Department of the Army awarded $20.2M for construction of Forward Operating Base Tuwaitha

Contract Overview

Contract Amount: $20,198,936 ($20.2M)

Contractor: Miscellaneous Foreign Awardees

Awarding Agency: Department of Defense

Start Date: 2007-06-19

End Date: 2008-07-19

Contract Duration: 396 days

Daily Burn Rate: $51.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: {PIIN: W91GY007C0048} CONSTRUCT FOB TUWAITHA

Plain-Language Summary

Department of Defense obligated $20.2 million to MISCELLANEOUS FOREIGN AWARDEES for work described as: {PIIN: W91GY007C0048} CONSTRUCT FOB TUWAITHA Key points: 1. Contract awarded to a foreign entity, raising questions about domestic economic impact. 2. Firm Fixed Price contract type suggests clear scope and cost control expectations. 3. Contract duration of 396 days indicates a significant construction project. 4. Awarded under full and open competition, implying a broad search for qualified bidders. 5. The contract falls under Administrative Management and General Management Consulting Services, which may be a broad categorization for construction services. 6. No small business set-aside was utilized, potentially limiting opportunities for smaller firms.

Value Assessment

Rating: fair

The contract value of $20.2 million for a 396-day construction project appears within a reasonable range for a significant infrastructure undertaking. However, without specific details on the scope of work (e.g., size of FOB, specific facilities constructed), a precise value-for-money assessment is challenging. Benchmarking against similar FOB construction projects would provide a clearer picture of cost-effectiveness. The firm fixed-price nature suggests the government sought cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that the Department of the Army sought bids from all responsible sources. This approach generally promotes competitive pricing and allows for the selection of the best value offer. The number of bidders is not specified, but the open competition suggests a robust process was intended.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the most competitive pricing and best overall value by allowing a wide range of potential contractors to bid.

Public Impact

The primary beneficiaries are likely military personnel who will utilize the constructed Forward Operating Base Tuwaitha. The services delivered include the construction of essential facilities for military operations. The geographic impact is localized to the Tuwaitha region where the FOB is established. Workforce implications would include construction jobs, potentially benefiting local or specialized labor markets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The categorization under 'Administrative Management and General Management Consulting Services' (NAICS 541611) is unusual for a construction project and may indicate a broader scope or a misclassification, potentially obscuring the true nature of the services.
Awarding to 'Miscellaneous Foreign Awardees' raises questions about the vetting process and potential risks associated with foreign contractors, especially for critical infrastructure.

Positive Signals

The contract was awarded under 'Full and Open Competition,' suggesting a deliberate effort to find the most capable and cost-effective solution.
The 'Firm Fixed Price' contract type indicates a commitment to cost control and predictability for the government.

Sector Analysis

This contract falls within the broader construction and defense infrastructure sector. The market for military base construction is significant, driven by ongoing global operations and modernization efforts. Comparable spending benchmarks would typically involve per-square-foot costs for similar types of facilities or FOBs in similar geographic or security environments. The specific NAICS code (541611) is for Administrative Management and General Management Consulting Services, which is atypical for a construction contract and might suggest a prime contractor managing multiple sub-contractors or a broader service package.

Small Business Impact

The contract was not set aside for small businesses, and the 'sb' field is false. This means that large businesses, including foreign entities, were eligible to compete and potentially win. There is no explicit information on subcontracting plans, but for a project of this scale, it is likely that a significant portion of the work would be subcontracted, potentially offering opportunities for small businesses if the prime contractor engages them.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and project management offices. Inspector General (IG) jurisdiction would apply for investigations into fraud, waste, or abuse. Transparency is generally facilitated through contract award databases like FPDS, though detailed project-specific oversight reports are not always publicly available.

Related Government Programs

Forward Operating Base Construction
Military Infrastructure Projects
Department of Defense Construction Contracts
Foreign Military Sales Support

Risk Flags

Unusual NAICS code classification for a construction project.
Award to 'Miscellaneous Foreign Awardees' may present unique logistical or security challenges.
Lack of specific details on the scope of work makes comprehensive value assessment difficult.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.2 million to MISCELLANEOUS FOREIGN AWARDEES. {PIIN: W91GY007C0048} CONSTRUCT FOB TUWAITHA

Who is the contractor on this award?

The obligated recipient is MISCELLANEOUS FOREIGN AWARDEES.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $20.2 million.

What is the period of performance?

Start: 2007-06-19. End: 2008-07-19.

What specific construction services were included under this contract, given the NAICS code?

The provided data lists the NAICS code as 541611, which corresponds to 'Administrative Management and General Management Consulting Services.' This is highly unusual for a construction project, which would typically fall under codes like 236220 (Commercial and Institutional Building Construction) or 237990 (Other Heavy and Civil Engineering Construction). It is possible that the prime contractor was a consulting firm that managed the construction project, subcontracting the actual building work. Alternatively, there may have been a misclassification in the data. Without further details from the contract award documentation, the precise nature of the 'services' rendered remains unclear, but the description 'CONSTRUCT FOB TUWAITHA' strongly implies physical construction activities.

What is the significance of awarding this contract to 'Miscellaneous Foreign Awardees'?

Awarding a significant construction contract to 'Miscellaneous Foreign Awardees' suggests that the Department of the Army engaged contractors not based in the United States. This could be due to several factors, such as the location of the project (e.g., in a foreign country requiring local expertise or presence), a lack of sufficient domestic capacity for the specific requirements, or potentially more competitive pricing from foreign firms. However, it also raises considerations regarding security, logistical support, adherence to U.S. labor and safety standards, and the economic benefit to the U.S. economy. The term 'Miscellaneous Foreign Awardees' implies a grouping of foreign entities rather than a single, identifiable foreign prime contractor.

How does the 'Firm Fixed Price' contract type impact risk and cost for this construction project?

A 'Firm Fixed Price' (FFP) contract type is generally advantageous for the government when the scope of work is well-defined and unlikely to change significantly. Under an FFP contract, the contractor agrees to a total price for the work, and this price is not adjusted unless there are changes to the scope initiated by the government. This shifts the risk of cost overruns to the contractor, providing the government with cost certainty. For a construction project like building a Forward Operating Base, an FFP contract incentivizes the contractor to manage costs efficiently and complete the project within the agreed-upon budget. However, it also means that if unforeseen issues arise that are not covered by contract clauses, the contractor may seek additional compensation or face significant losses.

What is the typical cost range for constructing a Forward Operating Base of this magnitude?

The cost of constructing a Forward Operating Base (FOB) can vary dramatically based on its size, location, security requirements, and the types of facilities needed (barracks, command centers, medical facilities, power generation, etc.). A $20.2 million contract for a 396-day project suggests a moderately sized FOB. Smaller, temporary FOBs might cost less, while larger, more permanent installations with extensive infrastructure could run into hundreds of millions of dollars. Benchmarking requires detailed specifications, but this award falls within a plausible range for a significant construction effort supporting military operations, especially if it involves substantial infrastructure development in a potentially challenging environment.

What are the potential implications of the contract duration (396 days) on project management and completion?

A contract duration of 396 days, approximately 13 months, indicates a substantial construction project requiring careful planning, resource allocation, and phased execution. This timeframe allows for significant work to be completed but also necessitates robust project management to ensure timely progress and avoid delays. Factors such as weather, supply chain logistics (especially if involving foreign awardees), and site conditions can impact the schedule. The government's oversight would focus on monitoring milestones, ensuring quality control throughout the construction phases, and managing any potential change orders or unforeseen issues that could affect the completion date and final cost.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: MISCELLANEOUS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2011 CRYSTAL DR STE 911, ARLINGTON, VA, 08

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $20,198,936

Exercised Options: $20,198,936

Current Obligation: $20,198,936

Contract Characteristics

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline