Coast Guard awards $47.3M design-build contract for Curtis Bay Yard facility upgrades

Contract Overview

Contract Amount: $47,258,718 ($47.3M)

Contractor: Whiting-Turner Contracting Company, the

Awarding Agency: Department of Homeland Security

Start Date: 2022-07-03

End Date: 2025-11-22

Contract Duration: 1,238 days

Daily Burn Rate: $38.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN/BUILD PROJECT AT USCG YARD, CURTIS BAY MD, INCLUDES DEMOLITION OF 2 BUILDINGS, WATERFRONT WORK, CONSTRUCTION OF 2 BAY MAINTENANCE BUILDINGS, SITE WORK AND CONSTRUCT TRAVEL PLATFORM.

Place of Performance

Location: CURTIS BAY, ANNE ARUNDEL County, MARYLAND, 21226

State: Maryland Government Spending

Plain-Language Summary

Department of Homeland Security obligated $47.3 million to WHITING-TURNER CONTRACTING COMPANY, THE for work described as: DESIGN/BUILD PROJECT AT USCG YARD, CURTIS BAY MD, INCLUDES DEMOLITION OF 2 BUILDINGS, WATERFRONT WORK, CONSTRUCTION OF 2 BAY MAINTENANCE BUILDINGS, SITE WORK AND CONSTRUCT TRAVEL PLATFORM. Key points: 1. The contract focuses on essential infrastructure development, including demolition, waterfront work, and new maintenance buildings. 2. A firm-fixed-price award suggests a clear scope and budget, potentially mitigating cost overruns. 3. The project duration of over three years indicates a significant undertaking with long-term implications. 4. The award was made under full and open competition, implying a competitive bidding process. 5. The project's success hinges on effective project management and adherence to construction timelines. 6. The U.S. Coast Guard is the primary beneficiary, aiming to enhance operational capabilities at the Curtis Bay Yard.

Value Assessment

Rating: good

The contract value of $47.3 million for a design-build project of this scope appears reasonable. Benchmarking against similar large-scale construction projects for federal agencies suggests that the pricing is within expected ranges. The firm-fixed-price structure provides a degree of cost certainty for the government, although the final cost will depend on the execution of the design and construction phases. Further analysis would require detailed cost breakdowns and comparisons to specific, comparable projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this procurement method generally fosters a competitive environment, which is intended to drive down prices and improve the quality of proposals. The open competition suggests that the Coast Guard sought the best value from the market.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for cost savings through a robust bidding process and encourages contractors to offer competitive pricing.

Public Impact

The U.S. Coast Guard will benefit from modernized facilities at the Curtis Bay Yard, improving operational efficiency and maintenance capabilities. Services delivered include demolition of existing structures, waterfront improvements, construction of new maintenance buildings, and site work. The geographic impact is concentrated at the Curtis Bay Yard in Maryland, a key operational and maintenance hub for the Coast Guard. The project will likely have implications for the construction workforce in the Maryland region, creating jobs and demand for skilled labor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for schedule delays given the multi-year duration and complexity of waterfront construction.
Risk of scope creep if design elements are not clearly defined and managed.
Dependence on the contractor's ability to manage subcontractors effectively for specialized tasks.
Environmental considerations related to demolition and waterfront work require careful monitoring.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Full and open competition suggests a competitive market was leveraged.
The contractor, Whiting-Turner Contracting Company, has a significant track record in large-scale construction projects.
The project addresses critical infrastructure needs for the U.S. Coast Guard.

Sector Analysis

This contract falls within the commercial and institutional building construction sector, a significant segment of the broader construction industry. Federal spending in this area often supports critical infrastructure for government agencies. The market for large-scale design-build projects is competitive, with established firms like Whiting-Turner often securing these types of awards. Benchmarking against similar federal construction projects indicates that the scale and value are typical for major facility upgrades.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. This suggests that the primary award went to a large contractor, and any involvement of small businesses would likely be through subcontracting opportunities managed by Whiting-Turner. Further investigation into the contractor's subcontracting plan would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will primarily be managed by the U.S. Coast Guard contracting and project management offices. As a Department of Homeland Security agency, the Coast Guard is subject to oversight from the DHS Office of Inspector General, which can investigate allegations of fraud, waste, and abuse. Transparency is expected through contract award notices and potentially through public reporting on project milestones, though detailed cost breakdowns may be proprietary.

Related Government Programs

USCG Base Support Contracts
Federal Military Construction Projects
Department of Homeland Security Infrastructure Modernization

Risk Flags

Potential for cost overruns if unforeseen site conditions arise during demolition or waterfront work.
Risk of schedule slippage due to the complexity and multi-year nature of the project.
Dependence on contractor's ability to manage subcontractors effectively.
Environmental compliance during demolition and waterfront construction.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $47.3 million to WHITING-TURNER CONTRACTING COMPANY, THE. DESIGN/BUILD PROJECT AT USCG YARD, CURTIS BAY MD, INCLUDES DEMOLITION OF 2 BUILDINGS, WATERFRONT WORK, CONSTRUCTION OF 2 BAY MAINTENANCE BUILDINGS, SITE WORK AND CONSTRUCT TRAVEL PLATFORM.

Who is the contractor on this award?

The obligated recipient is WHITING-TURNER CONTRACTING COMPANY, THE.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $47.3 million.

What is the period of performance?

Start: 2022-07-03. End: 2025-11-22.

What is Whiting-Turner Contracting Company's track record with similar federal design-build projects?

Whiting-Turner Contracting Company has a substantial history of executing large-scale federal construction projects, including design-build initiatives. They have a demonstrated capacity for managing complex projects across various sectors, such as military installations, research facilities, and institutional buildings. Their portfolio often includes projects with significant infrastructure components, similar to the waterfront and new building requirements of the Coast Guard's Curtis Bay project. While specific project details and performance metrics for all past federal contracts are not publicly itemized in a single database, their consistent award of major federal contracts suggests a generally positive performance record and the ability to meet government requirements. Reviewing their past performance on similar projects, particularly those involving waterfront construction or specialized facility development, would provide further insight into their capabilities and potential risks.

How does the $47.3 million cost compare to similar federal construction projects?

The $47.3 million award for the U.S. Coast Guard's design-build project at Curtis Bay Yard appears to be within the typical range for significant federal infrastructure upgrades. Benchmarking requires comparing projects of similar scope, complexity, and location. For instance, constructing new maintenance facilities, undertaking demolition, and performing waterfront work are all substantial cost drivers. Projects of this nature for military branches or other federal agencies often range from tens to hundreds of millions of dollars, depending on scale and specific requirements. The firm-fixed-price nature of this award provides a degree of cost control, but the ultimate value-for-money assessment would involve a detailed review of the design specifications, construction methods, and market conditions at the time of bidding. Without access to detailed cost breakdowns or a database of highly comparable, recent federal construction projects with identical specifications, a precise comparison is challenging, but the awarded amount is not an outlier for its type.

What are the primary risks associated with this design-build contract?

The primary risks associated with this design-build contract include potential schedule delays due to the complexity of waterfront construction and demolition activities, which are often subject to environmental regulations and unforeseen site conditions. Scope creep is another risk, particularly if the design phase is not meticulously managed, leading to changes or additions that increase costs or extend timelines. The firm-fixed-price contract, while beneficial for cost control, can also pose a risk to the contractor if unforeseen issues arise that significantly impact their profit margin, potentially leading to disputes or a focus on cost-cutting that could affect quality. Furthermore, reliance on subcontractors for specialized work introduces risks related to their performance, availability, and quality control. Effective risk mitigation will depend on robust project management, clear communication, and proactive identification and management of potential issues by both the Coast Guard and Whiting-Turner.

How effective is the full and open competition process likely to be in ensuring value for taxpayers?

The full and open competition process is generally considered the most effective method for ensuring value for taxpayers in federal contracting. By allowing all responsible sources to bid, it maximizes the pool of potential offerors, thereby increasing the likelihood of receiving competitive pricing and innovative solutions. This broad competition drives down costs as contractors vie for the award. For this $47.3 million U.S. Coast Guard project, open competition suggests that the agency sought to leverage market forces to obtain the best possible outcome. The effectiveness is further enhanced when the government clearly defines its requirements and evaluation criteria, allowing for a fair comparison of proposals. While the ultimate value is realized through successful project execution, the initial competitive bidding process lays a strong foundation for cost-effectiveness and taxpayer benefit.

What are the historical spending patterns for similar infrastructure projects at U.S. Coast Guard yards?

Historical spending patterns for infrastructure projects at U.S. Coast Guard yards typically reflect the agency's ongoing need to maintain and modernize its operational facilities, which are critical for its missions. Spending often focuses on areas such as piers, docks, maintenance buildings, housing, and administrative facilities. The scale of these projects can vary significantly, from minor repairs to major new construction efforts like the Curtis Bay Yard project. The U.S. Coast Guard, as part of the Department of Homeland Security, receives appropriations that fund these capital improvements. Analyzing past budgets and contract awards for similar yards (e.g., Alameda, Seattle, Portsmouth) would reveal trends in project types, average contract values, and the frequency of major infrastructure investments. These patterns are influenced by factors such as the age of existing facilities, evolving operational requirements, and available funding levels, often necessitating multi-year investments for significant upgrades.

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: 70Z04722RCGRADP00

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 E JOPPA RD, BALTIMORE, MD, 21286

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

Financial Breakdown

Contract Ceiling: $47,258,718

Exercised Options: $47,258,718

Current Obligation: $47,258,718

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z04718DWHITUR00

IDV Type: IDC

Timeline