DoD Awards $17.4M Construction Contract for Schofield Barracks, Hawaii to San Juan Construction, Inc

Contract Overview

Contract Amount: $17,375,033 ($17.4M)

Contractor: SAN Juan Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-12-23

End Date: 2013-01-30

Contract Duration: 1,499 days

Daily Burn Rate: $11.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION OF MCAR FT SHAFTER USARC PROJECT, HI

Place of Performance

Location: HONOLULU, HONOLULU County, HAWAII, 96819

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $17.4 million to SAN JUAN CONSTRUCTION, INC. for work described as: CONSTRUCTION OF MCAR FT SHAFTER USARC PROJECT, HI Key points: 1. The contract value of $17.4 million falls within typical ranges for similar construction projects. 2. San Juan Construction, Inc. secured this award through full and open competition. 3. The project's duration of nearly 5 years presents potential risks for cost overruns or delays. 4. This award is within the broader Commercial and Institutional Building Construction sector.

Value Assessment

Rating: good

The contract value of $17.4 million appears reasonable for a large-scale construction project of this nature. Benchmarking against similar military construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition after exclusion of sources, indicating a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received fair value for the funds expended on this construction project.

Public Impact

Military readiness and infrastructure will be enhanced by the new facilities at Schofield Barracks. Local employment opportunities may have been generated during the construction phase. The project contributes to the modernization of U.S. Army Reserve Command facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long project duration (1499 days) increases risk of cost escalation and schedule slippage.
  • Potential for unforeseen site conditions in Hawaii impacting budget and timeline.
  • Reliance on a single awardee for a multi-year project.

Positive Signals

  • Awarded through full and open competition, suggesting competitive pricing.
  • Firm Fixed Price contract type limits government risk for cost overruns.
  • Project addresses critical infrastructure needs for the U.S. Army Reserve.

Sector Analysis

This project falls under the Commercial and Institutional Building Construction sector, which is a significant area of federal spending. Benchmarks for similar military construction projects would typically range from several million to tens of millions of dollars depending on scope and location.

Small Business Impact

The data indicates this contract was not awarded to small businesses (ss: false, sb: false). Further analysis would be needed to determine if small business subcontracting opportunities were mandated or utilized.

Oversight & Accountability

The Department of the Army, as the procuring agency, is responsible for oversight. The long duration of the contract necessitates diligent monitoring to ensure adherence to schedule, budget, and quality standards.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Long contract duration increases risk.
  • Potential for unforeseen site conditions.
  • Limited information on small business participation.
  • Lack of detail on contract modifications.

Tags

commercial-and-institutional-building-co, department-of-defense, hi, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.4 million to SAN JUAN CONSTRUCTION, INC.. CONSTRUCTION OF MCAR FT SHAFTER USARC PROJECT, HI

Who is the contractor on this award?

The obligated recipient is SAN JUAN CONSTRUCTION, 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 $17.4 million.

What is the period of performance?

Start: 2008-12-23. End: 2013-01-30.

What was the specific scope of work for this construction project, and how did it align with the awarded price?

The provided data does not detail the specific scope of work. However, the contract was for the construction of facilities at MCAR Ft Shafter USARC Project. A detailed review of the contract's SOW and comparison with the final price against industry standards for similar military construction would be necessary to fully assess value.

Were there any significant change orders or contract modifications during the 1499-day performance period that impacted the final cost?

The provided data does not include information on contract modifications or change orders. Given the nearly 5-year duration, it is plausible that modifications occurred. Investigating contract modification history is crucial for a comprehensive risk assessment and understanding the final taxpayer impact beyond the initial award amount.

How effectively did the 'full and open competition after exclusion of sources' method ensure competitive pricing compared to other procurement strategies?

This procurement method, while competitive, involved excluding certain sources, which could potentially limit the breadth of competition. Assessing its effectiveness requires comparing the number of bids received and the final price against projects procured under unrestricted full and open competition to determine if pricing was optimized.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912QR08R0103

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 924 SPRING CREEK RD STE C, MONTROSE, CO, 81401

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $17,375,033

Exercised Options: $17,375,033

Current Obligation: $17,375,033

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2008-12-23

Current End Date: 2013-01-30

Potential End Date: 2013-01-30 00:00:00

Last Modified: 2021-04-28

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