DoD Awards $25M Firm Fixed Price Contract for Commercial Building Construction to McCarthy Building Companies

Contract Overview

Contract Amount: $25,056,146 ($25.1M)

Contractor: Mccarthy Building Companies, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-06-03

End Date: 2013-12-04

Contract Duration: 915 days

Daily Burn Rate: $27.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BASE BID

Place of Performance

Location: FORT STEWART, LIBERTY County, GEORGIA, 31315

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $25.1 million to MCCARTHY BUILDING COMPANIES, INC. for work described as: BASE BID Key points: 1. Contract awarded to a single large business, indicating potential for limited small business participation. 2. The contract value of $25M falls within typical ranges for large-scale construction projects. 3. Full and open competition was utilized, suggesting a robust price discovery process. 4. The project duration of 915 days points to a significant, multi-year undertaking.

Value Assessment

Rating: fair

The base bid of $25,056,146.44 is the primary data point. Without comparable contract data or detailed cost breakdowns, a precise value assessment is difficult. However, the presence of competition suggests the price was deemed reasonable at the time of award.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically leads to competitive pricing. The award to McCarthy Building Companies, Inc. suggests they offered the best value among bidders.

Taxpayer Impact: Taxpayer funds were utilized through a competitive bidding process, aiming for cost-effectiveness in construction services.

Public Impact

Construction services for a significant facility, likely impacting military readiness or operations. Potential for job creation and economic activity in the Georgia region. Long-term asset for the Department of Defense, requiring ongoing maintenance and utilization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector for the DoD can fluctuate based on infrastructure needs, base expansions, and modernization efforts. Benchmarks would typically compare cost per square foot or cost per project type.

Small Business Impact

The data indicates the award went to a large business (McCarthy Building Companies, Inc.) and does not show any small business subcontracting goals or participation. Further investigation would be needed to determine if small businesses were involved in the supply chain or as subcontractors.

Oversight & Accountability

The Department of the Army awarded this contract, implying internal oversight mechanisms are in place. The firm fixed price contract type provides some cost control. However, the duration suggests ongoing monitoring is crucial.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-defense, ga, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.1 million to MCCARTHY BUILDING COMPANIES, INC.. BASE BID

Who is the contractor on this award?

The obligated recipient is MCCARTHY BUILDING COMPANIES, 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 $25.1 million.

What is the period of performance?

Start: 2011-06-03. End: 2013-12-04.

What was the specific nature of the commercial and institutional building constructed, and how does its functionality align with the Army's strategic objectives?

The specific nature of the building is not detailed in the provided data. Understanding its purpose (e.g., barracks, training facility, administrative center) is crucial to assess its strategic alignment. This information would help determine if the $25M investment directly supports key military operational requirements or readiness goals.

Were there any significant cost variances or change orders during the contract's execution, and how were they managed?

The provided data reflects the base bid and award information. It does not include details on contract modifications, change orders, or final costs incurred. Assessing cost variances and their management would require access to contract modification history and performance reports to understand if the initial $25M estimate remained accurate.

How effectively did the full and open competition process ensure the best value was achieved for the taxpayer, considering the final outcome?

Full and open competition generally promotes best value by encouraging multiple bids. However, without post-award performance data or a comparison to similar projects, it's difficult to definitively state the 'best value' was achieved. Evaluating the final quality, timeliness, and adherence to budget against initial expectations would provide a clearer picture of taxpayer value.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912HN11R0001

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mccarthy Holdings Inc. (UEI: 088711643)

Address: 1341 N ROCK HILL RD, SAINT LOUIS, MO, 90

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

Financial Breakdown

Contract Ceiling: $25,056,146

Exercised Options: $25,056,146

Current Obligation: $25,056,146

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2011-06-03

Current End Date: 2013-12-04

Potential End Date: 2015-01-06 00:00:00

Last Modified: 2014-11-06

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