DoD Awards $26.1M for NAS Pensacola Hurricane Sally Recovery Repairs to Korte Construction

Contract Overview

Contract Amount: $26,100,766 ($26.1M)

Contractor: Korte Construction Company

Awarding Agency: Department of Defense

Start Date: 2022-09-23

End Date: 2024-07-29

Contract Duration: 675 days

Daily Burn Rate: $38.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BUILDINGS 602/625/625B/626/3260/3221 REPAIRS AT NAS PENSACOLA FL HURRICANE SALLY RECOVERY PACKAGE 7B

Place of Performance

Location: PENSACOLA, ESCAMBIA County, FLORIDA, 32508

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $26.1 million to KORTE CONSTRUCTION COMPANY for work described as: BUILDINGS 602/625/625B/626/3260/3221 REPAIRS AT NAS PENSACOLA FL HURRICANE SALLY RECOVERY PACKAGE 7B Key points: 1. Significant contract awarded for critical infrastructure repair post-hurricane. 2. Korte Construction Company, a single awardee, will perform the work. 3. The contract is a Firm Fixed Price delivery order under a larger agreement. 4. This award falls under the Commercial and Institutional Building Construction sector.

Value Assessment

Rating: good

The contract value of $26.1M for building repairs appears reasonable given the scope of hurricane recovery. Benchmarking against similar large-scale construction projects post-disaster is necessary for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method is generally expected to yield fair pricing, though specific bid details are not provided.

Taxpayer Impact: Taxpayer funds are being utilized for essential infrastructure repair, aiming to restore critical facilities after a natural disaster.

Public Impact

Restoration of vital military facilities at NAS Pensacola following Hurricane Sally. Supports local and regional economic activity through construction services. Ensures operational readiness and safety of personnel at the naval air station.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, which is vital for maintaining government facilities. Spending benchmarks for hurricane recovery construction can vary widely based on the scale of damage and location.

Small Business Impact

The data indicates this contract was not set aside for small businesses, as both 'ss' and 'sb' fields are false. This suggests larger firms were likely involved in the bidding process.

Oversight & Accountability

The Department of the Navy, under the Department of Defense, is responsible for oversight. The delivery order structure implies a larger IDIQ or similar contract vehicle, which may have its own oversight mechanisms.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-defense, fl, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.1 million to KORTE CONSTRUCTION COMPANY. BUILDINGS 602/625/625B/626/3260/3221 REPAIRS AT NAS PENSACOLA FL HURRICANE SALLY RECOVERY PACKAGE 7B

Who is the contractor on this award?

The obligated recipient is KORTE CONSTRUCTION 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 $26.1 million.

What is the period of performance?

Start: 2022-09-23. End: 2024-07-29.

What was the total number of bids received during the full and open competition phase for the parent contract?

The provided data does not specify the number of bids for the parent contract. Full and open competition generally aims to attract multiple bidders, but the exact number is crucial for assessing the competitiveness of the price discovery process. Further investigation into the contract award details would be needed to ascertain this information.

Are there any specific risk mitigation strategies in place to manage potential cost overruns during this hurricane recovery effort?

While the contract is Firm Fixed Price, large-scale disaster recovery projects inherently carry risks of unforeseen conditions leading to cost increases. Specific risk mitigation strategies are not detailed in the provided data. The contract duration of 675 days also presents a risk for potential delays impacting the overall cost and timeline.

How will the effectiveness of these building repairs be measured to ensure long-term resilience against future weather events?

The effectiveness of the repairs will likely be assessed through post-construction inspections and performance monitoring by the Department of the Navy. Ensuring long-term resilience involves adherence to updated building codes and potentially incorporating enhanced protective measures against future hurricanes, though specific metrics for effectiveness are not provided.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6945018R0700

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5700 OAKLAND AVE STE 275, SAINT LOUIS, MO, 63110

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: $49,190,183

Exercised Options: $26,100,766

Current Obligation: $26,100,766

Subaward Activity

Number of Subawards: 12

Total Subaward Amount: $6,237,418

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6945019D0910

IDV Type: IDC

Timeline

Start Date: 2022-09-23

Current End Date: 2024-07-29

Potential End Date: 2024-07-29 00:00:00

Last Modified: 2025-05-16

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