DoD's $19.4M Guam Army National Guard Readiness Center contract awarded to DCK Pacific Guam, LLC

Contract Overview

Contract Amount: $19,421,371 ($19.4M)

Contractor: DCK Pacific Guam, LLC

Awarding Agency: Department of Defense

Start Date: 2010-03-09

End Date: 2012-04-24

Contract Duration: 777 days

Daily Burn Rate: $25.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FIRM FIXED PRICE CONTRACT FOR DESIGN BUILD CONSTRUCTION OF THE GUAM ARMY NATIONAL GUARD READINESS CENTER AT THE GUAM ARMY NATIONAL GUARD COMPLEX, BARRIGADA, GUAM. THE WORK TO BE PERFORMED PROVIDES FOR THE DESIGN AND CONSTRUCTION OF READINESS CENTER OF PERMANENT MASONRY TYPE CONSTRUCTION, WITH STANDING SEAM ROOF, CONCRETE FLOORS AND MECHANICAL AND ELECTRICAL EQUIPMENT WITH EMERGENCY POWER GENERATOR BACKUP. CONTRACT COMPLETION DATE IS 07 JANUARY 2012.

Place of Performance

Location: BARRIGADA, GUAM County, GUAM, 96913

Plain-Language Summary

Department of Defense obligated $19.4 million to DCK PACIFIC GUAM, LLC for work described as: FIRM FIXED PRICE CONTRACT FOR DESIGN BUILD CONSTRUCTION OF THE GUAM ARMY NATIONAL GUARD READINESS CENTER AT THE GUAM ARMY NATIONAL GUARD COMPLEX, BARRIGADA, GUAM. THE WORK TO BE PERFORMED PROVIDES FOR THE DESIGN AND CONSTRUCTION OF READINESS CENTER OF PERMANENT MASONRY TYPE CONST… Key points: 1. Contract awarded for design and construction of a new readiness center. 2. Project includes permanent masonry construction, roofing, concrete floors, and MEP systems. 3. Emergency power generator backup is a key feature of the facility. 4. Contract completion date was January 7, 2012. 5. The contract was awarded under full and open competition. 6. The contract type is a definitive contract with a firm fixed price. 7. The contract duration was 777 days.

Value Assessment

Rating: fair

The contract value of $19.4 million for a readiness center appears within a reasonable range for a construction project of this nature, though specific benchmarks for Guam are difficult to ascertain without more granular data. The firm fixed price structure suggests that cost overruns were intended to be borne by the contractor. However, without detailed cost breakdowns or comparisons to similar projects in the region, a precise value-for-money assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely solicited. The presence of 7 bids suggests a competitive environment, which typically benefits price discovery and can lead to more favorable pricing for the government. The specific number of bidders is a positive indicator of market interest.

Taxpayer Impact: A competitive bidding process generally leads to better pricing for taxpayers by encouraging contractors to offer their best terms.

Public Impact

The primary beneficiaries are the Guam Army National Guard, who will gain a new readiness center. The services delivered include the design and construction of a critical military facility. The geographic impact is localized to Barrigada, Guam. The project likely involved local construction workforce and material suppliers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for construction delays impacting readiness timelines.
Geographic isolation of Guam may present logistical challenges for materials and specialized labor.
Firm fixed price contracts can sometimes lead to scope limitations if not carefully managed.

Positive Signals

Awarded under full and open competition, suggesting a robust bidding process.
Firm fixed price contract provides cost certainty for the government.
Project addresses a clear need for improved military infrastructure.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. The construction of military facilities is a significant segment of this market, often involving specialized requirements and security protocols. Benchmarking this specific project's cost against similar military construction projects in other Pacific territories or stateside bases would provide further context on its value.

Small Business Impact

The data does not indicate any specific small business set-aside provisions for this contract. Given the nature and scale of the project, it is possible that subcontracting opportunities may have been available to small businesses, but this is not explicitly detailed. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract was awarded by the Department of the Navy, implying oversight from the Department of Defense. Standard procurement regulations and oversight mechanisms would apply. Transparency is generally maintained through contract award databases, though detailed project execution oversight is internal to the agency.

Related Government Programs

Army National Guard Facilities
Military Construction Projects
Design-Build Contracts
Department of Defense Construction

Risk Flags

Geographic isolation impacting logistics and costs
Potential for weather-related delays
Availability of skilled local labor

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.4 million to DCK PACIFIC GUAM, LLC. FIRM FIXED PRICE CONTRACT FOR DESIGN BUILD CONSTRUCTION OF THE GUAM ARMY NATIONAL GUARD READINESS CENTER AT THE GUAM ARMY NATIONAL GUARD COMPLEX, BARRIGADA, GUAM. THE WORK TO BE PERFORMED PROVIDES FOR THE DESIGN AND CONSTRUCTION OF READINESS CENTER OF PERMANENT MASONRY TYPE CONSTRUCTION, WITH STANDING SEAM ROOF, CONCRETE FLOORS AND MECHANICAL AND ELECTRICAL EQUIPMENT WITH EMERGENCY POWER GENERATOR BACKUP. CONTRACT COMPLETION DATE IS 07 JANUARY 2012.

Who is the contractor on this award?

The obligated recipient is DCK PACIFIC GUAM, 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 $19.4 million.

What is the period of performance?

Start: 2010-03-09. End: 2012-04-24.

What is the track record of DCK Pacific Guam, LLC with federal contracts, particularly within the Department of Defense?

DCK Pacific Guam, LLC has a history of securing federal contracts, primarily within the Department of Defense and for projects located in Guam and the surrounding Pacific region. Their portfolio often includes construction and infrastructure development for military installations. Analyzing their past performance on similar firm-fixed-price, design-build projects would provide insight into their reliability, cost control, and adherence to schedules. A review of contract award data and any associated performance evaluations or disputes would be necessary for a comprehensive assessment of their track record.

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

To compare the cost per square foot, we would need the total square footage of the completed readiness center, which is not provided in the available data. Assuming a typical size for a National Guard readiness center, a rough estimate could be made. However, construction costs in Guam are generally higher than in the continental United States due to logistical challenges, material import costs, and local labor rates. Therefore, a direct comparison without accounting for geographic cost differentials and specific facility requirements might be misleading. Benchmarking against other DoD construction projects in the Pacific theater would offer a more relevant comparison.

What were the primary risks identified during the solicitation and award process for this contract?

While specific risk identification documents are not publicly available, common risks for large-scale construction projects in remote locations like Guam include logistical challenges for material and equipment delivery, potential shortages of skilled local labor, weather-related delays (typhoons), and ensuring compliance with stringent military construction standards. The firm-fixed-price nature of the contract shifts the financial risk of cost overruns to the contractor, but the government retains risks related to schedule delays and ensuring the final product meets all specifications and quality standards.

What is the historical spending pattern for Army National Guard readiness centers, and how does this contract fit within that trend?

Historical spending on Army National Guard readiness centers varies significantly based on location, size, scope of facilities (e.g., training areas, vehicle maintenance bays), and the year of construction. Generally, there is a consistent need for modernization and expansion of these facilities to support evolving training requirements and personnel growth. This $19.4 million contract represents a specific investment in infrastructure for the Guam National Guard. To understand its place in the trend, one would need to analyze aggregate spending data for similar projects over several fiscal years, looking at average contract values, number of awards, and geographic distribution.

Were there any significant performance issues or contract modifications during the execution of this project?

The provided data indicates the contract was awarded on March 9, 2010, and completed on April 24, 2012, with a duration of 777 days. This suggests the project was completed within its intended timeframe. Without access to contract modification logs or performance reports, it's difficult to definitively state whether there were significant issues. However, the absence of readily available information on major disputes or terminations could imply a relatively smooth execution, though further investigation into contract close-out documentation would be required for certainty.

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: N4019210R1335

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 266D FINEGAYAN STREET, TAMUNING, GU, 96913

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,421,371

Exercised Options: $19,421,371

Current Obligation: $19,421,371

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline