DoD's $61.6M Pershing construction contract awarded to J Kokolakis Contracting Inc. faced full and open competition
Contract Overview
Contract Amount: $61,656,376 ($61.7M)
Contractor: J Kokolakis Contracting Inc
Awarding Agency: Department of Defense
Start Date: 2016-09-20
End Date: 2020-03-14
Contract Duration: 1,271 days
Daily Burn Rate: $48.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF PERSHING - CONSTRUCTION
Place of Performance
Location: WEST POINT, ORANGE County, NEW YORK, 10996
State: New York Government Spending
Plain-Language Summary
Department of Defense obligated $61.7 million to J KOKOLAKIS CONTRACTING INC for work described as: IGF::OT::IGF PERSHING - CONSTRUCTION Key points: 1. The contract value of $61.6 million is substantial for a single construction project. 2. Full and open competition suggests a potentially competitive bidding process. 3. The contract duration of 1271 days indicates a long-term, complex project. 4. The award to a single contractor may limit future competitive opportunities if performance is poor.
Value Assessment
Rating: fair
The contract value of $61.6 million for commercial and institutional building construction is significant. Benchmarking against similar large-scale construction projects is necessary to assess if this price is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders were likely considered. This method generally promotes price discovery and competitive pricing.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, suggesting the government sought the best value through a broad solicitation.
Public Impact
Construction projects of this magnitude can impact local economies through job creation and material sourcing. The long duration of the contract means sustained economic activity related to the project. The specific nature of the 'Pershing' project is not detailed, limiting understanding of its broader public utility.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific project details hinders full assessment.
- Long contract duration increases risk of cost overruns or scope creep.
Positive Signals
- Awarded under full and open competition.
- Firm fixed price contract type can offer cost certainty.
Sector Analysis
This contract falls under the Construction sector, specifically Commercial and Institutional Building Construction. Large federal construction contracts are common, with values varying widely based on project scope and complexity.
Small Business Impact
The data does not indicate if small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The contract's long duration and significant value warrant ongoing oversight to ensure adherence to terms, quality, and budget. The firm fixed price nature provides some cost control.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration (1271 days).
- Lack of specific project details.
- Potential for cost escalation despite fixed price.
- No indication of small business participation.
Tags
commercial-and-institutional-building-co, department-of-defense, ny, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $61.7 million to J KOKOLAKIS CONTRACTING INC. IGF::OT::IGF PERSHING - CONSTRUCTION
Who is the contractor on this award?
The obligated recipient is J KOKOLAKIS CONTRACTING INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $61.7 million.
What is the period of performance?
Start: 2016-09-20. End: 2020-03-14.
What specific type of building or facility was constructed under the 'Pershing' designation, and what is its intended use?
The provided data does not specify the exact nature of the 'Pershing' construction project. Understanding the facility's purpose (e.g., barracks, administrative, training) is crucial for assessing its strategic value and justifying the $61.6 million expenditure. Without this context, evaluating the project's necessity and impact is challenging.
Given the 1271-day duration, what mechanisms were in place to manage potential cost increases or scope changes under the firm fixed price contract?
A firm fixed price contract aims to lock in costs, but long durations can still present risks. The government likely had contract clauses for unforeseen circumstances, change orders (though potentially costly), and performance monitoring. Effective oversight would be critical to prevent contractor claims for additional compensation beyond the agreed-upon price.
How did the government ensure the $61.6 million awarded price represented fair market value for the construction services rendered?
The 'full and open competition' designation suggests a competitive bidding process was used, which is a primary mechanism for achieving fair market value. The government would have evaluated bids based on price, technical qualifications, and past performance. Post-award analysis of the final price against industry benchmarks would further validate its fairness.
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: SEALED BID
Solicitation ID: W912DS16B0010
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1500 OCEAN AVE STE A, BOHEMIA, NY, 11716
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Subchapter S Corporation
Financial Breakdown
Contract Ceiling: $62,189,627
Exercised Options: $62,189,627
Current Obligation: $61,656,376
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2016-09-20
Current End Date: 2020-03-14
Potential End Date: 2020-03-14 00:00:00
Last Modified: 2020-02-06
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