State Dept. Awards $31.8M Levee Project to Lakeshore Engineering Services, Inc
Contract Overview
Contract Amount: $31,767,448 ($31.8M)
Contractor: Lakeshore Engineering Services, Inc.
Awarding Agency: Department of State
Start Date: 2009-12-30
End Date: 2012-10-27
Contract Duration: 1,032 days
Daily Burn Rate: $30.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 8
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: RECOVERY - MESILLA PHASE 1 LEVEE IMPROVEMENTS TAS::19 1079 000::TAS
Place of Performance
Location: MESILLA, DONA ANA County, NEW MEXICO, 88046
Plain-Language Summary
Department of State obligated $31.8 million to LAKESHORE ENGINEERING SERVICES, INC. for work described as: RECOVERY - MESILLA PHASE 1 LEVEE IMPROVEMENTS TAS::19 1079 000::TAS Key points: 1. The contract awarded to Lakeshore Engineering Services, Inc. for $31.8 million addresses levee improvements. 2. The project falls under 'Other Heavy and Civil Engineering Construction' and was awarded via full and open competition. 3. The contract duration was 1032 days, indicating a significant, multi-year undertaking. 4. The award value of $31.8 million is a substantial investment in infrastructure.
Value Assessment
Rating: fair
The contract value of $31.8 million for levee improvements appears reasonable given the project's scope and duration. Benchmarking against similar large-scale civil engineering projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple bidders vie for the contract.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best value.
Public Impact
Enhances critical infrastructure to prevent flood damage in New Mexico. Supports regional economic stability by protecting communities and property. Represents a significant federal investment in border infrastructure. The project's success is vital for U.S.-Mexico relations regarding water management and security.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large-scale construction projects.
- Risk of delays due to weather or unforeseen site conditions.
- Ensuring long-term effectiveness and maintenance of levee improvements.
Positive Signals
- Awarded through full and open competition, promoting value.
- Addresses a critical infrastructure need for flood control.
- Clear contract type (Firm Fixed Price) limits cost uncertainty.
Sector Analysis
This contract falls within the heavy and civil engineering construction sector, specifically focusing on infrastructure resilience. Spending in this sector is often driven by public safety needs and federal infrastructure initiatives.
Small Business Impact
The data indicates this was a large contract awarded to a single entity, Lakeshore Engineering Services, Inc. There is no explicit information on small business subcontracting participation in this award notice.
Oversight & Accountability
The International Boundary and Water Commission is responsible for overseeing projects related to the U.S.-Mexico border. Oversight would focus on project execution, adherence to specifications, and timely completion.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of State Contracting
- International Boundary and Water Commission: U.S.-Mexico Programs
Risk Flags
- Large contract value may indicate complexity and potential for cost overruns.
- Long contract duration increases exposure to market and environmental risks.
- Lack of explicit small business participation data.
- Potential for unforeseen site conditions in heavy civil construction.
Tags
other-heavy-and-civil-engineering-constr, department-of-state, nm, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $31.8 million to LAKESHORE ENGINEERING SERVICES, INC.. RECOVERY - MESILLA PHASE 1 LEVEE IMPROVEMENTS TAS::19 1079 000::TAS
Who is the contractor on this award?
The obligated recipient is LAKESHORE ENGINEERING SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Department of State (International Boundary and Water Commission: U.S.-Mexico).
What is the total obligated amount?
The obligated amount is $31.8 million.
What is the period of performance?
Start: 2009-12-30. End: 2012-10-27.
What was the specific scope of the 'MESILLA PHASE 1 LEVEE IMPROVEMENTS' and how does its value compare to similar projects?
The specific scope involved improvements to levees in the Mesilla area, crucial for flood control along the U.S.-Mexico border. While the $31.8 million award is substantial, a precise value comparison requires detailed analysis of project specifications, geographical challenges, and market rates for similar large-scale civil engineering undertakings.
What are the primary risks associated with the long duration (1032 days) of this construction contract?
The primary risks associated with a 1032-day contract include potential cost escalation due to inflation or material price fluctuations, unforeseen environmental or geological conditions discovered during construction, and potential delays from weather events or regulatory changes. Managing these risks requires robust project management, contingency planning, and clear communication channels.
How effectively does this levee improvement project address long-term flood risk mitigation for the region?
The effectiveness of the levee improvement project in addressing long-term flood risk mitigation depends on the quality of construction, the adequacy of the design to meet projected flood levels, and ongoing maintenance. A successful project should significantly reduce the probability and impact of flooding, thereby enhancing community safety and economic stability.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SEALED BID
Solicitation ID: IBM10B0002
Offers Received: 8
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 7310 WOODWARD AVE FL 5, DETROIT, MI, 48202
Business Categories: Category Business, Minority Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $31,767,448
Exercised Options: $31,767,448
Current Obligation: $31,767,448
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2009-12-30
Current End Date: 2012-10-27
Potential End Date: 2012-10-27 00:00:00
Last Modified: 2015-11-20
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