DoD's $18.7M Najaf Base Construction Contract Awarded to Lakeshore Engineering Services
Contract Overview
Contract Amount: $18,666,596 ($18.7M)
Contractor: Lakeshore Engineering Services, Inc.
Awarding Agency: Department of Defense
Start Date: 2008-01-25
End Date: 2010-02-09
Contract Duration: 746 days
Daily Burn Rate: $25.0K/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: ONE LIGHT INFANTRY BATTALION, NAJAF, IRAQ
Plain-Language Summary
Department of Defense obligated $18.7 million to LAKESHORE ENGINEERING SERVICES, INC. for work described as: ONE LIGHT INFANTRY BATTALION, NAJAF, IRAQ Key points: 1. Contract awarded for base construction in Najaf, Iraq. 2. Lakeshore Engineering Services secured the $18.7M deal. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. Sector is Commercial and Institutional Building Construction.
Value Assessment
Rating: fair
The contract value of $18.7M for a light infantry battalion base in Iraq appears high. Benchmarking against similar construction projects in conflict zones is difficult due to unique risk factors and logistical challenges.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The competition method 'Full and Open Competition After Exclusion of Sources' suggests a limited bidding process. This could potentially lead to higher prices compared to unrestricted full and open competition.
Taxpayer Impact: Taxpayer funds are utilized for infrastructure development in a foreign operational theater, with potential for cost inefficiencies due to limited competition.
Public Impact
Supports military operations by providing necessary infrastructure. Potential for cost overruns impacts taxpayer investment. Job creation for construction workers, both local and potentially international. Infrastructure development in a post-conflict zone.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may inflate costs.
- Geopolitical risks in Iraq could impact project execution and budget.
- Contract duration is substantial, increasing exposure to changing conditions.
Positive Signals
- Addresses a critical need for operational infrastructure.
- Fixed-price contract provides some cost certainty.
Sector Analysis
The Commercial and Institutional Building Construction sector is broad. This specific contract falls under military construction, which often carries higher costs due to security, logistics, and specialized requirements compared to typical commercial projects.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation would be needed to assess small business participation.
Oversight & Accountability
Oversight would be crucial given the location and contract value. The Department of the Air Force is the awarding agency, and their contracting officers would be responsible for monitoring performance and ensuring compliance.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for cost overruns due to location and limited competition.
- Geopolitical instability in Iraq poses execution risks.
- Contract duration increases exposure to changing conditions and inflation.
- Lack of transparency on 'Exclusion of Sources' raises concerns about competition fairness.
Tags
commercial-and-institutional-building-co, department-of-defense, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $18.7 million to LAKESHORE ENGINEERING SERVICES, INC.. ONE LIGHT INFANTRY BATTALION, NAJAF, IRAQ
Who is the contractor on this award?
The obligated recipient is LAKESHORE ENGINEERING SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $18.7 million.
What is the period of performance?
Start: 2008-01-25. End: 2010-02-09.
What specific factors justified the 'Exclusion of Sources' in the full and open competition?
The justification for excluding certain sources in a 'Full and Open Competition After Exclusion of Sources' typically relates to specific technical requirements, security concerns, or the need for specialized expertise that only a limited number of contractors can meet. Without further details on the solicitation, it's difficult to ascertain the precise reasons, but these exclusions can impact the level of competition and potentially the final price.
How does the $18.7M cost compare to similar military construction projects in high-risk environments?
Benchmarking this $18.7M contract against similar military construction projects in high-risk environments like Iraq is challenging. Factors such as the specific scope of work (e.g., type of facilities, infrastructure density), security costs, logistical complexities, and prevailing market rates in the region significantly influence project costs. A direct comparison without detailed project specifications and risk assessments would be speculative.
What mechanisms are in place to ensure the effectiveness and quality of the constructed base?
Effectiveness and quality are typically ensured through rigorous contract oversight, including regular site inspections, adherence to detailed technical specifications, performance metrics, and quality assurance processes managed by the contracting officer's representative (COR). For a project in Iraq, additional security protocols and potentially third-party monitoring might be employed to guarantee the successful and secure completion of the base infrastructure.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 7310 WOODWARD AVENUE, FIFT, DETROIT, MI, 90
Business Categories: Category Business, Minority Owned Business, Not Designated a Small Business, Subchapter S Corporation, Indian (Subcontinent) American Owned Business
Financial Breakdown
Contract Ceiling: $18,666,596
Exercised Options: $18,666,596
Current Obligation: $18,666,596
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA890306D8505
IDV Type: IDC
Timeline
Start Date: 2008-01-25
Current End Date: 2010-02-09
Potential End Date: 2010-02-09 00:00:00
Last Modified: 2011-12-09
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