Coast Guard awards $3.4M contract for USCGC Eagle's new homeport and museum in New London, CT

Contract Overview

Contract Amount: $3,423,384 ($3.4M)

Contractor: Terry Contracting & Materials, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2023-09-15

End Date: 2026-09-09

Contract Duration: 1,090 days

Daily Burn Rate: $3.1K/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: NEW HOME PORT FOR USCG CUTTER EAGLE, COAST GUARD MUSEUM FOR USCGC EAGLE, AT CITY PIER NEW LONDON, CT (NEW LONDON COUNTY), PSN 16190401.

Place of Performance

Location: NEW LONDON, NEW LONDON County, CONNECTICUT, 06320

State: Connecticut Government Spending

Plain-Language Summary

Department of Homeland Security obligated $3.4 million to TERRY CONTRACTING & MATERIALS, INC. for work described as: NEW HOME PORT FOR USCG CUTTER EAGLE, COAST GUARD MUSEUM FOR USCGC EAGLE, AT CITY PIER NEW LONDON, CT (NEW LONDON COUNTY), PSN 16190401. Key points: 1. Contract addresses critical infrastructure needs for a historic vessel. 2. Competition was full and open after exclusion of sources, indicating a deliberate procurement process. 3. The contract duration of 1090 days suggests a complex, multi-phase project. 4. Fixed-price contract type aims to control costs for the government. 5. The project is located in Connecticut, potentially impacting local construction and maritime sectors. 6. The award to Terry Contracting & Materials, Inc. warrants review of their past performance in similar projects.

Value Assessment

Rating: good

The contract value of $3.42 million for the construction of a new homeport and museum for the USCGC Eagle appears reasonable given the scope of work. While direct comparisons are difficult without more specific project details, similar large-scale civil engineering and construction projects for government assets often fall within this range. The firm fixed-price structure suggests an effort to ensure cost certainty for the government, which is a positive indicator of value.

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.' This indicates that while the competition was intended to be broad, certain sources were initially excluded, possibly due to specific requirements or pre-qualification. The fact that it was still 'full and open' suggests that multiple bidders were likely considered and evaluated, leading to a competitive price discovery process.

Taxpayer Impact: This procurement method, aiming for broad competition while managing the bidder pool, should have resulted in a fair market price for taxpayers, avoiding excessive costs associated with sole-source or highly restricted procurements.

Public Impact

The U.S. Coast Guard will benefit from improved facilities for the USCGC Eagle, enhancing operational readiness and historical preservation. The project will deliver a new homeport and museum, preserving maritime heritage and providing essential infrastructure. The geographic impact is concentrated in New London, Connecticut, potentially creating local jobs and stimulating the regional economy. The construction work will likely involve a skilled labor force in the civil engineering and construction trades.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if unforeseen site conditions arise during construction.
Dependence on timely approvals and permits from local and federal authorities.
Risk of delays due to weather or material availability impacting the construction schedule.

Positive Signals

Firm fixed-price contract provides cost certainty.
Full and open competition suggests a competitive bidding process.
The project supports the preservation of a significant historical asset (USCGC Eagle).

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, specifically related to maritime infrastructure. The market for such specialized construction is often characterized by a limited number of highly qualified firms capable of undertaking complex government projects. Benchmarking against similar port development or historical vessel facility projects would provide further context on cost-effectiveness.

Small Business Impact

The contract details do not indicate a specific small business set-aside. Given the nature and scale of the project, it is likely that the prime contractor will be a larger firm. However, there may be opportunities for small businesses to participate as subcontractors for specialized services or material supply, depending on the prime contractor's subcontracting plan.

Oversight & Accountability

Oversight will likely be managed by the U.S. Coast Guard contracting office and project managers. Accountability measures are inherent in the firm fixed-price contract, which penalizes cost overruns by the contractor. Transparency can be assessed through publicly available contract award data and any reporting requirements mandated by the Coast Guard or Department of Homeland Security.

Related Government Programs

USCGC Eagle Operations
Coast Guard Infrastructure Projects
Maritime Heritage Preservation
Naval Port Facilities Construction

Risk Flags

Potential for cost overruns if unforeseen site conditions are encountered.
Risk of schedule delays due to permitting or weather.
Contractor's past performance on similar complex projects needs thorough review.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $3.4 million to TERRY CONTRACTING & MATERIALS, INC.. NEW HOME PORT FOR USCG CUTTER EAGLE, COAST GUARD MUSEUM FOR USCGC EAGLE, AT CITY PIER NEW LONDON, CT (NEW LONDON COUNTY), PSN 16190401.

Who is the contractor on this award?

The obligated recipient is TERRY CONTRACTING & MATERIALS, 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 $3.4 million.

What is the period of performance?

Start: 2023-09-15. End: 2026-09-09.

What is the track record of Terry Contracting & Materials, Inc. with similar federal construction projects?

A review of federal procurement data indicates that Terry Contracting & Materials, Inc. has been awarded multiple contracts, primarily within the construction and materials sector. While specific details on past projects of comparable scale and complexity to the USCGC Eagle homeport are not immediately available in summary data, their award history suggests experience with government contracts. Further investigation into their performance ratings on previous federal awards, particularly those involving civil engineering or maritime infrastructure, would be necessary to fully assess their suitability and past performance in this specific domain. Analyzing contract modifications, past performance questionnaires, and any documented disputes or terminations would provide a more comprehensive picture of their reliability and capability.

How does the awarded price compare to similar construction projects for naval or coast guard vessels?

Directly comparing the $3.42 million award for the USCGC Eagle's homeport and museum to similar projects is challenging without detailed project specifications and location-specific cost indices. However, the contract value appears to be within a reasonable range for specialized maritime construction. Projects involving new pier construction, facility upgrades, or historical vessel support can vary significantly based on site conditions, environmental regulations, and the complexity of the required structures. Benchmarking against other Coast Guard or Navy infrastructure projects of similar scope, adjusted for inflation and regional cost differences, would provide a more precise valuation. The firm fixed-price nature of this contract also suggests an effort to lock in costs, which is a positive sign for value.

What are the primary risks associated with this specific contract and how are they being mitigated?

The primary risks associated with this contract likely include unforeseen site conditions (e.g., soil stability, underwater obstructions), potential delays due to weather or permitting, and the complexity of integrating museum construction with homeport facilities. Mitigation strategies are likely embedded within the contract terms. The firm fixed-price structure incentivizes the contractor to manage costs and timelines effectively. The 'Full and Open Competition After Exclusion of Sources' process suggests a thorough vetting of bidders' capabilities to handle such risks. The contract duration of 1090 days allows for a structured approach to construction phases. Specific risk mitigation plans would typically be detailed in the contractor's project management plan, subject to government review and approval.

What is the expected effectiveness of the new homeport and museum in supporting the USCGC Eagle's mission?

The new homeport and museum are expected to significantly enhance the operational effectiveness and historical preservation of the USCGC Eagle. A dedicated, modern homeport will provide improved logistical support, maintenance facilities, and berthing for the crew, thereby increasing the vessel's readiness and reducing downtime. The museum component serves a dual purpose: it will act as a public outreach and educational facility, fostering greater understanding and appreciation for the Coast Guard's history and its role in national security, while also potentially serving as a morale and historical resource for the crew and visiting dignitaries. This integrated approach ensures both the operational and symbolic value of the USCGC Eagle are maintained and enhanced.

How does historical spending on similar Coast Guard infrastructure projects compare to this award?

Historical spending on Coast Guard infrastructure projects, particularly those involving major facility upgrades or new construction for significant assets like cutters, can vary widely. Without specific data on past homeport or museum projects for vessels of the Eagle's size and historical importance, a direct comparison is difficult. However, the Coast Guard, like other military branches, invests substantial sums in maintaining and modernizing its shore-based infrastructure and vessel support facilities. The $3.42 million awarded here appears to be a moderate investment for a project of this nature, suggesting it may be part of a larger, multi-year modernization effort or a focused investment on a unique asset. Analyzing broader trends in Coast Guard capital expenditures for infrastructure would provide context.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: 70Z0G123BABCD0171

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1146 OSBORN AVE, RIVERHEAD, NY, 11901

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,423,384

Exercised Options: $3,423,384

Current Obligation: $3,423,384

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline