Virgin Islands DOT Awards $16.1M for Highway Construction Under Full and Open Competition

Contract Overview

Contract Amount: $16,104,645 ($16.1M)

Contractor: Island Roads Corporation

Awarding Agency: Department of Transportation

Start Date: 2007-09-27

End Date: 2013-10-08

Contract Duration: 2,203 days

Daily Burn Rate: $7.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: GRADING, DRAINAGE, UTILITY RELOCATION, ASPHALT PAVING, LANDSCAPING, EROSION CONTROL, SIGNALIZATION AND OTHER WORK.

Place of Performance

Location: ST THOMAS, ST. THOMAS County, VIRGIN ISLANDS OF THE U.S., 00802

Plain-Language Summary

Department of Transportation obligated $16.1 million to ISLAND ROADS CORPORATION for work described as: GRADING, DRAINAGE, UTILITY RELOCATION, ASPHALT PAVING, LANDSCAPING, EROSION CONTROL, SIGNALIZATION AND OTHER WORK. Key points: 1. The contract covers a wide range of infrastructure work including paving, drainage, and landscaping. 2. Awarded by the Department of Transportation to Island Roads Corporation, it falls under the Federal Highway Administration's purview. 3. The project utilized full and open competition, suggesting a robust price discovery process. 4. The firm-fixed-price contract type aims to control costs for the government.

Value Assessment

Rating: fair

The contract value of $16.1 million for highway construction appears within a reasonable range for the scope of work described. Benchmarking against similar large-scale infrastructure projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for achieving a competitive price. This method allows all responsible sources to submit offers, fostering a market-driven price discovery.

Taxpayer Impact: The firm-fixed-price contract aims to protect taxpayers by establishing a set price for the work, transferring cost overrun risk to the contractor.

Public Impact

Improved transportation infrastructure in the Virgin Islands, enhancing connectivity and potentially economic activity. Potential for job creation during the construction phase. Long-term benefits from upgraded roads and bridges, including increased safety and reduced maintenance needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration of 2203 days (over 6 years) may indicate potential for scope creep or delays.
  • Lack of specific performance metrics or quality assurance details in the provided data.
  • Geographic isolation of the Virgin Islands could impact material sourcing and labor costs.

Positive Signals

  • Full and open competition promotes fair pricing.
  • Firm-fixed-price contract provides cost certainty.
  • Award to a single contractor simplifies management.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector. Spending in this sector is often driven by federal infrastructure initiatives and local transportation needs. Benchmarks vary widely based on project complexity and location.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded to a single entity, Island Roads Corporation. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The Federal Highway Administration's involvement suggests federal oversight. However, the extent of oversight, including progress monitoring and quality control, is not detailed in the provided data.

Related Government Programs

  • Highway, Street, and Bridge Construction
  • Department of Transportation Contracting
  • Federal Highway Administration Programs

Risk Flags

  • Long contract duration (over 6 years).
  • Potential for cost overruns if not managed tightly.
  • Limited insight into specific quality control measures.
  • Geographic challenges impacting logistics and costs.

Tags

highway-street-and-bridge-construction, department-of-transportation, vi, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $16.1 million to ISLAND ROADS CORPORATION. GRADING, DRAINAGE, UTILITY RELOCATION, ASPHALT PAVING, LANDSCAPING, EROSION CONTROL, SIGNALIZATION AND OTHER WORK.

Who is the contractor on this award?

The obligated recipient is ISLAND ROADS CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Highway Administration).

What is the total obligated amount?

The obligated amount is $16.1 million.

What is the period of performance?

Start: 2007-09-27. End: 2013-10-08.

What specific performance metrics were included in the contract to ensure quality and timely completion of the various construction elements?

The provided data does not specify performance metrics. Typically, such contracts would include clauses for quality assurance, adherence to schedules, and penalties for non-compliance. Detailed review of the contract document is necessary to ascertain these specifics and evaluate their adequacy in ensuring project success and taxpayer value.

How did the firm-fixed-price structure account for potential unforeseen site conditions or material price fluctuations common in long-term construction projects?

Firm-fixed-price contracts generally place the risk of unforeseen conditions and price fluctuations on the contractor. However, contracts may include contingency clauses or escalation provisions for specific circumstances. Without the full contract, it's unclear if such mechanisms were employed, which could impact the final cost and contractor risk.

What was the rationale for awarding the entire scope of work to a single contractor, and were there opportunities for breaking down the project into smaller, more competitive lots?

Awarding to a single contractor can streamline project management and ensure cohesive execution. However, it may limit competition. The rationale could be based on the integrated nature of the work or the contractor's specialized capabilities. Evaluating whether smaller lots would have attracted more bidders and potentially yielded better prices requires further analysis of the project's specific requirements.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: DTFH7107B00032

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: ESTATE BOVONI 1A-1, CHARLOTTE AMALIE, VI, 98

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,104,645

Exercised Options: $16,104,645

Current Obligation: $16,104,645

Timeline

Start Date: 2007-09-27

Current End Date: 2013-10-08

Potential End Date: 2013-10-08 00:00:00

Last Modified: 2013-10-08

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