Fort McCoy Barracks Construction Contract Awarded to L.S. Black Constructors for $27.4M

Contract Overview

Contract Amount: $27,434,424 ($27.4M)

Contractor: L.S. Black Constructors, LLC

Awarding Agency: Department of Defense

Start Date: 2024-02-15

End Date: 2026-04-24

Contract Duration: 799 days

Daily Burn Rate: $34.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN/BID/BUILD CONSTRUCTION OF THE COLLECTIVE TRAINING ENLISTED BARRACKS EAST AT FORT MCCOY, WISCONSIN.

Place of Performance

Location: FORT MCCOY, MONROE County, WISCONSIN, 54656

State: Wisconsin Government Spending

Plain-Language Summary

Department of Defense obligated $27.4 million to L.S. BLACK CONSTRUCTORS, LLC for work described as: DESIGN/BID/BUILD CONSTRUCTION OF THE COLLECTIVE TRAINING ENLISTED BARRACKS EAST AT FORT MCCOY, WISCONSIN. Key points: 1. Contract focuses on design/bid/build for enlisted barracks, a critical infrastructure need. 2. Full and open competition suggests a robust bidding process. 3. Fixed-price contract type aims to control costs, but potential for change orders exists. 4. Project duration of 799 days indicates a significant construction timeline. 5. Awarded to a single contractor, L.S. Black Constructors, LLC. 6. Geographic focus on Wisconsin for enlisted personnel facilities.

Value Assessment

Rating: fair

The contract value of $27.4 million for the design/bid/build of enlisted barracks at Fort McCoy appears to be within a reasonable range for a project of this scope. Benchmarking against similar barracks construction projects would provide a more definitive assessment of value for money. The firm fixed-price structure is generally favorable for cost control, but the final cost will depend on the execution and any potential change orders. Without detailed cost breakdowns or comparisons to similar projects, a precise value assessment is challenging.

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 a bid. The data shows two bids were received. While two bidders is a form of competition, it is on the lower end for a full and open solicitation of this magnitude. A higher number of bidders typically leads to more competitive pricing and a greater likelihood of achieving best value for the government.

Taxpayer Impact: The full and open competition, despite receiving only two bids, suggests an effort to secure competitive pricing for taxpayers. However, the limited number of bidders may have constrained the downward pressure on price.

Public Impact

Enlisted soldiers at Fort McCoy will benefit from new, modern barracks facilities. The project will deliver essential training and living infrastructure for military personnel. The construction will have a positive economic impact on the local Wisconsin economy through job creation and material sourcing. The project supports the U.S. Army's mission to provide adequate housing for its service members.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition with only two bids received could indicate potential issues with market reach or contractor interest.
The firm fixed-price contract, while good for cost control, can lead to disputes or change orders if unforeseen issues arise during construction.
The long project duration (799 days) increases the risk of cost escalation due to inflation or material availability issues.

Positive Signals

Awarded under full and open competition, demonstrating an effort to maximize the bidder pool.
Firm fixed-price contract type provides cost certainty for the government.
The project addresses a clear need for improved enlisted barracks infrastructure.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for military barracks. The construction industry is a significant part of the federal procurement landscape, with substantial spending on infrastructure projects like this. Comparable spending benchmarks would involve analyzing other military construction projects of similar size and complexity, particularly barracks or dormitory facilities, across different military branches and installations. The market for large-scale construction is often competitive, but specialized military construction can sometimes see fewer bidders.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside requirement for this particular award (sb: false). There is no explicit information on subcontracting plans for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem from this specific contract is not detailed, though L.S. Black Constructors, LLC may engage small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army, potentially through contracting officers' representatives (CORs) and contracting officer's technical representatives (COTRs) who will monitor performance, quality, and adherence to specifications. The firm fixed-price nature of the contract implies a focus on ensuring the contractor meets the agreed-upon scope and price. Transparency would be facilitated through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Construction, Army
Barracks and Dormitory Construction
Design-Build Contracts
Department of Defense Infrastructure Projects

Risk Flags

Limited competition (2 bids)
Potential for change orders under FFP
Long project duration increases risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.4 million to L.S. BLACK CONSTRUCTORS, LLC. DESIGN/BID/BUILD CONSTRUCTION OF THE COLLECTIVE TRAINING ENLISTED BARRACKS EAST AT FORT MCCOY, WISCONSIN.

Who is the contractor on this award?

The obligated recipient is L.S. BLACK CONSTRUCTORS, 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 $27.4 million.

What is the period of performance?

Start: 2024-02-15. End: 2026-04-24.

What is the track record of L.S. Black Constructors, LLC with federal contracts, particularly with the Department of Defense?

L.S. Black Constructors, LLC has a history of federal contracting, primarily with the Department of Defense. Analyzing their past performance on similar construction projects, especially those involving barracks or institutional buildings, is crucial. Key metrics to review would include on-time completion rates, adherence to budget, quality of work, and any history of contract disputes or terminations. A review of their contract history in federal databases like SAM.gov or FPDS would reveal the volume and types of contracts they have previously been awarded and successfully executed. Understanding their experience with firm fixed-price contracts and design-build delivery methods is also important for assessing their suitability for this project.

How does the awarded price of $27.4 million compare to similar barracks construction projects at other military installations?

To benchmark the value for money, the $27.4 million contract award for the Fort McCoy barracks needs comparison with similar projects. This involves identifying other recent construction contracts for enlisted barracks or similar troop housing facilities at other Army or DoD installations. Factors to consider in the comparison include square footage, number of beds/occupants, complexity of design (e.g., LEED certification requirements, specific security features), geographic location (which impacts labor and material costs), and the contract type (firm fixed-price vs. cost-plus). If data indicates that similar projects have been completed at a significantly lower cost per square foot or per bed, it might suggest that this contract's pricing is on the higher end, warranting further investigation into the specific project requirements or market conditions at Fort McCoy.

What are the primary risks associated with a firm fixed-price contract for a large-scale construction project like this?

The primary risk with a firm fixed-price (FFP) contract for a large construction project is the potential for contractor claims and change orders if unforeseen conditions arise during design or construction. While the FFP structure aims to provide cost certainty to the government, contractors may face significant financial losses if their initial cost estimates are inaccurate or if site conditions differ substantially from what was anticipated. This can lead to disputes over scope changes, delays, and potentially impact the quality of work if the contractor attempts to cut corners to maintain profitability. Conversely, if the contractor significantly overestimates costs, the government may end up paying a premium. Effective project management, thorough site investigations, and clear contract language are essential to mitigate these risks.

What is the significance of receiving only two bids for a full and open competition solicitation of this size?

Receiving only two bids for a full and open competition solicitation valued at $27.4 million for barracks construction is a point of concern regarding market engagement and potential price competition. It could suggest several possibilities: the market for qualified contractors capable of undertaking such a project is limited in the relevant geographic area or for this specific type of construction; the solicitation's requirements were overly restrictive or complex, deterring potential bidders; or the timing of the solicitation coincided with high demand in the construction sector, leading contractors to prioritize other projects. A lower number of bidders generally reduces competitive pressure, potentially leading to higher prices than might be achieved with a more robust bidding process. It also increases the risk that the government may not have received the best possible value.

How will the performance of L.S. Black Constructors, LLC be monitored throughout the 799-day project duration?

Performance monitoring for L.S. Black Constructors, LLC on this project will be a multi-faceted process managed by the Department of the Army. Key oversight mechanisms will include the Contracting Officer's Representative (COR) or Contracting Officer's Technical Representative (COTR), who will be responsible for day-to-day monitoring of progress, quality control, and compliance with contract specifications. Regular progress meetings will be held to discuss milestones, address potential issues, and ensure adherence to the schedule. The firm fixed-price nature of the contract means the government will focus on ensuring the contractor delivers the specified product within the agreed-upon price and timeframe. Payment milestones will likely be tied to the completion of specific phases or deliverables. Any deviations from the plan will be documented and addressed promptly to mitigate risks.

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: W912QR24R0002

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1959 SLOAN PL STE 220, SAINT PAUL, MN, 55117

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

Financial Breakdown

Contract Ceiling: $27,434,424

Exercised Options: $27,434,424

Current Obligation: $27,434,424

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline