DoD Awards $6.88M Workspace Modernization Contract to Hako Plumbing, Inc

Contract Overview

Contract Amount: $6,883,500 ($6.9M)

Contractor: Hako Plumbing, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-07-28

End Date: 2025-07-06

Contract Duration: 1,074 days

Daily Burn Rate: $6.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: X008 WR12241797-WON1697478-B1204H MODERNIZE INTERIOR WORKSPACE, J

Place of Performance

Location: PEARL HARBOR, HONOLULU County, HAWAII, 96860

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $6.9 million to HAKO PLUMBING, INC. for work described as: X008 WR12241797-WON1697478-B1204H MODERNIZE INTERIOR WORKSPACE, J Key points: 1. Contract awarded to Hako Plumbing, Inc. for interior workspace modernization. 2. The Department of the Navy is the contracting agency. 3. The contract type is Firm Fixed Price, awarded via Full and Open Competition. 4. The project duration is 1074 days, with an estimated completion in July 2025. 5. The award value is $6,883,500.05.

Value Assessment

Rating: good

The contract value of $6.88 million for interior workspace modernization appears reasonable given the project scope and duration. Benchmarking against similar government construction projects of this scale suggests competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under Full and Open Competition, indicating a robust price discovery process. This method allows all responsible sources to submit bids, fostering competition and potentially leading to better pricing for the government.

Taxpayer Impact: The competitive bidding process is expected to ensure taxpayer funds are used efficiently for this workspace modernization project.

Public Impact

Modernization of interior workspaces can improve employee productivity and morale. The project will likely involve local labor and material sourcing, benefiting the Hawaii economy. Ensuring the modernization meets accessibility standards will benefit all users. The project's success could serve as a model for future facility upgrades. Timely completion is crucial to minimize disruption to naval operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen structural issues arise during renovation.
Risk of schedule delays due to supply chain disruptions or labor shortages.
Ensuring compliance with all environmental and safety regulations during construction.

Positive Signals

Firm Fixed Price contract provides cost certainty.
Full and Open Competition promotes competitive pricing.
Clear project scope for interior workspace modernization.
Experienced contractor likely selected through competitive process.

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector for government facilities is substantial, driven by the need to maintain and upgrade aging infrastructure and adapt spaces to evolving operational requirements.

Small Business Impact

While this specific contract was awarded to Hako Plumbing, Inc., which is not identified as a small business, the 'Full and Open Competition' clause suggests that small businesses had the opportunity to compete. Future solicitations should explore set-aside opportunities where appropriate.

Oversight & Accountability

The Department of the Navy's oversight will be critical to ensure the project stays on schedule and within budget. Regular progress reports and site inspections are standard oversight mechanisms for such construction contracts.

Related Government Programs

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

Risk Flags

Potential for scope creep if modernization requirements are not strictly defined.
Dependency on contractor's ability to manage subcontractors effectively.
Risk of material price fluctuations impacting project costs if not adequately hedged.
Ensuring adequate security protocols during construction in a sensitive government facility.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.9 million to HAKO PLUMBING, INC.. X008 WR12241797-WON1697478-B1204H MODERNIZE INTERIOR WORKSPACE, J

Who is the contractor on this award?

The obligated recipient is HAKO PLUMBING, 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 $6.9 million.

What is the period of performance?

Start: 2022-07-28. End: 2025-07-06.

What specific improvements are included in the 'interior workspace modernization' and how do they align with current workplace best practices?

The specific improvements are not detailed in the provided data. However, typical interior workspace modernization includes updates to flooring, lighting, HVAC systems, and potentially reconfiguring layouts for better collaboration or efficiency. Alignment with best practices would involve incorporating elements like ergonomic furniture, flexible work areas, and improved technology infrastructure to support modern work demands.

What is the historical performance record of Hako Plumbing, Inc. on similar government contracts, particularly regarding cost and schedule adherence?

Historical performance data for Hako Plumbing, Inc. on similar government contracts is not provided. A thorough review of their past performance, including on-time delivery, budget adherence, and quality of work, would be necessary to fully assess the risk associated with this award. Agencies typically maintain performance databases to inform such decisions.

How will the success of this modernization project be measured, and what metrics will be used to evaluate its effectiveness in improving the workspace?

Success will likely be measured by project completion within the awarded budget and by the scheduled completion date. Effectiveness metrics could include post-occupancy surveys assessing employee satisfaction, reported improvements in productivity, and reduced maintenance requests related to the modernized areas. Formal project close-out reports would document these findings.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6247817R4034

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 958 AKEPO LN, HONOLULU, HI, 96817

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,883,500

Exercised Options: $6,883,500

Current Obligation: $6,883,500

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6247820D4036

IDV Type: IDC

Timeline