GSA's $27.3M Jackman, ME Land Port of Entry Construction Contract Awarded to J.C.N. Construction

Contract Overview

Contract Amount: $27,333,358 ($27.3M)

Contractor: J.C.N. Construction CO., Inc.

Awarding Agency: General Services Administration

Start Date: 2008-01-15

End Date: 2011-01-31

Contract Duration: 1,112 days

Daily Burn Rate: $24.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION OF NEW LAND PORT OF ENTRY, JACKMAN, MAINE

Place of Performance

Location: JACKMAN, SOMERSET County, MAINE, 04945

State: Maine Government Spending

Plain-Language Summary

General Services Administration obligated $27.3 million to J.C.N. CONSTRUCTION CO., INC. for work described as: CONSTRUCTION OF NEW LAND PORT OF ENTRY, JACKMAN, MAINE Key points: 1. Contract awarded for a significant infrastructure project, indicating substantial federal investment in border security and trade facilitation. 2. The project's duration of over 1000 days suggests a complex build requiring extensive planning and execution. 3. Fixed-price contract type aims to control costs, but potential for change orders exists in long-term construction. 4. The award value of $27.3M positions this as a major construction undertaking for the region. 5. The exclusion of sources in the competition method warrants further investigation into the rationale and potential impact on pricing. 6. The project is located in Maine, highlighting federal investment in northern border infrastructure.

Value Assessment

Rating: fair

The contract value of $27.3 million for the construction of a new land port of entry is substantial. Benchmarking this against similar large-scale federal construction projects would be necessary for a precise value-for-money assessment. The fixed-price contract type suggests an attempt to cap costs, but the long duration (1112 days) increases the risk of cost overruns due to unforeseen issues or change orders. Without specific cost breakdowns or comparisons to similar projects, it's difficult to definitively assess if the price represents excellent value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while the competition was intended to be open, certain sources were excluded, suggesting a non-standard procurement process. The number of bidders is not specified, making it difficult to assess the level of competition. This limited competition could potentially lead to less competitive pricing compared to a fully open and unrestricted solicitation.

Taxpayer Impact: The exclusion of sources may have limited the number of potential bidders, potentially resulting in a higher price for taxpayers than if all qualified sources had been allowed to compete.

Public Impact

Benefits: Enhanced border security, improved efficiency for trade and travel at the Jackman, Maine port of entry. Services Delivered: Construction of a new, modern land port of entry facility. Geographic Impact: Primarily impacts the state of Maine and the Canada-US border crossing at Jackman. Workforce Implications: Creation of construction jobs during the project's duration, and long-term employment at the operational port of entry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about potential price inflation and reduced innovation.
Long project duration increases the risk of cost overruns and schedule delays.
The exclusion of sources needs clear justification to ensure fairness and optimal use of taxpayer funds.

Positive Signals

Fixed-price contract type provides cost certainty for the base scope of work.
Awarding a contract for a new land port of entry signifies a commitment to critical infrastructure.
The project addresses a specific need for modernized border facilities.

Sector Analysis

This contract falls within the Construction sector, specifically commercial and institutional building construction. The federal government is a significant consumer of construction services for infrastructure projects like ports of entry, federal buildings, and military installations. The market for large-scale government construction is competitive, but procurement processes, especially those with exclusions, can influence market dynamics and pricing. Comparable spending benchmarks would involve analyzing other large federal construction projects, particularly those for border infrastructure.

Small Business Impact

The provided data indicates that small business participation (sb) was false, and there is no mention of small business set-asides. This suggests that the contract was not specifically targeted towards small businesses, and larger firms likely dominated the bidding process. Subcontracting opportunities for small businesses may exist, but they are not explicitly detailed in this award information. The impact on the small business ecosystem would likely be indirect, through potential subcontracting roles rather than direct prime contract awards.

Oversight & Accountability

Oversight for this contract would typically fall under the General Services Administration (GSA), specifically its Public Buildings Service. Mechanisms likely include contract performance monitoring, site inspections, and financial reviews. Accountability measures would be tied to the contract terms, including adherence to schedule, budget, and quality standards. Transparency is generally facilitated through contract award databases and public reporting, though specific oversight details for this project are not provided. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Port of Entry Modernization Projects
GSA Public Buildings Construction Contracts
Border Infrastructure Investment
Department of Homeland Security (DHS) Facilities

Risk Flags

Limited Competition
Long Project Duration
Potential for Cost Overruns
Exclusion of Sources

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $27.3 million to J.C.N. CONSTRUCTION CO., INC.. CONSTRUCTION OF NEW LAND PORT OF ENTRY, JACKMAN, MAINE

Who is the contractor on this award?

The obligated recipient is J.C.N. CONSTRUCTION CO., INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $27.3 million.

What is the period of performance?

Start: 2008-01-15. End: 2011-01-31.

What was the specific justification for excluding certain sources in the competition for the Jackman, Maine Land Port of Entry construction?

The justification for excluding certain sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement method is not detailed in the provided award data. Typically, such exclusions are based on specific technical requirements, past performance issues with certain contractors, national security concerns, or the need to leverage unique capabilities possessed by a limited number of firms. Without further documentation from the GSA's procurement file, the precise reasons remain unknown. This lack of transparency can raise questions about whether the exclusion truly served the government's best interest or potentially limited competition unnecessarily, impacting price discovery and potentially leading to higher costs for taxpayers.

How does the $27.3 million award compare to the estimated cost or budget for this land port of entry project?

The provided data states the award amount is $27,333,358. However, it does not include information about the initial estimated cost or the allocated budget for the project. Therefore, a direct comparison to determine if the award was over, under, or on budget is not possible with the given data. Understanding the initial cost estimates and any subsequent adjustments would be crucial for assessing the financial management and value for money of this construction contract. Without this context, it's difficult to gauge the success of the procurement in terms of cost control.

What are the key performance indicators (KPIs) used to measure the success of the construction of the new land port of entry?

Key performance indicators for a construction project of this magnitude typically include adherence to the project schedule (on-time completion), staying within budget (cost control), quality of workmanship and materials, safety record during construction, and successful final inspection and handover. For a land port of entry, additional KPIs might relate to the functionality of the completed facility, its capacity to handle projected traffic volumes, and its integration with operational security and customs systems. The contract documents themselves would outline the specific KPIs and acceptance criteria that J.C.N. Construction Co., Inc. was required to meet.

What is the track record of J.C.N. Construction Co., Inc. with federal construction contracts, particularly large infrastructure projects?

Information regarding the specific track record of J.C.N. Construction Co., Inc. with federal construction contracts, especially large infrastructure projects, is not included in the provided award data. A comprehensive assessment would require reviewing their past performance on similar government contracts, including their history of on-time delivery, budget adherence, quality of work, and any past disputes or contract terminations. Federal procurement systems often maintain performance records, and a deeper dive into these databases would be necessary to evaluate their suitability and reliability as a contractor for a project of this scale and importance.

What are the potential risks associated with a fixed-price contract for a project with a duration of over three years?

Fixed-price contracts are generally favored for cost control, but for long-duration projects like this 1112-day construction, significant risks can emerge. The primary risk is that unforeseen circumstances, such as material price escalations, labor shortages, unexpected site conditions (e.g., environmental issues, subsurface problems), or changes in regulatory requirements, can significantly increase the contractor's costs. If these costs exceed what was anticipated under the fixed price, the contractor may seek change orders, potentially negating the cost-saving benefits of the contract type. Conversely, if the contractor manages costs exceptionally well, they could realize higher profit margins. The long duration amplifies the potential for such economic fluctuations and unforeseen events.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: GS-01P-07-BZ-C-0012

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 155 DOW ST STE 301, MANCHESTER, NH, 01

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,581,137

Exercised Options: $27,333,358

Current Obligation: $27,333,358

Contract Characteristics

Cost or Pricing Data: YES

Timeline