DoD awards $35.2M for Camp Geiger facilities, with DCK North America securing the contract

Contract Overview

Contract Amount: $35,214,397 ($35.2M)

Contractor: DCK North America, LLC

Awarding Agency: Department of Defense

Start Date: 2010-08-16

End Date: 2016-08-24

Contract Duration: 2,200 days

Daily Burn Rate: $16.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 14

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AWARD P-1268 SOW EAST FACILITIES CAMP GEIGER MCB CAMP LEJEUNE NC

Place of Performance

Location: CAMP LEJEUNE, ONSLOW County, NORTH CAROLINA, 28547

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $35.2 million to DCK NORTH AMERICA, LLC for work described as: AWARD P-1268 SOW EAST FACILITIES CAMP GEIGER MCB CAMP LEJEUNE NC Key points: 1. The contract was awarded under full and open competition, suggesting a competitive bidding process. 2. The firm fixed-price contract type indicates that the contractor assumes the risk for cost overruns. 3. The duration of the contract (2200 days) suggests a significant, long-term project. 4. The award was a delivery order, implying it was part of a larger contract vehicle. 5. The project is located at Camp Lejeune, North Carolina, a major Marine Corps installation. 6. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction.

Value Assessment

Rating: fair

Benchmarking the value of this specific delivery order is challenging without knowing the scope of the parent contract or the specific services rendered. However, the total award amount of $35.2 million over approximately six years suggests a substantial investment in facilities maintenance or construction. Without comparable data on similar projects at Marine Corps bases, a precise value-for-money assessment is difficult. The firm fixed-price nature of the contract shifts cost risk to the contractor, which can be a positive indicator for the government if the contractor manages costs effectively.

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 a bid. The data shows 14 bidders participated in this procurement. A high number of bidders generally suggests a healthy level of competition, which can lead to more favorable pricing and better quality services for the government. The specific details of the bidding process and the evaluation criteria would provide further insight into the effectiveness of the competition.

Taxpayer Impact: The robust competition for this contract likely resulted in a more competitive price for taxpayers. It also suggests that the Department of the Navy explored a wide range of potential contractors, increasing the likelihood of selecting a capable and cost-effective provider.

Public Impact

The primary beneficiaries are the U.S. Marine Corps personnel and operations at Camp Geiger, MCB Camp Lejeune, NC, through improved or maintained facilities. The contract supports the construction and/or maintenance of commercial and institutional buildings, crucial for military base infrastructure. The geographic impact is concentrated in Jacksonville, North Carolina, where Camp Lejeune is located. The contract likely has implications for the construction workforce in the region, potentially creating or sustaining jobs in skilled trades.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the firm fixed-price contract scope is not precisely managed.
Dependence on a single contractor (DCK North America, LLC) for the duration of the delivery order.
Geographic concentration of work could lead to localized economic impacts, both positive and negative.

Positive Signals

Awarded under full and open competition with 14 bidders, indicating strong market interest and potential for competitive pricing.
Firm fixed-price contract type places cost control responsibility on the contractor.
The contract supports critical infrastructure at a major military installation.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, identified by NAICS code 236220. This sector encompasses establishments primarily responsible for the construction or remodeling of nonresidential buildings. Federal spending in this area is substantial, supporting military readiness, government operations, and public infrastructure. Comparable spending benchmarks would typically involve analyzing the cost per square foot or per project for similar military construction or renovation projects across different branches of the armed forces and various geographic locations.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications specifically mandated for small businesses through a set-aside program for this particular award. However, the prime contractor, DCK North America, LLC, may voluntarily engage small businesses for subcontracting opportunities as part of their overall business operations or supply chain management.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Navy's contracting and program management offices. As a delivery order under a larger contract vehicle, oversight might be integrated into the parent contract's management structure. Transparency is generally facilitated through contract award databases like FPDS. Specific accountability measures would be detailed in the contract's terms and conditions, including performance standards and remedies for non-compliance. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Military Construction
Base Operations Support
Facilities Maintenance Contracts
Department of Defense Construction Projects
Marine Corps Installations

Risk Flags

Potential for cost increases not fully captured in fixed price over long duration.
Scope definition clarity is critical for successful execution.
Dependence on contractor performance for critical infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $35.2 million to DCK NORTH AMERICA, LLC. AWARD P-1268 SOW EAST FACILITIES CAMP GEIGER MCB CAMP LEJEUNE NC

Who is the contractor on this award?

The obligated recipient is DCK NORTH AMERICA, 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 $35.2 million.

What is the period of performance?

Start: 2010-08-16. End: 2016-08-24.

What is the track record of DCK North America, LLC with federal contracts, particularly within the Department of Defense?

DCK North America, LLC has a history of federal contracting, primarily with the Department of Defense. Analyzing their past performance, including the types of contracts awarded, their value, and any reported issues or successes, is crucial. For this specific contract (AWARD P-1268), it represents a significant award amount of over $35 million. Understanding their performance on previous, similar-sized projects, especially those involving construction or facilities management at military installations, would provide insight into their capability to execute this current contract effectively. A review of their contract history might reveal patterns in project completion times, adherence to budget, and overall client satisfaction ratings from agencies like the Navy or other DoD components.

How does the awarded amount of $35.2 million compare to similar facilities construction contracts at Marine Corps bases?

Comparing the $35.2 million award to similar facilities construction contracts at Marine Corps bases requires access to a broader dataset of federal procurement. However, as a general benchmark, projects of this magnitude at large installations like Camp Lejeune often involve significant infrastructure development or major renovations. Factors influencing cost include the specific type of facility (e.g., barracks, training facilities, administrative buildings), the scope of work (new construction vs. renovation), prevailing labor costs in the region, and material expenses. Without specific project details and comparable data, it's difficult to definitively state if $35.2 million is high or low. However, the firm fixed-price nature and the competitive bidding process suggest an effort to secure value.

What are the primary risks associated with a firm fixed-price contract of this duration (2200 days)?

The primary risks associated with a firm fixed-price (FFP) contract of this duration (approximately 6 years) revolve around potential cost escalations for the contractor and scope creep for the government. For the contractor, unforeseen increases in material costs, labor rates, or regulatory changes over a long period can significantly erode profit margins if not adequately managed. Conversely, the government faces the risk that the fixed price may become uncompetitive if market conditions change drastically, or if the contractor finds ways to reduce quality to maintain profitability. Effective contract management, clear definition of scope, and robust change order processes are critical to mitigating these risks for both parties.

What is the significance of the NAICS code 236220 (Commercial and Institutional Building Construction) in understanding this contract's purpose?

The NAICS code 236220 signifies that the core purpose of this contract is the construction or renovation of non-residential buildings. This includes a wide range of structures such as offices, warehouses, educational facilities, hospitals, and, in this context, military buildings. For Camp Geiger at MCB Camp Lejeune, this likely means the contract is for building new facilities, expanding existing ones, or undertaking major repairs and upgrades to structures essential for military operations and personnel. Understanding this code helps contextualize the type of work performed and allows for comparison with other federal construction projects within the same industry classification.

How does the fact that this was a delivery order impact the overall contract structure and oversight?

This award being a 'Delivery Order' indicates it was issued under a pre-existing indefinite-delivery, indefinite-quantity (IDIQ) or similar type of contract vehicle. This structure allows agencies to procure goods or services over a period of time from a selected contractor without issuing a new contract for each individual order. The impact on oversight is that the foundational contract terms, conditions, and pricing structure were likely established earlier, potentially through a broader competitive process. Oversight for this specific delivery order would focus on ensuring it aligns with the parent contract's scope and terms, and that the work performed meets the specified requirements and quality standards. The overall contract vehicle itself would have undergone initial scrutiny.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N4008510R5306

Offers Received: 14

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: DCK Worldwide, LLC (UEI: 826879426)

Address: 1900 ROUTE 51, CLAIRTON, PA, 15025

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

Financial Breakdown

Contract Ceiling: $35,214,397

Exercised Options: $35,214,397

Current Obligation: $35,214,397

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4008510D5329

IDV Type: IDC

Timeline