DoD's $23M Joint Fires Facility Awarded to Harper Construction, Highlighting Commercial Building Construction Needs

Contract Overview

Contract Amount: $23,087,562 ($23.1M)

Contractor: Harper Construction Company, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-12-30

End Date: 2011-08-30

Contract Duration: 608 days

Daily Burn Rate: $38.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: JOINT FIRES AND EFFECT TRAINING FACILITY FT. SILL, OK

Place of Performance

Location: FORT SILL, COMANCHE County, OKLAHOMA, 73503

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $23.1 million to HARPER CONSTRUCTION COMPANY, INC. for work described as: JOINT FIRES AND EFFECT TRAINING FACILITY FT. SILL, OK Key points: 1. Value for money assessed through fixed-price contract, aiming to control costs. 2. Full and open competition suggests a potentially competitive bidding environment. 3. Contract duration of 608 days indicates a significant construction project. 4. Geographic focus on Fort Sill, Oklahoma, addresses specific military training infrastructure needs. 5. The award falls within the broader context of military base development and modernization. 6. Contract type (Firm Fixed Price) shifts risk to the contractor, potentially stabilizing costs.

Value Assessment

Rating: good

The contract's firm fixed-price nature suggests an effort to establish a predictable cost for the government. Benchmarking against similar military construction projects would be necessary for a definitive value assessment. However, the award amount of $23,087,562 for a facility of this type and scale appears within a reasonable range for large-scale construction, assuming quality and scope align with industry standards. The competition level also plays a role in ensuring fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. With 8 bidders participating, the competition level appears robust, which typically fosters price discovery and can lead to more favorable pricing for the government. The presence of multiple bidders suggests that the market has sufficient capacity and interest in undertaking such projects.

Taxpayer Impact: The robust competition for this contract likely resulted in a more competitive bid landscape, potentially leading to cost savings for taxpayers compared to a sole-source or limited competition scenario.

Public Impact

The primary beneficiaries are the U.S. Army and its personnel at Fort Sill, Oklahoma, who will utilize the new training facility. The facility will deliver enhanced joint fires and effect training capabilities, crucial for modern military operations. The geographic impact is concentrated at Fort Sill, Oklahoma, supporting regional military readiness. The project implies workforce implications through construction jobs and potentially long-term facility maintenance roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen construction challenges arise, despite fixed-price contract.
Ensuring timely completion within the 608-day duration is critical for operational readiness.
Quality control and adherence to specifications are paramount for a facility of this nature.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Full and open competition suggests a competitive market and potentially better pricing.
Award to an established construction company indicates experience in large-scale projects.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for military infrastructure. The U.S. military's ongoing need for modernized training facilities drives significant spending in this area. Comparable spending benchmarks would involve analyzing other large-scale construction contracts for military bases, focusing on similar facility types and geographic regions. The market for military construction is often characterized by specialized requirements and stringent security protocols.

Small Business Impact

The contract was awarded under full and open competition and does not indicate a specific small business set-aside. While the prime contractor, Harper Construction Company, Inc., is a large business, there may be opportunities for small businesses to participate as subcontractors. The extent of small business subcontracting would depend on the prime contractor's strategy and the specific trades required for the project.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Army contracting and project management offices at Fort Sill. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of the specified facility. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Base Construction
Training Facilities
Department of Defense Infrastructure
Construction Services

Risk Flags

Potential for scope creep if requirements are not clearly defined.
Risk of contractor default or performance issues on a large-scale project.
Dependency on timely material procurement and skilled labor availability.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.1 million to HARPER CONSTRUCTION COMPANY, INC.. JOINT FIRES AND EFFECT TRAINING FACILITY FT. SILL, OK

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 Army).

What is the total obligated amount?

The obligated amount is $23.1 million.

What is the period of performance?

Start: 2009-12-30. End: 2011-08-30.

What is the track record of Harper Construction Company, Inc. on similar federal contracts, particularly within the Department of Defense?

Harper Construction Company, Inc. has a history of performing large-scale construction projects, including those for the Department of Defense. Analyzing their past performance on similar military construction contracts, such as barracks, training facilities, or administrative buildings, would provide insight into their ability to manage complex projects, adhere to schedules, and maintain quality standards. Reviewing contract performance reports and any past disputes or awards would offer a comprehensive view of their reliability and expertise in the federal contracting space. Their experience with firm fixed-price contracts is also a key indicator of their financial and project management capabilities.

How does the awarded amount of $23,087,562 compare to the estimated cost or budget for the Joint Fires and Effect Training Facility?

Without access to the government's initial cost estimates or budget allocations for the Joint Fires and Effect Training Facility, a direct comparison is challenging. However, the fact that the contract was awarded under full and open competition with 8 bidders suggests that the pricing achieved was likely competitive. If the awarded amount is significantly below or above initial estimates, it could indicate either highly efficient bidding or potential issues with the initial cost projections. Further analysis would require examining the government's pre-solicitation estimates and understanding any scope adjustments made during the bidding process.

What are the key risk indicators associated with this firm fixed-price construction contract for the Department of the Army?

The primary risk indicator for a firm fixed-price contract is the potential for the contractor to cut corners on quality or materials to maintain profitability if unforeseen cost increases arise during construction. For this specific project, risks could include site-specific challenges at Fort Sill, fluctuations in material costs (though mitigated by FFP), labor availability, and adherence to the 608-day schedule. The government's risk is primarily related to ensuring the facility meets all specified requirements and performance standards upon completion. Robust oversight and quality assurance processes are crucial to mitigate these risks.

How effective is the firm fixed-price contract type in ensuring the successful delivery of the Joint Fires and Effect Training Facility?

The firm fixed-price (FFP) contract type is generally considered effective for projects where the scope of work is well-defined and risks can be reasonably assessed upfront, such as building construction. It provides cost certainty for the government by locking in the price. The effectiveness hinges on the thoroughness of the initial design and specifications. If the scope is clear and the contractor has accurately estimated costs and risks, FFP can lead to efficient project execution. However, if significant unforeseen issues arise, the contractor may face financial strain, potentially impacting project quality or schedule, although the FFP structure aims to place this risk on the contractor.

What is the historical spending pattern for similar military training facilities construction within the Department of Defense over the last five years?

Historical spending on similar military training facilities within the Department of Defense has been substantial, driven by modernization efforts and evolving operational requirements. Annual spending fluctuates based on budget allocations, strategic priorities, and the lifecycle of base infrastructure projects. Analyzing spending patterns would reveal trends in contract values, types of facilities being prioritized (e.g., simulation centers, live-fire ranges, barracks), and the geographic distribution of investments. This contract's value of approximately $23 million aligns with the typical scale of significant construction projects for specialized military infrastructure.

What specific performance metrics or milestones are likely included in the contract to measure the success of Harper Construction Company, Inc.?

Performance metrics for this construction contract would likely include adherence to the project schedule (608 days), completion of specific construction phases (e.g., foundation, structural, interior, exterior), quality control reports, safety compliance records, and final inspection sign-offs. Milestones might be tied to the substantial completion of different building sections or the installation of key training systems. The final deliverable is the fully functional Joint Fires and Effect Training Facility, meeting all technical specifications and operational requirements outlined in the contract documents. Penalties for delays or failure to meet quality standards may also be stipulated.

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: W912BV09R2037

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2241 KETTNER BLVD STE 300, SAN DIEGO, CA, 90

Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,150,942

Exercised Options: $23,150,942

Current Obligation: $23,087,562

Contract Characteristics

Cost or Pricing Data: NO

Timeline