DoD awards $14.7M for Fort Leonard Wood hospital RFP technical documents, with a 3,174-day duration

Contract Overview

Contract Amount: $14,677,080 ($14.7M)

Contractor: LEO a. Daly LLC

Awarding Agency: Department of Defense

Start Date: 2017-08-21

End Date: 2026-04-30

Contract Duration: 3,174 days

Daily Burn Rate: $4.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF PREPARE RFP TECHNICAL DOCUMENTS FOR THE HOSPITAL REPLACEMENT, PHASE 1, FORT LEONARD WOOD MISSOURI

Place of Performance

Location: ATLANTA, FULTON County, GEORGIA, 30309

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $14.7 million to LEO A. DALY LLC for work described as: IGF::OT::IGF PREPARE RFP TECHNICAL DOCUMENTS FOR THE HOSPITAL REPLACEMENT, PHASE 1, FORT LEONARD WOOD MISSOURI Key points: 1. Contract awarded for essential technical documentation to support a major hospital replacement project. 2. The contract duration of over 8 years suggests a long-term need for engineering services. 3. Fixed-price contract type aims to control costs, but scope creep could impact final value. 4. Engineering services are critical for complex infrastructure projects like military hospital construction. 5. The award is part of a larger effort to modernize facilities at Fort Leonard Wood.

Value Assessment

Rating: good

The contract value of $14.7 million for preparing RFP technical documents appears reasonable given the extensive 3,174-day performance period. Benchmarking against similar large-scale military construction support contracts would provide a more precise value-for-money assessment. The firm-fixed-price structure suggests an effort to contain costs, but the long duration introduces potential for cost escalation if not managed tightly. The specific nature of technical documentation for a hospital replacement implies specialized expertise is required, which can influence pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. This competitive environment is generally favorable for achieving fair market prices and ensuring the government receives the best value. The number of bidders is not specified, but the 'full and open' designation suggests a robust competition was sought.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down prices through market forces and encourages a wider pool of contractors to compete, potentially leading to cost savings.

Public Impact

Military personnel and their families at Fort Leonard Wood will benefit from modernized healthcare facilities. The contract supports the delivery of essential technical documentation for a new hospital, a critical infrastructure component. The project is geographically focused on Fort Leonard Wood, Missouri, impacting the local construction and engineering sectors. The duration of the contract implies sustained work for engineering and technical support personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (over 8 years) increases risk of scope creep and potential cost overruns if not meticulously managed.
Reliance on a single delivery order for a project of this magnitude could indicate a phased approach, but also potential for future contract modifications.
The specific technical requirements for a hospital replacement are complex and could lead to unforeseen challenges impacting schedule and cost.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process that should yield fair pricing.
Firm-fixed-price contract type provides cost certainty for the government, assuming the scope is well-defined.
The contract supports a critical infrastructure upgrade for military healthcare, aligning with strategic defense priorities.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting large-scale government construction projects. The market for engineering services supporting federal infrastructure is substantial, with significant spending allocated annually to design, planning, and technical documentation for facilities. Comparable spending benchmarks would involve analyzing other large military construction projects and the associated engineering support contracts awarded by the Department of Defense.

Small Business Impact

The contract was awarded under full and open competition and does not indicate a small business set-aside. While the prime contractor, LEO A. DALY LLC, is likely a larger firm, there may be opportunities for small businesses to participate as subcontractors for specialized technical services or support roles within the scope of this contract. Further analysis would be needed to determine the extent of small business subcontracting.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting agency, the Department of the Army, and potentially the relevant Inspector General's office for the Department of Defense. The firm-fixed-price nature of the contract provides a degree of accountability, as the contractor is responsible for delivering the specified technical documents within the agreed-upon price. Transparency would be enhanced by public reporting of contract performance and any modifications.

Related Government Programs

Military Construction Program
Healthcare Infrastructure Modernization
Engineering and Architectural Services
Fort Leonard Wood Base Realignment and Closure (BRAC) Initiatives

Risk Flags

Long contract duration increases risk of scope creep and cost escalation.
Potential for unforeseen technical challenges in hospital replacement design.
Need for robust contract oversight due to extended performance period.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.7 million to LEO A. DALY LLC. IGF::OT::IGF PREPARE RFP TECHNICAL DOCUMENTS FOR THE HOSPITAL REPLACEMENT, PHASE 1, FORT LEONARD WOOD MISSOURI

Who is the contractor on this award?

The obligated recipient is LEO A. DALY LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $14.7 million.

What is the period of performance?

Start: 2017-08-21. End: 2026-04-30.

What is the track record of LEO A. DALY LLC in supporting large-scale military hospital construction projects?

LEO A. DALY LLC has a significant history in architectural and engineering design, including projects for healthcare facilities and government clients. While specific details on their involvement in military hospital replacements would require deeper research into their project portfolio, their designation as a prime contractor for this RFP technical document preparation suggests they possess the requisite experience and qualifications. Examining past performance evaluations and contract awards for similar projects would provide a clearer picture of their capabilities and reliability in this specialized domain. Their ability to secure this contract under full and open competition indicates they met the government's stringent requirements for such a critical undertaking.

How does the $14.7 million cost compare to similar RFP technical document preparation contracts for military facilities?

Benchmarking the $14.7 million cost for RFP technical document preparation against similar contracts is challenging without access to a comprehensive database of comparable awards. However, considering the extensive 3,174-day performance period and the complexity inherent in preparing documents for a hospital replacement, the cost appears to be within a reasonable range for a project of this scale. Factors such as the specific scope of work, required technical expertise, and prevailing market rates for engineering services would influence the final price. A detailed cost-benefit analysis comparing the anticipated value of the future hospital against the cost of its planning documents would offer further insight into the value proposition.

What are the primary risks associated with the 3,174-day performance period for this contract?

The primary risks associated with the 3,174-day performance period (approximately 8.7 years) are significant. Scope creep is a major concern, as the extended timeline increases the likelihood of evolving requirements or unforeseen technical challenges that could lead to contract modifications and cost increases. Inflation and changes in market conditions over such a long period could also impact the cost-effectiveness of the firm-fixed-price agreement. Furthermore, maintaining consistent contractor performance and engagement over nearly nine years requires robust contract management and oversight to ensure quality and adherence to original objectives. There's also a risk of key personnel turnover within the contractor's organization, potentially disrupting the continuity of expertise.

How effective is the firm-fixed-price contract type in managing costs for long-duration technical documentation projects?

The firm-fixed-price (FFP) contract type is generally effective in providing cost certainty for the government, as it shifts the risk of cost overruns to the contractor. For a project involving technical document preparation, an FFP contract incentivizes the contractor to manage their resources efficiently to maximize profit. However, for very long-duration contracts like this one (over 8 years), the effectiveness can be diminished if the initial scope is not perfectly defined or if significant unforeseen issues arise. In such cases, contractors may build in substantial contingencies, potentially inflating the initial price, or seek modifications if the scope demonstrably changes. Robust contract administration is crucial to ensure the FFP structure remains beneficial throughout the contract's life.

What is the historical spending pattern for engineering services at Fort Leonard Wood?

Analyzing historical spending patterns for engineering services at Fort Leonard Wood would require access to detailed contract databases and procurement histories specific to the installation. Generally, military installations undergoing modernization or significant infrastructure development, such as a hospital replacement, tend to see increased spending on engineering and architectural services. This spending often correlates with major construction phases, planning initiatives, and base realignment actions. Without specific data for Fort Leonard Wood, it's reasonable to infer that spending on such services would fluctuate based on the installation's capital investment priorities and the lifecycle of its facilities. This particular contract represents a significant investment in the planning stages of a major facility upgrade.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10 TENTH ST NE, ATLANTA, GA, 30309

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $14,677,080

Exercised Options: $14,677,080

Current Obligation: $14,677,080

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DY13D0121

IDV Type: IDC

Timeline