DoD's $36.3M Hanscom Middle School Construction Contract Awarded to J & J Contractors, Inc

Contract Overview

Contract Amount: $36,280,718 ($36.3M)

Contractor: J & J Contractors, Inc.

Awarding Agency: Department of Defense

Start Date: 2013-12-20

End Date: 2020-08-24

Contract Duration: 2,439 days

Daily Burn Rate: $14.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCT HANSCOM MIDDLE SCHOOL

Place of Performance

Location: HANSCOM AFB, MIDDLESEX County, MASSACHUSETTS, 01731

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $36.3 million to J & J CONTRACTORS, INC. for work described as: CONSTRUCT HANSCOM MIDDLE SCHOOL Key points: 1. The contract value of $36.3 million for commercial and institutional building construction is a significant investment. 2. J & J Contractors, Inc. secured this award through full and open competition. 3. The project duration of 2439 days (approx. 6.7 years) indicates a long-term commitment and potential for cost overruns. 4. The firm fixed price contract type aims to control costs, but the extended duration warrants close monitoring.

Value Assessment

Rating: fair

The $36.3 million contract price for constructing a middle school needs to be benchmarked against similar projects in Massachusetts. Without specific cost breakdowns or comparable project data, assessing the value for money is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the extended duration and the number of offers (5) should be analyzed to ensure competitive pricing was achieved throughout the project lifecycle.

Taxpayer Impact: The $36.3 million expenditure represents taxpayer funds allocated to infrastructure development. Ensuring efficient use of these funds through competitive bidding and effective project management is crucial for maximizing taxpayer value.

Public Impact

This project directly impacts students, faculty, and the surrounding community by providing new or renovated educational facilities. The construction process may cause temporary disruptions to local traffic and businesses. Successful completion of the school construction will enhance educational opportunities and potentially boost local employment during the build phase.

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, a vital area for public infrastructure. Spending benchmarks for similar school construction projects in Massachusetts would provide context for the $36.3 million award.

Small Business Impact

While the contract was awarded under full and open competition, it's unclear if small businesses were involved as subcontractors. Further analysis is needed to determine the extent of small business participation in this significant construction project.

Oversight & Accountability

Oversight of this long-term construction project is critical. The Department of the Army, as the awarding agency, must ensure robust project management, regular progress reporting, and adherence to contract terms to maintain accountability and taxpayer value.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-defense, ma, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.3 million to J & J CONTRACTORS, INC.. CONSTRUCT HANSCOM MIDDLE SCHOOL

Who is the contractor on this award?

The obligated recipient is J & J CONTRACTORS, 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 $36.3 million.

What is the period of performance?

Start: 2013-12-20. End: 2020-08-24.

What is the average cost per square foot for this school construction compared to similar projects in the region?

Determining the average cost per square foot requires detailed project specifications, including the total square footage and specific construction elements. Benchmarking against similar educational facilities in Massachusetts, considering factors like materials, complexity, and site conditions, would reveal if the $36.3 million award represents a competitive price point for the scope of work.

What are the specific risks associated with the 2439-day project duration, and what mitigation strategies are in place?

The extended duration poses risks such as inflation, material price volatility, potential design changes, and contractor performance degradation. Mitigation strategies likely include phased payments tied to milestones, strict change order controls, regular progress reviews, and performance bonds. The agency should actively monitor these risks throughout the project lifecycle.

How effectively does the firm fixed price contract manage cost risks given the project's long timeline?

A firm fixed price contract is designed to shift cost risk to the contractor, providing budget certainty. However, for a project spanning nearly seven years, the initial price may not fully account for future economic fluctuations. The contract's clauses regarding escalation, change orders, and the number of bids received are crucial indicators of how effectively cost risks are managed.

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: W912WJ12R0013

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 35 MARKET ST STE 401, LOWELL, MA, 01852

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

Financial Breakdown

Contract Ceiling: $36,818,547

Exercised Options: $36,280,718

Current Obligation: $36,280,718

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2013-12-20

Current End Date: 2020-08-24

Potential End Date: 2020-08-24 00:00:00

Last Modified: 2020-10-03

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