Two teams, one led by Fluor Corp. and the other with CH2M Hill Cos. Ltd. as a partner, were competitively awarded huge task orders on July 8 by the U.S. Army to provide construction, operations and other logistical support to troops in Afghanistan. The awards, made under the teams’ existing Logistics Civil Augmentation Program (LOGCAP) IV contracts, could total more than $13 billion over the next five years. KBR Inc., a third LOGCAP IV contractor that vied for the task-order work, was not selected.
Under the awards by the Army Sustainment Command in Rock Island, Ill., the teams will split U.S. base support in Afghanistan geographically. Irving, Texas-based Fluor will manage work at 74 bases in the country’s northern section. Its task order is worth up to $1.5 billion in its first year, with the option to win similarly valued awards in four additional years. Fluor says this award is its fourth “and most significant” task order assigned under LOGCAP IV. The company says the scope of work will include “construction services, power, water, housing, base operations, sustainment services and logistics support.” The company could add 100 jobs in its Greenville, S.C., location to support task-order work, according to published reports.
Denver-based CH2M Hill’s team, led by defense contractor DynCorp International, Falls Church, Va., will work at an undisclosed number of bases in the south. Its task order is worth $643.5 million in its first year and up to $5.9 billion over five years. DynCorp says it has other task orders for logistics work in Kuwait.
Houston-based KBR currently is supporting the Army in Iraq under its separate LOGCAP III contract, under which task orders are not competitively bid. The Army says it may issue a new task order there under LOGCAP IV but did not specify timing or scope.
The three firms were selected as LOGCAP IV contractors in 2007. A KBR spokeswoman says the firm has requested a debriefing from the Army on the task-order selection process. “No decision will be made on a possible [bid] protest until we have a chance to review that information,” she says. “We remain proud of the work we have performed. KBR has a proven track record of serving the military in austere and unpredictable environments. Our commitment in this regard will continue.”