DoD's $25.4M Navy Shipyard Improvement Contract Awarded to Whiting-Turner for Stair/Life Safety/Power Upgrades

Contract Overview

Contract Amount: $25,386,353 ($25.4M)

Contractor: Whiting-Turner Contracting Company, the

Awarding Agency: Department of Defense

Start Date: 2025-02-27

End Date: 2026-10-02

Contract Duration: 582 days

Daily Burn Rate: $43.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: B14 NEW STAIR/LIFE SAFETY/POWER IMPROVEMENTS, NSS PORTSMOUTH NAVY SHIPYARD, KITTERY MAINE.

Place of Performance

Location: KITTERY, YORK County, MAINE, 03904

State: Maine Government Spending

Plain-Language Summary

Department of Defense obligated $25.4 million to WHITING-TURNER CONTRACTING COMPANY, THE for work described as: B14 NEW STAIR/LIFE SAFETY/POWER IMPROVEMENTS, NSS PORTSMOUTH NAVY SHIPYARD, KITTERY MAINE. Key points: 1. Contract focuses on critical infrastructure upgrades at Portsmouth Naval Shipyard. 2. Awarded via full and open competition, suggesting a competitive bidding process. 3. Fixed-price contract type aims to control costs for the government. 4. Project duration of 582 days indicates a significant scope of work. 5. The contract is part of broader efforts to modernize naval facilities.

Value Assessment

Rating: good

The contract value of approximately $25.4 million for building construction appears reasonable given the scope of stair, life safety, and power improvements at a major naval shipyard. Benchmarking against similar large-scale construction projects for federal facilities suggests this price falls within expected ranges. The firm-fixed-price structure provides cost certainty for the government, although the final cost will depend on the contractor's efficiency. Further analysis would require detailed cost breakdowns and comparison to specific, comparable projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 5 bids suggests a healthy level of competition for this project. A competitive process generally leads to better price discovery and potentially more favorable terms for the government, as contractors vie to win the award.

Taxpayer Impact: The full and open competition ensures that taxpayer dollars are likely being used efficiently, as multiple companies competed to offer the best value. This process helps prevent inflated pricing that might occur in less competitive scenarios.

Public Impact

Naval shipyard personnel benefit from improved safety and operational infrastructure. Services delivered include essential upgrades to building safety systems and power infrastructure. Geographic impact is concentrated at the Portsmouth Naval Shipyard in Kittery, Maine. Workforce implications include employment opportunities for construction trades during the project duration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise during construction.
Schedule delays could impact shipyard operations if not managed effectively.
Ensuring compliance with stringent military construction standards requires careful oversight.

Positive Signals

Firm-fixed-price contract mitigates risk of cost escalation for the government.
Full and open competition suggests a competitive market price was likely secured.
The contractor, Whiting-Turner, has a significant track record in large-scale construction projects.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the broader construction industry. Federal spending in this area often supports critical infrastructure for government operations, including military bases and public facilities. The market for such specialized construction services is competitive, with established firms like Whiting-Turner often competing for large government contracts. Comparable spending benchmarks would typically involve analyzing other large-scale renovation and construction projects at federal installations.

Small Business Impact

The contract was awarded under full and open competition and does not indicate any specific small business set-aside. While the prime contractor is Whiting-Turner, a large entity, there is potential for subcontracting opportunities for small businesses within the construction trades. The extent of small business participation will depend on the prime contractor's subcontracting plan and the availability of qualified small business vendors for specialized services.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Navy's contracting and engineering divisions. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to complete the work within the agreed-upon price. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Naval Facilities Engineering Command (NAVFAC) Contracts
Department of Defense Military Construction Projects
Shipyard Infrastructure Modernization Program
Federal Building and Facility Renovation Contracts

Risk Flags

Potential for unforeseen site conditions impacting schedule and cost.
Adequacy of the defined scope to prevent change orders.
Contractor's ability to meet stringent military construction standards.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.4 million to WHITING-TURNER CONTRACTING COMPANY, THE. B14 NEW STAIR/LIFE SAFETY/POWER IMPROVEMENTS, NSS PORTSMOUTH NAVY SHIPYARD, KITTERY MAINE.

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 $25.4 million.

What is the period of performance?

Start: 2025-02-27. End: 2026-10-02.

What is Whiting-Turner Contracting Company's track record with the Department of Defense and similar large-scale construction projects?

Whiting-Turner Contracting Company is a well-established construction firm with extensive experience in managing large and complex projects, including those for federal agencies and military installations. They have a history of successfully completing projects involving new construction, renovations, and infrastructure upgrades across various sectors. Their portfolio often includes significant work within the defense sector, demonstrating familiarity with government contracting requirements, security protocols, and performance expectations. While specific contract values and details vary, their consistent engagement in high-value federal projects suggests a strong capability to deliver on scope, schedule, and budget for demanding clients like the Department of the Navy.

How does the awarded amount of $25.4 million compare to similar stair, life safety, and power improvement projects at other naval shipyards?

Benchmarking this $25.4 million contract requires comparing it to projects of similar scope and scale at other naval facilities. Projects involving comprehensive upgrades to life safety systems (fire suppression, alarms), structural elements like stairs, and critical power infrastructure at large industrial sites like shipyards are inherently expensive due to the complexity, security requirements, and operational continuity needs. While precise comparisons are difficult without access to proprietary data or detailed project scopes, the awarded amount appears within a reasonable range for a project of this magnitude at a major naval installation. Factors such as the age of the facility, specific technological upgrades required, and prevailing labor costs in the Kittery, Maine area would influence the final price.

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

The primary risks associated with this contract include potential schedule delays due to unforeseen site conditions (e.g., hazardous materials, structural issues), scope creep if requirements are not clearly defined, and potential cost increases if the firm-fixed-price contract does not adequately account for all contingencies. Mitigation strategies include thorough site investigations prior to award, robust project management and scheduling by the contractor, clear communication channels between the government and the contractor, and stringent change order control processes. The firm-fixed-price nature of the contract itself is a key mitigation strategy, placing the cost risk primarily on the contractor, provided the scope is well-defined and managed.

How effective is the firm-fixed-price contract type in ensuring value for money for this type of construction project?

The firm-fixed-price (FFP) contract type is generally considered effective in ensuring value for money for construction projects where the scope of work can be clearly defined and is unlikely to change significantly. For this project involving specific upgrades to stairs, life safety, and power systems, an FFP contract provides the government with cost certainty, as the contractor assumes the risk of cost overruns. This incentivizes the contractor to manage costs efficiently and complete the work within the agreed-upon price. However, to ensure true value, the initial scope definition must be comprehensive and accurate; any significant changes could lead to costly change orders, potentially negating some of the FFP benefits. The competitive bidding process preceding the award further enhances the likelihood of achieving good value.

What is the historical spending pattern for infrastructure improvements at Portsmouth Naval Shipyard, and how does this contract fit within it?

Historical spending on infrastructure improvements at Portsmouth Naval Shipyard, like other major naval facilities, typically follows patterns driven by military readiness needs, aging infrastructure, and modernization initiatives. Spending often fluctuates based on congressional appropriations, specific fleet requirements, and the identification of critical maintenance or upgrade needs. This $25.4 million contract for stair, life safety, and power improvements represents a significant, but likely not unprecedented, investment in maintaining and upgrading essential operational capabilities at the shipyard. It aligns with the broader federal and DoD strategy to ensure that critical defense infrastructure remains modern, safe, and functional to support naval operations.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N4008524R2534

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 E JOPPA RD, TOWSON, 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: $25,499,220

Exercised Options: $25,386,353

Current Obligation: $25,386,353

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline