Haskell Company awarded $22.4M for Coast Guard Homeport Build-Out, a significant construction project

Contract Overview

Contract Amount: $22,367,688 ($22.4M)

Contractor: THE Haskell Company

Awarding Agency: Department of Homeland Security

Start Date: 2016-08-12

End Date: 2020-05-27

Contract Duration: 1,384 days

Daily Burn Rate: $16.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGFBASE HONO NSC HOMEPORT BUILD-OUT

Place of Performance

Location: HONOLULU, HONOLULU County, HAWAII, 96819

State: Hawaii Government Spending

Plain-Language Summary

Department of Homeland Security obligated $22.4 million to THE HASKELL COMPANY for work described as: IGF::OT::IGFBASE HONO NSC HOMEPORT BUILD-OUT Key points: 1. The contract value represents a substantial investment in maritime infrastructure. 2. Full and open competition suggests a potentially competitive bidding process. 3. The fixed-price contract type aims to control costs for the government. 4. The project duration of over three years indicates a complex undertaking. 5. The award to a single contractor, Haskell Company, warrants scrutiny of their capacity and past performance. 6. The project's location in Hawaii may present unique logistical and cost considerations.

Value Assessment

Rating: fair

Benchmarking the value of this construction contract is challenging without specific details on the scope of work and market conditions in Hawaii during the award period (2016-2020). However, the total award of $22.4 million for a build-out project suggests a significant investment. Comparing this to similar large-scale commercial or institutional building projects in the region would be necessary for a more precise value assessment. The fixed-price nature of the contract provides some cost certainty, but the final cost could still fluctuate based on change orders or unforeseen issues.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. While the data shows two bids were received, the number of bidders is relatively low for a project of this magnitude. A higher number of bids typically suggests more robust competition, which can lead to better pricing for the government. The limited number of bids here might suggest barriers to entry or a specialized market.

Taxpayer Impact: A competitive bidding process, even with a limited number of bidders, is generally favorable for taxpayers as it encourages contractors to offer their best pricing to secure the contract.

Public Impact

The U.S. Coast Guard will benefit from improved facilities at its Hawaii homeport. The project delivers essential infrastructure for maritime operations and personnel. The geographic impact is localized to Hawaii, supporting regional Coast Guard readiness. The construction activities likely created temporary employment opportunities in the local workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited number of bids received (2) for a large construction project.
Potential for cost overruns if unforeseen issues arise during the multi-year build-out.
Dependence on a single contractor for project completion.

Positive Signals

Awarded under full and open competition, allowing broad participation.
Fixed-price contract type helps to control costs.
Project addresses critical infrastructure needs for the U.S. Coast Guard.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. The U.S. government is a significant consumer of construction services, awarding billions annually for a wide range of facilities, from military bases to administrative offices. Projects like this build-out are crucial for maintaining and upgrading the nation's infrastructure. Comparable spending benchmarks would involve analyzing other large-scale construction contracts awarded by federal agencies for similar types of facilities, considering regional cost variations.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses. This suggests that the primary award went to a large business. Further investigation would be needed to determine if any subcontracting opportunities were mandated or voluntarily pursued by the prime contractor to engage the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Coast Guard contracting office and potentially the Department of Homeland Security's Office of Inspector General. Transparency is facilitated through contract award databases like FPDS. Accountability measures are inherent in the fixed-price contract terms, with penalties or remedies for non-performance. The IG's role would be to audit and investigate any potential fraud, waste, or abuse related to the contract.

Related Government Programs

Department of Defense Construction Contracts
Federal Building and Facilities Construction
U.S. Coast Guard Infrastructure Projects
Maritime Facility Construction

Risk Flags

Limited competition indicated by low bid count.
Potential for cost escalation in fixed-price, long-duration contracts.
Geographic challenges in Hawaii may impact cost and schedule.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $22.4 million to THE HASKELL COMPANY. IGF::OT::IGFBASE HONO NSC HOMEPORT BUILD-OUT

Who is the contractor on this award?

The obligated recipient is THE HASKELL COMPANY.

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 $22.4 million.

What is the period of performance?

Start: 2016-08-12. End: 2020-05-27.

What was the specific scope of work for the Homeport Build-Out project?

The provided data does not detail the specific scope of work for the "IGF::OT::IGFBASE HONO HOMEPORT BUILD-OUT" contract. However, the designation "Build-Out" generally implies the construction or significant renovation of an existing structure to meet specific operational needs. For a U.S. Coast Guard homeport, this could include administrative buildings, maintenance facilities, berthing areas, security infrastructure, and support services. The "HAWAII" location suggests it pertains to a facility in that state. A comprehensive understanding would require reviewing the original contract statement of work (SOW) and any subsequent modifications.

How does the $22.4 million contract value compare to similar Coast Guard construction projects?

Directly comparing the $22.4 million award to similar U.S. Coast Guard construction projects requires access to a broader dataset of historical contracts, including their scope, location, and award dates. Without this comparative data, it's difficult to definitively state whether this project was high, low, or average in cost. Factors such as the specific type of facility being built or renovated, the complexity of the work, and prevailing construction costs in Hawaii during the 2016-2020 period would significantly influence the value. The limited number of bids (2) also makes it harder to assess if the price was competitive.

What are the potential risks associated with a fixed-price contract for a multi-year construction project?

While fixed-price contracts are designed to provide cost certainty, they carry risks for both the government and the contractor, especially for long-duration projects like this multi-year build-out. For the government, the primary risk is that the contractor may cut corners on quality to maintain profitability if costs escalate unexpectedly. Conversely, the contractor bears the risk of cost overruns due to unforeseen site conditions, material price increases, labor shortages, or scope creep. If the contractor underestimated the project's complexity or market fluctuations, they could incur significant losses. Effective project management, clear specifications, and robust oversight are crucial to mitigate these risks.

What is the significance of the project being located in Hawaii?

Locating a major construction project in Hawaii presents unique logistical and cost considerations. The state's island geography often leads to higher costs for materials, equipment, and skilled labor due to transportation expenses and limited local availability. Furthermore, environmental regulations and permitting processes in Hawaii can be complex and time-consuming. These factors can influence project timelines and overall costs. The U.S. Coast Guard's presence in Hawaii is strategically important for maritime security in the Pacific, making infrastructure investments there critical despite potential challenges.

What does the low number of bids (2) suggest about the competition for this contract?

A low number of bids, such as the two received for this $22.4 million construction contract, can suggest several possibilities. It might indicate that the market for this specific type of construction service in Hawaii is limited, with only a few qualified contractors possessing the necessary expertise and capacity. Alternatively, it could imply that the bidding process had high barriers to entry, such as stringent pre-qualification requirements, complex proposal demands, or a short solicitation period. From a taxpayer perspective, fewer bidders generally translate to less price competition, potentially leading to a higher contract award price than if more firms had competed.

What is the track record of The Haskell Company in federal contracting?

The provided data identifies "THE HASKELL COMPANY" as the contractor for this $22.4 million U.S. Coast Guard project. To assess their track record, one would need to examine their broader federal contracting history, including the number and value of previous awards, their performance ratings on past contracts, and any history of contract disputes or terminations. A review of contract databases and performance assessment systems would reveal their experience with similar types of construction projects, their ability to deliver on time and within budget, and their overall reliability as a government contractor.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 111 RIVERSIDE AVE, JACKSONVILLE, FL, 32202

Business Categories: Category Business, Not Designated a Small Business, Subchapter S Corporation

Financial Breakdown

Contract Ceiling: $22,367,688

Exercised Options: $22,367,688

Current Obligation: $22,367,688

Subaward Activity

Number of Subawards: 32

Total Subaward Amount: $12,302,183

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSCG4709D3EFK20

IDV Type: IDC

Timeline