DoD Awards $122M Construction Contract to Harper Construction for Naval Facilities

Contract Overview

Contract Amount: $122,243,020 ($122.2M)

Contractor: Harper Construction Company, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-09-23

End Date: 2010-11-16

Contract Duration: 784 days

Daily Burn Rate: $155.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BASE ITEMS 1 - 5

Place of Performance

Location: CAMP PENDLETON, SAN DIEGO County, CALIFORNIA, 92055

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $122.2 million to HARPER CONSTRUCTION COMPANY, INC. for work described as: BASE ITEMS 1 - 5 Key points: 1. Significant contract value of $122.2 million awarded. 2. Harper Construction Company, Inc. is the sole awardee. 3. Contract duration is 784 days. 4. Project falls under Commercial and Institutional Building Construction sector.

Value Assessment

Rating: fair

The contract value of $122.2 million is substantial for a construction project of this nature. Benchmarking against similar large-scale institutional building construction contracts would be necessary to fully assess pricing reasonableness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more efficient use of funds compared to a sole-source procurement.

Public Impact

Impacts military readiness and infrastructure development for the Navy. Supports local employment and economic activity in California. Potential for long-term facility maintenance and operational costs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific project scope details.
  • Potential for cost overruns in long-duration construction projects.
  • Reliance on a single contractor for a large project.

Positive Signals

  • Awarded through full and open competition.
  • Fixed-price contract type can limit cost escalation.
  • Clear start and end dates for project management.

Sector Analysis

This contract falls within the Construction sector, specifically Commercial and Institutional Building Construction. Spending in this sector is critical for maintaining and upgrading government infrastructure, with benchmarks varying widely based on project type and location.

Small Business Impact

The data indicates this was a large contract awarded to Harper Construction Company, Inc. There is no explicit information provided regarding subcontracting opportunities for small businesses on this specific award.

Oversight & Accountability

Oversight would typically involve contract management by the Department of the Navy to ensure adherence to timelines, quality standards, and budget. The fixed-price nature provides some cost control, but monitoring progress is crucial.

Related Government Programs

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

Risk Flags

  • Large contract value.
  • Long contract duration (784 days).
  • Sole awardee.
  • Lack of specific project details.
  • Potential for cost overruns.

Tags

commercial-and-institutional-building-co, department-of-defense, ca, dca, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $122.2 million to HARPER CONSTRUCTION COMPANY, INC.. BASE ITEMS 1 - 5

Who is the contractor on this award?

The obligated recipient is HARPER CONSTRUCTION COMPANY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $122.2 million.

What is the period of performance?

Start: 2008-09-23. End: 2010-11-16.

What specific types of buildings or facilities are included in this construction contract, and how does the $122.2 million allocation align with industry standards for similar projects?

The provided data categorizes the contract under 'Commercial and Institutional Building Construction' but lacks specific details on the types of facilities. A comprehensive analysis would require comparing the cost per square foot or per unit of construction against similar projects undertaken by the DoD or other federal agencies to determine if the $122.2 million is a reasonable benchmark.

Given the 784-day duration, what are the primary risks associated with project delays or cost overruns, and what mitigation strategies are in place?

The primary risks include unforeseen site conditions, material price fluctuations, labor availability issues, and scope creep, all exacerbated by the long duration. Mitigation strategies typically involve robust contract clauses for change orders, liquidated damages for delays, contingency planning, and proactive communication between the contractor and the contracting officer.

How effectively does the 'full and open competition' method ensure optimal value for taxpayer money in large-scale construction contracts like this one?

Full and open competition is designed to maximize the number of potential bidders, thereby fostering a competitive environment that drives down prices and encourages innovation. For large construction projects, this method generally leads to better value by allowing the government to select the most technically capable and cost-effective proposal, though rigorous evaluation is still essential.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N6247308R8606

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2241 KETTNER BLVD STE 300, SAN DIEGO, CA, 90

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

Financial Breakdown

Contract Ceiling: $124,219,164

Exercised Options: $122,243,020

Current Obligation: $122,243,020

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2008-09-23

Current End Date: 2010-11-16

Potential End Date: 2010-11-16 00:00:00

Last Modified: 2011-11-20

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