Interior Department awards $112.8M seawall rehabilitation contract to Cianbro Corporation under full and open competition

Contract Overview

Contract Amount: $112,760,000 ($112.8M)

Contractor: Cianbro Corporation

Awarding Agency: Department of the Interior

Start Date: 2023-08-29

End Date: 2027-02-01

Contract Duration: 1,252 days

Daily Burn Rate: $90.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NAMA 318722 REHABILITATE SEAWALLS AND SHORELINE DESIGN-BUILD SOLICITATION 140P2023R0020

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20002

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Interior obligated $112.8 million to CIANBRO CORPORATION for work described as: NAMA 318722 REHABILITATE SEAWALLS AND SHORELINE DESIGN-BUILD SOLICITATION 140P2023R0020 Key points: 1. The contract's value of $112.8 million represents a significant investment in coastal infrastructure resilience. 2. Full and open competition suggests a potentially competitive bidding process, which can drive better pricing. 3. The definitive contract type indicates a single, established agreement for services. 4. The project duration of approximately 3.5 years (1252 days) suggests a substantial undertaking. 5. The National Park Service's involvement highlights the focus on preserving natural and historical coastal areas. 6. The contract is categorized under 'Other Heavy and Civil Engineering Construction', indicating specialized infrastructure work.

Value Assessment

Rating: good

Benchmarking this contract's value requires comparison to similar large-scale civil engineering projects, particularly those involving coastal defense and rehabilitation. Given the scale and complexity of rehabilitating seawalls and shorelines, the $112.8 million award appears within a reasonable range for such specialized infrastructure work. The firm-fixed-price contract type helps manage cost certainty for the government, although it places the risk of cost overruns on the contractor. Without specific per-unit cost data or detailed project scope comparisons, a precise value-for-money assessment is challenging, but the competitive nature of the award is a positive indicator.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a 'full and open competition' solicitation, meaning all responsible sources were permitted to submit bids. The solicitation attracted 7 bidders, indicating a healthy level of interest and competition for this significant infrastructure project. A competitive process like this generally allows for price discovery and encourages bidders to offer their most competitive terms to win the contract. The presence of multiple bidders suggests that the market has sufficient capacity and interest in undertaking this type of work.

Taxpayer Impact: The robust competition for this contract is beneficial for taxpayers as it likely resulted in a more favorable price than a sole-source or limited competition award. It ensures that taxpayer funds are used efficiently by leveraging market forces to achieve the best possible value.

Public Impact

The primary beneficiaries are the National Park Service and the public, who will gain enhanced protection of coastal areas managed by the NPS. The services delivered include the rehabilitation of critical seawalls and shorelines, crucial for preventing erosion and protecting infrastructure. The geographic impact is concentrated in the District of Columbia, where the project is located. The project will likely involve a significant workforce of skilled laborers, engineers, and construction professionals, contributing to local employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in large civil engineering projects if not meticulously managed.
Ensuring long-term durability and effectiveness of the rehabilitation work against environmental stressors.
Coordination with various stakeholders and environmental agencies can be complex.

Positive Signals

Awarded under full and open competition, indicating a competitive bidding process.
Firm-fixed-price contract provides cost certainty for the government.
The contractor, Cianbro Corporation, has a track record in large-scale construction projects.
The project addresses critical infrastructure needs for coastal resilience.

Sector Analysis

The 'Other Heavy and Civil Engineering Construction' sector encompasses a wide range of infrastructure projects, including those related to water management, transportation, and environmental protection. This contract falls within the broader civil engineering market, which is characterized by large project values, specialized expertise, and significant government investment. Comparable spending benchmarks for major coastal defense or infrastructure rehabilitation projects can range from tens of millions to hundreds of millions of dollars, depending on the scale and complexity. The market for such services is often dominated by a few large, experienced firms capable of handling the technical and logistical demands.

Small Business Impact

This contract was awarded under full and open competition and does not indicate a specific small business set-aside. The solicitation details do not mention any subcontracting goals for small businesses. Therefore, the direct impact on small business set-asides appears minimal for the prime contract. However, the prime contractor, Cianbro Corporation, may engage small businesses as subcontractors for specialized services or materials, which would contribute to the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the National Park Service contracting officers and project managers. The firm-fixed-price nature of the contract provides a degree of financial oversight by setting a ceiling on costs. Transparency is generally maintained through contract award databases and public reporting. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected during the contract's performance or closeout.

Related Government Programs

Army Corps of Engineers Civil Works Projects
National Oceanic and Atmospheric Administration (NOAA) Coastal Resilience Grants
Federal Highway Administration (FHWA) Infrastructure Projects
Department of Homeland Security (DHS) FEMA Hazard Mitigation Assistance

Risk Flags

Potential for unforeseen site conditions impacting cost and schedule.
Environmental compliance complexities in coastal zones.
Long-term effectiveness against climate change impacts (sea-level rise, storm intensity).

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $112.8 million to CIANBRO CORPORATION. NAMA 318722 REHABILITATE SEAWALLS AND SHORELINE DESIGN-BUILD SOLICITATION 140P2023R0020

Who is the contractor on this award?

The obligated recipient is CIANBRO CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of the Interior (National Park Service).

What is the total obligated amount?

The obligated amount is $112.8 million.

What is the period of performance?

Start: 2023-08-29. End: 2027-02-01.

What is Cianbro Corporation's track record with large federal infrastructure contracts, particularly those involving coastal engineering?

Cianbro Corporation has a significant history of undertaking large-scale construction and engineering projects for both government and private sector clients. While specific details on their coastal engineering project portfolio require deeper investigation, their experience in heavy civil construction, including bridge building, industrial facilities, and infrastructure development, suggests they possess the capabilities for complex projects like seawall rehabilitation. Federal contract databases would provide a more granular view of their past performance, including contract values, agencies served, and any reported performance issues or accolades. Their ability to win a $112.8 million contract under full and open competition indicates a level of trust and demonstrated capability by the awarding agency.

How does the $112.8 million award compare to the average cost of similar seawall and shoreline rehabilitation projects?

Directly comparing the $112.8 million award to 'average' costs for seawall and shoreline rehabilitation is challenging due to the wide variability in project scope, location, materials, and environmental conditions. However, major coastal defense projects, especially those involving significant structural repair or new construction, frequently run into the tens or hundreds of millions of dollars. For instance, large-scale hurricane protection projects or extensive erosion control measures can easily exceed this figure. The National Park Service's specific requirements for historical preservation, environmental compliance, and aesthetic integration could also influence costs. This award appears substantial, reflecting the complexity and critical nature of protecting valuable coastal assets.

What are the primary risks associated with a project of this magnitude and type, and how are they being mitigated?

Key risks for a large seawall and shoreline rehabilitation project include unforeseen subsurface conditions (e.g., unstable soil, buried debris), extreme weather events impacting construction schedules, environmental compliance challenges, and potential cost overruns, although the firm-fixed-price contract shifts much of the cost risk to the contractor. Mitigation strategies typically involve thorough site investigations, robust environmental impact assessments, detailed project planning with schedule contingencies, and strong contract management by the agency. The competitive bidding process itself helps mitigate risk by selecting a contractor with demonstrated experience and a competitive bid that accounts for known risks. The contractor's own risk management plan would also be a critical component.

What is the expected effectiveness of the rehabilitation work in terms of long-term coastal resilience?

The effectiveness of the rehabilitation work in ensuring long-term coastal resilience hinges on the specific engineering solutions employed, the quality of construction, and the ongoing maintenance strategy. Modern seawall and shoreline designs often incorporate advanced materials and techniques to withstand increased wave action, storm surges, and sea-level rise. A well-executed project should significantly reduce erosion, protect inland infrastructure and natural habitats, and maintain the integrity of the coastline for decades. The National Park Service's selection of a design-build approach may facilitate integrated design and construction, potentially leading to more effective and durable solutions. Post-construction monitoring and adaptive management will be crucial for sustained resilience.

How has federal spending on coastal infrastructure protection evolved, and where does this contract fit within that trend?

Federal spending on coastal infrastructure protection has generally trended upwards, driven by increasing awareness of climate change impacts, sea-level rise, and the growing frequency and intensity of extreme weather events. Agencies like the Army Corps of Engineers, NOAA, and the National Park Service have seen increased appropriations for resilience and adaptation projects. This $112.8 million contract fits within this trend as a significant investment in protecting critical coastal assets managed by the NPS. It reflects a proactive approach to infrastructure maintenance and resilience, moving beyond reactive disaster recovery to strategic, long-term protection measures.

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: TWO STEP

Solicitation ID: 140P2023R0020

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: THE Cianbro Companies

Address: 101 CIANBRO SQ, PITTSFIELD, ME, 04967

Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $112,760,000

Exercised Options: $112,760,000

Current Obligation: $112,760,000

Actual Outlays: $107,621,500

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $10,699,067

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline