DoD Awards $82.7M Construction Contract for JTF Barracks at Guantanamo Bay
Contract Overview
Contract Amount: $82,758,091 ($82.8M)
Contractor: RQ Construction, LLC
Awarding Agency: Department of Defense
Start Date: 2019-09-30
End Date: 2024-11-22
Contract Duration: 1,880 days
Daily Burn Rate: $44.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: JTF BARRACKS, NS GUANTANAMO BAY, CUBA
Plain-Language Summary
Department of Defense obligated $82.8 million to RQ CONSTRUCTION, LLC for work described as: JTF BARRACKS, NS GUANTANAMO BAY, CUBA Key points: 1. Contract awarded to RQ Construction, LLC for building construction. 2. Full and open competition was utilized. 3. The contract has a firm fixed price structure. 4. Project duration is 1880 days, ending November 2024.
Value Assessment
Rating: fair
The contract value of $82.7 million for a large construction project is within a reasonable range for similar government building contracts. However, without specific details on the scope and complexity, a precise benchmark is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition suggests a robust price discovery process. This method allows multiple qualified contractors to bid, theoretically driving down costs and ensuring fair market value.
Taxpayer Impact: Taxpayers benefit from competitive bidding, which aims to secure the best value for the government's investment in infrastructure.
Public Impact
Ensures adequate housing and facilities for military personnel at a key strategic location. Supports the local and potentially regional construction industry through contract awards. Contributes to the overall operational readiness and infrastructure of the U.S. Southern Command.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long project duration (1880 days) may indicate potential for cost overruns or delays.
- Lack of small business participation noted.
Positive Signals
- Firm fixed price contract provides cost certainty for the government.
- Full and open competition promotes a competitive bidding environment.
Sector Analysis
This contract falls under the Commercial and Institutional Building Construction sector. Government spending in this sector is substantial, driven by infrastructure needs, military base development, and public facilities. Benchmarks vary widely based on project type and location.
Small Business Impact
The data indicates that small businesses were not directly involved as prime contractors in this award, as the 'sb' field is false. Further analysis would be needed to determine if small businesses participated as subcontractors.
Oversight & Accountability
The Department of the Navy, as the contracting agency, is responsible for oversight. The definitive contract type suggests a structured process, but ongoing monitoring is crucial for project success and adherence to terms.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Long contract duration
- No stated small business prime participation
- Geopolitical location may introduce unique risks
- Potential for scope creep despite fixed price
Tags
commercial-and-institutional-building-co, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $82.8 million to RQ CONSTRUCTION, LLC. JTF BARRACKS, NS GUANTANAMO BAY, CUBA
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 $82.8 million.
What is the period of performance?
Start: 2019-09-30. End: 2024-11-22.
What is the breakdown of costs within the $82.7 million contract, and how does it compare to industry standards for similar barracks construction?
A detailed cost breakdown is not provided in the data. To assess value, one would need to compare line items such as labor, materials, overhead, and profit against established construction cost indices and benchmarks for military barracks of similar size and complexity. This would reveal if specific components are over or underpriced relative to market rates.
What are the specific risks associated with constructing facilities at Guantanamo Bay, and how are they mitigated in this contract?
Risks include logistical challenges due to the remote location, potential political sensitivities, and unique security requirements. Mitigation strategies likely involve detailed site preparation plans, robust supply chain management, and stringent security protocols outlined in the contract's statement of work and special provisions.
How effectively does this contract ensure the long-term durability and functionality of the JTF barracks?
The firm fixed price structure incentivizes the contractor to complete the project within budget. However, long-term durability depends heavily on the quality of materials and workmanship, adherence to building codes, and the effectiveness of the government's inspection and acceptance process throughout the 1880-day duration.
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: N6945018R1303
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: $82,758,091
Exercised Options: $82,758,091
Current Obligation: $82,758,091
Actual Outlays: $232,202
Subaward Activity
Number of Subawards: 33
Total Subaward Amount: $16,014,510
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2019-09-30
Current End Date: 2024-11-22
Potential End Date: 2024-11-22 00:00:00
Last Modified: 2024-07-01
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