NAVFAC Northwest awards $25.7M MACC SEED Task Order to Absher Construction for building construction in Washington

Contract Overview

Contract Amount: $25,680,472 ($25.7M)

Contractor: Absher Construction CO

Awarding Agency: Department of Defense

Start Date: 2023-09-21

End Date: 2026-06-10

Contract Duration: 993 days

Daily Burn Rate: $25.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 20

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NAVFAC NORTHWEST MACC SEED TASK ORDER

Place of Performance

Location: OAK HARBOR, ISLAND County, WASHINGTON, 98277

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $25.7 million to ABSHER CONSTRUCTION CO for work described as: NAVFAC NORTHWEST MACC SEED TASK ORDER Key points: 1. Task order awarded under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, suggesting potential for future work and economies of scale. 2. The contract type is Firm Fixed Price (FFP), which shifts cost risk to the contractor and provides budget certainty. 3. Competition was full and open, indicating a broad market solicitation and potentially competitive pricing. 4. The task order duration of approximately 3 years (993 days) suggests a significant scope of work. 5. The awardee, Absher Construction Co., has secured this task order, but their overall track record requires further investigation. 6. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction, a common sector for federal spending.

Value Assessment

Rating: fair

Benchmarking the value of this specific task order is challenging without knowing the scope of the MACC contract it falls under. However, the $25.7 million award for building construction over nearly three years appears within a reasonable range for large-scale federal projects. Further analysis would require comparing the unit costs and scope of work to similar construction projects awarded by NAVFAC or other DoD entities. The firm-fixed-price contract type provides cost predictability for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under full and open competition, meaning all responsible sources were permitted to submit an offer. The data indicates 20 offers were received, suggesting a robust competitive environment for this specific task order. A high number of bids generally indicates strong market interest and can lead to more competitive pricing for the government.

Taxpayer Impact: The full and open competition with 20 offers is beneficial for taxpayers as it increases the likelihood of receiving the best value and competitive pricing for the construction services rendered.

Public Impact

The primary beneficiaries are the Department of the Navy and potentially other federal agencies requiring construction services managed by NAVFAC Northwest. The services delivered include commercial and institutional building construction, which could encompass new builds, renovations, or repairs. The geographic impact is focused on Washington state, as indicated by the awardee's state (ST: WA) and state name (SN: WASHINGTON). Workforce implications include job creation for construction trades, project managers, and support staff employed by Absher Construction Co. and its potential subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed scope of work for the task order makes it difficult to assess value for money.
The overall value of the parent MACC contract and its remaining ceiling are not provided, limiting long-term spending visibility.
Absher Construction Co.'s specific performance history on similar large-scale federal construction projects needs further review.

Positive Signals

Awarded under full and open competition with a significant number of offers (20), indicating a healthy competitive process.
Firm Fixed Price contract type provides cost certainty for the government.
The task order is part of a larger MACC contract, which can streamline future procurement processes for related construction needs.

Sector Analysis

The federal construction sector is a significant area of government spending, encompassing a wide range of projects from infrastructure to facility maintenance. NAICS code 236220, Commercial and Institutional Building Construction, is a core segment within this sector. Spending in this area is influenced by infrastructure needs, military base requirements, and the lifecycle of federal facilities. Comparable spending benchmarks would involve analyzing other large construction task orders awarded by agencies like the General Services Administration (GSA) or other branches of the Department of Defense for similar building projects.

Small Business Impact

The data indicates that small business participation (SB: false) was not a specific set-aside criterion for this task order. While the prime contractor is not a small business, there may be subcontracting opportunities for small businesses within the scope of this construction project. Further investigation into Absher Construction Co.'s subcontracting plan would be necessary to assess the direct impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under NAVFAC Northwest and the Department of the Navy. As a task order under a larger MACC contract, its execution is subject to the oversight mechanisms established for the parent IDIQ. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

NAVFAC Construction Contracts
Department of Defense Construction
Military Base Construction
Commercial Building Construction
Institutional Building Construction
Indefinite Delivery Indefinite Quantity (IDIQ) Contracts

Risk Flags

Potential for cost overruns if unforeseen site conditions arise.
Risk of schedule delays impacting facility readiness.
Contractor performance and quality assurance are critical.
Dependence on specific material and labor availability.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.7 million to ABSHER CONSTRUCTION CO. NAVFAC NORTHWEST MACC SEED TASK ORDER

Who is the contractor on this award?

The obligated recipient is ABSHER CONSTRUCTION CO.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.7 million.

What is the period of performance?

Start: 2023-09-21. End: 2026-06-10.

What is the specific scope of work for this $25.7 million task order, and how does it align with NAVFAC's construction needs in Washington?

The provided data identifies the task order as related to 'Commercial and Institutional Building Construction' under NAICS code 236220. However, the specific scope of work, such as whether it involves new construction, renovation, or repair of specific facilities, is not detailed. This information is crucial for a comprehensive value assessment. NAVFAC Northwest is responsible for providing facilities engineering, acquisition, and public works support to Navy and Marine Corps shore installations. Therefore, this task order likely supports the maintenance, upgrade, or expansion of facilities critical to naval operations in Washington state. Without the detailed SOW, it's difficult to ascertain the precise alignment and necessity.

What is Absher Construction Co.'s track record with the federal government, particularly on similar large-scale construction projects?

Absher Construction Co. has a history of federal contracting. To assess their track record for this $25.7 million task order, a review of their past performance on similar projects awarded by NAVFAC or other Department of Defense entities would be necessary. This would involve examining contract values, project types (e.g., commercial vs. institutional, new build vs. renovation), on-time delivery, adherence to budget, and any documented performance issues or awards. A detailed analysis of their past performance data, if available through federal procurement databases, would provide insights into their capability to successfully execute this task order.

How does the $25.7 million value of this task order compare to other similar construction contracts awarded by NAVFAC or the Department of the Navy in the past three years?

Comparing the $25.7 million value requires context regarding the scope and duration. For large-scale commercial and institutional building construction, this amount is substantial but not unusual for federal projects. NAVFAC and the Navy award numerous construction contracts annually, ranging from minor repairs to major facility construction. To benchmark effectively, one would need to identify similar task orders or contracts awarded under IDIQ vehicles or for specific projects of comparable size and complexity within the same geographic region or for similar facility types. A preliminary assessment suggests it falls within the expected range for significant construction efforts, but a detailed comparison with specific project data is needed for a definitive value judgment.

What are the potential risks associated with this contract, considering its value, duration, and the nature of construction projects?

Potential risks for this $25.7 million, approximately 3-year construction task order include cost overruns due to unforeseen site conditions, material price fluctuations, labor shortages, or design changes. Schedule delays are also a common risk in construction, potentially impacting the operational readiness of the facilities. Given that it's a firm-fixed-price contract, the contractor bears the primary financial risk of cost overruns. However, the government faces risks related to contractor performance, quality of work, and potential disputes. The complexity of the construction and the specific site conditions in Washington would also influence risk levels.

What is the historical spending pattern for NAVFAC Northwest for commercial and institutional building construction, and how does this award fit into that pattern?

Historical spending data for NAVFAC Northwest on commercial and institutional building construction would reveal trends in contract awards, typical project sizes, and the frequency of such procurements. This $25.7 million task order represents a significant single award within this category. Analyzing past spending would help determine if this award is an outlier, a continuation of a trend, or indicative of increased investment in facilities in Washington. Understanding this pattern provides context for the current award's significance and potential future spending in this sector by NAVFAC Northwest.

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: N4425521R4000

Offers Received: 20

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1001 SHAW RD, PUYALLUP, WA, 98372

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

Financial Breakdown

Contract Ceiling: $26,489,333

Exercised Options: $25,680,472

Current Obligation: $25,680,472

Subaward Activity

Number of Subawards: 14

Total Subaward Amount: $12,112,439

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4425523D1700

IDV Type: IDC

Timeline