition pressures contractors to offer their best possible price and terms. For taxpayers, this means a higher likelihood that the awarded price reflects fair market value and that the government is not overpaying. The diversity of bidders can also bring a wider range of innovative solutions and approaches to the project, potentially enhancing its overall value beyond just cost savings.

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: W912BU09R0015

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 16 S SUMMIT AVE STE 300, GAITHERSBURG, MD, 20877

Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $46,427,750

Exercised Options: $46,427,750

Current Obligation: $46,427,750

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline