State Department Awards $50.8M Overseas Building Construction to Caddell Construction
Contract Overview
Contract Amount: $50,847,042 ($50.8M)
Contractor: Caddell Construction CO., Inc.
Awarding Agency: Department of State
Start Date: 2004-01-08
End Date: 2009-07-21
Contract Duration: 2,021 days
Daily Burn Rate: $25.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: CONSTRUCTION PROJECT FOR OVERSEAS BUILDING OPERATIONS
Plain-Language Summary
Department of State obligated $50.8 million to CADDELL CONSTRUCTION CO., INC. for work described as: CONSTRUCTION PROJECT FOR OVERSEAS BUILDING OPERATIONS Key points: 1. The contract value of $50.8 million for overseas building operations is significant. 2. Caddell Construction Co., Inc. secured this award, indicating potential market concentration. 3. The project duration spans over 5 years, presenting long-term execution risks. 4. This falls under the construction sector, specifically foundation and structure contracting.
Value Assessment
Rating: fair
The contract value of $50.8 million is substantial for a single construction project. Benchmarking against similar overseas building operations contracts would be necessary to fully assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the specific number of bids received is not detailed, which could impact the degree of price competition.
Taxpayer Impact: Taxpayer funds are being utilized for essential overseas infrastructure, with the aim of achieving value through competitive bidding.
Public Impact
Ensures critical infrastructure for U.S. diplomatic missions abroad. Supports construction jobs and the broader building materials supply chain. Potential for cost overruns or delays impacting project completion and operational readiness.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long project duration (over 5 years) increases risk of cost escalation and scope creep.
- Reliance on a single contractor for a large overseas project may limit flexibility.
- Geopolitical risks associated with overseas construction sites.
Positive Signals
- Awarded through full and open competition, suggesting potential for competitive pricing.
- Firm Fixed Price contract type helps control costs for the government.
- Project addresses essential government functions abroad.
Sector Analysis
This contract falls within the construction sector, specifically focusing on poured concrete foundation and structure work for overseas buildings. Spending benchmarks for similar international construction projects would provide further context.
Small Business Impact
The data does not indicate any specific set-aside for small businesses. The prime contractor, Caddell Construction Co., Inc., is likely a large business, and subcontracting opportunities for small businesses would need to be assessed separately.
Oversight & Accountability
Oversight would involve monitoring project progress, quality control, and adherence to the firm fixed price contract terms by the Department of State. Accountability rests with the contracting officer and project managers to ensure successful delivery.
Related Government Programs
- Poured Concrete Foundation and Structure Contractors
- Department of State Contracting
- Department of State Programs
Risk Flags
- Long contract duration increases risk of cost escalation.
- Potential for unforeseen geopolitical or logistical challenges in overseas locations.
- Lack of detail on the number of bids received limits assessment of competition intensity.
- Reliance on a single prime contractor for a large-scale project.
Tags
poured-concrete-foundation-and-structure, department-of-state, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $50.8 million to CADDELL CONSTRUCTION CO., INC.. CONSTRUCTION PROJECT FOR OVERSEAS BUILDING OPERATIONS
Who is the contractor on this award?
The obligated recipient is CADDELL CONSTRUCTION CO., INC..
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $50.8 million.
What is the period of performance?
Start: 2004-01-08. End: 2009-07-21.
What was the total number of bids received under the full and open competition, and how did the winning bid compare to the government estimate?
The provided data does not specify the number of bids received or the government's estimate for this project. Knowing these details would allow for a more thorough assessment of the competitive landscape and the value achieved through the bidding process. Without this information, it's difficult to definitively state if the price was optimal.
What are the specific geopolitical and logistical risks associated with constructing buildings in the overseas locations covered by this contract?
Geopolitical risks could include political instability, security threats, and changing regulatory environments in host countries. Logistical challenges might involve importing materials, labor availability, customs procedures, and transportation infrastructure. These factors can significantly impact project timelines, costs, and the overall success of the construction effort.
How will the Department of State ensure effective oversight and quality control for a project of this magnitude and duration, especially in potentially remote overseas locations?
Effective oversight will likely involve a dedicated on-site project management team, regular progress reporting, independent quality assurance inspections, and robust communication channels with the contractor. The Department may also employ third-party construction management firms for specialized oversight, particularly in challenging environments, to ensure adherence to specifications and timelines.
Industry Classification
NAICS: Construction › Foundation, Structure, and Building Exterior Contractors › Poured Concrete Foundation and Structure Contractors
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Address: 2700 LAGOON PARK DRIVE, MONTGOMERY, AL, 02
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $50,847,042
Exercised Options: $50,847,042
Current Obligation: $50,847,042
Timeline
Start Date: 2004-01-08
Current End Date: 2009-07-21
Potential End Date: 2009-07-21 00:00:00
Last Modified: 2009-07-21
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