DoD's $36M Forward Operating Base Construction in Afghanistan: Full & Open Competition, Firm Fixed Price
Contract Overview
Contract Amount: $36,096,637 ($36.1M)
Contractor: Domestic Awardees (undisclosed)
Awarding Agency: Department of Defense
Start Date: 2011-04-29
End Date: 2012-07-18
Contract Duration: 446 days
Daily Burn Rate: $80.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 11
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: PACKAGE M8,FORWARD OPERATING BASE, SHINDAND, AFGHANISTAN
Plain-Language Summary
Department of Defense obligated $36.1 million to DOMESTIC AWARDEES (UNDISCLOSED) for work described as: PACKAGE M8,FORWARD OPERATING BASE, SHINDAND, AFGHANISTAN Key points: 1. Significant investment in critical infrastructure for military operations. 2. Full and open competition suggests potential for competitive pricing. 3. Firm fixed price contract aims to control costs and manage risk. 4. Construction sector spending benchmark for similar overseas projects. 5. Potential for cost overruns due to complex logistical challenges.
Value Assessment
Rating: good
The contract value of $36.1 million for a forward operating base is substantial. Benchmarking against similar overseas construction projects would be necessary for a precise assessment, but the firm fixed price structure provides a degree of cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a broad solicitation process. This method is generally expected to foster price discovery and potentially lead to more competitive pricing for the government.
Taxpayer Impact: The use of full and open competition and a firm fixed price contract aims to maximize taxpayer value by ensuring competitive bidding and cost control for this significant infrastructure project.
Public Impact
Supports military operations and troop presence in Afghanistan. Contributes to the construction sector and employment. Potential for long-term infrastructure development in a challenging environment.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Geopolitical instability in Afghanistan.
- Logistical challenges of delivering materials and personnel.
- Potential for scope creep or unforeseen site conditions.
Positive Signals
- Firm fixed price contract limits cost escalation.
- Full and open competition promotes competitive pricing.
- Clear contract duration and delivery timeline.
Sector Analysis
This contract falls within the construction sector, specifically for infrastructure development in a contingency environment. Overseas construction projects often carry higher costs due to logistics, security, and specialized labor requirements compared to domestic projects.
Small Business Impact
The data indicates that the awardees were undisclosed domestic entities and that small business participation was not a stated factor (ss: false, sb: false). Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The Department of the Army awarded this contract, implying oversight through its contracting and program management functions. The firm fixed price nature of the contract provides a clear basis for performance monitoring and accountability.
Related Government Programs
- Highway, Street, and Bridge Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Geopolitical instability
- Logistical complexity
- Security risks
- Potential for cost overruns due to unforeseen circumstances
Tags
highway-street-and-bridge-construction, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $36.1 million to DOMESTIC AWARDEES (UNDISCLOSED). PACKAGE M8,FORWARD OPERATING BASE, SHINDAND, AFGHANISTAN
Who is the contractor on this award?
The obligated recipient is DOMESTIC 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 $36.1 million.
What is the period of performance?
Start: 2011-04-29. End: 2012-07-18.
What was the specific scope of work for the forward operating base construction?
The scope of work likely included the design, procurement, and construction of essential facilities and infrastructure for a forward operating base. This could encompass barracks, command centers, security perimeters, utilities, roads, and other critical support elements necessary for military operations in the Shindand, Afghanistan area.
What were the primary risks associated with this overseas construction project?
Key risks included the volatile security environment in Afghanistan, which could impact personnel safety and project timelines. Logistical challenges in transporting materials and equipment to a remote location, potential for corruption, and unforeseen geological or environmental conditions at the construction site were also significant risks.
How effectively did the firm fixed price contract manage cost overruns given the project's location?
The firm fixed price contract provided a strong mechanism for cost control by shifting most of the financial risk to the contractor. However, effectiveness in managing overruns would depend on the contractor's ability to anticipate and mitigate risks inherent in the Afghan operating environment and the government's oversight of contract modifications.
Industry Classification
NAICS: Construction › Highway, Street, and Bridge Construction › Highway, Street, and Bridge Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912ER11R0039
Offers Received: 11
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1800 F ST NW, WASHINGTON, DC, 20405
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $36,096,637
Exercised Options: $36,096,637
Current Obligation: $36,096,637
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2011-04-29
Current End Date: 2012-07-18
Potential End Date: 2012-07-18 00:00:00
Last Modified: 2021-08-21
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