DoD Awards $292M Fort Meade Construction Contract to Clark Construction Group
Contract Overview
Contract Amount: $292,021,020 ($292.0M)
Contractor: Clark Construction Group LLC
Awarding Agency: Department of Defense
Start Date: 2023-03-21
End Date: 2028-12-09
Contract Duration: 2,090 days
Daily Burn Rate: $139.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: EAST CAMPUS BUILDING 5, FORT MEADE, MD
Place of Performance
Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $292.0 million to CLARK CONSTRUCTION GROUP LLC for work described as: EAST CAMPUS BUILDING 5, FORT MEADE, MD Key points: 1. Significant investment in military infrastructure at Fort Meade. 2. Large contract awarded to a major construction firm. 3. Potential for cost overruns or delays in large-scale projects. 4. Construction sector sees substantial federal spending.
Value Assessment
Rating: good
The contract value of $292 million for a 5-building campus is substantial. Benchmarking against similar large-scale institutional construction projects would be necessary for a precise value assessment, but the firm-fixed-price structure suggests an attempt to control costs.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. This method is generally expected to yield fair market prices, though the final price is fixed.
Taxpayer Impact: Taxpayer funds are allocated for essential military facility upgrades, supporting national defense infrastructure.
Public Impact
Enhances military operational capabilities and personnel support at Fort Meade. Supports local economy through construction jobs and related services in Maryland. Potential for long-term facility maintenance costs to be considered.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in a large construction project.
- Risk of unforeseen site conditions impacting schedule and cost.
- Dependency on a single large contractor for project completion.
Positive Signals
- Firm-fixed-price contract helps control costs.
- Awarded through full and open competition.
- Project aims to modernize critical military infrastructure.
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector, a significant area of federal spending, particularly for defense installations. Benchmarks for similar large-scale military construction projects would provide further context.
Small Business Impact
While the prime contractor is Clark Construction Group LLC, a large entity, the contract details do not specify any small business subcontracting goals. Further investigation into subcontracting plans would be needed to assess small business participation.
Oversight & Accountability
The Department of the Army is the awarding agency, with oversight expected throughout the construction lifecycle. Robust project management and regular reporting will be crucial for accountability.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Large contract value increases financial risk.
- Long project duration (2090 days) raises risk of unforeseen issues.
- Potential for schedule delays impacting military readiness.
- Lack of explicit small business participation noted.
Tags
commercial-and-institutional-building-co, department-of-defense, md, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $292.0 million to CLARK CONSTRUCTION GROUP LLC. EAST CAMPUS BUILDING 5, FORT MEADE, MD
Who is the contractor on this award?
The obligated recipient is CLARK CONSTRUCTION GROUP 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 $292.0 million.
What is the period of performance?
Start: 2023-03-21. End: 2028-12-09.
What is the estimated cost per square foot for this construction project compared to industry averages for similar government facilities?
Without specific square footage data, a precise cost per square foot comparison is difficult. However, the total contract value of $292 million for five buildings suggests a significant investment. Industry averages for institutional construction can vary widely based on location, materials, and complexity, but this project's scale and location in Maryland would place it within a higher cost bracket.
What are the primary risk mitigation strategies in place to address potential construction delays or cost overruns, given the project's duration and complexity?
The firm-fixed-price contract structure inherently shifts cost overrun risk to the contractor. However, the Department of the Army likely has contractual clauses for liquidated damages for delays and may require detailed project management plans, regular progress reports, and contingency planning from Clark Construction Group to address potential issues proactively.
How will the effectiveness of the new campus be measured post-completion to ensure it meets the intended operational and support requirements for the Department of Defense?
Effectiveness will likely be measured through post-occupancy evaluations, operational readiness assessments, and user feedback from the military personnel utilizing the facilities. Key performance indicators could include building system functionality, energy efficiency, security compliance, and overall contribution to mission objectives at Fort Meade.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912DR23R0006
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Clark Construction LLC
Address: 7500 OLD GEORGETOWN RD FL 3, BETHESDA, MD, 20814
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $858,857,361
Exercised Options: $858,857,361
Current Obligation: $292,021,020
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-03-21
Current End Date: 2028-12-09
Potential End Date: 2028-12-09 00:00:00
Last Modified: 2026-01-07
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