Written by ADAM BROWN
Monday, March 21, 2011
GUAM – Vigorous and early bidding has established Watts Constructors and its joint ventures as a key contractor on the island with $277 million in orders and rising and the company is preparing for a new round of competition.
"The Guam military buildup is very significant to us, and I'm sure to many other construction companies because the opportunities are immense," Watts President Denny Watts told GuamBuildupnews.com. "In terms of potential contract value, the Guam MACC is the single largest program we have at the moment. We believe the program will grow considerably in value and duration."
Watts Constructors and its joint venture partners including California's Webcor Builders, Hawaii's Healy Tibbitts and Obayashi Corporation of Japan already hold a spot as a prime contractor on the $4 billion Guam multiple-award construction contract, or MACC, and will bid in May for a spot on the $3 billion, Japanese government-funded Mamizu MACC, Watts said. The number of task orders the venture is receiving has grown steadily.
"We were just awarded the $85.5 million Apra Wharf Improvement which is a task order from the $4 billion Guam MACC," Watts said. "We have also been awarded the $158 million Guam Naval Hospital, $19 million Sumay Cove project and $14.6 million North Tipalao housing project."
Watts is bidding for Guam MACC task orders against six other prime contractors, including joint ventures with companies such as Samsung Group, Black Construction Company, dck pacific guam and Mortenson Construction. In bidding for the Mamizu MACC, Watts faces many of the same competitors.
Last Tuesday at a hearing of the House Armed Service Subcommittee on Readiness, Jackalyn Pfannenstiel, Assistant Secretary of the Navy in charge of the Guam buildup, delivered the long-awaited news that military construction projects awarded in 2010 and the award of other FY2010 MILCON contracts that have been on hold can move forward now that Guam has signed the Navy's Programmatic Agreement. At least one of those newly unleashed projects involves Watts.
The work given to Watts and its partners so far on Guam is to be completed at the rate of one multi-million dollar job a year between 2011 and 2014.
The Apra Wharf project is to allow for berthing of the Amphibious Readiness Group of the United States Navy, strengthening the wharf, overhauling water distribution and partially replacing the bilge oily waste transfer system by August 2013.
Sharla Torre Montvel-Cohen contributed to this story.
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