Army Awards $47.4M Dredging Contract to Great Lakes Dredge & Dock for Mississippi River Project
Contract Overview
Contract Amount: $47,442,548 ($47.4M)
Contractor: Great Lakes Dredge & Dock CO, LLC
Awarding Agency: Department of Defense
Start Date: 2020-08-17
End Date: 2021-12-16
Contract Duration: 486 days
Daily Burn Rate: $97.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: MISSISSIPPI RIVER, HEAD OF PASSES, HOPPER DREDGE DISPOSAL AREA (HDDA) PROJECT #19-1, PLAQUEMINES PARISH, LA
Place of Performance
Location: VENICE, PLAQUEMINES County, LOUISIANA, 70091
Plain-Language Summary
Department of Defense obligated $47.4 million to GREAT LAKES DREDGE & DOCK CO, LLC for work described as: MISSISSIPPI RIVER, HEAD OF PASSES, HOPPER DREDGE DISPOSAL AREA (HDDA) PROJECT #19-1, PLAQUEMINES PARISH, LA Key points: 1. The contract value of $47.4M is significant for heavy civil engineering construction. 2. Great Lakes Dredge & Dock Co, LLC secured the award through full and open competition. 3. The project involves critical infrastructure maintenance for the Mississippi River. 4. The firm fixed price contract type suggests a clear scope and budget.
Value Assessment
Rating: good
The contract value of $47.4M appears reasonable for a large-scale civil engineering project of this nature. Benchmarking against similar Army Corps of Engineers dredging contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The award was made under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing for the government.
Taxpayer Impact: The competitive bidding process likely resulted in a fair price, maximizing taxpayer value for essential infrastructure maintenance.
Public Impact
Ensures continued navigability of a vital U.S. waterway. Supports regional economic activity dependent on river transport. Maintains critical infrastructure for national commerce and defense. Provides employment opportunities in the construction and maritime sectors. Contributes to flood control and environmental management of the river delta.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen geological conditions arise.
- Dependence on a single contractor for project execution.
- Environmental impact of dredging activities.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract limits cost uncertainty.
- Project addresses critical national infrastructure needs.
Sector Analysis
This contract falls within the Heavy and Civil Engineering Construction sector, specifically focusing on maritime infrastructure. Spending in this sector is often driven by government needs for transportation, navigation, and environmental projects.
Small Business Impact
The contract was awarded to Great Lakes Dredge & Dock Co, LLC, a large business. There is no indication of small business participation in this specific award, which is common for large-scale, specialized heavy construction projects.
Oversight & Accountability
The Department of the Army, specifically the Army Corps of Engineers, is responsible for overseeing this project. Standard oversight mechanisms for construction contracts, including site inspections and progress reporting, would be in place.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for unforeseen site conditions.
- Contract duration of 486 days.
- Reliance on a single prime contractor.
- Environmental impact of dredging operations.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, la, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $47.4 million to GREAT LAKES DREDGE & DOCK CO, LLC. MISSISSIPPI RIVER, HEAD OF PASSES, HOPPER DREDGE DISPOSAL AREA (HDDA) PROJECT #19-1, PLAQUEMINES PARISH, LA
Who is the contractor on this award?
The obligated recipient is GREAT LAKES DREDGE & DOCK CO, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $47.4 million.
What is the period of performance?
Start: 2020-08-17. End: 2021-12-16.
What is the historical performance of Great Lakes Dredge & Dock Co, LLC on similar Army Corps of Engineers projects?
Assessing the contractor's past performance is crucial for understanding their reliability and efficiency. Reviewing previous project completion times, budget adherence, and quality of work on comparable dredging or civil engineering projects would provide valuable insight into their capabilities and potential risks for this contract.
What are the specific environmental mitigation measures included in the contract for hopper dredge disposal?
Dredging activities can have significant environmental impacts. Understanding the contract's stipulations for sediment testing, disposal site management, and potential impacts on aquatic ecosystems is vital. This ensures compliance with environmental regulations and minimizes ecological disruption in the Mississippi River delta.
How does the $47.4M contract value compare to the estimated cost for similar dredging projects in the region?
Benchmarking the contract value against similar projects provides context for its reasonableness. Comparing the cost per cubic yard of material dredged or cost per linear foot of channel maintained, adjusted for project complexity and location, can indicate whether the government secured a competitive price.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SEALED BID
Solicitation ID: W912P819B0050
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Great Lakes Dredge & Dock Corporation
Address: 2122 YORK RD STE 200, OAK BROOK, IL, 60523
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $53,942,548
Exercised Options: $47,442,548
Current Obligation: $47,442,548
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2020-08-17
Current End Date: 2021-12-16
Potential End Date: 2021-12-16 00:00:00
Last Modified: 2023-03-29
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