Navy awards $22.18M construction contract to Healy Tibbitts Builders for facility maintenance in Hawaii

Contract Overview

Contract Amount: $22,183,704 ($22.2M)

Contractor: Healy Tibbitts Builders, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-02-24

End Date: 2007-09-30

Contract Duration: 583 days

Daily Burn Rate: $38.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: 200605!601053!1700!N62742!NAV FACILITIES ENGINEERING COMMA!N6274204D1300 !A!N! !N!0010 ! !20060224!20070609!792984882!044649119!044665230!N!HEALY TIBBITTS BUILDERS INC !99-994 IWAENA ST STE A !AIEA !HI!96701!07900!003!15!FORD ISLAND !HONOLULU !HAWAII !+000020710330!N!N!000000000000!Z299!MAINT/ALL OTHER NON-BUILDING FACILITIES !C2 !CONSTRUCTION !000 !NOT DISCERNABLE !237990!A!B!5!B!M! !A! !99990909!B! ! !A! !A!Y!J!2!007!B! !D!N!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!B!Y! !N! ! !1700!N62742!0001! !

Place of Performance

Location: HONOLULU, HONOLULU County, HAWAII, 96818

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $22.2 million to HEALY TIBBITTS BUILDERS, INC. for work described as: 200605!601053!1700!N62742!NAV FACILITIES ENGINEERING COMMA!N6274204D1300 !A!N! !N!0010 ! !20060224!20070609!792984882!044649119!044665230!N!HEALY TIBBITTS BUILDERS INC !99-994 IWAENA ST STE A !AIEA !HI!96701!07900!003!15!FORD ISLAND !HONO… Key points: 1. Contract awarded for facility maintenance and repair services, indicating a need for ongoing infrastructure upkeep. 2. The contract was awarded through full and open competition, suggesting a competitive bidding process. 3. The duration of the contract (583 days) points to a medium-term project requiring sustained effort. 4. The award value of $22.18 million falls within a moderate spending range for construction services. 5. The contract is for construction services, specifically related to non-building facilities. 6. The geographic focus on Hawaii highlights regional infrastructure investment by the Navy.

Value Assessment

Rating: good

The contract value of $22.18 million for a 583-day duration appears reasonable for heavy and civil engineering construction services. Benchmarking against similar Navy contracts for facility maintenance in the Pacific region would provide a more precise value-for-money assessment. However, the firm fixed-price nature suggests that the contractor bears the risk of cost overruns, which can be favorable for the government if managed effectively.

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 bids. The data shows 7 bids were received, suggesting a healthy level of competition for this construction project. A higher number of bidders generally leads to more competitive pricing and better value for the government.

Taxpayer Impact: The full and open competition with multiple bidders is beneficial for taxpayers as it likely drove down the final contract price through competitive pressures.

Public Impact

The primary beneficiary is the Department of the Navy, which will receive facility maintenance and repair services. The services delivered include maintenance and repair of non-building facilities, ensuring operational readiness. The geographic impact is concentrated in Hawaii, specifically at Ford Island and Honolulu. The contract supports the construction workforce in Hawaii, providing employment opportunities in the skilled trades.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the firm fixed-price contract does not adequately account for unforeseen site conditions or material price fluctuations.
Dependence on a single contractor for a significant period could lead to performance issues if not closely monitored.
The specific nature of 'all other non-building facilities' might lead to ambiguity in scope if not clearly defined in the contract.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm fixed-price contract shifts cost risk to the contractor.
Multiple bids received (7) suggest a competitive market for these services.
Contract duration of 583 days allows for sustained focus on facility upkeep.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, a significant segment of the federal procurement landscape. The Department of the Navy, like other branches of the military, consistently invests in maintaining and upgrading its infrastructure. Spending in this sector is influenced by factors such as aging facilities, new construction requirements, and geopolitical considerations. Comparable spending benchmarks would involve analyzing other large-scale construction and maintenance contracts awarded by the Department of Defense or other federal agencies for similar types of facilities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, and there is no explicit mention of subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears limited for this specific award. However, the prime contractor, Healy Tibbitts Builders, Inc., may engage small businesses as subcontractors, which would indirectly benefit them.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Navy's Facilities Engineering Command. Accountability measures are embedded in the firm fixed-price contract terms, requiring the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated by the public nature of federal contract awards, though detailed performance metrics may not always be publicly disclosed.

Related Government Programs

Department of Defense Facilities Maintenance
Navy Infrastructure Projects
Heavy and Civil Engineering Construction Contracts
Federal Construction Services
Pacific Region Military Construction

Risk Flags

Potential for cost growth due to unforeseen site conditions.
Risk of contractor performance issues impacting facility readiness.
Ambiguity in contract scope for 'non-building facilities'.
Dependence on specific regional labor and material markets.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.2 million to HEALY TIBBITTS BUILDERS, INC.. 200605!601053!1700!N62742!NAV FACILITIES ENGINEERING COMMA!N6274204D1300 !A!N! !N!0010 ! !20060224!20070609!792984882!044649119!044665230!N!HEALY TIBBITTS BUILDERS INC !99-994 IWAENA ST STE A !AIEA !HI!96701!07900!003!15!FORD ISLAND !HONOLULU !HAWAII !+000020710330!N!N!000000000000!Z299!MAINT/ALL OTHER NON-BUILDING FACILITIES !C2 !CONSTRUCTION !000 !NOT DISCERNABLE !237990!A!B!5!B!M! !A! !999

Who is the contractor on this award?

The obligated recipient is HEALY TIBBITTS BUILDERS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $22.2 million.

What is the period of performance?

Start: 2006-02-24. End: 2007-09-30.

What is the track record of Healy Tibbitts Builders, Inc. with federal contracts, particularly with the Department of the Navy?

Healy Tibbitts Builders, Inc. has a history of securing federal contracts, primarily with the Department of Defense and specifically the Department of the Navy. Their awards often fall within the construction and engineering services categories. Analyzing their past performance on similar projects, including any reported issues or successes, would provide insight into their reliability and capability. For instance, reviewing their history of on-time completion, adherence to budget on cost-reimbursable contracts (if any), and quality of work on previous Navy contracts would be crucial. This specific $22.18 million contract for facility maintenance in Hawaii is one of several awards they have received, indicating an established relationship and proven ability to meet the Navy's requirements in the region.

How does the awarded price of $22.18 million compare to similar Navy construction contracts for facility maintenance in Hawaii?

The awarded price of $22.18 million for a 583-day contract for 'MAINT/ALL OTHER NON-BUILDING FACILITIES' needs to be benchmarked against similar contracts to assess value for money. Without specific data on comparable contracts (e.g., scope, duration, specific services, location within Hawaii), a precise comparison is difficult. However, considering the nature of heavy and civil engineering construction, this value appears to be within a moderate range for a project of this duration. Factors such as the specific types of facilities, the complexity of the maintenance required, and prevailing labor and material costs in Hawaii would influence the price. A detailed analysis would involve comparing the price per day or price per square foot (if applicable) against other Navy contracts for similar services in the same geographic area.

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

The primary risks for the Navy in a firm fixed-price (FFP) contract like this one revolve around potential cost overruns if the contractor's initial estimate was too low or if unforeseen conditions arise. While the FFP structure shifts most cost risk to the contractor, significant scope creep or poorly defined requirements could lead to change orders, increasing the overall cost. Performance risk is also a concern; the contractor might cut corners on quality or delay work to manage their costs, impacting facility readiness. Furthermore, if Healy Tibbitts Builders, Inc. lacks sufficient capacity or expertise for certain aspects of the work, it could lead to delays or subpar execution. Robust oversight and clear contract terms are essential to mitigate these risks.

How effective is the 'full and open competition' approach in ensuring competitive pricing for Navy construction projects of this scale?

The 'full and open competition' approach is generally considered the most effective method for ensuring competitive pricing for federal construction projects. By allowing all responsible sources to bid, it maximizes the pool of potential offerors, thereby increasing the likelihood of receiving competitive bids. In this case, with 7 bids received for the $22.18 million contract, the competition appears to have been robust. This level of competition typically drives down prices as contractors vie for the award. The effectiveness is further enhanced when the solicitation is well-defined, minimizing ambiguity and allowing bidders to accurately price their proposals. The firm fixed-price nature of this contract further solidifies the competitive advantage for the government.

What is the historical spending pattern for 'MAINT/ALL OTHER NON-BUILDING FACILITIES' by the Department of the Navy, and how does this contract fit in?

Historical spending on 'MAINT/ALL OTHER NON-BUILDING FACILITIES' by the Department of the Navy is likely substantial, given the vastness of its real estate and infrastructure portfolio. This category encompasses a wide range of assets, from piers and airfields to utility systems and grounds maintenance. Contracts for such services are typically recurring, reflecting the ongoing need for upkeep. This $22.18 million award represents a significant, but likely not unprecedented, investment in maintaining these critical non-building assets in a specific region (Hawaii). Analyzing historical spending trends would reveal the typical contract values, durations, and frequency of awards for this service category, helping to contextualize this particular contract within the Navy's broader facilities management strategy.

What are the potential workforce implications of this $22.18 million construction contract in Hawaii?

A contract of this magnitude ($22.18 million) for construction services in Hawaii is likely to have positive workforce implications. It will create or sustain jobs for skilled laborers, tradespeople (electricians, plumbers, carpenters, heavy equipment operators), project managers, engineers, and administrative support staff. The duration of 583 days suggests a medium-term employment opportunity. The specific location in Honolulu and Ford Island means the jobs will be concentrated in that area. Depending on the prime contractor's policies and the availability of local talent, there may also be opportunities for apprenticeships and training, contributing to the development of the local construction workforce. The demand generated by this contract could also indirectly support related industries, such as material suppliers and equipment rental companies.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Weeks Marine Inc (UEI: 044665230)

Address: 99-994 IWAENA STREET, AIEA, HI, 01

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N6274204D1300

IDV Type: IDC

Timeline