State Department awards $173.7M contract for Montenegro infrastructure support
Contract Overview
Contract Amount: $173,694,640 ($173.7M)
Contractor: BL Harbert International LLC
Awarding Agency: Department of State
Start Date: 2019-09-25
End Date: 2027-03-25
Sector: Construction
Official Description: NEC - PODGORICA MONTENEGRO
Plain-Language Summary
Department of State obligated $173.7 million to BL HARBERT INTERNATIONAL LLC for work described as: NEC - PODGORICA MONTENEGRO Key points: 1. Significant investment in critical infrastructure development. 2. Competition was limited, raising questions about cost-effectiveness. 3. Long-term contract duration presents potential for cost overruns. 4. Focus on a single contractor may limit innovation and flexibility.
Value Assessment
Rating: fair
The contract value of $173.7 million over its period of performance is substantial. Without further details on the scope and deliverables, assessing the value for money is challenging. The long duration could lead to inefficiencies if not managed closely.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded on a limited basis, suggesting that full and open competition was not pursued. This approach can sometimes lead to higher costs or less optimal solutions compared to a competitive process.
Taxpayer Impact: Limited competition may result in taxpayers paying more than necessary for the services provided.
Public Impact
Enhances infrastructure in Montenegro, potentially improving local services. Supports U.S. foreign policy objectives through infrastructure development. Long-term project may create local employment opportunities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost escalation over the contract's long term.
- Limited competition may not yield the best value.
- Dependency on a single contractor for critical services.
Positive Signals
- Addresses critical infrastructure needs in a strategic location.
- Provides long-term stability for project execution.
- Supports U.S. diplomatic and security interests abroad.
Sector Analysis
This contract falls within the construction and engineering sector, focusing on infrastructure development in a foreign country. Such projects are often complex and require specialized expertise to manage effectively.
Small Business Impact
The contract was not set aside for small businesses. This suggests that the scope of work likely required capabilities typically found in larger, established firms.
Oversight & Accountability
Oversight will be crucial given the contract's value and duration. The Department of State's Inspector General should monitor performance and expenditures to ensure accountability and prevent waste.
Related Government Programs
- Infrastructure Development
- Foreign Assistance
- Construction Services
Risk Flags
- Limited Competition
- Long Contract Duration
Tags
infrastructure-development, montenegro, department-of-state, foreign-aid, construction, definitive-contract, bl-harbert-international-llc
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $173.7 million to BL HARBERT INTERNATIONAL LLC. NEC - PODGORICA MONTENEGRO
Who is the contractor on this award?
The obligated recipient is BL HARBERT INTERNATIONAL LLC.
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $173.7 million.
What is the period of performance?
Start: 2019-09-25. End: 2027-03-25.
Analysis insight 1
The specific infrastructure projects funded by this contract are not detailed, making it difficult to assess their impact.
Analysis insight 2
Understanding the rationale for limited competition is key to evaluating the procurement process.
Analysis insight 3
The long performance period necessitates robust contract management to control costs and ensure timely completion.