DoD's $37.9M Barracks Repair Contract Awarded to Harper Construction Shows Fair Competition

Contract Overview

Contract Amount: $37,894,414 ($37.9M)

Contractor: Harper Construction Company, Inc.

Awarding Agency: Department of Defense

Start Date: 2016-09-14

End Date: 2018-12-30

Contract Duration: 837 days

Daily Burn Rate: $45.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF REPAIR STARSHIP B5970 TBUP - WORK CONSISTS OF REPAIRING FAILING COMPONENTS OF EXISTING BASIC TRAINING STARSHIP BARRACKS BUILDING 5970.

Place of Performance

Location: FORT SILL, COMANCHE County, OKLAHOMA, 73503

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $37.9 million to HARPER CONSTRUCTION COMPANY, INC. for work described as: IGF::OT::IGF REPAIR STARSHIP B5970 TBUP - WORK CONSISTS OF REPAIRING FAILING COMPONENTS OF EXISTING BASIC TRAINING STARSHIP BARRACKS BUILDING 5970. Key points: 1. The contract's value appears reasonable given the scope of repairing a large barracks facility. 2. Full and open competition suggests a healthy market for construction services, potentially leading to better pricing. 3. The definitive contract type with a firm fixed price mitigates cost overrun risks for the government. 4. Performance was rated 'OK', indicating satisfactory execution of the repair work. 5. This contract falls within the broader Defense sector's infrastructure maintenance spending. 6. The project's location in Oklahoma may influence local labor costs and material availability.

Value Assessment

Rating: good

The contract value of approximately $37.9 million for repairing a barracks building is within a typical range for large-scale institutional construction projects. Benchmarking against similar military construction or renovation contracts of comparable size and complexity would be necessary for a precise value-for-money assessment. However, the firm fixed-price nature of the award provides cost certainty, which is a positive indicator for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. With seven bidders participating, the level of competition appears robust. This suggests that the government received a range of proposals, which typically aids in price discovery and achieving a competitive market price.

Taxpayer Impact: A competitive bidding process for this repair work likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition award.

Public Impact

Military personnel stationed at the barracks will benefit from improved living conditions. The contract delivers essential repair and maintenance services for critical military infrastructure. The geographic impact is localized to the base where Barracks Building 5970 is located in Oklahoma. The project likely supported local construction jobs and utilized local material suppliers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'OK' performance rating, while satisfactory, leaves room for improvement in future projects.
The duration of the contract (837 days) might indicate potential for schedule slippage or unforeseen complexities.

Positive Signals

Awarded under full and open competition with seven bidders, indicating a competitive market.
Firm fixed-price contract type helps control costs and manage budget.
The project addresses essential infrastructure needs for military readiness.

Sector Analysis

This contract falls under the broader construction sector, specifically commercial and institutional building construction. The Department of Defense is a significant client for construction services, with substantial annual spending on facility maintenance, repair, and new construction. Comparable spending benchmarks would involve looking at other large-scale renovation projects for government buildings or similar institutional facilities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, and there is no explicit mention of subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless Harper Construction voluntarily engages small businesses as subcontractors.

Oversight & Accountability

The contract was awarded by the Department of the Army, a component of the Department of Defense. Oversight would typically be managed by contracting officers and program managers within the Army. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected. Transparency is generally maintained through contract award databases like FPDS.

Related Government Programs

Military Barracks Construction and Renovation
Department of Defense Facility Maintenance
Government Building Repair Contracts
Commercial and Institutional Building Construction

Risk Flags

Performance rating of 'OK' suggests room for improvement.
Contract duration of 837 days could indicate potential for delays.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.9 million to HARPER CONSTRUCTION COMPANY, INC.. IGF::OT::IGF REPAIR STARSHIP B5970 TBUP - WORK CONSISTS OF REPAIRING FAILING COMPONENTS OF EXISTING BASIC TRAINING STARSHIP BARRACKS BUILDING 5970.

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 $37.9 million.

What is the period of performance?

Start: 2016-09-14. End: 2018-12-30.

What is the track record of Harper Construction Company, Inc. with federal contracts?

Harper Construction Company, Inc. has a history of federal contracting, primarily with the Department of Defense. The provided data shows this specific contract (ID: 236220) for barracks repair was awarded in 2016 and completed in 2018. Further analysis would require examining their broader contract portfolio, including past performance ratings on other projects, any contract disputes or terminations, and the total value of contracts awarded to them over time. A review of their performance on similar-sized projects would also be beneficial to assess their capability and reliability in executing complex construction tasks.

How does the awarded price compare to similar barracks repair projects?

The awarded price of approximately $37.9 million for repairing Barracks Building 5970 needs to be benchmarked against similar projects to assess value for money. Factors such as the size of the building (square footage), the extent of repairs needed (structural, HVAC, plumbing, electrical, cosmetic), the location (influencing labor and material costs), and the specific requirements of the Department of the Army would need to be considered. Without access to a database of comparable military barracks repair contracts, a precise comparison is difficult. However, the firm fixed-price nature and the competitive bidding process suggest an effort to secure a fair price.

What are the primary risks associated with this type of construction contract?

Primary risks for this type of construction contract include unforeseen site conditions (e.g., discovering hazardous materials or structural issues not apparent during inspection), potential for cost increases if the fixed-price contract doesn't adequately account for all contingencies, delays due to weather or supply chain disruptions, and labor availability issues. For the government, the risk of contractor underperformance or default is also present, although mitigated by contract oversight and performance monitoring. The 'OK' performance rating suggests these risks were managed to a satisfactory level during execution.

How effective was the competition in driving down costs for this project?

The contract was awarded under full and open competition with seven bidders, which is a strong indicator of effective competition. A higher number of bidders generally leads to more competitive pricing as contractors vie for the award. While the exact cost savings attributable to competition cannot be quantified without knowing the baseline or sole-source estimate, the presence of multiple bids suggests that the government likely secured a price that reflects market conditions. The firm fixed-price structure further ensures that any efficiencies gained through competition are realized by the government.

What is the historical spending pattern for barracks repair within the Department of the Army?

Historical spending patterns for barracks repair within the Department of the Army are substantial, reflecting the vast inventory of military housing and training facilities. This spending fluctuates based on infrastructure age, modernization initiatives, and budget allocations. Contracts like this one for Barracks Building 5970 represent a portion of the annual maintenance and repair budget allocated to ensuring habitability and operational readiness. Analyzing trends over several fiscal years would reveal the average cost per project, the frequency of such repairs, and the distribution of awards among different contracting firms.

What does the 'OK' performance rating signify in the context of this contract?

A performance rating of 'OK' signifies that the contractor, Harper Construction Company, Inc., met the contract requirements in a satisfactory manner. It indicates that the project was completed generally as specified, within acceptable quality standards, and without significant issues that would warrant a lower rating. However, 'OK' is not an exceptional rating; it suggests that while the work was acceptable, there may not have been outstanding performance or proactive problem-solving that would elevate it to 'Exceptional' or 'Very Good'. For future procurements, agencies often look for contractors with a history of higher performance ratings.

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

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912BV16R0111

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2241 KETTNER BLVD STE 300, SAN DIEGO, CA, 92101

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

Financial Breakdown

Contract Ceiling: $37,894,414

Exercised Options: $37,894,414

Current Obligation: $37,894,414

Subaward Activity

Number of Subawards: 235

Total Subaward Amount: $696,398,792

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline