DHS Coast Guard Awards $3.56M Waterfront Repair Contract to O'Neill Contractors Inc

Contract Overview

Contract Amount: $3,566,157 ($3.6M)

Contractor: Oneill Contractors Inc

Awarding Agency: Department of Homeland Security

Start Date: 2026-01-23

End Date: 2027-03-31

Contract Duration: 432 days

Daily Burn Rate: $8.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: MAJOR M&R OF WATERFRONT, SEC NORTHERN GREAT LAKES IN ACCORDANCE WITH PARAGRAPH 2(D) IMPLEMENTING THE PRESIDENT'S "DEPARTMENT OF GOVERNMENT EFFICIENCY" COST EFFICIENCY INITIATIVE FEB 26, 2025.

Place of Performance

Location: SAULT SAINTE MARIE, CHIPPEWA County, MICHIGAN, 49783

State: Michigan Government Spending

Plain-Language Summary

Department of Homeland Security obligated $3.6 million to ONEILL CONTRACTORS INC for work described as: MAJOR M&R OF WATERFRONT, SEC NORTHERN GREAT LAKES IN ACCORDANCE WITH PARAGRAPH 2(D) IMPLEMENTING THE PRESIDENT'S "DEPARTMENT OF GOVERNMENT EFFICIENCY" COST EFFICIENCY INITIATIVE FEB 26, 2025. Key points: 1. Contract awarded to O'Neill Contractors Inc. for waterfront maintenance and repair. 2. The contract falls under the 'Department of Government Efficiency' initiative. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. The sector is Commercial and Institutional Building Construction.

Value Assessment

Rating: fair

The contract value of $3.56 million for a 432-day duration appears reasonable for major maintenance and repair of waterfront facilities. Benchmarking against similar large-scale construction projects would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a competitive process was intended. However, the exclusion of sources needs further clarification to understand its impact on price discovery and overall competition.

Taxpayer Impact: The use of a competitive bidding process aims to ensure taxpayer funds are used efficiently, but the specific impact depends on the rigor of the bidding and the final negotiated price.

Public Impact

Ensures operational readiness of critical U.S. Coast Guard assets in the Great Lakes region. Supports infrastructure maintenance vital for national security and maritime safety. Potential for job creation within the construction sector in Michigan.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Ambiguity in 'Exclusion of Sources' could limit competition.
Lack of detailed cost breakdown for materials and labor.
Potential for scope creep in 'Major M&R' projects.

Positive Signals

Awarded under a cost-efficiency initiative.
Firm Fixed Price contract type limits cost overruns.
Long-term infrastructure investment.

Sector Analysis

The Commercial and Institutional Building Construction sector is vital for maintaining government facilities. Spending in this sector can fluctuate based on infrastructure needs and government initiatives like the 'Department of Government Efficiency' program.

Small Business Impact

The data indicates the awardee is O'Neill Contractors Inc. and that small business participation (ss: false, sb: false) was not a stated requirement or achievement for this specific contract. Further investigation is needed to determine if subcontracting opportunities were offered to small businesses.

Oversight & Accountability

The contract falls under the 'Department of Government Efficiency' initiative, suggesting a focus on cost-effectiveness. Oversight will be crucial to ensure the project stays within budget and meets performance standards, especially given the 'Major M&R' scope.

Related Government Programs

Commercial and Institutional Building Construction
Department of Homeland Security Contracting
U.S. Coast Guard Programs

Risk Flags

Potential for limited competition due to source exclusion.
Scope definition for 'Major M&R' could be vague.
Lack of explicit small business participation noted.
Need for detailed cost breakdown analysis.
Performance metrics and oversight clarity required.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $3.6 million to ONEILL CONTRACTORS INC. MAJOR M&R OF WATERFRONT, SEC NORTHERN GREAT LAKES IN ACCORDANCE WITH PARAGRAPH 2(D) IMPLEMENTING THE PRESIDENT'S "DEPARTMENT OF GOVERNMENT EFFICIENCY" COST EFFICIENCY INITIATIVE FEB 26, 2025.

Who is the contractor on this award?

The obligated recipient is ONEILL CONTRACTORS INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2026-01-23. End: 2027-03-31.

What specific criteria led to the exclusion of certain sources in the 'Full and Open Competition After Exclusion of Sources' process, and how did this impact the final price?

The rationale behind excluding specific sources needs detailed documentation. Typically, exclusions are based on technical capabilities, past performance, or specific security requirements. Understanding these criteria is essential to assess if the exclusion unduly limited competition and potentially inflated the price paid by taxpayers. Without this information, it's difficult to fully evaluate the effectiveness of the procurement strategy.

How does the awarded price of $3.56 million compare to industry benchmarks for similar waterfront maintenance and repair projects of this scale and complexity?

A comprehensive comparison against industry benchmarks is necessary to validate the value for money. Factors such as location, specific repair needs (e.g., structural, dredging, utility upgrades), and material costs influence project pricing. If the awarded price significantly deviates from established benchmarks, it could indicate either an exceptional deal or potential overpricing, warranting further scrutiny of the cost components.

What are the key performance indicators (KPIs) for this contract, and how will their achievement be measured to ensure the effectiveness of the repairs and the contractor's performance?

Defining clear KPIs is critical for measuring contract effectiveness. These should include metrics related to structural integrity, operational uptime of repaired facilities, adherence to environmental regulations during work, and timely completion. Robust oversight mechanisms, including regular site inspections and performance reviews, are essential to ensure the contractor meets these KPIs and delivers the expected outcomes for the U.S. Coast Guard.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4307 REGENCY DR, GLENVIEW, IL, 60025

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $3,566,157

Exercised Options: $3,566,157

Current Obligation: $3,566,157

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 70Z08324DCLEV0005

IDV Type: IDC

Timeline