DoD's $13.5M Amite River Flood Control Contract Awarded to Precision Construction LLC
Contract Overview
Contract Amount: $13,549,362 ($13.5M)
Contractor: Precision Construction LLC
Awarding Agency: Department of Defense
Start Date: 2025-09-16
End Date: 2027-08-11
Contract Duration: 694 days
Daily Burn Rate: $19.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 8
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: ED 21-001 FLOOD CONTROL, AMITE RIVER AND TRIBUTARIES, COMITE RIVER BASIN, COMITE RIVER DIVERSION PROJECT, CHANNEL REACH 2B, EAST BATON ROUGE PARISH, LA
Place of Performance
Location: ZACHARY, EAST BATON ROUGE County, LOUISIANA, 70791
Plain-Language Summary
Department of Defense obligated $13.5 million to PRECISION CONSTRUCTION LLC for work described as: ED 21-001 FLOOD CONTROL, AMITE RIVER AND TRIBUTARIES, COMITE RIVER BASIN, COMITE RIVER DIVERSION PROJECT, CHANNEL REACH 2B, EAST BATON ROUGE PARISH, LA Key points: 1. The contract focuses on flood control infrastructure in Louisiana, a critical area for disaster preparedness. 2. Precision Construction LLC, a single awardee, faces competition from other heavy and civil engineering firms. 3. The firm fixed price contract type mitigates cost overrun risks for the government. 4. This project falls within the 'Other Heavy and Civil Engineering Construction' sector, which sees significant federal investment.
Value Assessment
Rating: good
The contract value of $13.5 million for civil engineering construction appears reasonable given the scope of flood control projects. Benchmarking against similar Army Corps of Engineers projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition pool. This method may impact price discovery compared to unrestricted full and open competition.
Taxpayer Impact: Taxpayers are impacted through funding for essential infrastructure aimed at mitigating flood damage and protecting communities.
Public Impact
Enhances flood protection for East Baton Rouge Parish, Louisiana, reducing potential property damage and loss of life. Supports critical infrastructure development, contributing to regional economic stability and resilience. The project creates construction jobs and stimulates local economic activity in Louisiana.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may have resulted in a higher price than if fully open.
- Potential for scope creep in large civil engineering projects.
- Reliance on a single contractor for project execution.
Positive Signals
- Addresses a significant public safety need for flood control.
- Firm fixed price contract limits government cost risk.
- Project is located in an area prone to natural disasters.
Sector Analysis
This contract falls under 'Other Heavy and Civil Engineering Construction,' a sector vital for national infrastructure. Federal spending in this area often supports projects related to transportation, water management, and disaster mitigation, with significant annual outlays.
Small Business Impact
The contract was not awarded to a small business. Analysis of subcontracting opportunities for small businesses is recommended to ensure broader economic participation.
Oversight & Accountability
The Department of the Army is responsible for oversight. Robust project management and regular progress reporting are crucial to ensure timely completion and adherence to specifications.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns if unforeseen site conditions arise.
- Risk of project delays due to contractor performance or external factors.
- Limited competition may not yield the best possible price.
- Ensuring long-term durability and effectiveness of the flood control infrastructure.
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 PRECISION CONSTRUCTION LLC. ED 21-001 FLOOD CONTROL, AMITE RIVER AND TRIBUTARIES, COMITE RIVER BASIN, COMITE RIVER DIVERSION PROJECT, CHANNEL REACH 2B, EAST BATON ROUGE PARISH, LA
Who is the contractor on this award?
The obligated recipient is PRECISION CONSTRUCTION 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: 2025-09-16. End: 2027-08-11.
What specific criteria led to the exclusion of sources in this 'limited' full and open competition, and how did this impact the final price?
The exclusion of sources likely stemmed from specific technical requirements, past performance, or unique capabilities needed for the Comite River Diversion Project. Understanding these criteria is key to assessing if the limited competition was justified and if it led to a fair market price or potentially inflated costs due to reduced bidding.
What are the primary risks associated with the firm fixed price contract type for this complex civil engineering project, and how are they being managed?
While firm fixed price limits cost risk for the government, it can shift significant risk to the contractor. For complex projects like flood control, unforeseen site conditions or material price fluctuations could strain the contractor, potentially leading to delays or disputes. Effective risk management involves clear contract terms, contingency planning, and proactive communication.
How will the effectiveness of the Comite River Diversion Project, Channel Reach 2B, be measured post-completion in terms of flood mitigation and environmental impact?
Effectiveness will be measured by comparing pre- and post-project flood levels during significant rainfall events, assessing reduced property damage claims, and monitoring environmental indicators related to water flow and habitat. Performance metrics should be clearly defined in the contract and tracked throughout the project lifecycle and beyond.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SEALED BID
Solicitation ID: W912P825BA025
Offers Received: 8
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 401 SONNIER RD, CARENCRO, LA, 70520
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $13,549,362
Exercised Options: $13,549,362
Current Obligation: $13,549,362
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2025-09-16
Current End Date: 2027-08-11
Potential End Date: 2027-08-11 00:00:00
Last Modified: 2025-09-16
More Contracts from Precision Construction LLC
- Comite River Diversion Project — $35.0M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)