DoD's $22.4M Advanced Radar Lab Construction Awarded to Tomco Corp in Hawaii

Contract Overview

Contract Amount: $22,424,410 ($22.4M)

Contractor: Tomco Corp

Awarding Agency: Department of Defense

Start Date: 2009-09-29

End Date: 2014-05-16

Contract Duration: 1,690 days

Daily Burn Rate: $13.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FY09 MCON P-422, ADVANCED RADAR DETECTION LABORATORY, PMRF, KAUAI, HI. THE WORK INCLUDES A NEW TWO-STORY ADVANCED RADAR DETECTION LABORATORY CONSISTING OF A RADAR TOWER TURRET, MECHANICAL ROOM, ELECTRICAL ROOM, RADAR CHILLER ROOM, RADAR COOLING ROOM, EQUIPMENT STORAGE/LOADING AREA, RADAR EQUIPMENT ROOM, RADAR CONTROL ROOM, DATA PROCESSING/COLLECTION ROOM, OPERATIONS/SITUATION BRIEFING, AND OTHER SUPPORTING SPACES. SUPPORTING FACILITIES INCLUDE GENERATOR AND SWITCHGEAR PADS, RADIO FREQUENCY (RF) ENCLOSURE AT BUILDING 515, FIRE PROTECTION PUMP BUILDING AND WATER TANKS, TRANSFORMERS, LEACHING FIELD, SECURITY FENCE, PARKING, ROADS AND OTHER SITE IMPROVEMENTS. BUILDING COMPONENTS AND SYSTEMS INCLUDE DEEP FOUNDATIONS, AIR CONDITIONING AND VENTILATION, ELECTRICAL POWER, TELECOMMUNICATION, LIGHTNING PROTECTION, GROUNDING, RF SHIELDING BARRIER, VENT AND LINER MITIGATION SYSTEM, ELEVATOR, RAISED ACCESS FLOORS, UNINTERRUPTIBLE POWER SOURCE (UPS), STANDBY GENERATOR WITH FUEL TANK, FIRE PROTECTION SYSTEMS, PLUMBING, AND ACOUSTICALLY RATED ASSEMBLIES, FINISHES, AND INCIDENTAL RELATED WORK.

Place of Performance

Location: KEKAHA, KAUAI County, HAWAII, 96752

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $22.4 million to TOMCO CORP for work described as: FY09 MCON P-422, ADVANCED RADAR DETECTION LABORATORY, PMRF, KAUAI, HI. THE WORK INCLUDES A NEW TWO-STORY ADVANCED RADAR DETECTION LABORATORY CONSISTING OF A RADAR TOWER TURRET, MECHANICAL ROOM, ELECTRICAL ROOM, RADAR CHILLER ROOM, RADAR COOLING ROOM, EQUIPMENT STORAGE/LOADING AR… Key points: 1. Contract focuses on construction of a specialized radar detection laboratory and supporting infrastructure. 2. The project involves significant site improvements and specialized building systems for radar operations. 3. Awarded under full and open competition, indicating a broad market solicitation. 4. The contract duration is 1690 days, suggesting a substantial construction timeline. 5. The firm-fixed-price contract type aims to control costs for the government. 6. This project is situated in Kauai, Hawaii, a location with strategic defense importance.

Value Assessment

Rating: fair

The contract value of $22.4 million for a two-story laboratory with extensive site work appears within a reasonable range for specialized government construction projects. However, without specific benchmarks for advanced radar facilities or detailed cost breakdowns, a precise value-for-money assessment is challenging. The firm-fixed-price structure provides cost certainty, but the complexity of the build could introduce unforeseen issues. Comparing this to similar advanced research facility constructions would offer better insight into its cost-effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple companies were likely invited to bid. The presence of 10 bids indicates a healthy level of interest and competition for this project. This broad solicitation process generally leads to more competitive pricing and a wider selection of qualified contractors, benefiting the government by potentially securing better value and ensuring that the most capable firm is selected.

Taxpayer Impact: Full and open competition typically results in more favorable pricing for taxpayers by fostering a competitive environment where contractors strive to offer their best terms.

Public Impact

The primary beneficiary is the Department of Defense, specifically the Department of the Navy, which gains enhanced radar detection capabilities. The project delivers a new, specialized laboratory facility crucial for advanced radar research and operations. The geographic impact is concentrated in Kauai, Hawaii, supporting defense infrastructure in the Pacific region. The construction will likely involve a significant local workforce, including skilled trades and construction labor in Hawaii.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to the complexity of specialized construction and site-specific challenges in Hawaii.
Long project duration (1690 days) increases exposure to potential delays and changing requirements.
Reliance on a single contractor (Tomco Corp) for the entire project scope, concentrating risk.
The remote location in Kauai may present logistical challenges impacting cost and schedule.
Ensuring compliance with environmental regulations during extensive site improvements.

Positive Signals

Firm-fixed-price contract provides cost certainty and limits the government's exposure to cost increases.
Awarded under full and open competition with 10 bids, suggesting a competitive process that likely yielded a fair price.
The contractor, Tomco Corp, has experience in construction, though specific experience with advanced radar facilities needs further review.
The project addresses a critical need for advanced radar detection capabilities for national security.
The contract specifies a clear scope of work, reducing ambiguity.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for a specialized government facility. The construction of advanced research laboratories, particularly those involving sensitive electronic equipment like radar systems, requires specialized expertise and adherence to stringent building codes and security protocols. The market for such specialized construction is often dominated by firms with proven track records in government contracting and complex engineering projects. Benchmarking against similar high-tech facility constructions for defense or research purposes would provide context for the $22.4 million award.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large-scale construction project, it is unlikely that significant subcontracting opportunities for small businesses were mandated within the primary award, although the prime contractor may engage them. The absence of a small business set-aside suggests the scope and complexity were deemed suitable for larger, more specialized firms, potentially limiting direct opportunities for small businesses in this specific contract's prime execution.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Navy's contracting and engineering divisions. The firm-fixed-price nature of the contract implies a focus on adherence to the defined scope, schedule, and quality standards. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract execution.

Related Government Programs

Naval Facilities Engineering Command (NAVFAC) construction projects
Department of Defense Research and Development Facilities
Advanced Technology Infrastructure Construction
Radar Systems Development Support Facilities

Risk Flags

Potential for cost overruns due to project complexity and duration.
Logistical challenges associated with construction in a remote island location.
Ensuring specialized technical requirements for radar operations are met.
Long project timeline increases risk of scope changes or delays.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.4 million to TOMCO CORP. FY09 MCON P-422, ADVANCED RADAR DETECTION LABORATORY, PMRF, KAUAI, HI. THE WORK INCLUDES A NEW TWO-STORY ADVANCED RADAR DETECTION LABORATORY CONSISTING OF A RADAR TOWER TURRET, MECHANICAL ROOM, ELECTRICAL ROOM, RADAR CHILLER ROOM, RADAR COOLING ROOM, EQUIPMENT STORAGE/LOADING AREA, RADAR EQUIPMENT ROOM, RADAR CONTROL ROOM, DATA PROCESSING/COLLECTION ROOM, OPERATIONS/SITUATION BRIEFING, AND OTHER SUPPORTING SPACES. SUPPORTING FACILITIES INCLUDE GENERATOR AND SWITCHGEAR PADS, RADIO FREQUENCY (RF

Who is the contractor on this award?

The obligated recipient is TOMCO CORP.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $22.4 million.

What is the period of performance?

Start: 2009-09-29. End: 2014-05-16.

What is Tomco Corp's track record with similar advanced laboratory construction projects for the Department of Defense?

Assessing Tomco Corp's specific experience with advanced radar detection laboratories is crucial. While the provided data indicates they were awarded this $22.4 million contract, further investigation into their past performance on similar high-tech, specialized construction projects for the DoD is necessary. This includes reviewing their portfolio for projects involving sensitive electronic environments, stringent environmental controls, and complex structural requirements akin to a radar tower and associated facilities. A review of past performance evaluations and any reported issues on previous government contracts would provide a clearer picture of their capability and reliability for this specific type of demanding construction.

How does the $22.4 million cost compare to similar advanced radar laboratory constructions?

A direct comparison of the $22.4 million cost for this advanced radar detection laboratory is challenging without specific benchmarks for comparable facilities. The project scope includes a two-story building with specialized rooms (radar control, data processing, etc.), a radar tower, and extensive site improvements (generators, fencing, roads). The cost is influenced by factors such as location (Kauai, Hawaii, which can have higher construction costs), the specific technological requirements of the radar systems, and the firm-fixed-price nature of the contract. Benchmarking against other DoD or research institution constructions of similar scale and technical complexity, adjusted for location and inflation, would be necessary for a robust value assessment.

What are the primary risks associated with the 1690-day duration of this construction contract?

The 1690-day duration (approximately 4.6 years) for this construction project presents several key risks. Firstly, the extended timeline increases the potential for cost escalation, even under a firm-fixed-price contract, if unforeseen issues arise that necessitate contract modifications or claims. Secondly, there is a higher risk of scope creep or requirement changes over such a long period, potentially leading to disputes or delays. Thirdly, the extended duration exposes the project to market fluctuations in material costs and labor availability. Finally, personnel turnover within both the government oversight team and the contractor's project management can lead to knowledge loss and continuity issues, impacting project execution and quality.

How effective is the firm-fixed-price contract type in managing costs for this specialized construction?

The firm-fixed-price (FFP) contract type is generally effective in managing costs for specialized construction by shifting the risk of cost overruns to the contractor. This incentivizes the contractor, Tomco Corp, to manage their expenses efficiently and accurately estimate all project costs upfront. For the government, it provides budget certainty, as the final price is largely predetermined. However, the effectiveness can be diminished if the initial scope definition is incomplete or if unforeseen conditions arise during construction, potentially leading to change orders that increase the overall cost. The complexity of an advanced radar laboratory means that thorough upfront planning and risk assessment are critical for the FFP structure to yield optimal cost control.

What are the implications of awarding this contract under 'full and open competition' with 10 bids?

Awarding this contract under 'full and open competition' with 10 bids signifies a robust and competitive bidding process. This approach maximizes the pool of potential offerors, increasing the likelihood that the government receives competitive pricing and selects the most technically capable contractor. The high number of bids suggests significant market interest and a healthy competitive landscape for this type of specialized construction. For taxpayers, this generally translates to better value, as competition drives down prices and encourages efficiency. It also provides assurance that the contract was not awarded arbitrarily and that multiple qualified firms had the opportunity to compete for the work.

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: N6274209R1309

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 500 ALAKAWA ST STE 100 A, HONOLULU, HI, 01

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

Financial Breakdown

Contract Ceiling: $22,424,410

Exercised Options: $22,424,410

Current Obligation: $22,424,410

Contract Characteristics

Cost or Pricing Data: NO

Timeline