Army awards $15.3M for Alaska construction; Brice Inc. secures contract
Contract Overview
Contract Amount: $15,344,512 ($15.3M)
Contractor: Brice Incorporated
Awarding Agency: Department of Defense
Start Date: 2008-04-23
End Date: 2010-12-17
Contract Duration: 968 days
Daily Burn Rate: $15.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: FIRST SEASON MOBILIZATION AND DEMOB
Place of Performance
Location: KIVALINA, NORTHWEST ARCTIC County, ALASKA, 99750
State: Alaska Government Spending
Plain-Language Summary
Department of Defense obligated $15.3 million to BRICE INCORPORATED for work described as: FIRST SEASON MOBILIZATION AND DEMOB Key points: 1. Contract awarded to Brice Incorporated for $15.3 million. 2. Project involves 'Other Heavy and Civil Engineering Construction' in Alaska. 3. Full and open competition was utilized. 4. Contract duration is 968 days.
Value Assessment
Rating: fair
The award amount of $15.3 million for a 968-day construction project appears within a reasonable range for heavy civil engineering in Alaska. Benchmarking against similar large-scale infrastructure projects in remote, high-cost areas would provide a more precise assessment.
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. This method typically leads to more competitive pricing as multiple qualified bidders vie for the contract.
Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down costs through market forces, ensuring the government receives the best value.
Public Impact
Infrastructure development in Alaska, potentially impacting local economy and services. Government spending on construction projects supports the engineering and construction sectors. Long-term project duration indicates significant scope and potential for sustained economic activity.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns due to remote location and duration.
- Dependence on a single contractor for a large project.
Positive Signals
- Awarded through full and open competition.
- Clear project scope and fixed-price contract type.
Sector Analysis
This contract falls under the Construction sector, specifically heavy and civil engineering. Spending in this sector is often project-driven and influenced by infrastructure needs, defense installations, and economic development initiatives. Benchmarks vary widely based on project type and location.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract was awarded by the Department of the Army, suggesting oversight from a major federal agency. The fixed-price nature of the contract provides some cost control, but ongoing monitoring of performance and adherence to schedule is crucial.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Remote location in Alaska may increase logistical costs and complexity.
- Long contract duration (968 days) increases exposure to unforeseen issues.
- Potential for weather-related delays impacting schedule.
- Dependence on a single contractor for a significant project.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, ak, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $15.3 million to BRICE INCORPORATED. FIRST SEASON MOBILIZATION AND DEMOB
Who is the contractor on this award?
The obligated recipient is BRICE INCORPORATED.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $15.3 million.
What is the period of performance?
Start: 2008-04-23. End: 2010-12-17.
What specific construction activities are included in 'FIRST SEASON MOBILIZATION AND DEMOB' and how do they align with the total award value?
The term 'FIRST SEASON MOBILIZATION AND DEMOB' likely refers to the initial setup and teardown phases of a larger construction project, encompassing site preparation, equipment deployment, and eventual demobilization. The $15.3 million award suggests these phases are substantial, possibly involving significant logistical challenges in Alaska, or are indicative of the overall project's scale and complexity.
Given the remote location in Alaska and the project duration, what are the primary risks associated with cost and schedule adherence?
The primary risks include logistical challenges in transporting materials and personnel, potential weather delays impacting work schedules, and higher labor and operational costs associated with remote environments. These factors can lead to cost overruns and schedule slippage if not meticulously managed through robust planning and contingency measures.
How effectively does the 'FIRM FIXED PRICE' contract type mitigate financial risks for the government on this project?
The 'FIRM FIXED PRICE' contract type is designed to transfer most of the cost risk to the contractor, Brice Incorporated. This means the government is obligated to pay the agreed-upon price regardless of the contractor's actual costs. While this provides budget certainty, it relies heavily on the contractor's accurate cost estimation and efficient execution.
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
Solicitation Procedures: SEALED BID
Solicitation ID: W911KB08B0003
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3200 SHELL ST, FAIRBANKS, AK, 00
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Subchapter S Corporation
Financial Breakdown
Contract Ceiling: $15,344,512
Exercised Options: $15,344,512
Current Obligation: $15,344,512
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2008-04-23
Current End Date: 2010-12-17
Potential End Date: 2010-12-17 00:00:00
Last Modified: 2010-11-09
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