DoD's $29.2M Fort Shafter Building Repair Contract Awarded to Hensel Phelps Construction Co
Contract Overview
Contract Amount: $29,259,849 ($29.3M)
Contractor: Hensel Phelps Construction CO
Awarding Agency: Department of Defense
Start Date: 2020-10-30
End Date: 2023-07-29
Contract Duration: 1,002 days
Daily Burn Rate: $29.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: REPAIR BUILDING 503A, FORT SHAFTER, HAWAII
Place of Performance
Location: FORT SHAFTER, HONOLULU County, HAWAII, 96858
State: Hawaii Government Spending
Plain-Language Summary
Department of Defense obligated $29.3 million to HENSEL PHELPS CONSTRUCTION CO for work described as: REPAIR BUILDING 503A, FORT SHAFTER, HAWAII Key points: 1. The contract value of $29.2 million falls within the typical range for large-scale institutional building construction. 2. Hensel Phelps Construction Co. is a major player in the construction industry, indicating significant competition for such projects. 3. The project's duration of over 1000 days presents potential risks related to cost overruns and schedule delays. 4. The sector is Commercial and Institutional Building Construction, a vital area for infrastructure maintenance and development.
Value Assessment
Rating: good
The contract value of $29.2 million appears reasonable for a large-scale building repair project of this duration. Benchmarking against similar DoD construction contracts would provide a more precise assessment, but the initial value seems aligned with industry standards for complex projects.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple qualified contractors vie for the award.
Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring the government receives the best possible price for services rendered.
Public Impact
Military personnel and their families stationed at Fort Shafter will benefit from improved facilities. Local economy in Hawaii may see a boost through job creation and subcontractor opportunities. The successful completion of the repair project ensures the continued operational readiness of a key military installation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long project duration increases risk of cost escalation.
- Potential for unforeseen structural issues during repair.
- Dependence on a single large contractor for critical infrastructure.
Positive Signals
- Awarded through full and open competition.
- Contractor has a strong track record.
- Firm fixed price contract provides cost certainty.
Sector Analysis
The Commercial and Institutional Building Construction sector is critical for maintaining and upgrading government facilities. Spending in this sector can fluctuate based on infrastructure needs and budget allocations, with large projects like this representing significant investments.
Small Business Impact
While the prime contractor is a large firm, the project may have provided subcontracting opportunities for small businesses in Hawaii, particularly in specialized trades. Further analysis would be needed to confirm the extent of small business participation.
Oversight & Accountability
The Department of the Army's oversight is crucial for ensuring the project stays on schedule and within budget. Regular progress reports and site inspections are standard procedures to maintain accountability.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Project duration exceeds 1000 days.
- Potential for unforeseen conditions.
- Contract awarded to a single large entity.
- Geographic location in Hawaii may present logistical challenges.
Tags
commercial-and-institutional-building-co, department-of-defense, hi, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $29.3 million to HENSEL PHELPS CONSTRUCTION CO. REPAIR BUILDING 503A, FORT SHAFTER, HAWAII
Who is the contractor on this award?
The obligated recipient is HENSEL PHELPS CONSTRUCTION CO.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $29.3 million.
What is the period of performance?
Start: 2020-10-30. End: 2023-07-29.
What specific building systems or structural components are included in the repair scope?
The provided data does not detail the specific repair scope. A comprehensive understanding would require reviewing the contract's statement of work, which likely outlines repairs to HVAC, electrical, plumbing, roofing, structural elements, and interior finishes to ensure the building's long-term functionality and safety.
What are the key performance indicators (KPIs) used to measure the success of this repair project?
Key performance indicators likely include adherence to the schedule, staying within the firm fixed price budget, quality of workmanship meeting specified standards, and successful completion of all required repairs. Post-occupancy evaluations may also be used to assess the effectiveness of the upgrades.
How does the cost of this project compare to similar building repair projects at other military installations?
Without specific benchmarks for comparable projects, a direct cost comparison is difficult. However, the $29.2 million value for a large-scale repair over 1000 days suggests a significant undertaking. Factors like location, specific repair needs, and market conditions influence costs.
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: TWO STEP
Solicitation ID: W9128A20R0017
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Hensel Phelps - Shimizu JV
Address: 841 BISHOP ST STE 2001, HONOLULU, HI, 96813
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $29,259,849
Exercised Options: $29,259,849
Current Obligation: $29,259,849
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2020-10-30
Current End Date: 2023-07-29
Potential End Date: 2023-07-29 00:00:00
Last Modified: 2023-11-20
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