Army Awards $13.5M Contract for Non-Building Facilities Construction to Circle, LLC
Contract Overview
Contract Amount: $13,545,595 ($13.5M)
Contractor: Circle, LLC
Awarding Agency: Department of Defense
Start Date: 2003-10-22
End Date: 2013-12-31
Contract Duration: 3,723 days
Daily Burn Rate: $3.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 11
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: 200408!000061!2100!W912P8!* !W912P804C0004 !A!N! !N! ! !20031022!20051028!034199810!034199810!034199810!N!CIRCLE INC !1204 ENGINEERS RD !BELLE CHASSE !LA!70037!99051!051!22!JEFFERSON !JEFFERSON !LOUISIANA !+000000010000!N!N!000000000000!Y299!ALL OTHER NON-BUILDING FACILITIES !C2 !CONSTRUCTION !000 !* !237990!E! !3! ! ! ! ! !99990909!B! ! !A! !A!N!J!2!011!A! !D!N!C! ! !N!B!N!N! ! !D! !A!A!00 !A!B!Y!S!N! ! ! ! !0001! !
Place of Performance
Location: HARVEY, JEFFERSON County, LOUISIANA, 70058
Plain-Language Summary
Department of Defense obligated $13.5 million to CIRCLE, LLC for work described as: 200408!000061!2100!W912P8!* !W912P804C0004 !A!N! !N! ! !20031022!20051028!034199810!034199810!034199810!N!CIRCLE INC !1204 ENGINEERS RD !BELLE CHASSE !LA!70037!99051!051!22!JEFFERSON !JEFF… Key points: 1. The contract value is $13.5 million, awarded by the Department of the Army. 2. Circle, LLC secured the contract through full and open competition. 3. The contract duration is over 10 years, indicating a long-term need. 4. The North American Industry Classification System (NAICS) code 237990 suggests a focus on heavy civil engineering construction.
Value Assessment
Rating: fair
The contract value of $13.5 million over 10 years appears reasonable for heavy civil engineering construction services. Benchmarking against similar contracts would provide a more definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, which generally promotes competitive pricing and ensures the government receives the best value. The fixed-price nature of the contract further aids in price discovery.
Taxpayer Impact: The competitive award process is expected to yield a fair price, minimizing unnecessary taxpayer expenditure.
Public Impact
This contract supports infrastructure development and maintenance within the Department of Defense. The long contract duration suggests ongoing projects and a sustained need for these construction services. The award to Circle, LLC contributes to economic activity within Louisiana.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (over 10 years) could lead to cost overruns if not managed effectively.
- Lack of specific details on the scope of 'ALL OTHER NON-BUILDING FACILITIES' makes it difficult to fully assess value.
- No indication of small business participation.
Positive Signals
- Awarded through full and open competition, suggesting a competitive pricing environment.
- Firm Fixed Price contract type helps control costs.
- Awardee is located in Louisiana, potentially benefiting the local economy.
Sector Analysis
The construction sector, particularly heavy civil engineering (NAICS 237990), involves significant infrastructure projects. Spending in this sector can fluctuate based on government priorities and economic conditions. This contract falls within the broader construction services spending category.
Small Business Impact
The data indicates that this contract was not awarded to a small business (sb: false). Further analysis would be needed to determine if small business set-asides were considered or if opportunities were missed.
Oversight & Accountability
The contract was awarded by the Department of the Army, a component of the Department of Defense. Standard government oversight mechanisms for contract performance and financial management would apply.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration may increase risk of cost escalation or scope creep.
- Vague description of services ('ALL OTHER NON-BUILDING FACILITIES') hinders full value assessment.
- No small business participation noted.
- Potential for performance issues over an extended period.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, la, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $13.5 million to CIRCLE, LLC. 200408!000061!2100!W912P8!* !W912P804C0004 !A!N! !N! ! !20031022!20051028!034199810!034199810!034199810!N!CIRCLE INC !1204 ENGINEERS RD !BELLE CHASSE !LA!70037!99051!051!22!JEFFERSON !JEFFERSON !LOUISIANA !+000000010000!N!N!000000000000!Y299!ALL OTHER NON-BUILDING FACILITIES !C2 !CONSTRUCTION !000 !* !237990!E! !3! ! ! ! ! !999
Who is the contractor on this award?
The obligated recipient is CIRCLE, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $13.5 million.
What is the period of performance?
Start: 2003-10-22. End: 2013-12-31.
What specific types of 'non-building facilities' are covered under this contract, and how does their scope align with the awarded price?
The contract description 'ALL OTHER NON-BUILDING FACILITIES' is broad. A detailed breakdown of the specific facilities (e.g., roads, utilities, levees, airfields) and their required maintenance or construction would be necessary to accurately assess if the $13.5 million price is justified and competitive for the actual work involved.
Given the 10+ year duration, what mechanisms are in place to manage potential cost increases or scope creep over the contract's life?
While the contract is Firm Fixed Price, long-term contracts often include provisions for economic price adjustments or change order processes. Understanding these specific clauses and the frequency/triggers for reviews is crucial for assessing long-term cost control and mitigating risks associated with scope creep.
How effectively did the full and open competition process ensure the best value was obtained, considering the long-term nature of the services required?
Full and open competition is a strong indicator of potential value. However, for long-term, specialized construction needs, the evaluation criteria used during the competition are critical. Assessing whether the award prioritized not just price but also technical capability, past performance, and long-term cost-effectiveness would provide insight into the effectiveness of the competition.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 11
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1204 ENGINEERS RD, BELLE CHASSE, LA, 70037
Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2003-10-22
Current End Date: 2013-12-31
Potential End Date: 2013-12-31 00:00:00
Last Modified: 2021-02-25
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