Department of the Army awards $41.9 million in construction contracts to Weeks Marine, Inc. for heavy civil engineering
Contract Overview
Contract Amount: $66,340,555 ($66.3M)
Contractor: Weeks Marine, Inc.
Awarding Agency: Department of Defense
Start Date: 2009-10-26
End Date: 2012-04-09
Contract Duration: 896 days
Daily Burn Rate: $74.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TAS::96 3134::TAS $39,097,500.00 TAS::96 3135::TAS $2,850,000.00
Place of Performance
Location: TEXAS CITY, GALVESTON County, TEXAS, 77590
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $66.3 million to WEEKS MARINE, INC. for work described as: TAS::96 3134::TAS $39,097,500.00 TAS::96 3135::TAS $2,850,000.00 Key points: 1. The contract value of approximately $41.9 million represents a significant investment in heavy civil engineering construction. 2. The award was made under full and open competition, suggesting a robust bidding process. 3. The firm fixed-price contract type indicates that cost risks are largely borne by the contractor. 4. The contract duration of 896 days points to a substantial, multi-year project. 5. The contractor, Weeks Marine, Inc., has a track record in large-scale construction projects. 6. The project is located in Texas, potentially impacting the regional construction labor market and economy.
Value Assessment
Rating: good
The total award amount of approximately $41.9 million for heavy and civil engineering construction appears reasonable given the scope and duration of the project. Benchmarking against similar large-scale civil engineering projects would provide a more precise value assessment. The firm fixed-price nature of the contract shifts cost overruns to the contractor, which is generally favorable for the government in terms of price certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of multiple bidders, though not explicitly stated in the provided data, is implied by this competition type. A competitive bidding process generally leads to better price discovery and potentially lower costs for the government.
Taxpayer Impact: Full and open competition ensures that taxpayer dollars are used efficiently by fostering a market where contractors vie for the best price and quality, ultimately benefiting the government through cost savings and superior service delivery.
Public Impact
The primary beneficiaries are the Department of the Army, which will receive the completed construction services. The services delivered are related to heavy and civil engineering construction, likely involving infrastructure development or maintenance. The geographic impact is concentrated in Texas, where the project is located. The project will likely have implications for the local construction workforce, creating employment opportunities for skilled laborers and tradespeople.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen issues arise, despite the firm fixed-price contract.
- Dependence on the contractor's ability to manage a complex, long-term project effectively.
- Environmental impact considerations associated with large-scale civil engineering projects.
Positive Signals
- The firm fixed-price contract provides cost certainty for the government.
- Full and open competition suggests a competitive environment that should drive value.
- The contractor's experience in similar projects may indicate a lower risk of execution issues.
Sector Analysis
The heavy and civil engineering construction sector is a critical component of national infrastructure, encompassing a wide range of projects from bridges and dams to ports and utilities. This contract falls within a segment of the construction industry that requires specialized equipment, expertise, and significant capital investment. Spending in this sector is often driven by government infrastructure initiatives and defense-related construction needs. Comparable spending benchmarks would typically be assessed against the scale and complexity of the specific engineering tasks involved.
Small Business Impact
The provided data indicates that small business participation was not a specific set-aside for this contract (sb: false). There is no explicit information on subcontracting plans for small businesses. Without specific set-aside goals or reporting requirements, the direct impact on the small business ecosystem for this particular contract is likely limited, though the prime contractor may engage small businesses as subcontractors.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer's representative (COR) from the Department of the Army, responsible for monitoring performance, quality, and compliance. The firm fixed-price nature of the contract provides a degree of accountability for the contractor regarding cost. Transparency is generally facilitated through contract award databases and reporting requirements, though specific oversight mechanisms for ongoing projects may vary.
Related Government Programs
- Army Corps of Engineers Construction Projects
- Department of Defense Infrastructure Modernization
- Federal Heavy Construction Contracts
- Civil Engineering Services Procurement
Risk Flags
- Contract duration may pose risks if project scope is underestimated.
- Firm fixed-price contracts can lead to contractor financial strain if costs escalate unexpectedly.
Tags
construction, heavy-civil-engineering, department-of-defense, department-of-the-army, definitive-contract, firm-fixed-price, full-and-open-competition, texas, large-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $66.3 million to WEEKS MARINE, INC.. TAS::96 3134::TAS $39,097,500.00 TAS::96 3135::TAS $2,850,000.00
Who is the contractor on this award?
The obligated recipient is WEEKS MARINE, 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 $66.3 million.
What is the period of performance?
Start: 2009-10-26. End: 2012-04-09.
What is the specific nature of the heavy and civil engineering construction work being performed under this contract?
The provided data indicates the North American Industry Classification System (NAICS) code is 237990, which covers 'Other Heavy and Civil Engineering Construction.' This broad category can include a variety of projects such as the construction of tunnels, subways, dams, bridges, highways, streets, and other infrastructure. Without more specific details in the contract award notice, the exact scope of work remains general. However, given the contractor's specialization in marine construction, it is plausible that the project involves port facilities, dredging, or marine-related infrastructure.
How does the $41.9 million contract value compare to similar large-scale civil engineering projects awarded by the Department of the Army?
Benchmarking the $41.9 million contract value requires comparison with similar heavy and civil engineering construction projects undertaken by the Department of the Army or other federal agencies. Large-scale projects of this nature can range from tens of millions to hundreds of millions of dollars, depending on complexity, location, and specific requirements. For instance, major bridge construction or port development projects often exceed this value significantly. However, for specific types of civil engineering work, such as specialized repairs or smaller infrastructure upgrades, $41.9 million could represent a substantial investment. A detailed comparison would necessitate analyzing the scope, duration, and specific deliverables of comparable contracts.
What are the primary risks associated with a firm fixed-price contract of this magnitude and duration?
While firm fixed-price contracts offer cost certainty to the government, they shift significant risk to the contractor. For a contract valued at $41.9 million and spanning 896 days, primary risks include contractor financial instability if costs exceed projections, potential for contractor default, and possible quality compromises if the contractor attempts to cut corners to maintain profitability. Unforeseen site conditions, material price escalations beyond what the contractor anticipated, and labor disputes are also risks that could impact project completion or lead to contractor claims. The government's risk is primarily related to the contractor's ability to successfully execute the project within the agreed-upon price and schedule.
What is Weeks Marine, Inc.'s track record with federal contracts, particularly in heavy and civil engineering construction?
Weeks Marine, Inc. has a history of performing large-scale marine construction and heavy civil engineering projects for government entities. Their portfolio often includes work on ports, harbors, bridges, and other maritime infrastructure. Analyzing their past performance on similar federal contracts would reveal their ability to manage complex projects, adhere to schedules, and meet quality standards. A review of their contract history, including any past performance evaluations or disputes, would provide further insight into their reliability and expertise in this sector.
What are the historical spending patterns for heavy and civil engineering construction by the Department of the Army?
The Department of the Army, particularly through the U.S. Army Corps of Engineers, is a major investor in heavy and civil engineering construction, funding projects related to water resources, infrastructure, and military installations. Historical spending in this category fluctuates based on national priorities, infrastructure needs, and budget allocations. Annual expenditures can range from billions to tens of billions of dollars, encompassing a vast array of projects from navigation improvements to flood control and base construction. Understanding these patterns requires analyzing multi-year budget data and specific program funding.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912HY09R0015
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Weeks Marine Inc (UEI: 044665230)
Address: 304 GAILLE DR, COVINGTON, LA, 70433
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $66,340,555
Exercised Options: $66,340,555
Current Obligation: $66,340,555
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2009-10-26
Current End Date: 2012-04-09
Potential End Date: 2012-04-09 00:00:00
Last Modified: 2020-09-27
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