GSA awards $275 million contract for new Douglas Land Port of Entry in Arizona through Biden-Harris Investing in America agenda

October 03, 2024

Funded by the Bipartisan Infrastructure Law and the Inflation Reduction Act as part of President Biden's Investing in America agenda

DOUGLAS, Ariz. - Today, the U.S. General Services Administration (GSA) announced it has awarded a $274,716,965 design-build contract to Hensel Phelps Construction Company for the new Douglas Land Port of Entry. The Phoenix, Arizona-based company will provide design-build services for the new commercial port which will be built approximately five miles west of the existing Raul Hector Castro Land Port of Entry in Douglas, Arizona. This award includes small business subcontracting goals that highlight GSA's commitment to creating more opportunities for small businesses.

This critical infrastructure development project, which received $180.3 million in Bipartisan Infrastructure Law funding and $92.2 million in Inflation Reduction Act funding, will increase capacity and facilitate lawful trade and travel between the U.S. and Mexico. At the current Castro port, both inbound and outbound trucks maneuver within the same undersized commercial vehicle inspection compound, which slows traffic and poses safety hazards. Once complete, the U.S. Customs and Border Protection will relocate commercial operations from the existing Castro port to the new port. This change will increase the number of commercial vehicle inspection lanes from one to four, and the number of commercial vehicle inspection docks from 12 to 36 while also allowing for the processing of oversized mining equipment too large to cross at the Castro port. The existing Castro port will also be modernized and expanded.

The new commercial Douglas Land Port of Entry stands as a testament to the Biden Administration's commitment to transformative investments that enhance safety and security while driving economic growth," said GSA Administrator Robin Carnahan. "These strategic upgrades are a triple win-generating high-quality jobs that fortify our economy and national security, reducing taxpayer expenses through energy efficiency, and paving the way for a more resilient and thriving future for our communities."

GSA will design a state-of-the-art facility that will not only enhance security and spur regional economic activity but enhance sustainability through the implementation of sustainable design, technology, and materials. The port will be all-electric, meeting the Federal Building Performance Standard, and will incorporate photovoltaic solar panels which will generate clean renewable energy to achieve net-zero energy. It will feature water-saving fixtures, energy-efficient building systems and low-embodied carbon construction materials such as concrete and steel. This project is part of the Biden-Harris Administration's Buy Clean Initiative, under which the federal government is, for the first time, prioritizing the purchase of asphalt, concrete, glass, and steel that entail lower levels of greenhouse gas emissions. These investments aim to expand America's industrial capacity for manufacturing goods and materials of the future, address the climate crisis, and create good-paying jobs for workers in the region.

"The new Douglas Land Port of Entry will significantly increase our ability to inspect commercial vehicles and process goods more efficiently, all while supporting economic growth in the region," said CBP Senior Official Performing the Duties of the Commissioner Troy A. Miller. "This project represents a critical investment in both the security of our nation and the prosperity of our border communities. By leveraging advanced technologies and sustainable design, we are also building a smarter, more resilient port of entry for the future."

The construction of this project furthers the goals of President Biden's Federal Sustainability Plan, which directs federal agencies to lead by example and achieve net-zero emissions by 2050, including net-zero emissions from all federal buildings by 2045.

"These investments to construct the Douglas Land Port of Entry and modernize the existing Castro Land Port of Entry are crucial for Arizona's security and economic prosperity. I'm proud to deliver this win for Douglas and our entire state," said Senator KyrstenSinema.

"For decades, leaders in Douglas, Cochise County, and the State of Arizona have called for the construction of a new, commercial land port of entry in Douglas. Since my first official visit to Arizona's southern border, modernizing our ports of entry has been a top priority for me. Now, we're finally getting it done," said Senator Mark Kelly. "This new commercial port in Douglas will not only increase processing and inspection capacity, strengthening supply chains and facilitating hundreds of millions of dollars in trade, but it will also expand the ability to screen for illicit drugs more effectively. This is a win for Arizona's economy, a meaningful step towards a two-port solution, and a major effort to secure our border."

"Throughout my entire career, I've been dedicated to improving the lives of those in the borderlands. Now, thanks to the Biden-Harris administration, the Bipartisan Infrastructure Law has secured millions in federal funding for a significant upgrade and modernization of the Douglas Land Port of Entry," said Rep. Raúl Grijalva. "This state-of-the-art facility will not only improve connections and boost trade but also strengthen ties between our nations and communities. I'm particularly proud that this project will prioritize environmental sustainability, incorporating renewable energy sources and eco-friendly materials. I will continue to support investments that ensure progress and prosperity for the border communities I represent."

"I'm excited to announce the GSA's design-build award for our new port of entry, a pivotal step forward for our community," said Douglas Mayor Donald Huish. "This project underscores our commitment to border trade, which is the cornerstone of our economic vitality and future prosperity. By enhancing our infrastructure, we are not only facilitating commerce but also creating jobs and opportunities for our residents. Together we are building a stronger, more connected future for all."

This project not only addresses current needs but also sets the stage for future innovations in border management and environmental sustainability, said Sukhee Kang, Regional Administrator for GSA's Pacific Rim Region. By integrating cutting-edge technologies and eco-friendly materials, we are ensuring that the Douglas Land Port of Entry upholds the highest standards of safety, efficiency and environmental stewardship. The project is an excellent example of collaboration with the city of Douglas, which assembled the land and utilities in support of the new port.

The Bipartisan Infrastructure Law includes a total of $3.4 billion for GSA to build and modernize land ports of entry on the country's northern and southern borders. The investments will improve commerce and trade, enhance security, create good-paying jobs, and incorporate innovative sustainability features.

The Inflation Reduction Act includes a separate $3.4 billion for GSA to use its buying power to promote the development and manufacturing of low-embodied carbon construction materials and to make federal facilities more sustainable and cost-efficient. GSA's Inflation Reduction Act projects will implement new technologies and accelerate GSA's efforts toward achieving a net-zero emissions federal building portfolio by 2045. Through these investments, GSA estimates that it could reduce carbon emissions by over 2 million metric tons in operational greenhouse gas emissions. That's the equivalent of taking about 500,000 gasoline-powered passenger vehicles off the road for one year.

Construction of the new port is scheduled to begin in Fall 2025, with completion scheduled for Fall 2028.

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About GSA: GSA provides centralized procurement and shared services for the federal government, managing a nationwide real estate portfolio of nearly 370 million rentable square feet, overseeing over $100 billion in products and services via federal contracts, and delivering technology services that serve millions of people across dozens of federal agencies. GSA's mission is to deliver the best customer experience and value in real estate, acquisition, and technology services to the government and the American people. For more information, visit GSA.gov and follow us at @USGSA.

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