West Point Science Center Renovation Contract Exceeds $127 Million with Walsh Construction

Contract Overview

Contract Amount: $127,916,854 ($127.9M)

Contractor: Walsh Construction Company II, LLC

Awarding Agency: Department of Defense

Start Date: 2011-09-30

End Date: 2022-07-01

Contract Duration: 3,927 days

Daily Burn Rate: $32.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 12

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: RENOVATION OF THE SCIENCE CENTER AT WEST POINT NY USMA

Place of Performance

Location: WEST POINT, ORANGE County, NEW YORK, 10996

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $127.9 million to WALSH CONSTRUCTION COMPANY II, LLC for work described as: RENOVATION OF THE SCIENCE CENTER AT WEST POINT NY USMA Key points: 1. The contract value of $127.9 million for the West Point Science Center renovation is substantial, indicating a large-scale project. 2. Walsh Construction Company II, LLC secured this contract, suggesting significant experience in large construction projects. 3. The project duration of 3927 days (over 10 years) raises questions about efficiency and potential cost overruns. 4. Commercial and Institutional Building Construction is the sector, a common area for significant federal investment.

Value Assessment

Rating: questionable

The contract value of $127.9 million for a renovation project of this duration appears high. Benchmarking against similar large-scale institutional building renovations would be necessary to definitively assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing. However, the extended duration and final cost warrant scrutiny to ensure the competitive process remained effective throughout.

Taxpayer Impact: The significant expenditure of over $127 million on a single renovation project represents a considerable allocation of taxpayer funds, necessitating robust oversight to ensure value for money.

Public Impact

Taxpayers are funding a major renovation of a key educational facility at a prestigious military academy. The extended timeline suggests potential disruptions and prolonged impact on the West Point campus operations. The large contract value could indicate a complex project with significant material and labor costs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Extended project duration
High contract value for renovation

Positive Signals

Full and open competition awarded

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, which often involves large federal investments for infrastructure and facilities. Benchmarks for similar renovations at educational institutions or government facilities would provide context for the $127.9 million expenditure.

Small Business Impact

The data indicates that neither small business participation nor set-asides were explicitly noted for this contract. Further investigation would be needed to determine if small businesses had opportunities to participate in subcontracting roles.

Oversight & Accountability

The lengthy duration of the contract (over 10 years) suggests a need for continuous oversight to monitor progress, manage scope changes, and ensure adherence to budget and quality standards. Accountability for project milestones and cost control is crucial.

Related Government Programs

Commercial and Institutional Building Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Extended project duration
High contract value for renovation
Potential for cost overruns due to long timeline
Lack of explicit small business participation noted

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $127.9 million to WALSH CONSTRUCTION COMPANY II, LLC. RENOVATION OF THE SCIENCE CENTER AT WEST POINT NY USMA

Who is the contractor on this award?

The obligated recipient is WALSH CONSTRUCTION COMPANY II, 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 $127.9 million.

What is the period of performance?

Start: 2011-09-30. End: 2022-07-01.

What factors contributed to the exceptionally long duration of this renovation project, and were these factors adequately managed to prevent cost escalations?

The extended duration of 3927 days (over 10 years) for the West Point Science Center renovation is a significant concern. Potential contributing factors could include unforeseen structural issues, phased construction requirements to maintain facility operations, complex design changes, or contractor performance issues. Effective project management and oversight are critical to mitigate the impact of such delays on overall cost and taxpayer value.

How does the final cost of $127.9 million compare to the initial bids received under full and open competition, and what was the rationale for awarding a definitive contract with such a long performan

While awarded under full and open competition, the final cost of $127.9 million requires comparison against initial bids to assess cost efficiency. The use of a definitive contract with a long performance period suggests a complex, multi-year undertaking. Understanding the initial cost estimates, the competitive bidding landscape, and any modifications or change orders throughout the project's lifecycle is essential to evaluate the value achieved for the taxpayer.

What was the specific scope of work for this renovation, and were there any significant changes or additions that led to the substantial contract value and extended timeline?

The scope of work for the renovation of the Science Center at West Point is crucial to understanding the $127.9 million cost and 10+ year duration. Without specific details, it's difficult to assess if the value is justified. Significant changes, additions, or unforeseen complexities discovered during the renovation could explain the escalation. A thorough review of contract modifications and change orders would be necessary to determine the drivers behind the project's scale and timeline.

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: TWO STEP

Solicitation ID: W912DS11B0005

Offers Received: 12

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Walsh Group Ltd., the

Address: 929 W ADAMS ST, CHICAGO, IL, 60607

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

Financial Breakdown

Contract Ceiling: $127,916,854

Exercised Options: $127,916,854

Current Obligation: $127,916,854

Actual Outlays: $465,863

Subaward Activity

Number of Subawards: 2224

Total Subaward Amount: $3,693,793,553

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline