Coast Guard awards $34.6M for academy renovations, highlighting need for facility modernization

Contract Overview

Contract Amount: $34,619,741 ($34.6M)

Contractor: Whiting-Turner Contracting Company, the

Awarding Agency: Department of Homeland Security

Start Date: 2024-01-03

End Date: 2027-01-08

Contract Duration: 1,101 days

Daily Burn Rate: $31.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN BUILD CHASE HALL BARRACKS ANNEX D MID-LIFE RENOVATIONS PHASE VI, AT U.S. COAST GUARD ACADEMY, NEW LONDON, CT.

Place of Performance

Location: NEW LONDON, NEW LONDON County, CONNECTICUT, 06320

State: Connecticut Government Spending

Plain-Language Summary

Department of Homeland Security obligated $34.6 million to WHITING-TURNER CONTRACTING COMPANY, THE for work described as: DESIGN BUILD CHASE HALL BARRACKS ANNEX D MID-LIFE RENOVATIONS PHASE VI, AT U.S. COAST GUARD ACADEMY, NEW LONDON, CT. Key points: 1. Contract awarded for critical infrastructure upgrades at the U.S. Coast Guard Academy. 2. Project focuses on mid-life renovations for existing facilities, indicating a need for sustained investment. 3. The contract utilizes a firm-fixed-price structure, transferring some risk to the contractor. 4. Competition was full and open, suggesting a robust bidding process. 5. The duration of the contract (1101 days) reflects the complexity of the renovation work. 6. Geographic focus on Connecticut for a key federal training facility.

Value Assessment

Rating: good

The contract value of $34.6 million for the renovation of the Chase Hall Barracks Annex D appears reasonable given the scope of mid-life renovations and the firm-fixed-price nature of the award. Benchmarking against similar large-scale institutional building construction projects suggests that costs are within expected ranges, especially considering the specialized requirements of a federal academy. The absence of significant cost overruns in the contractor's past performance, where available, further supports a 'good' value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple qualified contractors had the opportunity to bid. The specific number of bidders is not provided, but the 'full and open' designation suggests a competitive environment that should drive price discovery and potentially lead to more favorable pricing for the government. This approach is generally preferred for ensuring market-based pricing and access to the widest range of capabilities.

Taxpayer Impact: A full and open competition allows taxpayers to benefit from potentially lower prices due to contractor rivalry. It also ensures that the government selects the most capable contractor for the job, minimizing risks of poor performance and associated costs.

Public Impact

Cadets and staff at the U.S. Coast Guard Academy in New London, CT, will benefit from modernized living and working spaces. The project delivers essential renovations to the Chase Hall Barracks Annex D, improving infrastructure. The geographic impact is concentrated in New London, Connecticut, supporting local construction jobs. The renovation work will likely involve a significant construction workforce, providing employment opportunities in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for construction delays impacting academy operations.
Ensuring compliance with historical building preservation standards if applicable.
Managing the logistics of construction within an active training facility.

Positive Signals

Firm-fixed-price contract helps control costs.
Full and open competition suggests a competitive bidding process.
Contractor has experience in large-scale construction projects.
Project addresses critical infrastructure needs for a federal training institution.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a vital part of the broader construction industry. This sector encompasses the building of facilities such as educational institutions, government buildings, and barracks. The U.S. Coast Guard Academy's need for renovations highlights the ongoing demand for modernization and maintenance of existing federal infrastructure. Spending in this sector is often driven by government capital improvement plans and the need to maintain operational readiness of key facilities.

Small Business Impact

The contract was awarded under full and open competition and does not indicate a small business set-aside. While the prime contractor, Whiting-Turner Contracting Company, is a large entity, there may be opportunities for small businesses to participate as subcontractors. The extent of small business subcontracting will depend on the prime contractor's strategy and the specific needs of the renovation project. Further analysis would be needed to determine the specific impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Coast Guard, a component of the Department of Homeland Security. The firm-fixed-price nature of the contract provides a degree of cost certainty. Accountability measures will be embedded in the contract terms, including performance standards and delivery schedules. Transparency is generally maintained through contract award announcements and reporting requirements, though specific oversight details are not provided in the data.

Related Government Programs

Federal Building and Facilities Construction
Military and Government Housing Construction
Infrastructure Modernization Projects
Department of Homeland Security Capital Improvements

Risk Flags

Potential for cost overruns due to unforeseen site conditions.
Risk of schedule delays impacting academy operations.
Ensuring adequate quality control throughout the renovation process.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $34.6 million to WHITING-TURNER CONTRACTING COMPANY, THE. DESIGN BUILD CHASE HALL BARRACKS ANNEX D MID-LIFE RENOVATIONS PHASE VI, AT U.S. COAST GUARD ACADEMY, NEW LONDON, CT.

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 $34.6 million.

What is the period of performance?

Start: 2024-01-03. End: 2027-01-08.

What is the track record of Whiting-Turner Contracting Company on similar federal projects?

Whiting-Turner Contracting Company has a substantial track record in federal construction, including projects for various government agencies. While specific details for this exact type of renovation at a Coast Guard facility are not provided, their portfolio typically includes large-scale commercial, institutional, and government buildings. Past performance data, often available through federal procurement databases, would be crucial for a detailed assessment. Generally, large contractors like Whiting-Turner are expected to have robust project management capabilities and experience navigating federal contracting requirements. Their history on similar projects would indicate their ability to manage complex renovations, adhere to schedules, and control costs within the firm-fixed-price framework.

How does the awarded amount compare to the estimated cost or budget for this project?

The provided data indicates an awarded amount of $34,619,741. Without access to the government's initial cost estimate or budget allocation for the 'DESIGN BUILD CHASE HALL BARRACKS ANNEX D MID-LIFE RENOVATIONS PHASE VI' project, a direct comparison is not possible. However, the fact that it was awarded under full and open competition suggests that the bids received were competitive. If the awarded amount is significantly below the government's estimate, it could indicate strong competition or favorable market conditions. Conversely, if it's at or above the estimate, it might suggest that the project scope is extensive or that market prices for construction services are high. A detailed budget analysis would require access to the government's pre-solicitation estimates.

What are the primary risks associated with a mid-life renovation of a barracks annex?

Mid-life renovations of barracks annexes present several key risks. Firstly, unforeseen structural issues or hazardous materials (like asbestos or lead paint) may be discovered once demolition begins, leading to scope changes and cost increases, even in a firm-fixed-price contract if not adequately accounted for in contingency. Secondly, the project's proximity to an active training facility can lead to logistical challenges, noise complaints, and potential disruptions to daily operations, impacting schedules. Thirdly, ensuring that the renovated facilities meet current building codes, accessibility standards (ADA), and energy efficiency requirements, while potentially respecting historical architectural elements, can be complex. Finally, the duration of the project (1101 days) increases the risk of material price fluctuations or labor shortages impacting the contractor's ability to maintain the fixed price.

What is the historical spending trend for facility maintenance and renovation at the U.S. Coast Guard Academy?

Analyzing historical spending trends for facility maintenance and renovation at the U.S. Coast Guard Academy is essential to contextualize this $34.6 million award. Without specific historical data, we can infer that federal training institutions like the Academy require continuous investment to maintain aging infrastructure and adapt to evolving operational needs. This 'Phase VI' renovation suggests a multi-year, potentially phased approach to upgrading facilities, implying a pattern of ongoing capital investment rather than a one-off expenditure. Trends in federal infrastructure spending, particularly within the Department of Homeland Security and its components like the Coast Guard, would provide broader context. Consistent funding for such projects is crucial for ensuring the long-term viability and effectiveness of the Academy's training capabilities.

How does the firm-fixed-price contract type influence contractor performance and government oversight?

A firm-fixed-price (FFP) contract type, as used here, establishes a total price that is not subject to adjustment based on the contractor's cost experience. This places the primary risk of cost overruns on the contractor, incentivizing them to manage costs efficiently and complete the project within budget. For the government, this offers price certainty. However, it also necessitates robust oversight to ensure the contractor is meeting quality standards and contract requirements, as the government cannot easily adjust the price if issues arise. The government's role shifts from cost monitoring to ensuring performance, scope adherence, and quality control. The contractor is motivated to perform efficiently to maximize profit but may be tempted to cut corners if oversight is lax, making thorough inspection and progress monitoring critical.

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

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: $34,619,741

Exercised Options: $34,619,741

Current Obligation: $34,619,741

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