DoD Awards $16.5M for Louisiana Storm-Proofing Project to Benetech, L.L.C

Contract Overview

Contract Amount: $16,518,452 ($16.5M)

Contractor: Benetech, L.L.C.

Awarding Agency: Department of Defense

Start Date: 2010-12-02

End Date: 2014-02-28

Contract Duration: 1,184 days

Daily Burn Rate: $14.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AWARD OF HPO PROJECT OSP-08 FOR STORM-PROOFING AT DPS 1, 2, 4, 12, 19&I-10, STORM-PROOFING INTERIOR PUMP STATIONS, ORLEANS PARISH, LA.

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70125

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $16.5 million to BENETECH, L.L.C. for work described as: AWARD OF HPO PROJECT OSP-08 FOR STORM-PROOFING AT DPS 1, 2, 4, 12, 19&I-10, STORM-PROOFING INTERIOR PUMP STATIONS, ORLEANS PARISH, LA. Key points: 1. Project focuses on critical storm-proofing infrastructure for pump stations in Orleans Parish. 2. Awarded via full and open competition after exclusion of sources, indicating a specific justification. 3. Contract type is Firm Fixed Price, providing cost certainty for the government. 4. Benetech, L.L.C. is the sole awardee for this specific project. 5. The project duration is 1184 days, spanning over three years.

Value Assessment

Rating: fair

The award amount of $16.5 million for storm-proofing pump stations appears within a reasonable range for infrastructure projects of this nature. However, without specific benchmarks for similar storm-proofing contracts in the region or for comparable facilities, a precise valuation is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This suggests that while the competition was intended to be broad, specific sources may have been excluded for a defined reason, potentially impacting the breadth of price discovery.

Taxpayer Impact: The use of full and open competition aims to secure the best value for taxpayers. However, the exclusion of sources warrants scrutiny to ensure no potential cost savings were foregone.

Public Impact

Enhances resilience of critical water infrastructure against storm events. Supports public safety and continuity of essential services in Orleans Parish. Potential for job creation in the construction and related sectors in Louisiana. Addresses long-term infrastructure needs in a region prone to severe weather.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Reason for exclusion of sources in competition needs clarification.
Potential for cost overruns if unforeseen conditions arise during construction.
Dependence on a single contractor for a critical infrastructure project.

Positive Signals

Firm Fixed Price contract provides cost predictability.
Addresses a critical need for storm resilience.
Competition, even with exclusions, suggests an effort to obtain value.

Sector Analysis

This project falls within the construction sector, specifically related to water and sewer infrastructure. Spending benchmarks for similar storm-proofing projects can vary significantly based on location, scope, and specific engineering requirements. The $16.5 million award is a substantial investment in critical public infrastructure.

Small Business Impact

The data indicates that this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was solicited or achieved through subcontracting opportunities.

Oversight & Accountability

The Department of Defense, through the Department of the Army, is responsible for overseeing this contract. Standard oversight mechanisms for construction projects, including site inspections and progress reporting, would be in place to ensure compliance and quality.

Related Government Programs

Water and Sewer Line and Related Structures Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Lack of clarity on source exclusion justification.
Potential for cost escalation due to unforeseen site conditions.
Limited visibility into long-term maintenance costs.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.5 million to BENETECH, L.L.C.. AWARD OF HPO PROJECT OSP-08 FOR STORM-PROOFING AT DPS 1, 2, 4, 12, 19&I-10, STORM-PROOFING INTERIOR PUMP STATIONS, ORLEANS PARISH, LA.

Who is the contractor on this award?

The obligated recipient is BENETECH, 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 $16.5 million.

What is the period of performance?

Start: 2010-12-02. End: 2014-02-28.

What was the specific justification for excluding sources in the 'Full and Open Competition After Exclusion of Sources' process?

The specific justification for excluding sources in this 'Full and Open Competition After Exclusion of Sources' award is not detailed in the provided data. Typically, such exclusions are based on factors like unique capabilities, proprietary technology, or urgent and compelling needs that only certain sources can meet. A thorough review of the contract file or agency documentation would be required to ascertain the precise rationale.

How does the $16.5 million cost compare to similar storm-proofing projects in comparable regions?

Without access to a comprehensive database of similar storm-proofing projects in comparable regions, it is challenging to definitively benchmark the $16.5 million cost. Factors such as the specific scope of work, the complexity of the pump stations, material costs, and local labor rates significantly influence project expenses. A detailed cost-benefit analysis comparing this award to other projects with similar technical specifications and geographical considerations would be necessary for a robust comparison.

What are the potential long-term maintenance costs associated with the completed storm-proofing measures?

The provided data does not include information on the long-term maintenance costs associated with the storm-proofing measures. While the initial award covers construction, ongoing maintenance and operational expenses are separate considerations. Understanding these future costs would require reviewing the project's lifecycle cost analysis or maintenance plans, which are not detailed here. This information is crucial for a complete assessment of the project's overall financial impact.

Industry Classification

NAICS: Construction › Utility System Construction › Water and Sewer Line and Related Structures Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: W912P810B0079

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 915 S WHITE ST, NEW ORLEANS, LA, 70125

Business Categories: Category Business, HUBZone Firm, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $16,532,452

Exercised Options: $16,532,452

Current Obligation: $16,518,452

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline