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

Positive Signals

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

Risk Flags

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: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION 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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