State Department Awards $103M Design/Build Contract for Burundi Embassy

Contract Overview

Contract Amount: $103,257,551 ($103.3M)

Contractor: Caddell Construction CO., Inc.

Awarding Agency: Department of State

Start Date: 2009-09-30

End Date: 2012-06-04

Contract Duration: 978 days

Daily Burn Rate: $105.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AWARD OF NEC DESGIN/BUILD CONTRACT FOR NEW EMABSSY IN BUJUMBURA, BURUNDI.

Plain-Language Summary

Department of State obligated $103.3 million to CADDELL CONSTRUCTION CO., INC. for work described as: AWARD OF NEC DESGIN/BUILD CONTRACT FOR NEW EMABSSY IN BUJUMBURA, BURUNDI. Key points: 1. The contract was awarded to Caddell Construction Co., Inc. for the design and construction of a new embassy in Bujumbura, Burundi. 2. The project aims to provide a secure and functional facility for U.S. diplomatic operations. 3. The award was made under full and open competition, suggesting a competitive bidding process. 4. The sector is commercial and institutional building construction, a significant area of government spending.

Value Assessment

Rating: good

The contract value of $103.3 million appears reasonable for a large-scale embassy construction project, especially considering the complexities of building in an international location. Benchmarking against similar embassy construction 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, indicating that multiple bidders had the opportunity to submit proposals. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The use of full and open competition is a positive indicator for taxpayer value, as it encourages competitive bids and potentially lower costs.

Public Impact

Enhances U.S. diplomatic presence and security in Burundi. Supports local employment and economic activity during construction. Provides a modern, secure facility for embassy staff and operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns in complex international construction projects.
Geopolitical risks associated with the location in Burundi.

Positive Signals

Awarded under full and open competition.
Firm Fixed Price contract type can help control costs.
Clear project scope for embassy design and build.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Government spending in this sector is substantial, encompassing a wide range of facilities from administrative buildings to specialized research centers. Benchmarks for similar projects would be necessary for a precise comparison.

Small Business Impact

The data indicates that the prime contractor is Caddell Construction Co., Inc. There is no specific information provided regarding small business participation in this contract. Further analysis would be needed to determine if small business subcontracting goals were set or met.

Oversight & Accountability

The Department of State is responsible for overseeing this contract. The use of a definitive contract and the specified award process suggest established oversight mechanisms are in place. However, ongoing monitoring of progress and expenditures is crucial.

Related Government Programs

Commercial and Institutional Building Construction
Department of State Contracting
Department of State Programs

Risk Flags

Potential for cost overruns due to international construction complexities.
Geopolitical instability in the region could impact project timeline and security.
Dependence on a single prime contractor for a critical infrastructure project.
Lack of detailed information on small business subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $103.3 million to CADDELL CONSTRUCTION CO., INC.. AWARD OF NEC DESGIN/BUILD CONTRACT FOR NEW EMABSSY IN BUJUMBURA, BURUNDI.

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 $103.3 million.

What is the period of performance?

Start: 2009-09-30. End: 2012-06-04.

What specific security and sustainability features are incorporated into the embassy design, and how do these align with State Department standards and best practices?

The contract details do not specify the exact security and sustainability features. However, U.S. embassy construction projects typically adhere to stringent security requirements mandated by the State Department's Bureau of Overseas Buildings Operations (OBO). These often include blast-resistant designs, advanced surveillance systems, and secure perimeters. Sustainability measures, such as energy-efficient systems and water conservation, are also increasingly integrated into new embassy designs to meet federal guidelines and reduce long-term operational costs.

How does the final cost compare to initial estimates, and what factors contributed to any variances, particularly given the firm fixed-price nature of the contract?

The provided data shows the awarded contract value ($103.3 million) but does not include initial estimates or a comparison to the final cost. As a Firm Fixed Price (FFP) contract, the price is generally set at the outset, and the contractor assumes the risk of cost overruns. Any significant variances would likely stem from scope changes, unforeseen site conditions, or escalation clauses, which would need to be documented and approved through contract modifications.

What is the projected impact of this construction project on the local economy in Burundi, considering job creation and the use of local materials and labor?

Large construction projects like this typically have a positive impact on the local economy through job creation for skilled and unskilled labor during the construction phase. The use of local materials and subcontractors, if prioritized, further boosts the local economy. The State Department often encourages the use of local resources to foster goodwill and support host country development, though specific targets are not detailed in the provided award data.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2700 LAGOON PARK DR, MONTGOMERY, AL, 36109

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $103,257,551

Exercised Options: $103,257,551

Current Obligation: $103,257,551

Contract Characteristics

Commercial Item: SUPPLIES OR SERVICES PURSUANT TO FAR 12.102(F)

Timeline