NOAA Ship & Repair Facility Contract Awarded to Skanska USA for $147.5M
Contract Overview
Contract Amount: $147,474,395 ($147.5M)
Contractor: Skanska USA Civil Northeast Inc
Awarding Agency: Department of Defense
Start Date: 2023-12-05
End Date: 2027-07-24
Contract Duration: 1,327 days
Daily Burn Rate: $111.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: NOAA OMAO SHIP & REPAIR FACILITY
Place of Performance
Location: NEWPORT, NEWPORT County, RHODE ISLAND, 02841
Plain-Language Summary
Department of Defense obligated $147.5 million to SKANSKA USA CIVIL NORTHEAST INC for work described as: NOAA OMAO SHIP & REPAIR FACILITY Key points: 1. Significant investment in critical maritime infrastructure. 2. Skanska USA Civil Northeast Inc. secured the contract. 3. Full and open competition was utilized. 4. Contract duration is 1327 days.
Value Assessment
Rating: good
The contract value of $147.5 million for heavy civil engineering construction appears reasonable given the scope and duration. Benchmarking against similar large-scale maritime facility projects would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition suggests a robust price discovery process. This method typically leads to more competitive pricing by allowing all qualified vendors to bid.
Taxpayer Impact: Taxpayer funds are being utilized for a critical national asset, with competition aiming to ensure value for money.
Public Impact
Enhances NOAA's operational capabilities for research and weather monitoring. Supports economic activity in Rhode Island through construction and related services. Contributes to the modernization of federal maritime infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large-scale construction projects.
- Dependence on a single prime contractor for complex facility development.
Positive Signals
- Utilizes full and open competition, promoting fairness.
- Firm fixed price contract provides cost certainty.
- Strategic investment in NOAA's infrastructure.
Sector Analysis
This contract falls under heavy and civil engineering construction, a sector characterized by large-scale projects and significant capital investment. Benchmarks for similar government-funded maritime facilities would be relevant for detailed cost analysis.
Small Business Impact
The data indicates the prime contractor is Skanska USA Civil Northeast Inc., a large entity. There is no explicit information on small business subcontracting participation in this award notice.
Oversight & Accountability
The Department of the Navy awarded this contract, implying oversight from a major federal agency. Further details on specific oversight mechanisms and performance monitoring would be beneficial.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Large contract value increases financial risk.
- Construction projects are inherently subject to delays and cost overruns.
- Dependence on a single prime contractor.
- Potential for supply chain disruptions impacting material availability.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, ri, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $147.5 million to SKANSKA USA CIVIL NORTHEAST INC. NOAA OMAO SHIP & REPAIR FACILITY
Who is the contractor on this award?
The obligated recipient is SKANSKA USA CIVIL NORTHEAST INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $147.5 million.
What is the period of performance?
Start: 2023-12-05. End: 2027-07-24.
What is the estimated economic impact on the local Rhode Island economy from this construction project?
The construction of the NOAA Ship & Repair Facility is expected to generate significant economic activity in Rhode Island. This includes job creation for skilled trades, demand for local materials and services, and potential long-term benefits from enhanced NOAA operations. A detailed economic impact study would quantify these effects more precisely.
What are the primary risks associated with the construction timeline and potential delays?
Key risks include unforeseen site conditions, weather disruptions, supply chain issues for specialized materials, and labor availability. Delays could impact NOAA's operational readiness and potentially increase costs if not managed effectively through robust project management and contingency planning.
How will the effectiveness of the new facility be measured post-completion?
Effectiveness will likely be measured by the facility's ability to support NOAA's ship maintenance and repair needs efficiently, reduce downtime for critical vessels, and accommodate future technological advancements. Performance metrics could include turnaround times, cost savings in repairs, and the successful integration of new technologies.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N4008523R2527
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 75-20 ASTORIA BLVD STE 200, EAST ELMHURST, NY, 11370
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $152,369,484
Exercised Options: $149,658,416
Current Obligation: $147,474,395
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-12-05
Current End Date: 2027-07-24
Potential End Date: 2027-07-24 00:00:00
Last Modified: 2026-04-14
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