Army awards $18.37M for Mississippi River Levee construction to Cycle Construction Company

Contract Overview

Contract Amount: $18,370,012 ($18.4M)

Contractor: Cycle Construction Company, L.L.C.

Awarding Agency: Department of Defense

Start Date: 2011-04-02

End Date: 2011-11-23

Contract Duration: 235 days

Daily Burn Rate: $78.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: WBV-MRL 1.1 WESTBANK&VICINITY, (HSDRRS), MISSISSIPPI RIVER LEVEE, MISSISSIPPI RIVER AND TRIBUTARIES PROJECT (MRL), ENGINEERED ALTERNATIVE MEASURE, OAK POINT TO OAKVILLE, PLAQUEMINES PARISH, LA

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70118

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $18.4 million to CYCLE CONSTRUCTION COMPANY, L.L.C. for work described as: WBV-MRL 1.1 WESTBANK&VICINITY, (HSDRRS), MISSISSIPPI RIVER LEVEE, MISSISSIPPI RIVER AND TRIBUTARIES PROJECT (MRL), ENGINEERED ALTERNATIVE MEASURE, OAK POINT TO OAKVILLE, PLAQUEMINES PARISH, LA Key points: 1. Contract awarded for critical levee infrastructure in Plaquemines Parish, Louisiana. 2. Cycle Construction Company, L.L.C. secured the contract. 3. The award falls under the Mississippi River and Tributaries Project. 4. This project addresses engineered alternative measures for flood risk reduction.

Value Assessment

Rating: good

The contract value of $18.37 million appears reasonable for a project of this scale in heavy civil engineering construction. Benchmarking against similar levee and flood control projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may impact price discovery compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential infrastructure to protect communities from flooding, representing a necessary investment in public safety and resilience.

Public Impact

Enhances flood protection for residents and businesses in Plaquemines Parish. Supports critical infrastructure resilience against natural disasters. Contributes to the long-term economic stability of the region by mitigating flood risks.

Waste & Efficiency Indicators

Waste Risk Score: 78 / 10

Warning Flags

Limited competition may have resulted in a higher price.
Contract duration of 235 days is relatively short for major civil works.

Positive Signals

Addresses a critical need for flood control infrastructure.
Awarded to a company with experience in heavy civil construction.

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, specifically related to flood control and infrastructure. Spending in this sector is often driven by government initiatives for public safety and disaster preparedness.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of the Army, specifically the Department of the Army, is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms would apply.

Related Government Programs

Other Heavy and Civil Engineering Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Limited competition
Potential for higher costs due to restricted bidding
Lack of transparency on bid vs. award price
Absence of long-term cost considerations

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.4 million to CYCLE CONSTRUCTION COMPANY, L.L.C.. WBV-MRL 1.1 WESTBANK&VICINITY, (HSDRRS), MISSISSIPPI RIVER LEVEE, MISSISSIPPI RIVER AND TRIBUTARIES PROJECT (MRL), ENGINEERED ALTERNATIVE MEASURE, OAK POINT TO OAKVILLE, PLAQUEMINES PARISH, LA

Who is the contractor on this award?

The obligated recipient is CYCLE CONSTRUCTION COMPANY, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $18.4 million.

What is the period of performance?

Start: 2011-04-02. End: 2011-11-23.

What was the rationale for excluding other sources in the competition?

The rationale for excluding other sources in the competition needs further investigation. Typically, such exclusions are based on specific technical requirements, past performance, or unique capabilities that only a limited number of contractors possess. Understanding this justification is key to assessing whether the limited competition was appropriate and did not unduly restrict potential cost savings.

How does the awarded price compare to the original bid or estimate?

The provided data does not include the original bid or estimate, making a direct comparison impossible. To assess value for money, it would be crucial to obtain the initial bidding data and compare it against the final awarded price. Significant deviations could indicate issues with the bidding process or unforeseen project complexities.

What are the long-term maintenance and operational costs associated with this levee segment?

The data provided focuses solely on the initial construction cost and does not offer insights into the long-term maintenance and operational expenses. These ongoing costs are critical for a complete understanding of the total lifecycle cost of the infrastructure. Future budget allocations and maintenance plans would be necessary to evaluate this aspect.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912P810R0050

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6 E THIRD ST, KENNER, LA, 70062

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,370,012

Exercised Options: $18,370,012

Current Obligation: $18,370,012

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912P811D0009

IDV Type: IDC

Timeline