DoD Awards $60.3M for MCAS Cherry Point Fitness Center and Training Pool to Whiting-Turner

Contract Overview

Contract Amount: $60,267,639 ($60.3M)

Contractor: Whiting-Turner Contracting Company, the

Awarding Agency: Department of Defense

Start Date: 2024-08-01

End Date: 2026-08-16

Contract Duration: 745 days

Daily Burn Rate: $80.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: P-658F FITNESS CENTER AND TRAINING POOL, MCAS CHERRY POINT, NC

Place of Performance

Location: HAVELOCK, CRAVEN County, NORTH CAROLINA, 28532

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $60.3 million to WHITING-TURNER CONTRACTING COMPANY, THE for work described as: P-658F FITNESS CENTER AND TRAINING POOL, MCAS CHERRY POINT, NC Key points: 1. The contract value of $60.3 million is substantial for a single construction project. 2. Whiting-Turner Contracting Company is a large, established firm, indicating significant competition likely occurred. 3. The project involves significant infrastructure development, posing potential risks related to construction timelines and cost overruns. 4. The sector is Commercial and Institutional Building Construction, a critical area for military readiness and personnel welfare.

Value Assessment

Rating: good

The award amount of $60.3 million for a fitness center and training pool appears reasonable given the scale and complexity of such facilities. Benchmarking against similar large-scale military construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple qualified contractors vie for the award.

Taxpayer Impact: Full and open competition generally ensures taxpayer funds are used efficiently by driving down costs through market forces.

Public Impact

Enhances quality of life and morale for service members at MCAS Cherry Point. Provides essential training facilities for physical readiness and specialized aquatic training. Supports local economy through construction jobs and related services. Represents a long-term investment in military infrastructure and personnel well-being.

Waste & Efficiency Indicators

Waste Risk Score: 80 / 10

Warning Flags

Potential for construction delays impacting operational readiness.
Risk of cost escalation due to material price fluctuations or unforeseen site conditions.

Positive Signals

Awarded under full and open competition, indicating competitive pricing.
Significant investment in service member welfare and training capabilities.
Experienced contractor selected, suggesting a higher likelihood of successful project completion.

Sector Analysis

This project falls within the Commercial and Institutional Building Construction sector, specifically for military infrastructure. Spending benchmarks for similar large-scale DoD construction projects vary widely based on scope, location, and specific requirements.

Small Business Impact

While the prime contractor is a large firm, the project may offer subcontracting opportunities for small businesses in areas like specialized trades, material supply, and support services. Further analysis would be needed to confirm the extent of small business participation.

Oversight & Accountability

The Department of the Navy's oversight is crucial for ensuring the project adheres to specifications, budget, and timeline. Regular progress reviews and quality control measures are standard for such significant construction contracts.

Related Government Programs

Commercial and Institutional Building Construction
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Potential for construction delays.
Risk of material cost escalation.
Dependence on skilled labor availability.
Complexity of integrating specialized training pool features.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $60.3 million to WHITING-TURNER CONTRACTING COMPANY, THE. P-658F FITNESS CENTER AND TRAINING POOL, MCAS CHERRY POINT, NC

Who is the contractor on this award?

The obligated recipient is WHITING-TURNER CONTRACTING COMPANY, THE.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $60.3 million.

What is the period of performance?

Start: 2024-08-01. End: 2026-08-16.

What is the projected impact of this new facility on service member retention and readiness?

A modern fitness center and training pool can significantly boost morale and quality of life, which are key factors in service member retention. Improved physical fitness capabilities directly contribute to overall military readiness, ensuring personnel are prepared for demanding operational requirements. This investment signals a commitment to personnel well-being, potentially enhancing recruitment and retention efforts.

What are the primary risks associated with the construction timeline and potential cost overruns for this project?

Key risks include unforeseen subsurface conditions, weather delays, supply chain disruptions for materials, and labor shortages, all of which can impact the 745-day duration. Cost overruns may arise from fluctuating material prices, scope creep, or the need for change orders to address unexpected issues. Robust project management and contingency planning are essential to mitigate these risks.

How does the chosen contract type (Firm Fixed Price) influence the government's risk exposure and the contractor's incentive for cost control?

A Firm Fixed Price (FFP) contract shifts most of the cost risk to the contractor, incentivizing them to manage costs effectively to maximize profit. For the government, FFP provides cost certainty, assuming the initial price is fair and competitive. However, it can limit flexibility if significant changes are required, potentially leading to costly change orders.

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: N4008519R9048

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 E JOPPA RD, BALTIMORE, MD, 21286

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

Financial Breakdown

Contract Ceiling: $60,267,639

Exercised Options: $60,267,639

Current Obligation: $60,267,639

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4008520D0036

IDV Type: IDC

Timeline