DoD's $25.8M Camp Smith Fitness Center contract awarded to AMEC Foster Wheeler in 2011

Contract Overview

Contract Amount: $25,835,342 ($25.8M)

Contractor: NAN - Amec Foster Wheeler, LLC

Awarding Agency: Department of Defense

Start Date: 2011-06-16

End Date: 2014-04-04

Contract Duration: 1,023 days

Daily Burn Rate: $25.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIXED PRICE AWARD FEE

Sector: Construction

Official Description: FY2011 MCON P-006 PHYSICAL FITNESS CENTER, CAMP SMITH/MARINE CORPS BASE HAWAII, KANEOHE, HAWAII

Place of Performance

Location: JBPHH, HONOLULU County, HAWAII, 96860, UNITED STATES OF AMERICA

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $25.8 million to NAN - AMEC FOSTER WHEELER, LLC for work described as: FY2011 MCON P-006 PHYSICAL FITNESS CENTER, CAMP SMITH/MARINE CORPS BASE HAWAII, KANEOHE, HAWAII Key points: 1. The contract aimed to construct a physical fitness center at Camp Smith, Marine Corps Base Hawaii. 2. Awarded under full and open competition, indicating a broad search for qualified contractors. 3. The contract duration was over 1000 days, suggesting a complex construction project. 4. The fixed-price award fee structure incentivizes performance while managing cost. 5. The project falls under the Commercial and Institutional Building Construction sector. 6. The geographic location in Hawaii may present unique logistical and cost considerations.

Value Assessment

Rating: fair

The contract value of approximately $25.8 million for a physical fitness center appears within a reasonable range for a large-scale construction project, especially considering the location in Hawaii which often incurs higher costs for materials and labor. Benchmarking against similar military construction projects would provide a more precise value-for-money assessment. The fixed-price award fee structure suggests an attempt to control costs while allowing for adjustments based on performance, which is a common approach for such projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, meaning the solicitation was made available to all responsible sources. The presence of 4 bidders (no) suggests a moderate level of competition for this project. While not an extremely high number, it indicates that multiple firms were interested and capable of undertaking the construction, which generally aids in price discovery and achieving a competitive price.

Taxpayer Impact: A full and open competition generally benefits taxpayers by encouraging a wider range of bids, potentially leading to lower prices and better value compared to sole-source or limited competition scenarios.

Public Impact

Service members stationed at Camp Smith, Marine Corps Base Hawaii, will benefit from improved physical fitness facilities. The construction project provides employment opportunities within the construction sector in Hawaii. The new facility will enhance the quality of life and readiness for military personnel. The project contributes to the modernization of military infrastructure in the Pacific region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen construction challenges arise in Hawaii's unique environment.
Delays in construction could impact the readiness and morale of service members.
Ensuring compliance with environmental regulations in Hawaii can add complexity and cost.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process.
Fixed-price award fee structure provides some cost control while incentivizing performance.
The project addresses a clear need for improved military infrastructure.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Military construction projects like this often represent a substantial portion of government spending in this area. The market for such projects is characterized by a mix of large, established construction firms and specialized contractors, with competition often driven by factors such as past performance, technical capabilities, and geographic presence. The value of this contract is moderate within the context of major federal construction awards.

Small Business Impact

The data indicates this contract was awarded under full and open competition and does not specify any small business set-aside. While the primary awardee is NAN - AMEC FOSTER WHEELER, LLC, there is no explicit information on subcontracting plans for small businesses. Without specific set-aside goals or reporting on subcontracting, the direct impact on the small business ecosystem for this particular contract is unclear, though large prime contractors are often encouraged or required to utilize small businesses.

Oversight & Accountability

Oversight for this Department of the Navy contract would typically involve contracting officers, project managers, and potentially the Naval Facilities Engineering Command (NAVFAC). The fixed-price award fee structure implies performance monitoring to determine award fee payouts. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected during the contract's lifecycle.

Related Government Programs

Military Construction (MILCON)
Department of Defense Facilities
Naval Facilities Engineering Command Projects
Physical Fitness Centers
Commercial Building Construction

Risk Flags

Potential for cost overruns due to location
Construction project timeline risks
Need for detailed performance data for full assessment

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.8 million to NAN - AMEC FOSTER WHEELER, LLC. FY2011 MCON P-006 PHYSICAL FITNESS CENTER, CAMP SMITH/MARINE CORPS BASE HAWAII, KANEOHE, HAWAII

Who is the contractor on this award?

The obligated recipient is NAN - AMEC FOSTER WHEELER, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.8 million.

What is the period of performance?

Start: 2011-06-16. End: 2014-04-04.

What was the track record of NAN - AMEC FOSTER WHEELER, LLC with the Department of Defense prior to this award?

Prior to the award of the FY2011 P-006 Physical Fitness Center contract, NAN - AMEC FOSTER WHEELER, LLC (or its predecessor entities) likely had a history of performing work for the Department of Defense and other federal agencies. Federal procurement data typically tracks contract awards, including the agency, contract type, value, and performance period. A review of historical contract awards would reveal the extent and nature of their prior engagements, including any specialized construction, engineering, or facility maintenance services provided. This information is crucial for assessing their experience and capability relevant to the physical fitness center project. Without direct access to a comprehensive historical database for this specific entity's prior DoD work, a definitive statement on their track record is limited, but large federal contractors generally possess extensive experience.

How does the final cost compare to the initial award value, and were there significant modifications?

The provided data shows an award amount of $25,835,342.39. To determine how the final cost compares to the initial award value, one would need access to the contract's final delivery or completion data, including any modifications or change orders that may have altered the original price. The duration of the contract (1023 days, approximately 2.8 years) suggests ample time for modifications to occur. If the contract was a fixed-price award fee, changes could impact the base price or the potential award fee. Without post-award modification data, it's impossible to definitively state if the final cost exceeded or remained below the initial award. However, construction projects, especially in remote or challenging locations like Hawaii, often experience change orders due to unforeseen site conditions or design adjustments.

What were the key performance indicators (KPIs) used to determine the award fee for AMEC Foster Wheeler?

The contract type is 'FIXED PRICE AWARD FEE' (FP-AFF), which means a portion of the total potential contract price is subject to determination based on the contractor's performance against pre-defined criteria. While the specific KPIs are not detailed in the provided summary data, they typically relate to aspects such as schedule adherence (on-time completion of milestones and final project), cost control (managing expenses within the fixed-price scope), quality of workmanship (meeting construction standards and specifications), safety performance (maintaining a safe work environment), and overall management effectiveness. The contracting officer and project team would evaluate performance against these criteria to determine the amount of the award fee, if any, paid to AMEC Foster Wheeler.

Were there any reported issues or disputes during the performance of this contract?

Information regarding specific issues, disputes, or contractor performance evaluations (like CPARS - Contractor Performance Assessment Reporting System) for this particular contract (FY2011 MCON P-006) is not included in the provided summary data. Generally, such details are maintained within agency contract files and performance databases. Federal agencies are required to report on contractor performance, and significant issues or disputes would typically be documented. Without access to these specific records, it is not possible to ascertain if any problems arose during the construction of the Camp Smith Physical Fitness Center. However, the contract's completion without major publicly noted issues suggests it was likely managed to a satisfactory conclusion.

How does the cost per square foot of this fitness center compare to similar military construction projects?

The provided data does not include the square footage of the physical fitness center, which is essential for calculating a cost per square foot metric. To perform this comparison, one would need the total building area. Assuming the square footage were available, it could be benchmarked against other military fitness center constructions or similar institutional buildings, both within the Department of Defense and potentially other federal agencies. Factors like location (Hawaii's higher construction costs), specific amenities included (e.g., specialized courts, pools, equipment), and the year of construction would influence the comparison. A higher cost per square foot might be justified by unique features or location-specific challenges.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6274209R1170

Offers Received: 4

Pricing Type: FIXED PRICE AWARD FEE (M)

Evaluated Preference: NONE

Contractor Details

Address: 3049 UALENA ST STE 1100, HONOLULU, HI, 96819

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $25,835,342

Exercised Options: $25,835,342

Current Obligation: $25,835,342

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6274209D1171

IDV Type: IDC

Timeline