Army awards $17.3M for Lake Pontchartrain levee enlargement, highlighting infrastructure resilience needs

Contract Overview

Contract Amount: $17,316,288 ($17.3M)

Contractor: Barriere Construction CO., L.L.C.

Awarding Agency: Department of Defense

Start Date: 2010-04-08

End Date: 2011-08-30

Contract Duration: 509 days

Daily Burn Rate: $34.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: LAKE PONCHARTRAIN AND VICINITY, HURRICANE PROTECTION PROJECT, I-10 HWY CROSSING LEVEE ENLARGEMENT REACH LPV 109.02B SOUTH POINT TO CSX RAILROAD

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70118

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $17.3 million to BARRIERE CONSTRUCTION CO., L.L.C. for work described as: LAKE PONCHARTRAIN AND VICINITY, HURRICANE PROTECTION PROJECT, I-10 HWY CROSSING LEVEE ENLARGEMENT REACH LPV 109.02B SOUTH POINT TO CSX RAILROAD Key points: 1. Infrastructure spending: Project addresses critical hurricane protection for a vital transportation corridor. 2. Competition: Full and open competition suggests a potentially competitive bidding process. 3. Risk: Fixed-price contract may shift some cost overrun risk to the contractor. 4. Sector: Heavy civil engineering construction is essential for national infrastructure and disaster preparedness.

Value Assessment

Rating: fair

The award of $17.3M for levee enlargement appears reasonable given the scope of hurricane protection infrastructure. Benchmarking against similar large-scale civil engineering projects would provide further context on pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: This investment in hurricane protection is crucial for safeguarding lives, property, and economic activity in the region, representing a necessary expenditure for public safety.

Public Impact

Enhances resilience against storm surges and flooding for a major highway. Protects critical infrastructure and communities in the Lake Pontchartrain basin. Contributes to long-term disaster preparedness and mitigation efforts. Supports the construction sector and associated jobs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration (509 days) may be subject to delays.
  • Fixed-price contract could lead to disputes if unforeseen conditions arise.

Positive Signals

  • Addresses critical infrastructure needs.
  • Awarded through full and open competition.
  • Focuses on disaster preparedness.

Sector Analysis

This project falls within the heavy and civil engineering construction sector, which is vital for public infrastructure development and maintenance. Spending in this sector often fluctuates with government funding priorities and infrastructure needs.

Small Business Impact

The data does not indicate whether small businesses were involved as prime contractors or subcontractors. Further analysis would be needed to assess small business participation in this contract.

Oversight & Accountability

Oversight would typically involve regular progress reports, site inspections, and quality assurance checks by the Army Corps of Engineers to ensure contract compliance and project completion.

Related Government Programs

  • Other Heavy and Civil Engineering Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for unforeseen site conditions impacting cost and schedule.
  • Contract duration may be susceptible to weather delays.
  • Reliance on fixed-price contract for a complex construction project.
  • Lack of explicit small business participation data.

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 $17.3 million to BARRIERE CONSTRUCTION CO., L.L.C.. LAKE PONCHARTRAIN AND VICINITY, HURRICANE PROTECTION PROJECT, I-10 HWY CROSSING LEVEE ENLARGEMENT REACH LPV 109.02B SOUTH POINT TO CSX RAILROAD

Who is the contractor on this award?

The obligated recipient is BARRIERE CONSTRUCTION CO., L.L.C..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $17.3 million.

What is the period of performance?

Start: 2010-04-08. End: 2011-08-30.

What is the long-term cost-effectiveness of this levee enlargement project compared to potential disaster recovery costs?

The long-term cost-effectiveness hinges on the project's success in preventing or mitigating damage from future hurricanes. While the upfront investment is significant, it is likely to be substantially less than the economic and human costs associated with major flood damage to I-10 and surrounding areas. A detailed cost-benefit analysis comparing construction costs against projected damage avoidance would be necessary for a definitive assessment.

What specific risks were identified during the bidding process that might have influenced the fixed-price contract?

Given the nature of civil engineering projects, risks could include unforeseen subsurface conditions, material price volatility, or weather-related delays. A fixed-price contract suggests the agency aimed to cap costs, potentially transferring some of these identified risks to the contractor, who would then need to price these contingencies into their bid.

How does the performance of Barriere Construction Co., L.L.C. on similar projects inform the assessment of this contract's effectiveness?

Assessing the effectiveness of this contract requires evaluating Barriere Construction's past performance. If the company has a strong track record of completing similar infrastructure projects on time, within budget, and to quality standards, it increases the likelihood of this project's success. Conversely, past performance issues would raise concerns about potential delays or cost overruns.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912P810B0053

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 GALLERIA BLVD STE 1650, METAIRIE, LA, 70001

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $17,316,288

Exercised Options: $17,316,288

Current Obligation: $17,316,288

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2010-04-08

Current End Date: 2011-08-30

Potential End Date: 2011-08-30 00:00:00

Last Modified: 2020-09-27

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