≈$5B Army DEFINITIVE CONTRACT W52P1J09C0013

About $5.00B to the Bechtel Parsons Blue Grass joint venture — two firms holding it together, on a period running from 2009 to 2027, beyond eighteen years (Army)

Department of the Army 2009-03-19 〜 2027-10-25

A definitive contract awarded by the Army and held by a joint venture of two firms. Obligations total about $4,997.52 million and outlays about $354.04 million, a ratio of 7.1 percent. The period runs from 2009-03-19 to 2027-10-25, beyond eighteen years. The description records one modification obligating $1,518,599 of research and development funds for long lead equipment.

Contract key facts

  • RecipientBECHTEL PARSONS BLUE GRASS, A JOINT VENTURE
  • Contract value$4,996,275,911 (≈$5B)
  • BranchArmy
  • Awarding agencyDepartment of Defense
  • Awarding sub-agencyDepartment of the Army
  • Award typeDEFINITIVE CONTRACT
  • Period of performance2009-03-19 〜 2027-10-25
  • Contract ID (PIID)W52P1J09C0013

Contract scope (original)

THE PURPOSE OF MODIFICATION P00003 - CLIN 0002 CONSTRUCTION IS TO DO THE FOLLOWING: 1. FY 09 RDTE FUNDS ARE HEREBY OBLIGATED IN THE AMOUNT OF $1,518,599.00 TO SUPPORT CONTINUED EFFORTS FOR PHASE IV LONG LEAD EQUIPMENT UNDER ESTABLISHED CLIN 0002AA. MIPR: W91CPT90770019 01 PRON: DE9R0019DE AMD 02 2. FY 08 MCD FUNDS ARE HEREBY OBLIGATED IN THE AMOUNT OF $43,020,072.00 TO SUPPORT CONTINUED EFFORTS FOR PHASE IV DESIGN EFFORTS UNDER NEWLY ESTABLISHED CLIN 0002AC. MIPR: W31RY091057705 PRON: PD8R7705PD AMD 01

Key points

  • The recipient is a joint venture of two firms, treated as an entity separate from its constituents.
  • Obligations are about $4,997.52 million and outlays about $354.04 million, a ratio of 7.1 percent.
  • The period runs from 2009-03-19 to 2027-10-25, beyond eighteen years.
  • The description records one modification obligating $1,518,599 of fiscal year 2009 research and development funds for long lead equipment.
  • A contract total is not settled at once but accumulates through modifications; the description holds only one instalment.
  • Against about $4,997.52 million obligated for the whole contract, the description shows a single instalment of $1,518,599.

1The recipient is not a single company

The recipient name carries the words A JOINT VENTURE. A joint venture is an entity several firms form for one undertaking, treated as separate from its constituent firms. Two names, Bechtel and Parsons, stand in this one.

Rounding a recipient name to that of a parent company changes which party is understood to hold the contract. This site therefore shows a joint venture as a joint venture. Among the federal spending records this site holds as of 2026-08-31, several recipient names carry wording denoting a joint venture.

2The description records one instalment of the obligation

The description gives, as the purpose of one modification, the obligation of $1,518,599 of fiscal year 2009 research, development, test and evaluation funds under the construction line item, to support continued work on phase IV long lead equipment.

Against obligations of about $4,997.52 million for the contract as a whole, the figure appearing in that one line is $1,518,599. A contract total is not settled at once; it accumulates through modifications. What survives in the description is one of those instalments, which is another way the description field turns out not to speak for the contract as a whole.

Obligations for the contract as a wholeabout $4,997.52 million
The instalment in the description$1,518,599FY2009 research, development, test and evaluation funds
Share the description speaks forabout 0.03 percentthe total accumulates through modifications

3Long lead equipment explains the length of the period

Long lead equipment means machinery or material that takes a long time to arrive after ordering. It has to be ordered early, counting back from the point in construction where it is needed. That the description uses the term indicates a long sequence of work including the building of a facility.

The period runs from 2009-03-19 to 2027-10-25, beyond eighteen years. Outlays of about $354.04 million come to 7.1 percent of obligations. Across the 207 Department of Defense contracts this site holds as of 2026-08-31, total outlays are 1.0 percent of total obligations, so this contract sits above that.

Why it matters

Joint ventures are used where the scale or breadth of an undertaking is beyond a single firm. Seen from outside, keeping the recipient name unrounded matters for identifying who actually holds the contract. So does not mistaking one instalment recorded in a description for the total of the award.

FAQ

What is a joint venture?
An entity several firms form for a single undertaking. It is treated as separate from its constituent firms and holds the contract in its own name.
What is long lead equipment?
Machinery or material that takes a long time to arrive after ordering, so it is ordered early, counting back from when it is needed.
Is the $1,518,599 the contract amount?
No. It is one instalment obligated by one modification. Obligations for the contract as a whole are recorded at about $4,997.52 million.

Sources (primary)

This article is an independent organization based on the U.S. official spending data below. Verify the exact, latest details with the official source.

#Defense#Contracts#Army#Joint venture#Facility construction
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