Phillips and Jordan, Inc. awarded $140M contract for debris removal services by the Department of the Army

Contract Overview

Contract Amount: $140,295,507 ($140.3M)

Contractor: Phillips and Jordan, Incorporated

Awarding Agency: Department of Defense

Start Date: 2006-10-01

End Date: 2007-09-29

Contract Duration: 363 days

Daily Burn Rate: $386.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DEBRIS REMOVAL

Place of Performance

Location: METAIRIE, JEFFERSON County, LOUISIANA, 70001

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $140.3 million to PHILLIPS AND JORDAN, INCORPORATED for work described as: DEBRIS REMOVAL Key points: 1. Contract value of $140.2 million for a 363-day duration. 2. Awarded under full and open competition after exclusion of sources. 3. Firm Fixed Price contract type suggests predictable costs for the government. 4. The contract was awarded in October 2006 and completed in September 2007. 5. The North American Industry Classification System (NAICS) code is 562119 for Other Waste Collection. 6. The contract was awarded to a single vendor, Phillips and Jordan, Incorporated. 7. The base contract value was $38.6 million, with significant modifications or task orders leading to the final value.

Value Assessment

Rating: fair

The final contract value of $140.2 million significantly exceeds the initial base award of $38.6 million, indicating substantial modifications or task orders were issued. Without detailed information on the scope of work for these modifications, it is difficult to benchmark the value for money. The firm fixed price contract type generally provides cost certainty, but the large increase in value warrants further investigation into the necessity and pricing of the additional work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This suggests that while the competition was intended to be broad, specific sources may have been excluded for defined reasons. The award to a single vendor, Phillips and Jordan, Incorporated, implies that they were the most competitive bidder among those considered. Further details on the exclusion criteria would be needed for a complete assessment of competition dynamics.

Taxpayer Impact: The use of full and open competition, even with exclusions, generally benefits taxpayers by encouraging multiple bids and driving down prices. However, the specifics of the exclusion could potentially limit the competitive landscape and impact overall cost savings.

Public Impact

The primary beneficiaries of this contract are likely residents and businesses in areas affected by disasters requiring debris removal. The services delivered include the collection and disposal of debris, crucial for post-disaster recovery and restoration of public spaces. The contract was awarded in Louisiana (LA), indicating a geographic focus on that state for debris removal operations. The contract supports the Department of the Army's mission, potentially involving military installations or support to civil authorities during emergencies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Significant increase from base award to final value suggests potential scope creep or unforeseen circumstances requiring additional funding.
The 'exclusion of sources' in the competition type requires further clarification to understand its impact on market competitiveness.
Lack of detailed breakdown for modifications makes it hard to assess value for money on the expanded scope.

Positive Signals

Awarded under a full and open competition framework, aiming for broad market participation.
Firm Fixed Price contract type provides cost predictability for the government.
Contract successfully completed within its extended period of performance.

Sector Analysis

Debris removal services fall under the broader waste management and environmental services sector. This sector is critical for disaster response and infrastructure maintenance. The market size for disaster recovery services can fluctuate significantly based on the frequency and severity of natural disasters. This contract represents a substantial award within this specialized niche, highlighting the government's reliance on private sector capabilities for emergency response.

Small Business Impact

Information regarding small business set-asides or subcontracting is not explicitly detailed in the provided data. The contract was awarded to Phillips and Jordan, Incorporated, a single entity. Without further data, it's unclear if small businesses were involved as subcontractors or if there were specific provisions to encourage their participation.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve the contracting officer, contract specialists, and potentially quality assurance personnel within the Department of the Army. Accountability measures are inherent in the firm fixed price structure, which obligates the contractor to deliver specified services within the agreed price. Transparency is generally facilitated through contract award databases, though detailed performance reports may not always be publicly accessible.

Related Government Programs

Disaster Recovery Contracts
Emergency Management Services
Waste Management Services
Department of Defense Procurement
Army Corps of Engineers Contracts

Risk Flags

Significant contract value increase from base award.
Ambiguity in 'exclusion of sources' justification.
Lack of detailed cost breakdown for modifications.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $140.3 million to PHILLIPS AND JORDAN, INCORPORATED. DEBRIS REMOVAL

Who is the contractor on this award?

The obligated recipient is PHILLIPS AND JORDAN, INCORPORATED.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $140.3 million.

What is the period of performance?

Start: 2006-10-01. End: 2007-09-29.

What specific events or circumstances led to the significant increase in contract value from the base award to the final amount?

The provided data indicates a base award of $38,648,900 and a final award value of $140,295,507.43. This substantial increase of over $100 million suggests that the contract likely underwent significant modifications or was supplemented with numerous task orders. These could have been triggered by unforeseen disaster events, expanded scope of work beyond initial projections, or changes in requirements necessitating additional debris removal, hauling, or disposal services. Without access to the contract modification details (e.g., SF30 forms), the precise reasons for the increase remain speculative but point towards a dynamic and evolving operational need.

How does the per-unit cost of debris removal under this contract compare to industry benchmarks for similar disaster recovery operations?

Benchmarking the per-unit cost of debris removal is complex without specific details on the types of debris (e.g., vegetative, construction and demolition, hazardous), the methods of collection and transport, and the disposal locations or tipping fees. The provided data only offers the total contract value and duration. To perform a meaningful comparison, one would need to analyze the contract's line item details for services rendered, such as cost per cubic yard or per ton for different debris categories. Industry benchmarks vary widely based on geographic location, disaster severity, and market conditions at the time of service.

What was the nature of the 'exclusion of sources' in the 'Full and Open Competition After Exclusion of Sources' award type?

The 'Full and Open Competition After Exclusion of Sources' (FOUCAES) award type indicates that the solicitation was intended for full and open competition, but specific sources were excluded from the competition pool. The Federal Acquisition Regulation (FAR) outlines conditions under which sources may be excluded, such as when a contract is a follow-on to a previous contract and only the original contractor can meet unique needs, or when specific national security concerns exist. Without the specific justification documented in the contract file, the exact reason for excluding other potential bidders remains unknown. This exclusion could potentially limit the range of innovative solutions or competitive pricing available to the government.

What is the track record of Phillips and Jordan, Incorporated in handling large-scale debris removal contracts for the federal government?

Phillips and Jordan, Incorporated has a significant history of performing large-scale debris removal and emergency response services for various government agencies, including the Department of Defense and the Army Corps of Engineers. This $140 million contract awarded in 2006 is indicative of their capacity to manage substantial projects. Their involvement in numerous disaster recovery efforts across the United States suggests they possess the necessary equipment, personnel, and logistical capabilities. Examining their performance on other contracts, including any past performance evaluations or contract disputes, would provide a more comprehensive view of their track record.

How does the total spending on debris removal services by the Department of the Army compare to this specific contract award over time?

This contract represents a significant single award for debris removal services by the Department of the Army, totaling over $140 million. To understand its place in historical spending, one would need to analyze aggregate spending data for the 'Debris Removal' category (or similar NAICS codes like 562119) awarded by the Department of the Army over multiple fiscal years. This would involve querying federal procurement databases (like FPDS or USASpending) for similar contracts. Such an analysis would reveal whether this award was an outlier, part of a trend, or typical for major disaster response efforts managed by the Army.

What were the primary performance metrics or deliverables expected under this debris removal contract?

While the specific performance metrics are not detailed in the provided summary data, typical deliverables for a debris removal contract of this nature would include timely collection and transportation of debris from designated areas, proper disposal or recycling of materials in accordance with environmental regulations, and accurate reporting of volumes removed and locations serviced. Key performance indicators (KPIs) likely focused on adherence to schedules, safety standards, environmental compliance, and accurate documentation of all activities. The firm fixed price nature implies that meeting these defined requirements within the agreed budget was paramount.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Collection › Other Waste Collection

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Phillips Heavy, Inc (UEI: 003845336)

Address: 8940 GALL BLVD, ZEPHYRHILLS, FL, 15

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $140,295,744

Exercised Options: $140,295,744

Current Obligation: $140,295,507

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912P805D0022

IDV Type: IDC

Timeline