DoD Awards $27.1M for Afghan Army Construction, Full Competition Used

Contract Overview

Contract Amount: $27,144,728 ($27.1M)

Contractor: Foreign Awardees (undisclosed)

Awarding Agency: Department of Defense

Start Date: 2012-05-11

End Date: 2014-06-30

Contract Duration: 780 days

Daily Burn Rate: $34.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION OF AFGHAN NATIONAL ARMY SOUTH RUSHMORE INFANTRY KANDAK.

Plain-Language Summary

Department of Defense obligated $27.1 million to FOREIGN AWARDEES (UNDISCLOSED) for work described as: CONSTRUCTION OF AFGHAN NATIONAL ARMY SOUTH RUSHMORE INFANTRY KANDAK. Key points: 1. Contract awarded for construction of Afghan National Army facilities. 2. Full and open competition was utilized for this award. 3. Foreign awardees were involved, with details undisclosed. 4. The contract type was Firm Fixed Price, indicating price certainty.

Value Assessment

Rating: fair

The contract value of $27.1M for construction of military facilities is substantial. Benchmarking against similar projects is difficult without more specific details on the scope of work and location, but the price appears within a reasonable range for large-scale construction.

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 use of foreign awardees with undisclosed details may limit transparency and potentially impact the final cost-effectiveness.

Taxpayer Impact: Taxpayer funds were used for this project, with the full and open competition aiming for best value. The involvement of foreign entities warrants scrutiny to ensure funds are used efficiently and effectively.

Public Impact

Supports U.S. foreign policy and military objectives in Afghanistan. Contributes to the development of Afghan security forces. Potential for job creation in the construction sector, both domestically and internationally. Transparency concerns regarding foreign awardees.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Undisclosed foreign awardees
  • Lack of specific project details for benchmarking

Positive Signals

  • Full and open competition utilized
  • Firm Fixed Price contract type

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector for defense-related infrastructure can be significant, especially in overseas operations. Benchmarks are highly project-specific.

Small Business Impact

There is no indication that small businesses were involved in this contract, as it was awarded to foreign entities. Further analysis would be needed to determine if subcontracting opportunities were available.

Oversight & Accountability

Oversight of contracts in conflict zones can be challenging. The use of foreign awardees with undisclosed details raises questions about accountability and the effectiveness of oversight mechanisms.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Lack of transparency regarding foreign awardees.
  • Potential for cost overruns due to undisclosed foreign entity involvement.
  • Difficulty in verifying project quality and adherence to standards.
  • Geopolitical risks associated with foreign contracting in sensitive regions.

Tags

commercial-and-institutional-building-co, department-of-defense, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.1 million to FOREIGN AWARDEES (UNDISCLOSED). CONSTRUCTION OF AFGHAN NATIONAL ARMY SOUTH RUSHMORE INFANTRY KANDAK.

Who is the contractor on this award?

The obligated recipient is FOREIGN AWARDEES (UNDISCLOSED).

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $27.1 million.

What is the period of performance?

Start: 2012-05-11. End: 2014-06-30.

What specific construction services were provided under this contract, and how do they align with the stated objectives for the Afghan National Army?

The contract was for the construction of facilities for the Afghan National Army's South Rushmore Infantry Kandak. Specific services would typically include building barracks, training facilities, administrative buildings, and potentially infrastructure like roads and utilities. The alignment with objectives hinges on the quality and suitability of these constructed facilities for enabling the ANA's operational readiness and training.

What are the risks associated with awarding contracts to undisclosed foreign entities for critical infrastructure projects in a foreign country?

Risks include potential lack of transparency in financial dealings, challenges in enforcing contract terms and quality standards, security vulnerabilities, and difficulties in ensuring compliance with U.S. ethical and legal requirements. Undisclosed entities may also obscure potential conflicts of interest or ties to adversarial groups, posing a geopolitical risk.

How effective was the full and open competition in ensuring the best value for taxpayer dollars, given the involvement of foreign awardees?

While full and open competition is designed to achieve best value, the effectiveness is diminished by the lack of transparency regarding foreign awardees. It is difficult to assess if the competition truly fostered the most competitive pricing and highest quality without knowing who the bidders were and the basis for selection. The undisclosed nature raises concerns about whether the best possible value was indeed secured.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912DS12R0007

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1800 F ST NW, WASHINGTON, DC, 20405

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

Financial Breakdown

Contract Ceiling: $29,529,290

Exercised Options: $27,144,728

Current Obligation: $27,144,728

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2012-05-11

Current End Date: 2014-06-30

Potential End Date: 2024-06-30 00:00:00

Last Modified: 2021-08-20

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