DoD Awards $21.5M for Afghan Construction, Lacking Small Business and Foreign Awardee Transparency
Contract Overview
Contract Amount: $21,507,612 ($21.5M)
Contractor: Foreign Awardees (undisclosed)
Awarding Agency: Department of Defense
Start Date: 2008-06-10
End Date: 2010-10-30
Contract Duration: 872 days
Daily Burn Rate: $24.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 17
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: ANP CONSTRUCTION WORKS FOR BP CO. HQ ACHEEN NANGAHAR (4 SITES)
Plain-Language Summary
Department of Defense obligated $21.5 million to FOREIGN AWARDEES (UNDISCLOSED) for work described as: ANP CONSTRUCTION WORKS FOR BP CO. HQ ACHEEN NANGAHAR (4 SITES) Key points: 1. Significant contract value for construction services in Afghanistan. 2. Competition method was 'Full and Open', suggesting broad market access. 3. Lack of transparency regarding foreign awardees raises potential risk. 4. Construction sector spending, but specific benchmarks are unavailable.
Value Assessment
Rating: fair
The contract value of $21.5M for construction services is substantial. Without specific details on the scope of work and comparable projects in the region, a precise pricing assessment is difficult. However, the firm fixed-price structure aims to control costs.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally promotes competitive pricing. However, the undisclosed foreign awardees obscure the true competitive landscape and potential price discovery.
Taxpayer Impact: The firm fixed-price contract aims to provide cost certainty for taxpayers. However, the lack of transparency on awardees could mask inefficiencies or inflated costs.
Public Impact
Taxpayers funded significant construction work in a high-risk environment. The project involved multiple sites, increasing logistical complexity. Lack of detail on foreign awardees hinders public understanding of who benefited.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Undisclosed foreign awardees
- Limited small business participation
- Construction in a complex operational environment
Positive Signals
- Full and open competition
- Firm fixed-price contract
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector. Benchmarking is challenging due to the specific geographic location (Afghanistan) and the nature of the project, which likely involved security considerations.
Small Business Impact
The data indicates no specific small business set-aside or participation. This suggests that opportunities for small businesses may have been limited or not prioritized in this particular award.
Oversight & Accountability
The contract was awarded by the Department of the Army, part of the Department of Defense. Oversight would typically involve contract management and performance monitoring to ensure successful completion and adherence to terms.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Lack of transparency on foreign awardees
- Potential for inflated costs due to undisclosed entities
- Limited information on small business participation
- Construction in a high-risk operational environment
Tags
commercial-and-institutional-building-co, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $21.5 million to FOREIGN AWARDEES (UNDISCLOSED). ANP CONSTRUCTION WORKS FOR BP CO. HQ ACHEEN NANGAHAR (4 SITES)
Who is the contractor on this award?
The obligated recipient is FOREIGN AWARDEES (UNDISCLOSED).
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $21.5 million.
What is the period of performance?
Start: 2008-06-10. End: 2010-10-30.
What was the specific scope of work for the construction at the four sites, and how does the $21.5M price compare to similar projects in Afghanistan during that period?
The specific scope of work is not detailed in the provided data. To assess value, a comparison with similar construction projects in Afghanistan between 2008 and 2010 would be necessary. Factors like site preparation, materials, labor costs, and security requirements would heavily influence pricing, making direct comparisons difficult without more granular information.
What are the potential risks associated with awarding contracts to undisclosed foreign entities for construction in a conflict zone?
Awarding contracts to undisclosed foreign entities in a conflict zone presents several risks. These include potential issues with vetting, accountability, adherence to ethical standards, and ensuring the security of personnel and materials. Lack of transparency can also obscure potential conflicts of interest or the diversion of funds, impacting overall project integrity and taxpayer value.
How effectively did the 'Full and Open Competition' process ensure competitive pricing given the undisclosed foreign awardees?
While 'Full and Open Competition' theoretically maximizes the pool of bidders, the undisclosed nature of the foreign awardees limits the assessment of its effectiveness in ensuring competitive pricing. It's unclear if the most competitive bids were truly identified and selected, or if the undisclosed entities had advantages not apparent to other bidders. Further investigation into the award decision process is needed.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W917PM08R0063
Offers Received: 17
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1800 F ST NW, WASHINGTON, DC, 20405
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $21,507,612
Exercised Options: $21,507,612
Current Obligation: $21,507,612
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2008-06-10
Current End Date: 2010-10-30
Potential End Date: 2010-10-30 00:00:00
Last Modified: 2021-08-25
More Contracts from Foreign Awardees (undisclosed)
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