ARRO Road/Bridge Project Sec 4: $27.5M Contract Awarded to SSANGYONG Engineering & Construction

Contract Overview

Contract Amount: $27,508,922 ($27.5M)

Contractor: Ssangyong Engineering & Construction CO.,Ltd

Awarding Agency: Agency for International Development

Start Date: 2010-09-24

End Date: 2012-03-31

Contract Duration: 554 days

Daily Burn Rate: $49.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: ARRO ROAD/BRIDGE AND REHABILITATION PROJECT - SECTION 4

Plain-Language Summary

Agency for International Development obligated $27.5 million to SSANGYONG ENGINEERING & CONSTRUCTION CO.,LTD for work described as: ARRO ROAD/BRIDGE AND REHABILITATION PROJECT - SECTION 4 Key points: 1. Contract value of $27.5M for road and bridge rehabilitation. 2. SSANGYONG Engineering & Construction secured the contract. 3. Project falls under Highway, Street, and Bridge Construction sector. 4. Full and open competition was utilized for award. 5. Firm Fixed Price contract type.

Value Assessment

Rating: fair

The contract value of $27.5M appears to be a significant investment for a single section of road/bridge rehabilitation. Benchmarking against similar projects would be necessary to assess if this price is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition suggests a robust price discovery process. This method allows multiple qualified contractors to bid, theoretically driving down costs and ensuring fair market value.

Taxpayer Impact: Taxpayer funds are being utilized for infrastructure improvement. The effectiveness of the competition in securing a fair price will determine the ultimate taxpayer impact.

Public Impact

Improves critical transportation infrastructure. Supports economic activity through better connectivity. Potential for job creation during construction phase. Enhances public safety through road/bridge upgrades.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics in provided data.
  • Potential for cost overruns in fixed-price contracts if scope changes.
  • Limited information on contractor's past performance in similar projects.

Positive Signals

  • Utilizes full and open competition for award.
  • Addresses essential infrastructure needs.
  • Firm Fixed Price contract can provide cost certainty if managed well.

Sector Analysis

This project falls within the construction sector, specifically focusing on highway, street, and bridge construction. Spending in this sector is often driven by infrastructure needs and government investment in public works.

Small Business Impact

The provided data does not indicate any specific participation or set-aside for small businesses in this contract. Further investigation would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

Oversight would typically involve the Agency for International Development monitoring project progress, quality, and adherence to contract terms. Accountability rests with the agency to ensure the project is completed successfully and within budget.

Related Government Programs

  • Highway, Street, and Bridge Construction
  • Agency for International Development Contracting
  • Agency for International Development Programs

Risk Flags

  • Contract duration of 554 days seems substantial for a single section.
  • Firm Fixed Price contract can lead to disputes if scope creep occurs.
  • Lack of small business participation noted.
  • No specific performance benchmarks provided for evaluation.

Tags

highway-street-and-bridge-construction, agency-for-international-development, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $27.5 million to SSANGYONG ENGINEERING & CONSTRUCTION CO.,LTD. ARRO ROAD/BRIDGE AND REHABILITATION PROJECT - SECTION 4

Who is the contractor on this award?

The obligated recipient is SSANGYONG ENGINEERING & CONSTRUCTION CO.,LTD.

Which agency awarded this contract?

Awarding agency: Agency for International Development (Agency for International Development).

What is the total obligated amount?

The obligated amount is $27.5 million.

What is the period of performance?

Start: 2010-09-24. End: 2012-03-31.

What was the competitive landscape like during the full and open competition, and how many bids were received?

The data indicates 'FULL AND OPEN COMPETITION' was used, suggesting multiple bidders were eligible. However, the exact number of bids received is not specified. Understanding the number of bids and the nature of the competition is crucial for assessing if the price truly reflects market value and if the most capable contractor was selected.

Are there any performance metrics or quality standards associated with this contract that can be evaluated?

The provided data does not include specific performance metrics or quality standards for the ARRO Road/Bridge Rehabilitation Project. Without these, it is difficult to assess the effectiveness of the contractor's work beyond basic completion. Future analysis should seek contract documents detailing deliverables and acceptance criteria.

What is the historical cost performance of SSANGYONG ENGINEERING & CONSTRUCTION CO.,LTD on similar infrastructure projects?

Information on SSANGYONG ENGINEERING & CONSTRUCTION CO.,LTD's historical cost performance on similar projects is not available in the provided data. Assessing their track record with cost control and adherence to budgets on past highway and bridge construction would be a key factor in evaluating the risk associated with this contract.

Industry Classification

NAICS: ConstructionHighway, Street, and Bridge ConstructionHighway, Street, and Bridge Construction

Product/Service Code: ARCHITECT/ENGINEER SERVICESARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ground Services International Incorporated (UEI: 851085576)

Address: 7-23 SHINCHEON-DONG, SONGPA-GU, SEOUL

Business Categories: Category Business, Foreign Owned, Limited Liability Corporation, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $27,508,922

Exercised Options: $27,508,922

Current Obligation: $27,508,922

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: SUPPLIES OR SERVICES PURSUANT TO FAR 12.102(F)

Cost or Pricing Data: NO

Timeline

Start Date: 2010-09-24

Current End Date: 2012-03-31

Potential End Date: 2012-03-31 00:00:00

Last Modified: 2018-08-22

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