Army awards $52M for Levee Construction to Weston Solutions Inc. under Full and Open Competition
Contract Overview
Contract Amount: $52,074,999 ($52.1M)
Contractor: Weston Solutions Inc
Awarding Agency: Department of Defense
Start Date: 2011-10-25
End Date: 2014-06-30
Contract Duration: 979 days
Daily Burn Rate: $53.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 12
Pricing Type: COST PLUS FIXED FEE
Sector: Construction
Official Description: SRT - ER - A1940-MR L-575 LEVEE CONSTRUCTION - P/N:332157
Place of Performance
Location: PERCIVAL, FREMONT County, IOWA, 51648
State: Iowa Government Spending
Plain-Language Summary
Department of Defense obligated $52.1 million to WESTON SOLUTIONS INC for work described as: SRT - ER - A1940-MR L-575 LEVEE CONSTRUCTION - P/N:332157 Key points: 1. The contract awarded to Weston Solutions Inc. for levee construction is valued at $52,074,999.45. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 4. The sector is Other Heavy and Civil Engineering Construction, a critical infrastructure area.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee structure requires close monitoring to ensure costs remain reasonable. Benchmarking against similar large-scale civil engineering projects would be beneficial.
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 price discovery and competitive pricing.
Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received a fair price, though the Cost Plus Fixed Fee structure warrants oversight.
Public Impact
Ensures critical infrastructure maintenance and flood control capabilities. Supports regional economic stability through infrastructure investment. Provides employment opportunities in the construction sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can incentivize higher costs.
- Lack of specific performance metrics in provided data.
- Potential for scope creep in long-term construction projects.
Positive Signals
- Full and open competition utilized.
- Awarded by Department of Defense, indicating national importance.
- Project addresses critical infrastructure needs.
Sector Analysis
This contract falls within the heavy and civil engineering construction sector, which is vital for national infrastructure. Spending benchmarks for similar levee construction projects would provide further context on cost-effectiveness.
Small Business Impact
The contract was awarded to Weston Solutions Inc., a large business. There is no indication that small businesses were subcontracted for this project, which could be an area for improvement.
Oversight & Accountability
The Department of the Army awarded this contract. Oversight would focus on monitoring the Cost Plus Fixed Fee expenditures and ensuring project milestones are met within budget and schedule.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Cost Plus Fixed Fee contract type.
- Potential for cost overruns.
- Lack of small business participation noted.
- Long project duration (979 days).
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, ia, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $52.1 million to WESTON SOLUTIONS INC. SRT - ER - A1940-MR L-575 LEVEE CONSTRUCTION - P/N:332157
Who is the contractor on this award?
The obligated recipient is WESTON SOLUTIONS INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $52.1 million.
What is the period of performance?
Start: 2011-10-25. End: 2014-06-30.
What was the final cost compared to the initial estimated cost, and how did the fixed fee component compare to industry standards for similar projects?
Without the initial estimated cost or a breakdown of the fixed fee, a direct comparison is impossible. However, Cost Plus Fixed Fee contracts inherently carry a risk of cost escalation. Analyzing the final expenditure against the initial bid and comparing the fixed fee percentage to established benchmarks for large civil engineering projects would be crucial for assessing value for money.
What specific risks were identified during the bidding process, and what mitigation strategies were put in place by the Army for this Cost Plus Fixed Fee contract?
The provided data does not detail specific risks identified during the bidding process or the mitigation strategies employed. For a Cost Plus Fixed Fee contract, common risks include cost overruns and contractor inefficiency. Effective oversight by the Army would involve rigorous monitoring of expenses, regular performance reviews, and clear change order management processes to control potential risks.
How effectively did the full and open competition process ensure the best value and technical solution for the Army's levee construction needs?
The full and open competition suggests a robust process was followed, likely resulting in competitive pricing. However, assessing the 'best value' and 'technical solution' requires a deeper dive into the evaluation criteria used by the Army, the proposals submitted by bidders, and the final selection justification. Without this information, it's difficult to definitively state the effectiveness beyond the competitive aspect.
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
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W9128F07R0022
Offers Received: 12
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Weston Solutions Holdings, Inc. (UEI: 118341234)
Address: 1400 WESTON WAY, WEST CHESTER, PA, 19380
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Small Agricultural Cooperative, Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $52,074,999
Exercised Options: $52,074,999
Current Obligation: $52,074,999
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W9128F08D0031
IDV Type: IDC
Timeline
Start Date: 2011-10-25
Current End Date: 2014-06-30
Potential End Date: 2014-06-30 00:00:00
Last Modified: 2021-04-29
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