DHS Coast Guard Awards $14.8M Design-Build Dive Locker in Honolulu to J.I. Garcia Construction

Contract Overview

Contract Amount: $14,860,862 ($14.9M)

Contractor: J. I. Garcia Construction, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2026-01-28

End Date: 2028-04-10

Contract Duration: 803 days

Daily Burn Rate: $18.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN-BUILD REGIONAL DIVE LOCKER (RDL) AT BASE HONOLULU, HONOLULU, HI

Place of Performance

Location: HONOLULU, HONOLULU County, HAWAII, 96819

State: Hawaii Government Spending

Plain-Language Summary

Department of Homeland Security obligated $14.9 million to J. I. GARCIA CONSTRUCTION, INC. for work described as: DESIGN-BUILD REGIONAL DIVE LOCKER (RDL) AT BASE HONOLULU, HONOLULU, HI Key points: 1. The contract is for a design-build project for a Regional Dive Locker. 2. J.I. Garcia Construction, Inc. is the awardee. 3. The project is located at Base Honolulu, Hawaii. 4. The contract value is $14,860,862. 5. The period of performance is 803 days.

Value Assessment

Rating: good

The contract value of $14.8 million for a design-build regional dive locker appears reasonable given the scope and location. Benchmarking against similar large-scale construction projects in Hawaii would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a limited competition. This method may impact price discovery compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being used for this construction project, with the final cost influenced by the competitive nature of the award.

Public Impact

Enhances U.S. Coast Guard operational capabilities in Honolulu. Supports critical diving and maritime safety infrastructure. Contributes to the local economy through construction activities. Ensures a modern facility for specialized Coast Guard operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector can vary significantly based on infrastructure needs and economic conditions. The $14.8M award is substantial for a single facility.

Small Business Impact

The awardee is J.I. Garcia Construction, Inc. Analysis of whether this is a small or large business is not provided in the data. Further investigation would be needed to determine small business participation.

Oversight & Accountability

The award process, including the 'Exclusion of Sources' aspect, warrants oversight to ensure fairness and adherence to procurement regulations. The firm fixed price contract offers some cost control.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-homeland-security, hi, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $14.9 million to J. I. GARCIA CONSTRUCTION, INC.. DESIGN-BUILD REGIONAL DIVE LOCKER (RDL) AT BASE HONOLULU, HONOLULU, HI

Who is the contractor on this award?

The obligated recipient is J. I. GARCIA CONSTRUCTION, INC..

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 $14.9 million.

What is the period of performance?

Start: 2026-01-28. End: 2028-04-10.

What specific criteria led to the exclusion of other sources in this 'Full and Open Competition After Exclusion of Sources' award?

The exclusion of sources typically occurs when specific capabilities, security clearances, or proprietary technologies are required, limiting the pool of eligible bidders. For a design-build project like a dive locker, this could relate to specialized design expertise, existing site knowledge, or unique construction methods necessary for the base's operational requirements. The contracting agency would need to justify this exclusion based on demonstrable needs.

How does the firm fixed price contract mitigate risks associated with the 803-day performance period for this design-build project?

A firm fixed price contract shifts most of the cost risk to the contractor, J.I. Garcia Construction, Inc. This means the government is obligated to pay the agreed-upon price regardless of the contractor's actual costs. For an 803-day performance period, this provides significant budget certainty for the U.S. Coast Guard. However, it places the burden on the contractor to accurately estimate all costs, including potential inflation, labor shortages, or material price fluctuations over the project's duration.

What is the expected impact of this new dive locker facility on the U.S. Coast Guard's operational effectiveness in the region?

The new Regional Dive Locker (RDL) is expected to significantly enhance the U.S. Coast Guard's operational effectiveness by providing a modern, purpose-built facility for dive operations. This likely includes improved training capabilities, better equipment maintenance and storage, and potentially increased readiness for underwater missions, search and rescue, and port security. A dedicated facility streamlines operations and supports the specialized needs of dive teams.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4717 E HEDGES AVE, FRESNO, CA, 93703

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

Financial Breakdown

Contract Ceiling: $14,860,862

Exercised Options: $14,860,862

Current Obligation: $14,860,862

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z04724DPCNI0007

IDV Type: IDC

Timeline

Start Date: 2026-01-28

Current End Date: 2028-04-10

Potential End Date: 2028-04-10 04:34:11

Last Modified: 2026-01-28

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