State Dept. Awards $148.6M Construction Contract in Senegal to BL Harbert International

Contract Overview

Contract Amount: $148,616,678 ($148.6M)

Contractor: BL Harbert International LLC

Awarding Agency: Department of State

Start Date: 2010-04-14

End Date: 2013-05-01

Contract Duration: 1,113 days

Daily Burn Rate: $133.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NEC IN DAKAR, SENEGAL

Plain-Language Summary

Department of State obligated $148.6 million to BL HARBERT INTERNATIONAL LLC for work described as: NEC IN DAKAR, SENEGAL Key points: 1. The contract value of $148.6 million is significant for construction projects in West Africa. 2. BL Harbert International, a large private company, secured this contract. 3. The project's location in Dakar, Senegal, presents logistical and geopolitical risks. 4. The sector is Commercial and Institutional Building Construction, a common area for federal spending.

Value Assessment

Rating: fair

The award amount of $148.6 million for a 1113-day contract needs comparison to similar construction projects in the region to fully assess value. Benchmarking against similar-sized projects in similar geopolitical environments would be beneficial.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the limited number of bidders (2) might indicate a concentrated market or high barriers to entry for this specific type of project.

Taxpayer Impact: Taxpayer funds are used for this project, and while competition was employed, the final price reflects the costs associated with construction in a foreign, potentially high-risk environment.

Public Impact

Supports U.S. diplomatic presence and operations in Senegal. Provides construction jobs and economic activity in Senegal. Potential for infrastructure development that could benefit local communities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Geopolitical risk in Senegal
  • Logistical challenges of overseas construction
  • Limited number of bidders (2)

Positive Signals

  • Awarded under full and open competition
  • Supports U.S. foreign policy objectives

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Federal spending in this sector often supports infrastructure for government operations, embassies, and other facilities abroad. Benchmarks for similar international construction projects are crucial for evaluating cost-effectiveness.

Small Business Impact

The data indicates the prime contractor is BL Harbert International LLC, a large private company. There is no explicit information on small business subcontracting in the provided data, which is a common area for oversight in federal contracts.

Oversight & Accountability

The Department of State is responsible for overseeing this contract. Given the international location and nature of the work, robust oversight is critical to ensure project completion, quality, and adherence to cost controls.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of State Contracting
  • Department of State Programs

Risk Flags

  • Geopolitical instability in the region
  • Logistical challenges of overseas construction
  • Limited competition (2 bidders)
  • Potential for cost overruns due to unforeseen circumstances
  • Lack of explicit small business participation data

Tags

commercial-and-institutional-building-co, department-of-state, dca, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $148.6 million to BL HARBERT INTERNATIONAL LLC. NEC IN DAKAR, SENEGAL

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 $148.6 million.

What is the period of performance?

Start: 2010-04-14. End: 2013-05-01.

What is the estimated cost per square foot or per unit of construction compared to similar projects in the region or globally?

Without specific details on the project's scope, size, and materials, a precise per-unit cost comparison is difficult. However, the total award of $148.6 million for a 1113-day project suggests a substantial investment. Further analysis would require project blueprints and material specifications to benchmark against regional construction costs, factoring in import duties and labor rates.

What are the specific geopolitical and security risks associated with operating in Dakar, Senegal, and how were they mitigated in the contract?

Senegal, while relatively stable, faces regional security concerns and potential political instability. Risks could include security threats to personnel and assets, supply chain disruptions, and regulatory changes. The contract likely includes clauses addressing security protocols, force majeure, and potentially hazard pay, but the specific mitigation strategies and their cost implications require detailed review.

How effectively did the full and open competition process ensure the best value for taxpayers, given only two bids were received?

While full and open competition is the preferred method, receiving only two bids warrants scrutiny. It could indicate a specialized market, high entry barriers, or insufficient outreach. The Department of State should have assessed the competitiveness of the bids received to ensure the selected price represented fair market value and that the chosen contractor possessed the necessary qualifications and capacity.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: TWO STEP

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: B.L. Harbert Holdings, L.L.C. (UEI: 147371236)

Address: 820 SHADES CREEK, BIRMINGHAM, AL, 90

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $148,616,678

Exercised Options: $148,616,678

Current Obligation: $148,616,678

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2010-04-14

Current End Date: 2013-05-01

Potential End Date: 2013-05-01 00:00:00

Last Modified: 2013-03-26

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