DOI awards $1.6M for Alaska highway waste pumping to RNR Construction, competing under SAP
Contract Overview
Contract Amount: $160,500 ($160.5K)
Contractor: RNR Construction Company LLC
Awarding Agency: Department of the Interior
Start Date: 2024-04-03
End Date: 2026-09-30
Contract Duration: 910 days
Daily Burn Rate: $176/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: COMBINED ELLIOT/STEESE/DALTON/NOME CREEK HWY WASTE PUMPING FY24
Place of Performance
Location: FORT WAINWRIGHT, FAIRBANKS NORTH STAR County, ALASKA, 99703
State: Alaska Government Spending
Plain-Language Summary
Department of the Interior obligated $160,500 to RNR CONSTRUCTION COMPANY LLC for work described as: COMBINED ELLIOT/STEESE/DALTON/NOME CREEK HWY WASTE PUMPING FY24 Key points: 1. Spending is concentrated on a single vendor for essential services. 2. The contract is competed under Simplified Acquisition Procedures (SAP), suggesting smaller value. 3. Geographic isolation in Alaska may limit competition. 4. The fixed-price contract type offers cost certainty for the government.
Value Assessment
Rating: good
The award amount of $1.6M for waste pumping services appears reasonable given the duration and location. Benchmarking against similar services in remote Alaskan regions would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP, which typically involves fewer vendors than full and open competition. This method can expedite the process but may not always yield the lowest price due to reduced market reach.
Taxpayer Impact: The use of SAP suggests an effort to streamline procurement for potentially smaller dollar amounts, aiming for efficiency while still seeking competitive pricing within that framework.
Public Impact
Ensures essential sanitation services for remote highway areas in Alaska. Supports infrastructure maintenance critical for public access and environmental protection. Provides economic activity for a construction company operating in a challenging environment.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition due to SAP and remote location.
- Potential for price increases if future needs exceed initial estimates.
- Dependence on a single vendor for critical services.
Positive Signals
- Fixed-price contract provides cost predictability.
- Awarded to a company operating within the service region.
- Supports essential infrastructure maintenance.
Sector Analysis
This contract falls under general services, specifically waste management, crucial for maintaining public infrastructure in remote areas. Spending benchmarks for such services vary significantly based on location and service complexity.
Small Business Impact
While the contract was competed under SAP, it's unclear if small businesses were specifically targeted or participated. Further analysis would be needed to determine the extent of small business involvement.
Oversight & Accountability
The Bureau of Land Management is responsible for overseeing this contract. Standard purchase order procedures and contract clauses should ensure accountability for service delivery and payment.
Related Government Programs
- Septic Tank and Related Services
- Department of the Interior Contracting
- Bureau of Land Management Programs
Risk Flags
- Limited competition
- Geographic isolation
- Vendor dependency
- Potential for price escalation in future needs
Tags
septic-tank-and-related-services, department-of-the-interior, ak, purchase-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Interior awarded $160,500 to RNR CONSTRUCTION COMPANY LLC. COMBINED ELLIOT/STEESE/DALTON/NOME CREEK HWY WASTE PUMPING FY24
Who is the contractor on this award?
The obligated recipient is RNR CONSTRUCTION COMPANY LLC.
Which agency awarded this contract?
Awarding agency: Department of the Interior (Bureau of Land Management).
What is the total obligated amount?
The obligated amount is $160,500.
What is the period of performance?
Start: 2024-04-03. End: 2026-09-30.
What is the historical cost for similar waste pumping services in this specific remote Alaskan region?
Historical cost data for similar waste pumping services in remote Alaskan regions is crucial for validating the $1.6M award. Without specific historical data, it's difficult to definitively assess if this price represents optimal value. Factors like transportation, specialized equipment, and environmental regulations in Alaska significantly influence costs, making direct comparisons challenging.
What are the potential risks associated with relying on a single vendor for essential waste pumping services in a remote area?
Relying on a single vendor for essential services in a remote area poses risks such as service disruptions due to vendor failure, lack of leverage for price negotiation, and potential delays if the vendor faces capacity issues. Emergency response capabilities and contingency plans are vital to mitigate these risks and ensure continuous service delivery.
How effectively does the SAP procurement method balance cost efficiency with ensuring adequate competition for services in remote locations?
The SAP procurement method aims to balance efficiency and cost for smaller purchases, but its effectiveness in remote locations depends on the vendor pool. While it can expedite the process, it may limit competition compared to full and open solicitations. Agencies must ensure sufficient outreach to identify qualified vendors to achieve competitive pricing.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Septic Tank and Related Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 140L6324Q0010
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 550 N MAIN ST STE 329, CRESTVIEW, FL, 32536
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $160,500
Exercised Options: $160,500
Current Obligation: $160,500
Actual Outlays: $107,000
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2024-04-03
Current End Date: 2026-09-30
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2026-04-09
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