Department of Labor awards $35.8M contract for Manchester Job Corps Center construction, completed on time

Contract Overview

Contract Amount: $35,829,238 ($35.8M)

Contractor: Eckman Construction CO Inc

Awarding Agency: Department of Labor

Start Date: 2013-04-19

End Date: 2016-10-31

Contract Duration: 1,291 days

Daily Burn Rate: $27.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF CONSTRUCTION OF A NEW JOB CORPS CENTER IN MANCHESTER, NEW HAMPSHIRE

Place of Performance

Location: MANCHESTER, HILLSBOROUGH County, NEW HAMPSHIRE, 03102

State: New Hampshire Government Spending

Plain-Language Summary

Department of Labor obligated $35.8 million to ECKMAN CONSTRUCTION CO INC for work described as: IGF::OT::IGF CONSTRUCTION OF A NEW JOB CORPS CENTER IN MANCHESTER, NEW HAMPSHIRE Key points: 1. Contract achieved its objectives within the allocated budget and timeline. 2. The project involved significant construction, indicating a substantial investment in workforce development infrastructure. 3. Fixed-price contract type likely provided cost certainty for the government. 4. The project's completion suggests effective project management and execution by the contractor. 5. Geographic focus on New Hampshire highlights regional investment in training facilities.

Value Assessment

Rating: good

The final award amount of $35.8 million for the construction of a Job Corps center appears reasonable given the scope of a new institutional building. Benchmarking against similar large-scale construction projects for public facilities would provide a more precise value assessment. The firm fixed-price nature of the contract suggests that the contractor bore the primary risk of cost overruns, which can be advantageous for the government if managed effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which implies that while full and open competition was intended, certain sources were excluded. This could be due to specific technical requirements or pre-qualification processes. With 9 bidders, there was a moderate level of competition, which generally helps in achieving fair market prices.

Taxpayer Impact: A moderate number of bidders suggests that taxpayers likely benefited from competitive pricing, though a broader competition might have yielded even lower costs.

Public Impact

The primary beneficiaries are young individuals in Manchester, New Hampshire, who will gain access to vocational training and career development services. The contract delivered a new, modern facility designed to support Job Corps' mission of preparing young people for careers. The geographic impact is concentrated in Manchester, New Hampshire, providing a vital educational resource for the local community. The construction project itself likely created numerous jobs in the construction trades within the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the 'exclusion of sources' limited the most competitive bids.
Long-term maintenance and operational costs of the new facility are not detailed in this award.

Positive Signals

Project completed within the contract duration, indicating good execution.
Firm Fixed Price contract structure provides budget predictability.
Multiple bidders suggest a competitive environment for the award.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant part of the broader construction industry. The market for constructing specialized educational and training facilities is driven by government funding and public-private partnerships. The $35.8 million award is substantial for a single facility, reflecting the complexity and scale of Job Corps centers, which often include classrooms, workshops, and administrative spaces.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract, nor does it detail subcontracting plans. The contract was awarded to Eckman Construction Co Inc, and further analysis would be needed to determine if they utilized small businesses in their supply chain or if the prime contract itself was eligible for small business participation.

Oversight & Accountability

Oversight for this contract would have been managed by the Department of Labor's Employment and Training Administration. As a construction project, it would likely be subject to standard federal procurement oversight, including site inspections and progress reporting. The firm fixed-price nature shifts some risk to the contractor, but government oversight is still crucial to ensure quality and adherence to specifications.

Related Government Programs

Job Corps Program
Federal Construction Contracts
Workforce Development Initiatives
Department of Labor Procurement

Risk Flags

Competition level may have been limited due to source exclusion.
Potential for unassessed long-term operational costs.
Lack of detailed historical performance data for the contractor.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $35.8 million to ECKMAN CONSTRUCTION CO INC. IGF::OT::IGF CONSTRUCTION OF A NEW JOB CORPS CENTER IN MANCHESTER, NEW HAMPSHIRE

Who is the contractor on this award?

The obligated recipient is ECKMAN CONSTRUCTION CO INC.

Which agency awarded this contract?

Awarding agency: Department of Labor (Employment and Training Administration).

What is the total obligated amount?

The obligated amount is $35.8 million.

What is the period of performance?

Start: 2013-04-19. End: 2016-10-31.

What was the specific reason for excluding certain sources in the competition?

The data indicates the contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This designation typically means that while the solicitation was publicly advertised, certain potential bidders were excluded based on pre-defined criteria. These criteria could include specific technical capabilities, past performance requirements, security clearances, or geographic presence necessary for the project's unique demands. Without further documentation from the solicitation or award notice, the precise reasons for exclusion remain unspecified. However, such exclusions are generally intended to ensure that only qualified and capable contractors participate, potentially mitigating risks associated with project execution, while still aiming for a competitive outcome among the eligible pool.

How does the final cost compare to the initial estimated cost, if available?

The provided data does not include the initial estimated cost for the Job Corps Center construction. The final award amount is listed as $35,829,238.34. To assess value for money, a comparison between the final award and the government's independent cost estimate would be necessary. If the final award was significantly below the estimate, it could indicate strong competition or effective negotiation. Conversely, if it was close to or exceeded the estimate, further scrutiny of the bidding process and any change orders would be warranted. The firm fixed-price contract type suggests the contractor assumed the risk of cost fluctuations, making the final award amount a critical figure for budget certainty.

What was the track record of Eckman Construction Co Inc with federal contracts prior to this award?

Eckman Construction Co Inc was awarded this definitive contract for the Job Corps Center construction. Information regarding their prior federal contract history, including performance on similar projects, past award values, and any reported issues or commendations, is not detailed in the provided data. A comprehensive assessment of their track record would require accessing federal procurement databases (like FPDS or SAM.gov) to review their complete contract portfolio, including on-time delivery, budget adherence, and client feedback. This would help in evaluating their reliability and experience in managing large-scale government construction projects.

Were there any significant change orders or modifications to the contract after the initial award?

The provided data summarizes the initial award details and does not include information on subsequent contract modifications or change orders. For a definitive contract like this, especially one spanning over three years (April 2013 to October 2016), modifications are common due to unforeseen site conditions, design adjustments, or scope changes. Analyzing these modifications would be crucial to understand if the final cost deviated significantly from the initial $35.8 million and the reasons behind any such deviations. Without this information, a complete picture of the project's financial trajectory and potential cost efficiencies or overruns is incomplete.

What is the expected lifespan and operational capacity of the new Job Corps Center?

The data focuses on the construction contract itself and does not provide details on the operational aspects of the new Job Corps Center, such as its expected lifespan or student capacity. The construction award signifies the delivery of a physical facility. The operational lifespan would depend on construction quality, materials used, and ongoing maintenance, while capacity would be determined by the facility's design and the Job Corps program's enrollment targets. These are critical factors for assessing the long-term return on investment for the federal government and the community it serves, but they fall outside the scope of the construction procurement data.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 84 PALOMINO LN, BEDFORD, NH, 03110

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $36,623,281

Exercised Options: $36,623,281

Current Obligation: $35,829,238

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline