Harper Construction awarded $12.5M for Fort Sill MATOC headquarters, highlighting construction sector activity

Contract Overview

Contract Amount: $12,500,765 ($12.5M)

Contractor: Harper Construction Company, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-06-19

End Date: 2011-03-15

Contract Duration: 999 days

Daily Burn Rate: $12.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: SCHEDULE B - MATOC HEADQUARTERS BUILDINGS, 31ST ADA, FORT SILL, OK

Place of Performance

Location: FORT SILL, COMANCHE County, OKLAHOMA, 73503

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $12.5 million to HARPER CONSTRUCTION COMPANY, INC. for work described as: SCHEDULE B - MATOC HEADQUARTERS BUILDINGS, 31ST ADA, FORT SILL, OK Key points: 1. Contract awarded to Harper Construction Company, Inc. for MATOC headquarters. 2. Project located at Fort Sill, Oklahoma, indicating regional construction focus. 3. Firm Fixed Price contract type suggests defined scope and cost control. 4. Full and Open Competition indicates broad market participation. 5. Contract duration of 999 days points to a significant, long-term project. 6. NAICS code 236220 aligns with commercial and institutional building construction.

Value Assessment

Rating: fair

The contract value of $12.5 million for a MATOC headquarters building appears within a reasonable range for a project of this nature. Benchmarking against similar construction contracts for military facilities would provide a more precise assessment of value for money. The firm fixed price structure suggests that the contractor assumed the majority of the cost risk, which can be beneficial for the government if managed effectively. However, without detailed cost breakdowns or comparisons to industry standards for similar square footage or complexity, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under Full and Open Competition, indicating that all responsible sources were permitted to submit offers. The presence of 6 bidders (no) suggests a healthy level of competition for this project. A competitive bidding process generally leads to better price discovery and can result in more favorable terms for the government. The number of bidders implies that the market for this type of construction service is sufficiently robust to support multiple interested parties.

Taxpayer Impact: The full and open competition and multiple bidders indicate that taxpayer dollars were likely used efficiently, as the government received proposals from various qualified contractors, driving down costs through competitive pressure.

Public Impact

The primary beneficiaries are the Department of the Army and military personnel stationed at Fort Sill, Oklahoma, who will gain improved headquarters facilities. The contract delivers construction services for institutional buildings, specifically a MATOC headquarters. The geographic impact is concentrated in Oklahoma, supporting local and regional economic activity through construction. Workforce implications include employment opportunities for construction laborers, tradespeople, and project management staff in the Oklahoma area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise, despite the fixed-price nature.
Schedule delays could impact operational readiness at Fort Sill.
Quality control during construction is critical to ensure long-term durability and functionality of the facility.

Positive Signals

Firm Fixed Price contract provides cost certainty for the government.
Full and Open Competition ensures market-driven pricing.
Award to an established construction company suggests a degree of reliability.

Sector Analysis

The construction sector, particularly for government and institutional buildings, is a significant part of the U.S. economy. This contract falls under commercial and institutional building construction (NAICS 236220). The Department of Defense is a major client for construction services, with substantial annual spending on infrastructure and facilities. Comparable spending benchmarks would involve analyzing other MATOC or similar facility construction contracts awarded by the Army or other branches of the military, considering project size, location, and specific requirements.

Small Business Impact

This contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses in the provided data. The award to Harper Construction Company, Inc. (a specific entity) suggests it may be a larger firm. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses within the ecosystem, which is a common practice in larger federal construction projects.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the project management team within the Department of the Army at Fort Sill. Accountability measures are inherent in the firm fixed-price contract, requiring the contractor to deliver the specified facility within the agreed-upon cost and timeline. Transparency is generally maintained through contract award databases and public reporting, though detailed project progress and financial oversight are internal government functions. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Military Construction
Base Realignment and Closure (BRAC) Facilities
Department of Defense Construction Contracts
MATOC (Multiple Award Task Order Contract) Vehicles

Risk Flags

Potential for cost overruns due to unforeseen site conditions.
Risk of schedule delays impacting operational readiness.
Quality control concerns during extended construction period.
Contractor performance variability over a long-term project.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.5 million to HARPER CONSTRUCTION COMPANY, INC.. SCHEDULE B - MATOC HEADQUARTERS BUILDINGS, 31ST ADA, FORT SILL, OK

Who is the contractor on this award?

The obligated recipient is HARPER CONSTRUCTION COMPANY, 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 $12.5 million.

What is the period of performance?

Start: 2008-06-19. End: 2011-03-15.

What is Harper Construction Company, Inc.'s track record with the Department of Defense?

Harper Construction Company, Inc. has a history of securing contracts with the Department of Defense, including projects related to military construction and facility upgrades. Their portfolio often includes work on military bases, indicating familiarity with the specific requirements and security protocols associated with government projects. Analyzing their past performance ratings, any past performance issues, and the types of contracts they have successfully executed for the DoD would provide a clearer picture of their reliability and capability for projects like the Fort Sill MATOC headquarters. This includes examining the value and complexity of previously awarded contracts to assess their experience level.

How does the $12.5 million award compare to similar MATOC headquarters construction projects?

Comparing the $12.5 million award for the Fort Sill MATOC headquarters to similar projects requires access to a database of comparable federal construction contracts. Factors such as square footage, complexity of design, specific site conditions, and geographic location significantly influence cost. Generally, firm fixed-price contracts for institutional buildings of this scale can range widely. A preliminary assessment suggests the value is within a plausible range, but a detailed benchmark analysis against projects of similar scope and purpose awarded within the last 1-3 years would be necessary for a definitive value-for-money conclusion. This would involve looking at cost per square foot or cost per facility type.

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

The primary risks associated with this firm fixed-price contract, despite its cost certainty for the government, lie in potential scope creep, unforeseen site conditions, and contractor performance issues. If the scope is not meticulously defined, change orders could increase the total cost. Unforeseen environmental or geological conditions at Fort Sill could necessitate costly modifications. Furthermore, contractor performance issues, such as delays or quality defects, could impact project completion and functionality, even within a fixed price, due to potential disputes or the need for corrective actions. The government's ability to manage these risks depends on robust oversight and contract administration.

How effective is the 'Full and Open Competition' strategy for ensuring competitive pricing in construction contracts of this size?

The 'Full and Open Competition' strategy is generally considered the most effective method for ensuring competitive pricing in construction contracts of this size. By allowing all responsible sources to bid, it maximizes the pool of potential offerors, thereby increasing the likelihood of receiving competitive bids. The fact that 6 bidders participated in this solicitation indicates a healthy market response. This level of competition typically drives down prices as contractors vie for the award. However, the effectiveness is also contingent on the clarity of the solicitation documents and the fairness of the evaluation criteria to ensure that the lowest price technically acceptable or best value offer is truly representative of market conditions.

What is the historical spending trend for similar construction projects at Fort Sill or within the Department of the Army?

Historical spending trends for similar construction projects at Fort Sill and within the Department of the Army reveal a consistent and substantial investment in infrastructure and facilities. The Army regularly procures construction services for barracks, training facilities, administrative buildings, and support infrastructure. Spending fluctuates based on military readiness needs, modernization efforts, and budget allocations. Analyzing past contract awards for MATOCs or similar headquarters buildings at comparable installations would show patterns in contract values, durations, and competition levels. This data can help contextualize the $12.5 million award and assess if it aligns with historical norms or represents an outlier.

What are the implications of the 999-day contract duration for project management and oversight?

A contract duration of 999 days (nearly three years) for the MATOC headquarters construction implies a large-scale, complex project requiring sustained management and oversight. This extended timeline necessitates robust project management from both the contractor and the government to ensure milestones are met, quality is maintained, and costs remain controlled. For the government, it means dedicating resources for ongoing contract administration, site inspections, and progress monitoring over an extended period. The long duration also increases the risk of external factors, such as changes in requirements, economic shifts, or technological advancements, potentially impacting the project's final outcome or relevance.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912HN07R0100

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2241 KETTNER BLVD STE 300, SAN DIEGO, CA, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Subchapter S Corporation

Financial Breakdown

Contract Ceiling: $12,500,765

Exercised Options: $12,500,765

Current Obligation: $12,500,765

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912HN08D0028

IDV Type: IDC

Timeline