DoD awards $26M for Fort Meade Child Development Center construction, with competition indicating fair value

Contract Overview

Contract Amount: $25,997,638 ($26.0M)

Contractor: Hitt Contracting, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-10

End Date: 2027-10-17

Contract Duration: 767 days

Daily Burn Rate: $33.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CHILD DEVELOPMENT CENTER -V (CDC-V) FORT MEADE, MARYLAND THE REQUEST FOR PROPOSAL (RFP) AND ALL FOUR (4) AMENDMENTS ARE HEREBY INCORPORATED INTO THIS CONTRACT AWARD.

Place of Performance

Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $26.0 million to HITT CONTRACTING, INC. for work described as: CHILD DEVELOPMENT CENTER -V (CDC-V) FORT MEADE, MARYLAND THE REQUEST FOR PROPOSAL (RFP) AND ALL FOUR (4) AMENDMENTS ARE HEREBY INCORPORATED INTO THIS CONTRACT AWARD. Key points: 1. Contract awarded to HITT Contracting, Inc. for construction services. 2. Project aims to enhance childcare facilities at Fort Meade, Maryland. 3. Full and open competition suggests a competitive bidding process. 4. Fixed-price contract type helps manage cost certainty. 5. Long-term duration of over two years indicates a significant construction project. 6. Awarded as a delivery order under a larger contract vehicle.

Value Assessment

Rating: good

The contract value of $25.99 million for the construction of a child development center appears reasonable given the scope and duration. Benchmarking against similar large-scale institutional construction projects would provide a more precise value-for-money assessment. The firm-fixed-price structure offers cost predictability for the government, mitigating risk of cost overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of 5 bidders suggests a healthy level of competition for this project, which typically leads to more competitive pricing and better value for the government.

Taxpayer Impact: The robust competition for this construction project is beneficial for taxpayers as it likely drove down the final price and ensured the government received a fair market value for the services rendered.

Public Impact

Military families and children at Fort Meade will benefit from improved childcare facilities. The project will deliver a new or renovated child development center. The geographic impact is localized to Fort Meade, Maryland. Construction activities will likely create temporary jobs for skilled trades and laborers in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for construction delays impacting facility opening dates.
Ensuring quality of construction meets long-term durability standards.
Managing potential cost increases if unforeseen site conditions arise, despite fixed-price contract.

Positive Signals

Award to an experienced contractor with a track record in government projects.
Firm-fixed-price contract provides cost certainty.
Full and open competition suggests competitive pricing was achieved.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Federal spending in this area supports infrastructure development and facility upgrades for government agencies. Comparable projects often involve the construction or renovation of schools, community centers, or administrative buildings, with costs varying widely based on size, complexity, and location.

Small Business Impact

The data indicates this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Further review of the contract details and associated solicitations would be necessary to determine the extent of small business participation and its potential impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army contracting and project management offices. Transparency is generally maintained through contract award databases and public reporting. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Construction (MILCON)
Child Care Services
Federal Building Construction
Department of Defense Facilities

Risk Flags

Potential for cost overruns if unforeseen site conditions arise.
Risk of construction delays impacting operational readiness.
Ensuring long-term quality and durability of the constructed facility.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.0 million to HITT CONTRACTING, INC.. CHILD DEVELOPMENT CENTER -V (CDC-V) FORT MEADE, MARYLAND THE REQUEST FOR PROPOSAL (RFP) AND ALL FOUR (4) AMENDMENTS ARE HEREBY INCORPORATED INTO THIS CONTRACT AWARD.

Who is the contractor on this award?

The obligated recipient is HITT CONTRACTING, 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 $26.0 million.

What is the period of performance?

Start: 2025-09-10. End: 2027-10-17.

What is HITT Contracting, Inc.'s track record with similar federal construction projects, particularly for childcare facilities?

HITT Contracting, Inc. has a significant history of performing federal construction projects, including work for the Department of Defense and other government agencies. While specific details on their experience with child development centers are not provided in this summary, their general experience in large-scale commercial and institutional building construction suggests they possess the capabilities required for this project. A deeper dive into their past performance evaluations and project portfolio would offer a more comprehensive understanding of their suitability and past success rates on comparable federal contracts.

How does the awarded price of $25.99 million compare to similar child development center construction projects funded by the federal government?

Without specific data on the square footage, scope of work, and location-specific construction costs for comparable federal child development centers, a direct price comparison is challenging. However, the firm-fixed-price nature of the contract and the presence of five bidders suggest that the price was competitively determined. Generally, federal construction projects of this scale can range from tens to hundreds of millions of dollars, depending on these factors. The $26 million figure appears to be within a plausible range for a substantial facility, but a detailed benchmark analysis against projects of similar size and complexity would be needed for a definitive assessment of value.

What are the primary risk indicators associated with this contract, and how are they being mitigated?

Key risk indicators include potential construction delays, unforeseen site conditions, and ensuring the long-term durability and quality of the facility. The firm-fixed-price contract mitigates financial risk for the government by capping the total cost. Mitigation for schedule and quality risks would involve robust project management, clear performance standards outlined in the contract, regular site inspections, and potentially performance bonds from the contractor. The contractor's experience and the competitive bidding process also serve as indirect risk mitigation factors.

How effective is the firm-fixed-price contract type in ensuring program effectiveness for this construction project?

The firm-fixed-price (FFP) contract type is generally effective for construction projects where the scope of work is well-defined, as it is here with the construction of a child development center. FFP provides the government with cost certainty, as the contractor assumes most of the risk for cost overruns. This encourages the contractor to manage resources efficiently and complete the project within the agreed-upon budget. For program effectiveness, FFP helps ensure that the project is completed to the specified standards and within the allocated funds, contributing to the overall goal of providing adequate childcare facilities.

What are the historical spending patterns for child development centers or similar facilities at Fort Meade or within the Department of the Army?

Historical spending data for child development centers or similar facilities at Fort Meade or within the Department of the Army is not directly available in the provided summary. However, federal agencies, particularly the Department of Defense, consistently invest in family support infrastructure, including childcare facilities, to support military personnel. Spending patterns can fluctuate based on infrastructure needs, modernization efforts, and budget allocations. Analyzing past budgets for Army installations and specific family housing or support facility projects would provide context for this $26 million award.

What is the significance of this contract being a 'delivery order'?

This contract being a 'delivery order' signifies that it was awarded under a pre-existing indefinite-delivery, indefinite-quantity (IDIQ) contract or a similar contract vehicle. This means that the basic contract terms, conditions, and potentially some pricing structures were established previously, possibly through a broader competition. The delivery order then specifies the exact scope, quantity, and price for a particular project, such as this child development center. This approach can streamline the procurement process for multiple future needs and allows agencies to procure goods or services as required.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2900 FAIRVIEW PARK DR, FALLS CHURCH, VA, 22042

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

Financial Breakdown

Contract Ceiling: $25,997,638

Exercised Options: $25,997,638

Current Obligation: $25,997,638

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DR23D0032

IDV Type: IDC

Timeline