NOAA Awards $24.6M Firm Fixed Price Contract for Fairweather Homeport Recapitalization in Alaska

Contract Overview

Contract Amount: $24,593,534 ($24.6M)

Contractor: Ahtna Infrastructure & Technologies LLC

Awarding Agency: Department of Commerce

Start Date: 2021-04-06

End Date: 2026-04-14

Contract Duration: 1,834 days

Daily Burn Rate: $13.4K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FAIRWEATHER HOMEPORT RECAPITALIZATION KETCHIKAN, AK

Place of Performance

Location: KETCHIKAN, KETCHIKAN GATEWAY County, ALASKA, 99901

State: Alaska Government Spending

Plain-Language Summary

Department of Commerce obligated $24.6 million to AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC for work described as: FAIRWEATHER HOMEPORT RECAPITALIZATION KETCHIKAN, AK Key points: 1. Contract awarded to AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC for building construction. 2. Significant investment in critical infrastructure for NOAA's operations in Alaska. 3. Potential for cost overruns due to fixed-price contract and long duration. 4. Construction sector faces inherent risks related to material costs and labor availability.

Value Assessment

Rating: fair

The contract value of $24.6 million for a 5-year duration appears reasonable for a recapitalization project of this nature. However, without specific details on the scope of work and comparable projects, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, suggesting a limited source selection. This limits price discovery and may result in a higher price than if full and open competition were pursued.

Taxpayer Impact: Taxpayer funds are being used for this project. The lack of competition raises concerns about whether the best possible price was achieved.

Public Impact

Enhances NOAA's operational capabilities in a strategic Alaskan location. Supports local economy through construction jobs and related services. Ensures the long-term viability of essential maritime infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector can fluctuate based on government infrastructure needs and economic conditions. Benchmarks are difficult without specific project details.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business subcontracting opportunities exist within this award.

Oversight & Accountability

Oversight will be crucial to ensure the project stays within budget and on schedule, especially given the fixed-price nature and limited competition. The Department of Commerce and NOAA are responsible for accountability.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-commerce, ak, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $24.6 million to AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC. FAIRWEATHER HOMEPORT RECAPITALIZATION KETCHIKAN, AK

Who is the contractor on this award?

The obligated recipient is AHTNA INFRASTRUCTURE & TECHNOLOGIES LLC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $24.6 million.

What is the period of performance?

Start: 2021-04-06. End: 2026-04-14.

What specific factors led to the 'not available for competition' determination, and were alternatives explored?

The determination for limited competition needs further investigation. Typically, this occurs when only one source can meet the requirement due to unique capabilities, urgency, or specific circumstances. Exploring alternatives ensures the government isn't unnecessarily limiting competition, which could impact price and innovation.

How will potential cost increases due to material and labor volatility be managed under the firm fixed-price contract?

Managing cost volatility under a firm fixed-price contract requires robust contract management and risk mitigation strategies. This includes detailed cost tracking, proactive supplier engagement, and potentially contingency planning within the awarded price. The contractor bears the primary risk of cost overruns.

What are the key performance indicators (KPIs) for this recapitalization project, and how will success be measured?

Success will likely be measured by the project's completion within the defined scope, on schedule, and within the firm fixed price. Key performance indicators could include adherence to quality standards, functional readiness of the homeport facilities, and minimal disruption to NOAA's ongoing operations during construction.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: ARCHITECT/ENGINEER SERVICESARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: NAAJ57322000437

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 110 W 38TH AVE STE 200M, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,962,392

Exercised Options: $24,593,534

Current Obligation: $24,593,534

Actual Outlays: $6,272,653

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2021-04-06

Current End Date: 2026-04-14

Potential End Date: 2026-04-14 00:00:00

Last Modified: 2025-09-22

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