DoD's $38.7M Guantanamo Bay Wharf Repair Contract Awarded to RQ Construction Under Full and Open Competition
Contract Overview
Contract Amount: $38,749,120 ($38.7M)
Contractor: RQ Construction, LLC
Awarding Agency: Department of Defense
Start Date: 2016-11-22
End Date: 2024-09-05
Contract Duration: 2,844 days
Daily Burn Rate: $13.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF WHARF BRAVO STRUCTURAL REPAIRS - PHASE 1, NS GUANTANAMO BAY.
Plain-Language Summary
Department of Defense obligated $38.7 million to RQ CONSTRUCTION, LLC for work described as: IGF::OT::IGF WHARF BRAVO STRUCTURAL REPAIRS - PHASE 1, NS GUANTANAMO BAY. Key points: 1. The contract value of $38.7M for structural repairs is significant for a single phase project. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The long duration (2844 days) raises questions about project management and potential cost overruns. 4. The project falls under the Construction sector, specifically water and sewer infrastructure.
Value Assessment
Rating: fair
The contract value of $38.7M for structural repairs is substantial. Benchmarking against similar large-scale infrastructure projects would be necessary to fully assess its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders participated. This method generally promotes competitive pricing and ensures the government receives fair market value.
Taxpayer Impact: Taxpayer funds are being used for essential infrastructure repairs at a naval base, which is a necessary government expenditure.
Public Impact
Ensures operational readiness of naval facilities at Guantanamo Bay. Supports critical infrastructure for water and sewer services. Potential for long-term economic impact through construction jobs and material sourcing.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Extended contract duration raises concerns about efficiency and potential cost escalation.
- Lack of specific performance metrics or milestones in the provided data.
- Potential for unforeseen structural issues leading to scope changes and increased costs.
Positive Signals
- Awarded through full and open competition, suggesting competitive pricing.
- Addresses critical infrastructure needs for a key military installation.
Sector Analysis
This project falls within the construction sector, specifically focusing on water and sewer line infrastructure. Spending benchmarks for similar large-scale maritime or base infrastructure repairs would provide further context.
Small Business Impact
The data indicates the awardee is RQ CONSTRUCTION, LLC. It is unclear from the provided information whether small businesses were involved as subcontractors or if the prime contractor is a small business itself.
Oversight & Accountability
Oversight would typically involve regular progress reviews, quality assurance checks, and financial audits by the Department of the Navy to ensure the contractor meets contractual obligations and manages taxpayer funds effectively.
Related Government Programs
- Water and Sewer Line and Related Structures Construction
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Extended contract duration
- Potential for scope creep
- Complexity of structural repairs
- Long-term maintenance costs
Tags
water-and-sewer-line-and-related-structu, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $38.7 million to RQ CONSTRUCTION, LLC. IGF::OT::IGF WHARF BRAVO STRUCTURAL REPAIRS - PHASE 1, NS GUANTANAMO BAY.
Who is the contractor on this award?
The obligated recipient is RQ CONSTRUCTION, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $38.7 million.
What is the period of performance?
Start: 2016-11-22. End: 2024-09-05.
What is the primary driver for the extended contract duration of 2844 days for these structural repairs?
The extended duration may be attributed to the complexity of structural repairs on a wharf, potential phased execution to maintain operational access, or phased funding availability. Further details on the project's scope and phasing would clarify the rationale behind the long timeline and its impact on overall cost-effectiveness.
How does the awarded amount compare to industry benchmarks for similar wharf structural repair projects of this scale?
Without specific details on the scope of 'structural repairs' and the specific conditions of the wharf, a direct comparison to industry benchmarks is challenging. However, $38.7 million for a single phase suggests a significant undertaking. Benchmarking would require detailed project specifications, material costs, labor rates, and the extent of structural remediation needed.
What mechanisms are in place to ensure the effectiveness and long-term durability of the structural repairs given the project's long duration?
Effectiveness and durability are typically ensured through stringent quality assurance protocols, material testing, adherence to engineering specifications, and robust inspection schedules throughout the project lifecycle. The contract likely includes clauses for warranties and performance standards that the contractor must meet post-completion.
Industry Classification
NAICS: Construction › Utility System Construction › Water and Sewer Line and Related Structures Construction
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N6945016R1607
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3194 LIONSHEAD AVE, CARLSBAD, CA, 92010
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $38,749,120
Exercised Options: $38,749,120
Current Obligation: $38,749,120
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2016-11-22
Current End Date: 2024-09-05
Potential End Date: 2024-09-05 00:00:00
Last Modified: 2024-06-20
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