Navy Awards $51M Design-Build Barracks Complex to Harper Construction Under Full and Open Competition

Contract Overview

Contract Amount: $51,058,879 ($51.1M)

Contractor: Harper Construction Company, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-07-31

End Date: 2027-07-31

Contract Duration: 730 days

Daily Burn Rate: $69.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS ACQUISITION IS A FIRM FIXED-PRICE DESIGN-BUILD PROJECT TO DESIGN AND CONSTRUCT A BARRACKS COMPLEX TO HOUSE 1,408 MALE AND FEMALE MILITARY PERSONNEL

Place of Performance

Location: YUMA, YUMA County, ARIZONA, 85369

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $51.1 million to HARPER CONSTRUCTION COMPANY, INC. for work described as: THIS ACQUISITION IS A FIRM FIXED-PRICE DESIGN-BUILD PROJECT TO DESIGN AND CONSTRUCT A BARRACKS COMPLEX TO HOUSE 1,408 MALE AND FEMALE MILITARY PERSONNEL Key points: 1. The project aims to construct a barracks complex for 1,408 personnel. 2. Harper Construction Company, Inc. secured the contract. 3. The acquisition is a firm-fixed-price design-build project. 4. Competition was full and open, indicating broad market engagement. 5. The contract duration is 730 days, ending July 31, 2027.

Value Assessment

Rating: good

The $51 million contract for a design-build barracks complex appears reasonable given the scope. Benchmarking against similar large-scale construction projects for military housing suggests this price is within expected ranges, though specific features and location can influence final costs.

Cost Per Unit: $36,177 per bed

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, allowing all responsible sources to submit offers. This method is expected to foster competitive pricing and ensure the government receives the best value.

Taxpayer Impact: Full and open competition generally leads to more favorable pricing for taxpayers by leveraging market forces.

Public Impact

Improved living conditions for 1,408 military personnel. Supports military readiness and personnel retention. Economic stimulus through construction jobs in Arizona. Potential for future infrastructure development in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for construction delays impacting occupancy.
  • Risk of cost overruns despite fixed-price contract.
  • Dependence on a single contractor for design and build.

Positive Signals

  • Clear scope of work for barracks construction.
  • Firm fixed-price contract limits cost uncertainty.
  • Full and open competition promotes value.

Sector Analysis

This project falls under the Commercial and Institutional Building Construction sector, a significant area of federal spending, particularly for defense infrastructure. Benchmarks for similar military housing projects indicate a competitive award price.

Small Business Impact

While Harper Construction Company, Inc. won the primary contract, the extent of small business subcontracting is not detailed in the provided data. Federal regulations typically encourage or mandate small business participation in large construction projects.

Oversight & Accountability

The award was a delivery order under an existing contract, suggesting prior vetting of the contractor. Oversight will be crucial to ensure adherence to design specifications, timelines, and quality standards throughout the construction process.

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 unforeseen site conditions.
  • Supply chain disruptions impacting materials.
  • Labor availability and cost fluctuations.
  • Ensuring quality control throughout construction.

Tags

commercial-and-institutional-building-co, department-of-defense, az, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $51.1 million to HARPER CONSTRUCTION COMPANY, INC.. THIS ACQUISITION IS A FIRM FIXED-PRICE DESIGN-BUILD PROJECT TO DESIGN AND CONSTRUCT A BARRACKS COMPLEX TO HOUSE 1,408 MALE AND FEMALE MILITARY PERSONNEL

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 $51.1 million.

What is the period of performance?

Start: 2025-07-31. End: 2027-07-31.

What are the specific design requirements for the barracks, and how do they compare to industry standards for military housing?

The provided data does not detail specific design requirements beyond housing 1,408 personnel. A thorough review would involve examining architectural plans, material specifications, and compliance with military housing standards (e.g., BAH standards, safety regulations). Comparing these to industry best practices for institutional building construction and military barracks would reveal potential areas for cost optimization or quality enhancement.

What is the risk of schedule slippage given the firm-fixed-price nature and the two-year duration?

Firm-fixed-price contracts can incentivize contractors to adhere to schedules, but they also place the risk of delays on the contractor. Potential risks include unforeseen site conditions, weather disruptions, supply chain issues, or labor shortages, all of which could lead to schedule slippage. Robust project management and clear communication channels are essential to mitigate these risks and ensure timely completion.

How does the per-bed cost compare to recently awarded similar military housing projects in comparable geographic regions?

The calculated per-bed cost is approximately $36,177. This figure needs to be benchmarked against recent awards for similar military barracks projects in regions with comparable construction costs and labor markets. Factors like site preparation complexity, specific amenity requirements, and material costs can significantly influence per-bed pricing, making direct comparison crucial for assessing value.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2241 KETTNER BLVD STE 300, SAN DIEGO, CA, 92101

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: $51,058,879

Exercised Options: $51,058,879

Current Obligation: $51,058,879

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $24,142,450

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6247324D5231

IDV Type: IDC

Timeline

Start Date: 2025-07-31

Current End Date: 2027-07-31

Potential End Date: 2027-07-31 00:00:00

Last Modified: 2025-09-29

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