Merrick Construction LLC Awarded $14.8M for Heavy Civil Engineering Construction by Department of the Army

Contract Overview

Contract Amount: $14,843,471 ($14.8M)

Contractor: Merrick Construction LLC

Awarding Agency: Department of Defense

Start Date: 2008-01-04

End Date: 2010-05-16

Contract Duration: 863 days

Daily Burn Rate: $17.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AWARD WBV-6A.1

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70118

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $14.8 million to MERRICK CONSTRUCTION LLC for work described as: AWARD WBV-6A.1 Key points: 1. Contract value of $14.8 million indicates a significant investment in civil engineering infrastructure. 2. Awarded under firm-fixed-price terms, suggesting a defined scope and cost control by the Army. 3. The contract was competed after exclusion of sources, warranting a closer look at the justification. 4. Performance period of 863 days (approx. 2.3 years) suggests a substantial project duration. 5. The North American Industry Classification System (NAICS) code 237990 points to specialized heavy construction services. 6. The contract was awarded as a Delivery Order, implying it's part of a larger indefinite-delivery contract vehicle.

Value Assessment

Rating: fair

The award value of $14.8 million for heavy civil engineering construction needs to be benchmarked against similar projects to assess value for money. Without specific deliverables or scope details, a direct comparison is difficult. However, the firm-fixed-price contract type suggests an attempt to manage costs upfront. Further analysis would require understanding the specific services rendered and comparing them to industry standards and historical Army procurement data for similar civil engineering projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This procurement method implies that while the competition was intended to be broad, certain sources were excluded, and the rationale for this exclusion needs to be understood. The number of bidders is not specified, but the 'exclusion of sources' suggests a potentially narrower competitive field than full and open competition without exclusions.

Taxpayer Impact: The exclusion of sources, even if justified, may limit the potential for the most competitive pricing, potentially leading to higher costs for taxpayers compared to a truly unrestricted full and open competition.

Public Impact

The Department of the Army is the primary beneficiary, receiving essential civil engineering construction services. The services delivered likely involve significant infrastructure development or repair, crucial for military operations or base support. The geographic impact is specified as Louisiana (LA), indicating a focus on infrastructure within that state. Workforce implications could include job creation for skilled construction labor in Louisiana, as well as indirect economic benefits.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' raises questions about the breadth of competition and potential impact on pricing.
Lack of specific project details makes it difficult to fully assess the value and performance against taxpayer investment.
The contract duration of over two years suggests potential for cost overruns or scope creep if not managed tightly.

Positive Signals

The firm-fixed-price contract type provides a degree of cost certainty for the government.
Awarding to Merrick Construction LLC, a specific entity, suggests a selection based on qualifications and potentially past performance.
The contract is part of a larger procurement strategy, indicated by it being a Delivery Order.

Sector Analysis

The heavy and civil engineering construction sector (NAICS 237990) encompasses a wide range of projects, including the construction of highways, streets, bridges, tunnels, and water/sewer systems. Federal spending in this sector is often driven by infrastructure needs, military base development, and national security projects. Comparable spending benchmarks would typically involve analyzing the average cost of similar-sized civil engineering projects undertaken by the Department of Defense or other federal agencies, considering factors like location, complexity, and materials.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this specific contract. This suggests the contract was likely awarded to a larger firm based on capabilities and price. There is no explicit information on subcontracting plans for small businesses, which could be a missed opportunity to engage the small business ecosystem in fulfilling parts of this large construction project.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and program management offices. Accountability measures are inherent in the firm-fixed-price structure, which incentivizes the contractor to complete the work within budget. Transparency would be enhanced by public access to contract performance reports and any post-award modifications. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Military Construction
Army Corps of Engineers Projects
Federal Civil Engineering Contracts
Infrastructure Development Programs

Risk Flags

Competition Limited by Source Exclusion
Lack of Detailed Scope Information
Potential for Cost Overruns on Long-Duration Projects

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.8 million to MERRICK CONSTRUCTION LLC. AWARD WBV-6A.1

Who is the contractor on this award?

The obligated recipient is MERRICK CONSTRUCTION LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $14.8 million.

What is the period of performance?

Start: 2008-01-04. End: 2010-05-16.

What specific civil engineering projects has Merrick Construction LLC completed for the federal government in the past, and what was their performance record?

Detailed historical data on Merrick Construction LLC's federal contract performance is not provided in the given data snippet. To assess their track record, one would need to consult federal procurement databases like SAM.gov or FPDS-NG to review past awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any documented issues or successes. A review of past projects would help determine if they have successfully managed similar-sized civil engineering contracts, particularly within Louisiana or for the Department of Defense, and assess their reliability in terms of schedule adherence, quality of work, and cost control.

How does the $14.8 million award value compare to similar heavy civil engineering construction contracts awarded by the Department of the Army in Louisiana?

Benchmarking the $14.8 million award requires access to a broader dataset of comparable contracts. Factors such as the specific type of civil engineering work (e.g., road construction, bridge repair, utility installation), project complexity, duration, and prevailing market rates in Louisiana would be crucial for a meaningful comparison. Without this comparative data, it's difficult to definitively state whether this award represents excellent, fair, or questionable value. A comprehensive analysis would involve querying federal procurement databases for similar projects awarded within the same geographic region and timeframe to identify average award values and identify any outliers.

What was the justification for excluding certain sources in this 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement?

The justification for excluding sources in a 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement typically stems from specific technical requirements, unique capabilities needed, or prior relationships established through other contract vehicles. For instance, the exclusion might be based on a need for specialized equipment, proprietary technology, or a contractor's demonstrated expertise in a niche area critical to the project's success. The specific rationale would be documented in the contract file and procurement justification. Understanding this reason is vital, as it directly impacts the level of competition achieved and potentially the final price paid by the government.

What are the key performance indicators (KPIs) and deliverables associated with this $14.8 million contract, and how is performance being monitored?

The provided data snippet does not specify the key performance indicators (KPIs) or detailed deliverables for this contract. Typically, for heavy civil engineering construction, KPIs might include adherence to project schedules, quality control metrics (e.g., material testing, defect rates), safety compliance (e.g., incident rates), and adherence to environmental regulations. Deliverables would likely involve completed construction phases, as-built drawings, and final project acceptance. Monitoring would be conducted by the Army's contracting officer's representative (COR) through site inspections, progress reports, and review of documentation submitted by Merrick Construction LLC.

What is the historical spending trend for NAICS code 237990 (Other Heavy and Civil Engineering Construction) by the Department of the Army over the last five fiscal years?

Analyzing the historical spending trend for NAICS code 237990 by the Department of the Army requires accessing historical federal procurement data. Over the last five fiscal years, spending in this category can fluctuate based on military readiness needs, base infrastructure modernization initiatives, and congressionally appropriated funds for construction projects. Generally, the Army invests significantly in civil engineering to maintain and upgrade its vast network of installations. A detailed trend analysis would reveal patterns of increased or decreased investment, identify major project types, and highlight significant shifts in contracting strategies within this sector.

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: W912P806R0162

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1332 FRONT ST, COTTONPORT, LA, 71327

Business Categories: Category Business, Emerging Small Business, HUBZone Firm, Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $14,843,471

Exercised Options: $14,843,471

Current Obligation: $14,843,471

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912P806D0089

IDV Type: IDC

Timeline