DoD's $45.6M Army contract for Special Tactics Facility Phase 2 awarded to Caddell Construction Co. for building construction

Contract Overview

Contract Amount: $45,640,993 ($45.6M)

Contractor: Caddell Construction CO. (DE), LLC

Awarding Agency: Department of Defense

Start Date: 2017-08-02

End Date: 2021-04-22

Contract Duration: 1,359 days

Daily Burn Rate: $33.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PN76513 SPECIAL TACTICS FACILITY PHASE 2. IGF::OT::IGF

Place of Performance

Location: FORT BRAGG, CUMBERLAND County, NORTH CAROLINA, 28310

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $45.6 million to CADDELL CONSTRUCTION CO. (DE), LLC for work described as: PN76513 SPECIAL TACTICS FACILITY PHASE 2. IGF::OT::IGF Key points: 1. Contract awarded for construction of a specialized facility, indicating a need for specific infrastructure. 2. The firm fixed-price contract type suggests a defined scope and budget, potentially limiting cost overruns. 3. Awarded by the Department of the Army, this contract falls under significant defense spending. 4. The duration of the contract (1359 days) points to a substantial construction project. 5. The North Carolina location suggests a regional economic impact from this federal expenditure.

Value Assessment

Rating: fair

The contract value of $45.6 million for a Special Tactics Facility Phase 2 is difficult to benchmark without specific details on the facility's scope and complexity. However, for a large-scale construction project of this nature, the price appears within a reasonable range for a definitive contract. Further analysis would require comparing the cost per square foot or per specialized feature against similar military construction projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely considered. This competitive process is generally expected to yield a fair market price and encourage efficiency from the winning contractor. The presence of 5 bidders suggests a healthy level of interest and competition for this type of construction project.

Taxpayer Impact: Full and open competition typically benefits taxpayers by driving down costs through a bidding process, ensuring the government receives competitive pricing for its investments.

Public Impact

The primary beneficiaries are the U.S. Army personnel who will utilize the Special Tactics Facility. The contract delivers the construction of a specialized facility designed to support military operations. The geographic impact is concentrated in North Carolina, where the facility is being built. The project implies job creation within the construction sector in the local North Carolina economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for construction delays impacting operational readiness.
Risk of scope creep if facility requirements evolve during construction.
Ensuring adherence to specialized military construction standards.

Positive Signals

Firm fixed-price contract helps control costs.
Full and open competition suggests a competitive bidding process.
Award to an established construction company (Caddell Construction Co.) may indicate a lower risk of performance issues.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Federal spending on military infrastructure, such as specialized training facilities, represents a key component of this sector. Benchmarking would involve comparing the cost and scale of this project to other large-scale government or private sector construction of similar specialized buildings.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless Caddell Construction Co. voluntarily engages small businesses as subcontractors. Further investigation into subcontracting plans would be needed to assess the broader impact.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Army's contracting and project management offices. Accountability measures are inherent in the definitive contract structure and firm fixed-price terms. Transparency is facilitated by the contract award notice, though detailed project progress and financial oversight reports may not be publicly available.

Related Government Programs

Military Construction
Specialized Facilities Construction
Department of Defense Infrastructure Projects
Army Corps of Engineers Construction Contracts

Risk Flags

Extended contract duration may increase risk of cost escalation or scope changes.
Specialized facility requirements could lead to unforeseen complexities.
Potential for delays impacting military operational readiness.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $45.6 million to CADDELL CONSTRUCTION CO. (DE), LLC. PN76513 SPECIAL TACTICS FACILITY PHASE 2. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is CADDELL CONSTRUCTION CO. (DE), 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 $45.6 million.

What is the period of performance?

Start: 2017-08-02. End: 2021-04-22.

What is the specific purpose and scope of the Special Tactics Facility Phase 2?

The Special Tactics Facility Phase 2, awarded under PN76513, is a construction project by the Department of the Army. While the exact specifications are not detailed in the provided data, the name suggests it is designed to support special operations forces, likely involving specialized training areas, administrative spaces, and potentially housing or support infrastructure. Phase 2 implies this is an expansion or continuation of a previous construction effort, indicating a long-term investment in specialized military capabilities. The firm fixed-price nature of the contract suggests a well-defined scope at the time of award, aiming to contain costs for this specialized build.

How does the $45.6 million cost compare to similar military construction projects?

Benchmarking the $45.6 million cost requires detailed comparison with similar military construction projects, considering factors like facility size (square footage), complexity of specialized features (e.g., simulation rooms, advanced training areas), and geographic location which impacts labor and material costs. Without these specifics, a direct comparison is challenging. However, for a large-scale, specialized facility, this figure appears to be within a plausible range for Department of Defense construction. For instance, similar barracks or training facilities can range from tens to hundreds of millions depending on scale and specialization. A more precise assessment would involve analyzing cost per square foot or cost per specialized function against comparable projects awarded by the Army Corps of Engineers or other branches.

What are the key risks associated with this firm fixed-price construction contract?

While firm fixed-price contracts are designed to control costs, risks remain. For this Special Tactics Facility Phase 2, potential risks include unforeseen site conditions (e.g., geological issues, hazardous materials) that could necessitate change orders, potentially increasing costs despite the fixed-price nature. Contractor performance risk is also present; if Caddell Construction Co. faces financial difficulties or management issues, project delays or quality compromises could occur. Furthermore, evolving military requirements during the extended construction period (1359 days) could lead to scope creep, requiring contract modifications. Ensuring strict adherence to specialized military construction standards and security protocols also presents an ongoing risk that requires diligent oversight.

What is the track record of Caddell Construction Co. with federal contracts, particularly with the Department of Defense?

Caddell Construction Co. (DE), LLC is a significant federal contractor, particularly within the Department of Defense and other government agencies. They have a history of undertaking large-scale construction projects, including military facilities, embassies, and other complex government infrastructure. Their experience suggests a capability to manage substantial budgets and timelines, as indicated by this $45.6 million contract. While specific performance metrics for this particular contract are not detailed, their consistent award of similar federal projects implies a generally satisfactory track record with the government. Further due diligence would involve reviewing past performance evaluations and any documented issues on previous DoD contracts.

How does the competition level (5 bidders) impact the value for taxpayers?

Having five bidders for this full and open competition contract is a positive indicator for taxpayer value. A higher number of bidders generally leads to more competitive pricing as companies vie for the contract. This increased competition pressures contractors to offer their best possible price and terms. It also suggests that the market has sufficient capacity and interest in undertaking such projects for the Department of the Army. The presence of multiple bidders reduces the risk of the government overpaying due to a lack of alternatives and provides a stronger basis for negotiating favorable terms, ultimately benefiting the taxpayer through potentially lower overall project costs compared to a sole-source or limited competition scenario.

What are the implications of the contract duration (1359 days) on project management and oversight?

A contract duration of 1359 days (approximately 3.7 years) for the Special Tactics Facility Phase 2 signifies a large, complex construction project. This extended timeline necessitates robust project management and sustained oversight from the Department of the Army. Key implications include the need for continuous monitoring of progress against milestones, diligent management of potential delays (due to weather, supply chain issues, or unforeseen site conditions), and consistent quality control throughout the construction lifecycle. Long-term oversight also requires managing contract modifications and ensuring that the project remains aligned with evolving military needs and budget constraints over several fiscal years. Effective communication channels between the contractor, government representatives, and potentially end-users are crucial for success.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912PM16R0005

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Caddell Construction CO., Inc. (UEI: 102087285)

Address: 2700 LAGOON PARK DR, MONTGOMERY, AL, 36109

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

Financial Breakdown

Contract Ceiling: $45,640,993

Exercised Options: $45,640,993

Current Obligation: $45,640,993

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $3,076,506

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline