Haskell Company awarded $30M for austere environment cold water training facility construction

Contract Overview

Contract Amount: $29,885,827 ($29.9M)

Contractor: THE Haskell Company

Awarding Agency: Department of Defense

Start Date: 2024-09-03

End Date: 2026-08-10

Contract Duration: 706 days

Daily Burn Rate: $42.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PQ502 CONSTRUCTION SOF COLD WATER TRAINING AUSTERE ENVIRONMENT FA

Place of Performance

Location: KEYPORT, KITSAP County, WASHINGTON, 98345

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $29.9 million to THE HASKELL COMPANY for work described as: PQ502 CONSTRUCTION SOF COLD WATER TRAINING AUSTERE ENVIRONMENT FA Key points: 1. Contract value appears reasonable for a specialized construction project of this nature. 2. Full and open competition suggests a potentially competitive bidding process. 3. Fixed-price contract type mitigates cost overrun risk for the government. 4. Project duration of approximately two years aligns with typical construction timelines. 5. Facility is intended for austere environments, indicating specialized design and material requirements. 6. Location in Washington state may influence labor and material costs.

Value Assessment

Rating: good

The contract value of approximately $30 million for the construction of a cold water training facility in an austere environment seems within a reasonable range for specialized government construction projects. Benchmarking against similar Department of Defense construction contracts for training facilities, especially those requiring specific environmental adaptations, would provide a more precise value-for-money assessment. The firm fixed-price structure is generally favorable for the government, as it caps the contractor's potential earnings and shifts cost overrun risks.

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 offers. With five bids received, the competition level suggests a healthy market interest in this type of specialized construction. This level of competition is generally expected to drive more competitive pricing and potentially lead to better value for the government compared to sole-source or limited competition awards.

Taxpayer Impact: The full and open competition process, with multiple bidders, likely resulted in a more favorable price for taxpayers by encouraging competitive bidding and potentially lowering the final contract cost.

Public Impact

The primary beneficiaries are U.S. Navy personnel who will utilize the training facility. The facility will provide critical cold water immersion and survival training capabilities. The project's geographic impact is localized to the construction site in Washington state. The construction will likely involve local labor and material suppliers, providing economic stimulus. Enhanced training capabilities can improve operational readiness and personnel safety.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for unforeseen site conditions in an 'austere environment' could lead to scope creep or delays.
Reliance on specific materials or technologies for cold water environments might present supply chain risks.
Coordination with military operations at the training site could introduce scheduling complexities.

Positive Signals

Firm fixed-price contract limits financial risk for the government.
Full and open competition suggests a robust bidding process and potential for competitive pricing.
The project addresses a specific and critical training need for naval personnel.
Experienced contractor, The Haskell Company, has a track record in large-scale construction projects.

Sector Analysis

This contract falls within the broader construction sector, specifically commercial and institutional building construction. The market for specialized government facilities, particularly those designed for unique training requirements like cold water immersion in austere settings, is a niche within this sector. Comparable spending benchmarks would involve looking at other Department of Defense construction projects for training or simulation facilities, adjusting for scale, complexity, and geographic location.

Small Business Impact

The data indicates this contract was awarded under full and open competition and does not specify any small business set-aside provisions. While the primary contract may not be set aside, there is potential for subcontracting opportunities for small businesses in areas such as material supply, specialized labor, or support services. The extent of small business participation will depend on the prime contractor's subcontracting plan and the availability of qualified small businesses in the region.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Navy's contracting and engineering departments, ensuring compliance with specifications and timelines. Accountability measures are embedded in the firm fixed-price contract, which penalizes cost overruns by the contractor. Transparency is facilitated through contract award databases, and the Inspector General's office may conduct audits or investigations if any irregularities are suspected.

Related Government Programs

Department of Defense Military Construction
Naval Facilities Engineering Command Projects
Specialized Training Facility Construction
Government Construction Contracts

Risk Flags

Potential for unforeseen site conditions in 'austere environment'
Logistical challenges associated with remote or difficult-to-access locations
Dependence on specialized materials or construction techniques

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $29.9 million to THE HASKELL COMPANY. PQ502 CONSTRUCTION SOF COLD WATER TRAINING AUSTERE ENVIRONMENT FA

Who is the contractor on this award?

The obligated recipient is THE HASKELL COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $29.9 million.

What is the period of performance?

Start: 2024-09-03. End: 2026-08-10.

What is The Haskell Company's track record with similar Department of Defense construction projects, particularly those involving specialized training facilities or austere environments?

The Haskell Company has a significant history of undertaking large-scale construction projects for various government agencies, including the Department of Defense. While specific details on 'austere environment cold water training' facilities are not immediately available in summary data, their portfolio often includes complex projects such as barracks, training centers, and infrastructure development. A deeper dive into their past performance on contracts with similar scope, complexity, and environmental considerations would be necessary to fully assess their suitability and past success rates. Reviewing contract performance reports and any past performance questionnaires (PPQs) associated with their previous DoD work would provide more granular insights into their reliability, quality of work, and adherence to schedule and budget on comparable projects.

How does the awarded price of approximately $30 million compare to the estimated cost or benchmark for similar cold water training facilities in austere environments?

Benchmarking the $30 million award requires comparing it against similar projects, which can be challenging due to the specialized nature of 'austere environment cold water training' facilities. Factors such as geographic location (influencing labor and material costs), specific design requirements (e.g., insulation, water heating/cooling, safety systems), and the overall scale of the facility (square footage, capacity) are critical. Without access to detailed cost breakdowns or a database of comparable projects with known cost per square foot or per training station, a precise comparison is difficult. However, given the specialized requirements and the firm fixed-price nature, the award suggests the government and bidders assessed this as a fair market price at the time of competition. Further analysis would involve examining the number of bids received and the variance between them.

What are the primary risks associated with constructing a facility in an 'austere environment', and how are they mitigated in this contract?

Constructing in an 'austere environment' presents several risks, including logistical challenges (transportation of materials and personnel), potential for unforeseen site conditions (geological, environmental), limited access to utilities, and potentially harsher working conditions affecting labor productivity and safety. Mitigation strategies in this contract likely include detailed site investigations prior to award, robust logistical planning by the contractor, and contingency planning for unexpected issues. The firm fixed-price (FFP) contract structure places the primary risk of cost overruns due to these factors on the contractor, incentivizing them to thoroughly plan and manage these risks. However, significant unforeseen conditions could still lead to change orders if they are outside the scope defined in the contract.

What is the expected effectiveness of this training facility in enhancing naval personnel's cold water survival skills and operational readiness?

The effectiveness of the facility hinges on its design and operational implementation to simulate realistic cold water scenarios safely and efficiently. A well-constructed facility will allow naval personnel to practice essential survival techniques, acclimatize to cold water conditions, and build confidence, thereby directly enhancing their cold water survival skills. This improved capability translates to increased operational readiness, particularly for units operating in colder climates or conducting missions where exposure to cold water is a potential hazard. The facility's ability to provide consistent, controlled, and repeatable training scenarios is key to its effectiveness in preparing personnel for real-world emergencies.

How does the historical spending on similar specialized training facilities by the Department of the Navy compare to this contract award?

Analyzing historical spending requires access to detailed contract databases and categorization of projects. Without specific data on 'austere environment cold water training' facilities, a direct comparison is difficult. However, the Department of the Navy consistently invests in training infrastructure across various domains. Spending on simulation, specialized training centers, and physical readiness facilities represents a significant portion of their construction budget. This $30 million award for a specific, critical training need appears to be a targeted investment rather than a broad category expenditure. Understanding the frequency and average cost of similar niche facilities over the past 5-10 years would provide context on whether this award is typical, high, or low relative to historical patterns.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N4425521R4000

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 111 RIVERSIDE AVE, JACKSONVILLE, FL, 32202

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,809,360

Exercised Options: $29,885,827

Current Obligation: $29,885,827

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4425523D1701

IDV Type: IDC

Timeline