Army awards $18.9M construction contract for Fort Pierce Shore, Florida, with 6330 small business participation

Contract Overview

Contract Amount: $18,919,046 ($18.9M)

Contractor: Construcciones Jose Carro SE

Awarding Agency: Department of Defense

Start Date: 2017-09-26

End Date: 2025-12-02

Contract Duration: 2,989 days

Daily Burn Rate: $6.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::CT::IGF SPP FORT PIERCE SHORE ST LUCIE CTY FL

Place of Performance

Location: PONCE, PONCE County, PUERTO RICO, 00731

Plain-Language Summary

Department of Defense obligated $18.9 million to CONSTRUCCIONES JOSE CARRO SE for work described as: IGF::CT::IGF SPP FORT PIERCE SHORE ST LUCIE CTY FL Key points: 1. Contract awarded for heavy and civil engineering construction services. 2. Significant small business participation noted in the contract. 3. Definitive contract type with a firm fixed price. 4. Long duration of nearly 3000 days indicates a substantial project. 5. Awarded by the Department of the Army, indicating a defense-related need. 6. Geographic focus on Florida, specifically Fort Pierce Shore.

Value Assessment

Rating: good

The contract value of $18.9 million for heavy and civil engineering construction appears reasonable given the long duration and scope. Benchmarking against similar Army Corps of Engineers projects for coastal resilience or infrastructure would provide a more precise value-for-money assessment. The firm fixed-price structure helps control costs for the government, but the long performance period could introduce risks if not managed diligently.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust bidding process. While the number of bidders is not explicitly stated, this procurement method generally leads to a wider pool of potential offerors and encourages competitive pricing. The government likely received multiple proposals, allowing for a thorough evaluation of technical capabilities and cost.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down prices through market forces, ensuring the government obtains the best value for its investment in construction services.

Public Impact

The primary beneficiaries are the residents and infrastructure of Fort Pierce Shore, Florida, through improved coastal defenses or civil engineering projects. Services delivered include heavy and civil engineering construction, likely related to shore protection, infrastructure repair, or development. The geographic impact is localized to Fort Pierce Shore, Florida, addressing specific regional needs. The contract's emphasis on small business participation (6330) suggests positive workforce implications for small businesses in the construction sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long contract duration (nearly 3000 days) increases the risk of cost overruns due to inflation or unforeseen project complexities.
  • Firm fixed-price contracts can be less flexible if project requirements change significantly over the extended performance period.
  • Dependence on specific construction expertise may limit future flexibility if the contractor's performance falters.

Positive Signals

  • Awarded under full and open competition, indicating a competitive bidding process that likely secured favorable pricing.
  • Significant small business participation (6330) suggests a commitment to supporting smaller enterprises within the contracting ecosystem.
  • Firm fixed-price contract provides cost certainty for the government, assuming scope remains stable.
  • The Department of the Army's involvement suggests a project aligned with critical national defense or infrastructure priorities.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, a significant segment of the broader construction industry. This sector encompasses large-scale infrastructure projects such as roads, bridges, dams, and coastal defenses. The market is characterized by substantial capital investment, specialized equipment, and a highly skilled workforce. The Army Corps of Engineers is a major player in this space, often awarding large contracts for military installations and public works.

Small Business Impact

The contract indicates a notable focus on small business participation, with a reported figure of 6330. This suggests a deliberate effort to engage small businesses, either as prime contractors or subcontractors. Such participation can foster growth and capacity building within the small business construction ecosystem. The specific nature of this participation (e.g., set-aside, subcontracting goals) would require further investigation, but the reported number is a positive signal for small business involvement.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army's contracting and project management divisions. Given the long duration and significant value, regular performance reviews, site inspections, and financial audits are expected. Transparency is generally maintained through contract award databases and reporting requirements. The Inspector General's office for the Department of Defense would have jurisdiction for investigating fraud, waste, or abuse.

Related Government Programs

  • Army Corps of Engineers Construction Contracts
  • Coastal Resilience and Infrastructure Projects
  • Department of Defense Civil Engineering
  • Federal Heavy Construction Awards

Risk Flags

  • Long contract duration may increase risk of cost escalation.
  • Firm fixed-price contract could be inflexible to scope changes over extended period.

Tags

construction, department-of-defense, department-of-the-army, definitive-contract, full-and-open-competition, firm-fixed-price, heavy-and-civil-engineering, florida, fort-pierce-shore, small-business-participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.9 million to CONSTRUCCIONES JOSE CARRO SE. IGF::CT::IGF SPP FORT PIERCE SHORE ST LUCIE CTY FL

Who is the contractor on this award?

The obligated recipient is CONSTRUCCIONES JOSE CARRO SE.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $18.9 million.

What is the period of performance?

Start: 2017-09-26. End: 2025-12-02.

What specific type of heavy and civil engineering construction is being performed at Fort Pierce Shore, Florida?

The data indicates the contract is for 'Other Heavy and Civil Engineering Construction' (NAICS code 237990). While the specific project details are not provided in the summary data, this category typically includes activities such as the construction of waterways, harbors, dams, bridges, tunnels, and other large-scale civil engineering projects. Given the location 'Fort Pierce Shore', it is highly probable that the project relates to coastal protection, shore stabilization, dredging, or related marine infrastructure improvements aimed at mitigating erosion or enhancing coastal defenses.

How does the $18.9 million contract value compare to similar Army Corps of Engineers projects for coastal infrastructure?

Benchmarking the $18.9 million contract value requires comparing it to similar projects undertaken by the Army Corps of Engineers, particularly those focused on coastal resilience and shore protection in Florida or similar coastal environments. Projects of this nature can vary significantly in cost based on scope, complexity, environmental considerations, and duration. A preliminary assessment suggests that $18.9 million is a substantial but not extraordinary amount for a multi-year civil engineering project. However, a detailed comparison would necessitate analyzing the specific deliverables, project scale (e.g., linear feet of shoreline protected, volume of material moved), and the competitive landscape for comparable contracts awarded within the last 1-3 years.

What are the primary risks associated with a firm fixed-price contract lasting nearly 3000 days?

The primary risks associated with a firm fixed-price (FFP) contract spanning nearly 3000 days (approximately 8.2 years) include potential cost escalation for the contractor and scope creep for the government. For the contractor, unforeseen increases in material costs, labor rates, or fuel prices over such an extended period can erode profit margins if not adequately accounted for in the initial bid. For the government, the risk lies in the potential for scope changes. If the project requirements evolve, negotiating modifications to an FFP contract can be complex and may lead to disputes or significant price adjustments. Additionally, the long duration increases the likelihood of encountering unforeseen site conditions or regulatory changes that could impact project execution and cost.

What does the '6330' small business participation figure signify?

The figure '6330' associated with small business participation likely refers to a specific small business category or code, possibly related to the type of construction services or the size standard for small businesses within that category. Without further context or a lookup table for these codes, its precise meaning is difficult to ascertain. However, in the context of federal contracting, such figures often indicate the number of small businesses involved, the dollar value of subcontracts awarded to small businesses, or a specific small business program designation. The presence of this figure suggests a deliberate effort to ensure small business involvement in the contract, potentially through subcontracting plans or set-aside goals.

How does the 'DEFINITIVE CONTRACT' type impact project flexibility and oversight?

A 'DEFINITIVE CONTRACT' is a type of contract that is fully determined and binding, unlike an 'undefinitized contract' which may have some terms yet to be finalized. In this case, it signifies that all terms, conditions, and specifications were agreed upon at the time of award. This provides clarity and certainty for both the government and the contractor, simplifying oversight as the scope and price are fixed. It implies that the project requirements were well-defined before the contract was finalized, reducing the likelihood of disputes over scope. Oversight will focus on ensuring performance aligns with the established terms and specifications, rather than negotiating fundamental aspects of the agreement.

What is the historical spending pattern for similar heavy and civil engineering construction contracts by the Department of the Army?

Historical spending by the Department of the Army on heavy and civil engineering construction contracts is substantial, reflecting its role in maintaining military infrastructure, supporting national security projects, and contributing to public works. The Army Corps of Engineers, in particular, manages a vast portfolio of such contracts, often in the billions of dollars annually. Spending patterns are influenced by military readiness requirements, national infrastructure initiatives, disaster recovery efforts, and geopolitical factors. Contracts range from small, localized repairs to massive, multi-year projects like base expansions or major civil works. Analyzing historical data would reveal trends in contract values, types of construction prioritized (e.g., barracks, airfields, ports, dams), and geographic distribution of awards.

Industry Classification

NAICS: ConstructionOther Heavy and Civil Engineering ConstructionOther Heavy and Civil Engineering Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912EP17B0009

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: CARR PR 510 KM 0.1 BARRIO CAPITANEJO, PONCE, PR, 00731

Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,919,046

Exercised Options: $18,919,046

Current Obligation: $18,919,046

Actual Outlays: $2,592,284

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2017-09-26

Current End Date: 2025-12-02

Potential End Date: 2025-12-02 00:00:00

Last Modified: 2025-11-13

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