DCA awarded WISER CONSTRUCTION LLC a $15.7M contract for heavy civil engineering construction in Nevada

Contract Overview

Contract Amount: $15,721,290 ($15.7M)

Contractor: Wiser Construction LLC

Awarding Agency: Department of Defense

Start Date: 2003-09-24

End Date: 2005-04-30

Contract Duration: 584 days

Daily Burn Rate: $26.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Place of Performance

Location: NELLIS AFB, CLARK County, NEVADA, 89191

State: Nevada Government Spending

Plain-Language Summary

Department of Defense obligated $15.7 million to WISER CONSTRUCTION LLC for work described as: Key points: 1. Contract value of $15.7M for heavy civil engineering construction. 2. Awarded to WISER CONSTRUCTION LLC by the Department of the Army. 3. Contract duration of 584 days. 4. Firm Fixed Price contract type. 5. Full and Open Competition. 6. Geographic focus on Nevada (NV).

Value Assessment

Rating: fair

The contract value of $15.7 million for heavy civil engineering construction appears to be within a reasonable range for a project of this nature, though specific benchmarks are unavailable without more detailed project scope. The firm fixed price structure suggests that cost overruns are the contractor's responsibility, which can be a positive indicator for value. However, without comparative data on similar projects or detailed cost breakdowns, a definitive assessment of value-for-money is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under Full and Open Competition, indicating that all responsible sources were permitted to submit a bid. The presence of 2 bids suggests a moderate level of competition. While more bidders could potentially drive prices lower, a competitive process was indeed followed, which is generally favorable for price discovery.

Taxpayer Impact: A full and open competition, even with a limited number of bidders, generally provides a better opportunity for taxpayers to receive competitive pricing compared to sole-source or limited competition awards.

Public Impact

The primary beneficiaries are likely the Department of the Army and its operational readiness, through the construction of necessary infrastructure. Services delivered include heavy and civil engineering construction, crucial for military base support or development. The geographic impact is concentrated in Nevada (NV). Workforce implications would involve skilled construction labor in the Nevada region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition with only two bidders could potentially lead to higher prices than a more robust bidding process.
The firm fixed price nature, while beneficial for cost control, can sometimes lead to scope creep if not managed tightly, or conversely, to reduced quality if the contractor seeks to minimize costs.

Positive Signals

Awarded through Full and Open Competition, ensuring a fair process.
Firm Fixed Price contract type shifts cost risk to the contractor.
Contract awarded to a specific entity, WISER CONSTRUCTION LLC, indicating a selection based on qualifications.

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, which is a significant part of the broader construction industry. This sector includes infrastructure projects such as roads, bridges, dams, and other large-scale public works. Spending in this area is often driven by government needs for military installations, transportation networks, and other essential public services. Benchmarks for comparable spending would depend heavily on the specific type and scale of the civil engineering work performed.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false). There is no explicit information on subcontracting plans or performance. Therefore, the direct impact on the small business ecosystem is likely minimal unless WISER CONSTRUCTION LLC voluntarily engages small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant Department of the Army contracting command. Accountability measures are inherent in the firm fixed price contract type, which holds the contractor responsible for delivering the specified work within the agreed price. Transparency is generally facilitated through contract award databases, though detailed project performance data may be less accessible to the public.

Related Government Programs

Military Construction
Civil Engineering Projects
Heavy Construction Contracts
Department of Defense Procurement

Risk Flags

Potential for cost overruns if scope is not well-defined for FFP.
Risk of quality compromise if contractor faces financial pressure.
Logistical challenges specific to Nevada's environment.
Limited competition may impact price competitiveness.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.7 million to WISER CONSTRUCTION LLC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is WISER 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 $15.7 million.

What is the period of performance?

Start: 2003-09-24. End: 2005-04-30.

What is the track record of WISER CONSTRUCTION LLC with federal contracts, particularly with the Department of Defense?

Information regarding the specific track record of WISER CONSTRUCTION LLC with federal contracts, especially the Department of Defense, is not detailed in the provided data. A comprehensive analysis would require accessing federal procurement databases (like SAM.gov or FPDS) to review their past performance ratings, contract history, types of services rendered, and any past performance issues or awards. Without this external data, it's impossible to assess their reliability or experience level beyond this single award.

How does the awarded amount of $15.7 million compare to similar heavy civil engineering construction contracts awarded by the Department of the Army?

Comparing the $15.7 million award to similar contracts requires access to a broader dataset of Department of the Army heavy civil engineering projects. Factors such as project scope, location, complexity, and duration significantly influence contract value. A preliminary assessment suggests that $15.7 million is a substantial amount, indicative of a significant project. However, without specific benchmarks for comparable projects (e.g., similar types of construction, in similar geographic regions, with similar durations), it is difficult to definitively state whether this represents a high, low, or average value. Further analysis would involve identifying and comparing contracts with similar North American Industry Classification System (NAICS) codes and project descriptions.

What are the primary risks associated with a firm fixed price contract for heavy civil engineering construction?

Firm Fixed Price (FFP) contracts, while aiming to control costs, carry specific risks in heavy civil engineering. For the government, the primary risk is that the contractor may cut corners on quality or safety to maintain profitability if unforeseen issues arise, especially if the initial price was set too low or if the scope was not perfectly defined. For the contractor, the risk is absorbing cost overruns due to unforeseen site conditions, material price increases, or labor shortages, which can lead to financial distress or project delays if not managed effectively. Effective government oversight is crucial to mitigate quality and safety risks.

What is the significance of the contract being awarded in Nevada (NV)?

The geographic focus on Nevada (NV) is significant as it dictates the operational environment, potential logistical challenges, and the specific regulatory landscape the contractor must navigate. Nevada's climate, terrain, and existing infrastructure will influence construction methods, material sourcing, and labor availability. Furthermore, federal spending in a specific state can have local economic impacts, including job creation and business opportunities for local suppliers and subcontractors. Understanding the specific needs of the Department of the Army within Nevada is key to appreciating the strategic importance of this contract.

How does the duration of 584 days (approximately 1.6 years) impact the assessment of this contract?

A duration of 584 days for a $15.7 million heavy civil engineering project suggests a moderately complex undertaking. This timeframe allows for significant construction activities but also introduces risks related to potential delays (weather, unforeseen conditions, regulatory changes) and cost escalation over the project lifecycle, even within a fixed-price contract. The duration needs to be evaluated against the scope of work to determine if it is realistic and adequate for successful completion. A longer duration might necessitate more robust project management and oversight to ensure milestones are met and risks are managed proactively.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 1501 STATE HWY 168, MOAPA, NV, 04

Business Categories: Category Business, Small Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline