USAID awards $17M contract for excavation and construction services under Global A&E Infrastructure Services IQC
Contract Overview
Contract Amount: $30,135,703 ($30.1M)
Contractor: Tetra Tech, Inc.
Awarding Agency: Agency for International Development
Start Date: 2012-06-28
End Date: 2018-11-30
Contract Duration: 2,346 days
Daily Burn Rate: $12.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF - THE REGIONAL OFFICE OF PROCUREMENT IS REQUESTED TO NEGOTIATE AND AWARD A NEW 54 MONTH CONTRACT FOR AO EXCAVATION&CONSTRUCTION (DIG AND HAUL) PROJECT UNDER GLOBAL ARCHITECT-ENGINEER (A&E) INFRASTRUCTURE SERVICES IQC. THIS CONTRACT IS PLANNED TO START ON OR ABOUT JUNE, 2012 TO DECEMBER, 2016. THE TOTAL ESTIMATED COST OF THIS CONTRACT IS $17,000,000. THE INITIAL OBLIGATION IS $13,400,000.
Plain-Language Summary
Agency for International Development obligated $30.1 million to TETRA TECH, INC. for work described as: IGF::OT::IGF - THE REGIONAL OFFICE OF PROCUREMENT IS REQUESTED TO NEGOTIATE AND AWARD A NEW 54 MONTH CONTRACT FOR AO EXCAVATION&CONSTRUCTION (DIG AND HAUL) PROJECT UNDER GLOBAL ARCHITECT-ENGINEER (A&E) INFRASTRUCTURE SERVICES IQC. THIS CONTRACT IS PLANNED TO START ON OR ABOUT JUN… Key points: 1. Contract awarded to TETRA TECH, INC. for excavation and construction (dig and haul) services. 2. Project duration is 54 months, with an estimated cost of $17,000,000. 3. Competition method was 'Full and Open', suggesting a competitive bidding process. 4. The sector appears to be infrastructure development and professional services.
Value Assessment
Rating: fair
The contract's estimated cost of $17,000,000 for a 54-month duration needs comparison with similar infrastructure projects. Without specific unit costs or benchmarks for excavation and hauling, a precise value assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'Full and Open Competition', indicating that all responsible sources were permitted to submit a bid. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The competitive nature of the award is expected to yield a fair price for taxpayers, though the total cost is substantial.
Public Impact
Supports infrastructure development projects critical for international aid. Provides essential construction and excavation services for USAID's global operations. Creates jobs and economic activity through contract execution.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in long-term infrastructure projects.
- Dependence on a single contractor for a significant duration.
- Geopolitical risks in regions where services are deployed.
Positive Signals
- Awarded through full and open competition.
- Supports critical infrastructure development.
- Clear contract duration and estimated cost.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically related to infrastructure development and construction. Benchmarks for similar large-scale excavation and hauling contracts would be needed for a precise comparison.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors in this award. Further analysis would be needed to determine small business participation.
Oversight & Accountability
Oversight would typically involve monitoring project progress, cost adherence, and performance quality by the Agency for International Development to ensure contract objectives are met and taxpayer funds are used effectively.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Agency for International Development Contracting
- Agency for International Development Programs
Risk Flags
- Potential for scope creep and cost increases.
- Contractor performance risk.
- Geopolitical instability in service regions.
- Environmental compliance challenges.
Tags
all-other-professional-scientific-and-te, agency-for-international-development, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Agency for International Development awarded $30.1 million to TETRA TECH, INC.. IGF::OT::IGF - THE REGIONAL OFFICE OF PROCUREMENT IS REQUESTED TO NEGOTIATE AND AWARD A NEW 54 MONTH CONTRACT FOR AO EXCAVATION&CONSTRUCTION (DIG AND HAUL) PROJECT UNDER GLOBAL ARCHITECT-ENGINEER (A&E) INFRASTRUCTURE SERVICES IQC. THIS CONTRACT IS PLANNED TO START ON OR ABOUT JUNE, 2012 TO DECEMBER, 2016. THE TOTAL ESTIMATED COST OF THIS CONTRACT IS $17,000,000. THE INITIAL OBLIGATION IS $13,400,000.
Who is the contractor on this award?
The obligated recipient is TETRA TECH, INC..
Which agency awarded this contract?
Awarding agency: Agency for International Development (Agency for International Development).
What is the total obligated amount?
The obligated amount is $30.1 million.
What is the period of performance?
Start: 2012-06-28. End: 2018-11-30.
What is the typical profit margin for excavation and hauling contracts of this scale?
Profit margins for excavation and hauling contracts can vary significantly based on project complexity, location, risk factors, and market competition. Generally, margins might range from 5% to 15% for well-managed projects. However, specific industry data and the details of this particular contract would be necessary for a more accurate assessment of TETRA TECH, INC.'s potential profit.
How does the contract's duration and cost compare to similar international infrastructure projects?
A 54-month duration and $17 million cost for excavation and hauling services is substantial, suggesting a large-scale or complex project. Comparing it to similar international infrastructure projects requires access to a database of comparable contracts, considering factors like geographical region, specific services rendered, and economic conditions at the time of award.
What mechanisms are in place to ensure the quality of excavation and hauling services provided?
Quality assurance for such contracts typically involves detailed performance work statements, regular site inspections, material testing, and progress reporting. The Agency for International Development would likely have a quality assurance surveillance plan (QASP) to monitor contractor performance against contract requirements and ensure the services meet specified standards.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3475 E FOOTHILL BLVD, PASADENA, CA, 91107
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $30,901,421
Exercised Options: $30,901,421
Current Obligation: $30,135,703
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2012-06-28
Current End Date: 2018-11-30
Potential End Date: 2018-11-30 00:00:00
Last Modified: 2020-04-16
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