Army Awards $27.2M Dredging Contract to Great Lakes Dredge & Dock Co. for Louisiana Project

Contract Overview

Contract Amount: $27,207,650 ($27.2M)

Contractor: Great Lakes Dredge & Dock CO, LLC

Awarding Agency: Department of Defense

Start Date: 2024-02-01

End Date: 2025-12-14

Contract Duration: 682 days

Daily Burn Rate: $39.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: SOUTHWEST PASS DREDGING

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70118

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $27.2 million to GREAT LAKES DREDGE & DOCK CO, LLC for work described as: SOUTHWEST PASS DREDGING Key points: 1. Contract awarded to a single, established firm in the heavy civil engineering sector. 2. Full and open competition was utilized, suggesting a robust price discovery process. 3. The contract value is significant for a single dredging project. 4. No small business participation was noted in this award.

Value Assessment

Rating: good

The contract value of $27.2 million for a 682-day duration appears reasonable for a large-scale dredging operation. Benchmarking against similar large civil engineering construction contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for price discovery. It allows multiple qualified contractors to bid, fostering a competitive environment that should drive down costs.

Taxpayer Impact: The competitive bidding process is expected to ensure taxpayer funds are used efficiently for this essential infrastructure project.

Public Impact

Ensures navigation and commerce in Louisiana waterways. Supports critical infrastructure maintenance for the Department of the Army. Provides economic activity through the awarded contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on dredging. Spending in this sector is often driven by infrastructure needs and maintenance of waterways.

Small Business Impact

The award notice indicates that small businesses were not involved in this specific contract. Future solicitations could explore opportunities for small business subcontracting to promote broader economic participation.

Oversight & Accountability

The Department of the Army's procurement process, including the use of full and open competition, suggests a degree of oversight. However, ongoing monitoring of contract performance and costs is crucial.

Related Government Programs

Risk Flags

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 $27.2 million to GREAT LAKES DREDGE & DOCK CO, LLC. SOUTHWEST PASS DREDGING

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 $27.2 million.

What is the period of performance?

Start: 2024-02-01. End: 2025-12-14.

What is the historical cost performance of Great Lakes Dredge & Dock Co. on similar large-scale dredging contracts?

Analyzing the contractor's past performance on comparable projects is essential to assess their ability to deliver within budget and schedule. This includes reviewing any instances of cost overruns, delays, or disputes on previous firm-fixed-price contracts of similar magnitude and complexity.

How does the awarded price compare to independent government cost estimates for this dredging project?

Comparing the awarded contract price to the government's independent cost estimate provides a key metric for evaluating value for money. A significant variance could indicate issues with the bidding process, the estimate's accuracy, or the contractor's pricing strategy.

What are the specific performance metrics and penalties included in the contract to ensure timely and effective completion?

Understanding the contract's performance standards, key performance indicators (KPIs), and any associated penalties for non-performance is vital for assessing effectiveness. This ensures accountability and incentivizes the contractor to meet or exceed project requirements.

Industry Classification

NAICS: ConstructionOther Heavy and Civil Engineering ConstructionOther Heavy and Civil Engineering Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912P823B0021

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Great Lakes Dredge & Dock Corporation

Address: 9811 KATY FWY STE 1200, HOUSTON, TX, 77024

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: $27,391,650

Exercised Options: $27,207,650

Current Obligation: $27,207,650

Actual Outlays: $4,192,474

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2024-02-01

Current End Date: 2025-12-14

Potential End Date: 2025-12-14 00:00:00

Last Modified: 2025-08-06

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