Department of Defense awards $16.6M construction contract for Oroville Border Patrol Station

Contract Overview

Contract Amount: $16,600,746 ($16.6M)

Contractor: Jkt-Pcl J.V.

Awarding Agency: Department of Defense

Start Date: 2010-09-30

End Date: 2012-11-05

Contract Duration: 767 days

Daily Burn Rate: $21.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: OROVILLE BORDER PATROL STATION

Place of Performance

Location: OROVILLE, OKANOGAN County, WASHINGTON, 98844

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $16.6 million to JKT-PCL J.V. for work described as: OROVILLE BORDER PATROL STATION Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The definitive contract type indicates a commitment to a fixed price for services. 3. The contract duration of 767 days suggests a significant construction project. 4. The award was made by the Department of the Army, a major component of the DoD. 5. The North American Industry Classification System (NAICS) code 236210 points to industrial building construction. 6. The contract was awarded to JKT-PCL J.V., a joint venture.

Value Assessment

Rating: fair

The total contract value of $16.6 million for the construction of a border patrol station appears to be within a reasonable range for a project of this scope and duration. Without specific details on the size, complexity, and location of the station, a precise benchmark is difficult. However, comparing it to similar federal building construction projects of comparable size and complexity would be necessary for a more definitive value assessment. The firm-fixed-price nature of the contract suggests that the pricing was established upfront, which can offer cost certainty but may limit flexibility if unforeseen issues arise.

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. The presence of 5 bidders, as suggested by the data, implies a healthy level of competition for this project. A competitive bidding process generally leads to better price discovery and can result in more favorable pricing for the government. The number of bidders suggests that the market for this type of construction service is sufficiently robust to support multiple interested parties.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down costs through market forces, ensuring that the government secures services at the most competitive prices available.

Public Impact

The primary beneficiaries of this contract are the U.S. Customs and Border Protection (CBP) and the personnel who will operate out of the Oroville Border Patrol Station. The contract delivers essential infrastructure for border security operations. The geographic impact is focused on the Oroville area, likely in Washington state given the 'WA' designation. The project will likely create jobs in the construction sector within the local and regional economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions or material price fluctuations occur, despite the firm-fixed-price structure.
Dependence on the performance and financial stability of the joint venture, JKT-PCL J.V., for timely and quality completion.
Risk associated with the specific expertise of the joint venture in constructing specialized border facilities.

Positive Signals

Awarded through full and open competition, indicating a competitive market and potentially better pricing.
The firm-fixed-price contract type provides cost certainty for the government.
The Department of the Army's oversight suggests adherence to established procurement and construction standards.

Sector Analysis

This contract falls within the industrial building construction sector, specifically for government facilities. The construction of border patrol stations is a niche but critical segment of the broader federal construction market. Comparable spending benchmarks would involve analyzing other federal building projects, particularly those for law enforcement or security agencies, and considering factors like square footage, site complexity, and regional labor costs. The market for such specialized construction is often influenced by government funding priorities and national security needs.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While the prime contractor is a joint venture, it is unclear if it qualifies as a small business itself or if it has plans for small business subcontracting. Further analysis would be needed to determine if small businesses will be involved as subcontractors and the extent of their participation in this project.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting office within the Department of the Army. Accountability measures are inherent in the firm-fixed-price contract, which obligates the contractor to deliver the specified facility within the agreed-upon price. Transparency is generally maintained through contract award databases and public reporting, though specific project progress reports may not be publicly accessible. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Border Security Infrastructure Projects
Federal Law Enforcement Facilities Construction
Department of Homeland Security Construction Contracts
Department of Defense Military Construction

Risk Flags

Potential for cost increases due to unforeseen site conditions.
Risk of schedule delays impacting operational readiness.
Dependence on joint venture's capacity and performance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.6 million to JKT-PCL J.V.. OROVILLE BORDER PATROL STATION

Who is the contractor on this award?

The obligated recipient is JKT-PCL J.V..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $16.6 million.

What is the period of performance?

Start: 2010-09-30. End: 2012-11-05.

What is the track record of JKT-PCL J.V. in completing similar federal construction projects on time and within budget?

Information regarding the specific track record of the joint venture JKT-PCL J.V. in completing similar federal construction projects is not directly available in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract histories, and any reported disputes or claims associated with this joint venture or its constituent companies. Federal procurement systems often maintain performance records that could shed light on their reliability, timeliness, and adherence to quality standards. Without this data, it is difficult to definitively assess their past performance on comparable projects.

How does the awarded price of $16.6 million compare to the estimated cost or bids from other competitors?

The provided data indicates that the contract was awarded under full and open competition with 5 bidders. However, it does not disclose the estimated cost or the bid amounts submitted by the other competitors. To assess the value for money, a comparison of the awarded price against the government's estimate and the range of bids received would be crucial. A significant difference between the awarded price and other bids, or a substantial deviation from the government's estimate, could indicate potential issues with pricing or the competition process. Without this comparative bid data, it is challenging to definitively state whether $16.6 million represents a competitive price.

What are the key performance indicators (KPIs) used to measure the success of this construction contract?

Key performance indicators for a construction contract like the Oroville Border Patrol Station typically revolve around schedule adherence, quality of workmanship, safety compliance, and adherence to the contract specifications. Specific KPIs might include milestones for site preparation, foundation work, structural completion, and final handover. The contract likely includes clauses for inspections and acceptance criteria that serve as performance benchmarks. The firm-fixed-price nature also implies that cost control within the agreed budget is a critical performance aspect. Success would be measured by the timely delivery of a fully functional and compliant facility.

What is the historical spending pattern for the construction of border patrol stations by the Department of Defense or related agencies?

Historical spending patterns for border patrol station construction by the Department of Defense (DoD) and related agencies like the Department of Homeland Security (DHS) can vary significantly based on factors such as the number of stations needed, their size and complexity, geographic location, and prevailing construction costs. While this specific contract is for $16.6 million, past projects could range from smaller, modular facilities to larger, more complex installations. Analyzing historical data would involve looking at contract awards over several fiscal years for similar types of facilities, noting average contract values, durations, and the agencies involved. This context helps in understanding if the current award is in line with historical investment levels or represents an increase or decrease in spending for such infrastructure.

Are there any specific environmental or site-related risks associated with the Oroville location that could impact the contract's cost or timeline?

The provided data does not contain specific information about environmental or site-related risks associated with the Oroville location for this border patrol station construction. However, construction projects, especially in potentially remote or undeveloped areas, can face risks such as challenging soil conditions, presence of hazardous materials, protected wildlife habitats, or specific environmental regulations that must be met. These factors can lead to increased costs for mitigation, specialized construction techniques, or project delays. A thorough site assessment and environmental impact study would typically be conducted prior to or during the bidding phase to identify and account for such risks, influencing the contract's scope and pricing.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Industrial 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: W912DW10R0061

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 15405 SE 37TH ST STE 110, BELLEVUE, WA, 98006

Business Categories: American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Emerging Small Business, Government, Native American Tribal Government, Minority Owned Business, Native American Owned Business, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,600,746

Exercised Options: $16,600,746

Current Obligation: $16,600,746

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline