DoD Awards $103.8M for Engine Assembly Facility at NAS Corpus Christi
Contract Overview
Contract Amount: $103,757,126 ($103.8M)
Contractor: W. G. Yates & Sons Construction Company
Awarding Agency: Department of Defense
Start Date: 2024-04-15
End Date: 2026-11-10
Contract Duration: 939 days
Daily Burn Rate: $110.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: POWERTRAIN PHASE IV, ENGINE ASSEMBLY FACILITY CCAD, NAS CORPUS CHRISTI, TX
Place of Performance
Location: CORPUS CHRISTI, NUECES County, TEXAS, 78401
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $103.8 million to W. G. YATES & SONS CONSTRUCTION COMPANY for work described as: POWERTRAIN PHASE IV, ENGINE ASSEMBLY FACILITY CCAD, NAS CORPUS CHRISTI, TX Key points: 1. Construction contract awarded to W. G. Yates & Sons Construction Company. 2. Project aims to enhance engine assembly capabilities at Naval Air Station Corpus Christi. 3. Full and open competition was utilized for this procurement. 4. The contract is a firm-fixed-price definitive contract. 5. Project duration is 939 days, with an estimated completion in November 2026.
Value Assessment
Rating: good
The awarded amount of $103.8 million appears reasonable for a large-scale industrial building construction project of this nature. Benchmarking against similar military facility construction contracts 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 process for soliciting bids and ensuring fair market pricing. This method typically leads to competitive pricing as multiple contractors have the opportunity to propose.
Taxpayer Impact: The competitive bidding process is expected to yield a fair price, ensuring taxpayer funds are used efficiently for this critical defense infrastructure.
Public Impact
Enhances critical engine assembly capabilities for the Department of the Navy. Supports military readiness and operational effectiveness. Creates construction jobs in the Corpus Christi, Texas area. Represents significant investment in naval aviation infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large construction projects.
- Schedule delays impacting operational readiness.
- Ensuring compliance with environmental and safety regulations.
Positive Signals
- Firm-fixed-price contract limits contractor risk for cost increases.
- Full and open competition promotes competitive pricing.
- Strategic location at NAS Corpus Christi.
Sector Analysis
This contract falls under Industrial Building Construction, a sector often characterized by significant capital investment and long project timelines. Benchmarks for similar military construction projects vary widely based on scope and location.
Small Business Impact
The contract was awarded via full and open competition, and there is no indication of specific set-asides for small businesses in the provided data. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The Department of the Navy is responsible for oversight. The firm-fixed-price contract structure provides some accountability for the contractor to deliver within the agreed-upon cost. Regular progress reporting and site inspections will be crucial.
Related Government Programs
- Industrial Building Construction
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for construction delays impacting operational readiness.
- Risk of unforeseen site conditions or material cost fluctuations.
- Ensuring effective coordination between the prime contractor and any subcontractors.
- Long-term maintenance and operational costs of the new facility.
Tags
industrial-building-construction, department-of-defense, tx, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $103.8 million to W. G. YATES & SONS CONSTRUCTION COMPANY. POWERTRAIN PHASE IV, ENGINE ASSEMBLY FACILITY CCAD, NAS CORPUS CHRISTI, TX
Who is the contractor on this award?
The obligated recipient is W. G. YATES & SONS 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 $103.8 million.
What is the period of performance?
Start: 2024-04-15. End: 2026-11-10.
What is the estimated cost per square foot for this facility, and how does it compare to industry benchmarks for similar industrial construction?
Without the square footage of the facility, a precise cost per square foot cannot be calculated. However, the total contract value of $103.8 million for an engine assembly facility suggests a substantial investment. Comparing this to industry benchmarks would require detailed project specifications and local construction cost data.
What are the key performance indicators (KPIs) being used to monitor the progress and quality of this construction project?
Specific KPIs are not detailed in the provided data. However, typical oversight for such projects would include monitoring adherence to the schedule, quality of materials and workmanship, compliance with safety regulations, and budget management. The Department of the Navy's contracting officer's representative (COR) would likely be responsible for tracking these metrics.
How will the completion of this facility impact the operational efficiency and capacity of engine assembly for the Navy?
The new facility is intended to enhance engine assembly capabilities, suggesting it will likely improve efficiency through modern infrastructure, specialized equipment, and optimized workflows. This could lead to faster turnaround times for engine maintenance and repair, ultimately boosting naval aviation readiness and operational capacity.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Industrial Building 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: N6945023R0022
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 104 GULLY AVE, PHILADELPHIA, MS, 39350
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $148,820,563
Exercised Options: $103,757,126
Current Obligation: $103,757,126
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2024-04-15
Current End Date: 2026-11-10
Potential End Date: 2026-11-10 00:00:00
Last Modified: 2025-11-20
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