DOT awards $3.4M firm-fixed-price contract for Honolulu ATC roof replacement to Core Consolidated LLC

Contract Overview

Contract Amount: $3,394,660 ($3.4M)

Contractor: Core Consolidated LLC

Awarding Agency: Department of Transportation

Start Date: 2023-05-17

End Date: 2026-04-02

Contract Duration: 1,051 days

Daily Burn Rate: $3.2K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: HONOLULU COMBINED ATC MEMBRANE ROOF REPLACEMENT.

Place of Performance

Location: HONOLULU, HONOLULU County, HAWAII, 96819

State: Hawaii Government Spending

Plain-Language Summary

Department of Transportation obligated $3.4 million to CORE CONSOLIDATED LLC for work described as: HONOLULU COMBINED ATC MEMBRANE ROOF REPLACEMENT. Key points: 1. Contract awarded for a critical infrastructure upgrade at Honolulu Air Traffic Control. 2. The contract is a firm-fixed-price type, indicating defined costs and scope. 3. The award was made under Simplified Acquisition Procedures (SAP), suggesting a focus on efficiency for smaller procurements. 4. The duration of over 1000 days points to a significant, multi-year project. 5. The contract was competed, suggesting a degree of market engagement. 6. The small business status of the contractor is not specified, but the contract was not set aside for small businesses.

Value Assessment

Rating: fair

The contract value of $3.4 million for a roof replacement at an Air Traffic Control facility appears within a reasonable range for such a specialized and critical infrastructure project. However, without specific details on the scope of work, materials, and the facility's size, a precise value-for-money assessment is challenging. Benchmarking against similar FAA roofing projects would provide a clearer picture of whether this price reflects competitive market rates for the required quality and duration.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a broader outreach to potential vendors than sole-source or limited competition. While the exact number of bids received is not detailed, the SAP framework is designed to encourage competition for procurements below certain thresholds. This suggests that multiple vendors had the opportunity to bid, contributing to price discovery.

Taxpayer Impact: The use of SAP for this procurement aims to ensure that taxpayer funds are used efficiently by leveraging market competition, even for procurements of this size.

Public Impact

The primary beneficiaries are the Federal Aviation Administration (FAA) and the users of air traffic control services, who will benefit from a secure and functional facility. The service delivered is the replacement of a membrane roof, crucial for protecting sensitive air traffic control equipment and operations from weather damage. The geographic impact is localized to Honolulu, Hawaii, ensuring the operational integrity of a key aviation hub. The contract supports the construction and maintenance workforce, likely involving skilled tradespeople in the Hawaii region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen structural issues are discovered during the multi-year project.
Dependence on a single contractor for a critical, long-duration project could pose risks if performance issues arise.
Weather-related delays in Hawaii could impact the project timeline and potentially increase costs if not managed effectively.

Positive Signals

Firm-fixed-price contract structure helps to control costs and provides budget certainty.
The project addresses a critical infrastructure need, ensuring the long-term operational capability of the ATC facility.
The use of SAP suggests an effort to streamline the procurement process for efficiency.

Sector Analysis

This contract falls within the Construction and Facilities Maintenance sector, specifically focusing on specialized roofing for government infrastructure. The market for such services involves numerous contractors capable of undertaking large-scale projects. The FAA, as a major government agency, regularly procures maintenance and repair services for its facilities, with spending often benchmarked against industry standards for construction and specialized building services.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. While Core Consolidated LLC's size is not detailed, the absence of set-aside provisions means that larger businesses were likely eligible and potentially competed. Further analysis would be needed to determine if any subcontracting opportunities were directed towards the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the Federal Aviation Administration contracting officer and project managers. Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to deliver the specified roofing services within the agreed-upon budget and timeline. Transparency is facilitated through federal contract databases where award details are published, though detailed performance monitoring reports are generally not publicly accessible.

Related Government Programs

FAA Air Traffic Control Facility Maintenance
Federal Building and Infrastructure Repair
Government Roofing Contracts
Construction Services for Transportation Infrastructure

Risk Flags

Project Duration
Critical Infrastructure
Potential for Weather Delays

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $3.4 million to CORE CONSOLIDATED LLC. HONOLULU COMBINED ATC MEMBRANE ROOF REPLACEMENT.

Who is the contractor on this award?

The obligated recipient is CORE CONSOLIDATED LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $3.4 million.

What is the period of performance?

Start: 2023-05-17. End: 2026-04-02.

What is the track record of Core Consolidated LLC in performing similar federal roofing contracts?

A review of federal contract databases indicates that Core Consolidated LLC has been awarded multiple contracts, primarily within the construction and maintenance domain. While specific details on past roofing projects for critical infrastructure like air traffic control towers are not immediately available in summary data, their award history suggests experience in government contracting. Further investigation into their past performance ratings, contract values, and the nature of previous projects would be necessary to fully assess their suitability and track record for this specific Honolulu ATC roof replacement. Examining contract close-out data and any reported disputes or performance issues would also provide a more comprehensive understanding of their reliability.

How does the awarded price compare to similar FAA roof replacement projects in terms of value for money?

Benchmarking the $3.4 million contract value against similar FAA roof replacement projects requires detailed comparison of scope, size, materials, and location. Without specific project metrics like square footage, roof complexity, and the extent of underlying structural work needed, a direct comparison is difficult. However, for a critical facility like an Air Traffic Control tower, specialized requirements and potentially higher labor costs in Hawaii could justify the awarded amount. A comprehensive value-for-money assessment would involve analyzing the price per square foot, the warranty offered, and the expected lifespan of the new roof against industry standards and comparable government projects.

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

The primary risk for the FAA in a firm-fixed-price contract, especially one spanning over 1000 days, is the potential for the contractor to cut corners on quality to maintain profitability if unforeseen issues arise or costs increase beyond initial estimates. While the fixed price provides budget certainty, the FAA relies heavily on the contractor's integrity and the effectiveness of its own oversight to ensure the work meets specifications. Risks also include potential delays due to weather or unforeseen site conditions, which, while the contractor bears much of the cost risk, can still impact operational continuity. Ensuring robust quality assurance and inspection protocols are in place is crucial to mitigate these risks.

What is the expected impact of this contract on the operational effectiveness of the Honolulu Air Traffic Control facility?

This contract is expected to significantly enhance the operational effectiveness and reliability of the Honolulu Air Traffic Control facility by addressing a critical infrastructure need. A properly functioning roof is essential to protect sensitive electronic equipment, communication systems, and the overall operational environment from water damage, which could lead to service disruptions or equipment failure. By ensuring the facility is weather-tight, the contract directly supports the FAA's mission to maintain safe and efficient air traffic management in a vital Pacific region. The multi-year duration suggests a comprehensive replacement designed for long-term resilience.

How has federal spending on ATC facility maintenance and repair evolved over the past five years?

Federal spending on Air Traffic Control (ATC) facility maintenance and repair has generally remained a consistent priority for the Federal Aviation Administration (FAA). While specific figures fluctuate annually based on infrastructure needs, modernization efforts, and budget allocations, the overall trend indicates sustained investment in ensuring the safety and efficiency of the national airspace system. Spending typically covers a range of activities, including routine maintenance, major repairs, and upgrades to HVAC, electrical, and structural components of ATC towers and facilities. Recent years may have seen increased focus on resilience and modernization in response to aging infrastructure and evolving technological requirements.

What is the significance of awarding this contract under Simplified Acquisition Procedures (SAP)?

Awarding this contract under Simplified Acquisition Procedures (SAP) signifies that the procurement value was below the statutory threshold for full and open competition, allowing for a more streamlined and efficient acquisition process. SAP is designed for purchases up to a certain dollar amount (typically $250,000, but can be higher for certain agencies or circumstances), enabling agencies to obtain goods and services more quickly. While it still requires fair and open competition among eligible sources, the administrative burden is generally less than for larger, more complex procurements, suggesting the FAA aimed for expediency in addressing the roofing need.

Industry Classification

NAICS: Construction › Foundation, Structure, and Building Exterior Contractors › Roofing Contractors

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 697DCK-23-R-00071

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 321 WESTLAKE RD, TEXARKANA, TX, 75501

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $3,394,660

Exercised Options: $3,394,660

Current Obligation: $3,394,660

Actual Outlays: $3,270,509

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline