April 2002

Ran:  Engineering News Record
April 29, 2002

Military Housing

Navy pick firms for big program

IN THE LASTEST SIGN OF ITS COMMITMENT to alternatives to conventional bid competitions, the Navy's southwest division has preselected and prequalified contractors for a large military housing program.

Last month, the San Diego-based Naval Facilities Engineering Command's Southwest Division selected four San Diego-area contractors to compete for $600 million in Navy and Marine Corps housing projects. The building are scheduled for construction over the next five years in 12 western states, most of it in California. The division also prequalified three contractors for a separate five-year housing program valued at about $250 million

Design-build project delivery will be used, but the Navy is keeping its options open about how much work each contractor will get. Contractors will work under firm fixed-price, but indefinite delivery and indefinite quantity agreements. Under the Navy's multiple award construction contract system, the contractors will compete and may perform several separate contracts.

The $600-million program will build bachelor enlisted quarters. Design-build project delivery will make the process more efficient, says David E. Golden, vice president of preconstruction for one of the four prequalified contractors, San Diego-based Harper Construction Co. The Southwest Command also prequalified Soltek Pacific and douglas e. barnhart, inc., both of San Diego, and Bonsall-based RQ Construction Inc. Each company could receive contracts valued at up to $150 million.

Compressing the schedule should help keep all the parties happy by eliminating long lead times before a project begins construction. But one contractor insists that the work is not without risk. "We plan to compete on every job," says Douglas E. Barnhart. "It's expected."

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