Naval Support Activity Awards $303K Design-Build for Chilled Water Systems to Polk & Associates

Contract Overview

Contract Amount: $3,038,363 ($3.0M)

Contractor: Polk & Associates Construction Inc

Awarding Agency: Department of the Interior

Start Date: 2025-09-29

End Date: 2026-05-27

Contract Duration: 240 days

Daily Burn Rate: $12.7K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NAVAL SUPPORT ACTIVITY (NSA) REQUIRES DESIGN-BUILD (D-B) CONSTRUCTION SERVICES TO PROVIDE ALL MANAGEMENT, LABOR, AND SUPERVISION NECESSARY TO ACCOMPLISH THE DESIGN BUILD PROJECT FOR BLDG. 3168 RM 114 AND 5152 CHILLED WATER PROJECTS. SEE ASSOCIATED AT

Place of Performance

Location: CRANE, MARTIN County, INDIANA, 47522

State: Indiana Government Spending

Plain-Language Summary

Department of the Interior obligated $3.0 million to POLK & ASSOCIATES CONSTRUCTION INC for work described as: NAVAL SUPPORT ACTIVITY (NSA) REQUIRES DESIGN-BUILD (D-B) CONSTRUCTION SERVICES TO PROVIDE ALL MANAGEMENT, LABOR, AND SUPERVISION NECESSARY TO ACCOMPLISH THE DESIGN BUILD PROJECT FOR BLDG. 3168 RM 114 AND 5152 CHILLED WATER PROJECTS. SEE ASSOCIATED AT Key points: 1. Contract awarded for essential chilled water system upgrades at Naval Support Activity. 2. Polk & Associates Construction Inc. secured the design-build contract. 3. The contract is a firm fixed price, indicating clear cost expectations. 4. Limited competition is noted, raising potential value concerns.

Value Assessment

Rating: questionable

The contract value of $303,836 is for a design-build project. Without specific details on the scope of work for Building 3168 RM 114 and 5152, a direct per-unit cost comparison is difficult. However, the lack of competitive bidding may have led to a higher price than achievable in an open market.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, suggesting a sole-source or limited solicitation approach. This significantly restricts price discovery and may result in less favorable pricing for the government compared to a fully open and competitive process.

Taxpayer Impact: The lack of competition could lead to taxpayers paying more than necessary for these construction services.

Public Impact

Upgrades to critical infrastructure at a Naval facility ensure operational readiness. The project supports facility maintenance and modernization efforts. Local economic impact through construction services and potential job creation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Potential for overpayment due to lack of bidding

Positive Signals

Firm fixed price contract
Supports critical infrastructure upgrades

Sector Analysis

This contract falls under Industrial Building Construction, a sector often characterized by significant project management and specialized labor. Benchmarks for similar design-build projects can vary widely based on location, complexity, and specific requirements.

Small Business Impact

The contract was awarded to Polk & Associates Construction Inc. It is not indicated whether this is a small business, and the contract was not specifically set aside for small business participation.

Oversight & Accountability

The award was made by the Department of the Interior, suggesting internal oversight processes are in place. However, the limited competition aspect warrants scrutiny to ensure the government received fair value.

Related Government Programs

Industrial Building Construction
Department of the Interior Contracting
Departmental Offices Programs

Risk Flags

Limited competition
Lack of justification for limited competition
Potential for inflated pricing
No indication of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $3.0 million to POLK & ASSOCIATES CONSTRUCTION INC. NAVAL SUPPORT ACTIVITY (NSA) REQUIRES DESIGN-BUILD (D-B) CONSTRUCTION SERVICES TO PROVIDE ALL MANAGEMENT, LABOR, AND SUPERVISION NECESSARY TO ACCOMPLISH THE DESIGN BUILD PROJECT FOR BLDG. 3168 RM 114 AND 5152 CHILLED WATER PROJECTS. SEE ASSOCIATED AT

Who is the contractor on this award?

The obligated recipient is POLK & ASSOCIATES CONSTRUCTION INC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $3.0 million.

What is the period of performance?

Start: 2025-09-29. End: 2026-05-27.

What specific factors justified the limited competition for this design-build contract?

The justification for limited competition is not provided in the data. Typically, such decisions are based on factors like urgent need, unique capabilities of a specific contractor, or the nature of the project requiring specialized expertise not readily available through open bidding. Further investigation into the solicitation documents would be required to understand the rationale.

What is the potential cost overrun risk with a firm fixed price contract awarded under limited competition?

While a firm fixed price contract generally shifts cost overrun risk to the contractor, the risk of an inflated initial price exists when competition is limited. The government might have agreed to a higher baseline price than would have been negotiated in a competitive environment, making the 'fixed price' less advantageous.

How will the effectiveness of the chilled water system upgrades be measured post-completion?

Effectiveness is typically measured through post-occupancy evaluations, performance testing, and verification that the new systems meet or exceed specified operational requirements. This includes ensuring energy efficiency, reliability, and capacity as per the design-build contract's performance standards and acceptance criteria.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Industrial Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 229 WARD CIR STE C22, BRENTWOOD, TN, 37027

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,038,363

Exercised Options: $3,038,363

Current Obligation: $3,038,363

Actual Outlays: $26,951

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline