Army Awards $26M Dredging Contract to Crosby Dredging LLC for Calcasieu River Maintenance

Contract Overview

Contract Amount: $25,975,490 ($26.0M)

Contractor: Crosby Dredging LLC

Awarding Agency: Department of Defense

Start Date: 2023-09-28

End Date: 2024-11-10

Contract Duration: 409 days

Daily Burn Rate: $63.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CALCASIEU RIVER MAINTENANCE DREDGING

Place of Performance

Location: LAKE CHARLES, CALCASIEU County, LOUISIANA, 70605

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $26.0 million to CROSBY DREDGING LLC for work described as: CALCASIEU RIVER MAINTENANCE DREDGING Key points: 1. Significant investment in critical waterway infrastructure. 2. Competition appears robust, suggesting potential for fair pricing. 3. Risk of cost overruns or schedule delays exists in large construction projects. 4. Construction sector spending is substantial, with this contract representing a portion.

Value Assessment

Rating: good

The contract value of $25,975,490 for dredging services appears reasonable given the scope and duration. Benchmarking against similar Army Corps of Engineers dredging contracts would provide a more precise assessment.

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: Taxpayer funds are being used for essential infrastructure maintenance, ensuring navigability and supporting regional commerce.

Public Impact

Ensures continued navigability of the Calcasieu River, vital for regional commerce and transportation. Supports economic activity by maintaining access for commercial vessels. Project completion will enhance the reliability of this key waterway.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

  • Potential for unforeseen subsurface conditions impacting cost and schedule.
  • Environmental compliance challenges could arise during dredging operations.

Positive Signals

  • Contract awarded through full and open competition.
  • Clear definition of work scope and firm fixed price contract type.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on waterway maintenance. Spending in this sector is often driven by infrastructure needs and federal agency budgets.

Small Business Impact

The contract was not awarded to a small business. Further analysis would be needed to determine if small businesses had adequate opportunity to compete or participate as subcontractors.

Oversight & Accountability

The Army Corps of Engineers is responsible for overseeing this contract. Standard oversight procedures should be in place to monitor progress, quality, and adherence to contract terms.

Related Government Programs

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

Risk Flags

  • Potential for cost overruns due to unforeseen site conditions.
  • Schedule delays due to weather or equipment issues.
  • Environmental compliance risks.
  • Dependence on a single prime contractor.

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 $26.0 million to CROSBY DREDGING LLC. CALCASIEU RIVER MAINTENANCE DREDGING

Who is the contractor on this award?

The obligated recipient is CROSBY DREDGING 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 $26.0 million.

What is the period of performance?

Start: 2023-09-28. End: 2024-11-10.

What is the historical cost performance of Crosby Dredging LLC on similar federal contracts?

Analyzing Crosby Dredging LLC's past performance on comparable federal contracts is crucial for assessing future reliability. Reviewing contract close-out data, any documented disputes, or performance ratings can reveal patterns of cost adherence, schedule management, and overall quality of work. This historical data provides a valuable benchmark for predicting the likelihood of successful project completion within budget and on time for the Calcasieu River project.

How does the awarded price compare to the government's independent cost estimate for this dredging project?

Comparing the awarded price to the government's independent cost estimate (ICE) is a key indicator of value. If the awarded price is significantly lower than the ICE, it suggests strong competition and potentially excellent value. Conversely, if it's higher, it warrants further investigation into the estimate's accuracy and the bidding environment. This comparison helps determine if taxpayers received a fair price for the services rendered.

What are the specific performance metrics and deliverables outlined in the contract to ensure effective project execution?

Effective project execution relies on clearly defined performance metrics and deliverables. For this dredging contract, these would likely include specific volumes of material to be removed, depth and width requirements for the channel, disposal site management, and environmental compliance standards. Monitoring adherence to these metrics ensures the project meets its objectives, maintains waterway navigability, and fulfills the contract's intended purpose efficiently.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912P823B0060

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 17771 HIGHWAY 3235, GALLIANO, LA, 70354

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

Financial Breakdown

Contract Ceiling: $33,687,792

Exercised Options: $25,975,490

Current Obligation: $25,975,490

Actual Outlays: $9,241,148

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2023-09-28

Current End Date: 2024-11-10

Potential End Date: 2024-11-10 00:00:00

Last Modified: 2024-12-20

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