Army Awards $34.7M for Chiller Water System Construction to J Kokolakis Contracting
Contract Overview
Contract Amount: $34,733,562 ($34.7M)
Contractor: J Kokolakis Contracting Inc
Awarding Agency: Department of Defense
Start Date: 2018-04-30
End Date: 2024-07-30
Contract Duration: 2,283 days
Daily Burn Rate: $15.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: CONSTRUCTION OF CHILLER WATER DIST. SYS
Place of Performance
Location: WEST POINT, ORANGE County, NEW YORK, 10996
State: New York Government Spending
Plain-Language Summary
Department of Defense obligated $34.7 million to J KOKOLAKIS CONTRACTING INC for work described as: CONSTRUCTION OF CHILLER WATER DIST. SYS Key points: 1. Significant investment in critical infrastructure for the Department of the Army. 2. J Kokolakis Contracting Inc. secured a substantial contract, indicating strong performance or specialized capability. 3. The project spans over 6 years, suggesting a complex and long-term undertaking. 4. Potential for cost overruns or delays given the project's duration and scale.
Value Assessment
Rating: fair
The contract value of $34.7M for a chiller water distribution system appears substantial. Benchmarking against similar large-scale construction projects would be necessary to definitively assess its value, as specific cost drivers for such systems can vary widely.
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 by allowing all qualified contractors to bid.
Taxpayer Impact: Taxpayer funds are being utilized for essential infrastructure. The competitive bidding process aims to ensure the best possible price for the government and, by extension, taxpayers.
Public Impact
Ensures operational readiness and climate control for military facilities. Supports local economy through construction jobs and material procurement. Long-term infrastructure investment with potential for future maintenance contracts.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long project duration increases risk of scope creep and cost escalation.
- Potential for unforeseen site conditions impacting schedule and budget.
- Dependence on a single contractor for an extended period.
Positive Signals
- Awarded through full and open competition, suggesting competitive pricing.
- Firm Fixed Price contract type limits cost risk for the government.
- Significant investment in critical infrastructure.
Sector Analysis
This contract falls within the Construction sector, specifically Commercial and Institutional Building Construction. Large-scale infrastructure projects like this often represent significant portions of agency budgets, with benchmarks varying based on project complexity and location.
Small Business Impact
The contract was awarded to J Kokolakis Contracting Inc. and does not indicate any specific set-asides for small businesses. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The definitive contract award suggests a structured procurement process. Oversight would focus on project milestones, quality control, and adherence to the firm fixed price throughout the contract duration.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Extended contract duration (over 6 years) increases risk of cost escalation and scope creep.
- Potential for unforeseen site conditions impacting schedule and budget.
- Dependence on a single contractor for a critical infrastructure project.
- Lack of explicit small business participation noted.
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 $34.7 million to J KOKOLAKIS CONTRACTING INC. CONSTRUCTION OF CHILLER WATER DIST. SYS
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 $34.7 million.
What is the period of performance?
Start: 2018-04-30. End: 2024-07-30.
What is the specific scope of work for the chiller water distribution system, and how does it align with the agency's long-term infrastructure needs?
The specific scope involves the construction of a chiller water distribution system, crucial for climate control in institutional buildings. This aligns with the agency's need for reliable and efficient facility operations. Understanding the system's capacity, coverage area, and integration with existing infrastructure is key to assessing its long-term value and operational effectiveness.
What are the key performance indicators (KPIs) being used to monitor the contractor's progress and ensure project success within the defined timeline and budget?
Key performance indicators likely include adherence to construction schedules, quality of materials and workmanship, safety compliance, and timely completion of project milestones. The firm fixed price contract incentivizes the contractor to manage costs effectively. Regular progress reviews and site inspections by the contracting officer's representative are essential for oversight.
How does the cost per unit of cooling capacity compare to industry benchmarks for similar chiller water distribution systems in comparable climates and facility types?
Benchmarking the cost per unit of cooling capacity against industry standards is crucial for value assessment. Without specific data on the system's capacity and comparable projects, it's difficult to determine if $34.7M represents a competitive price. Factors like geographical location, system complexity, and specific technological requirements influence these costs.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912DS17R0008
Offers Received: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: J. Kokolakis Contracting, Inc.
Address: 1500 OCEAN AVE STE A, BOHEMIA, NY, 11716
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: $34,733,562
Exercised Options: $34,733,562
Current Obligation: $34,733,562
Actual Outlays: $1,035,527
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2018-04-30
Current End Date: 2024-07-30
Potential End Date: 2024-07-30 00:00:00
Last Modified: 2024-05-21
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