Conway Construction Co. awarded $24.6M for Oregon highway and bridge project, highlighting extensive scope

Contract Overview

Contract Amount: $24,645,968 ($24.6M)

Contractor: Conway Construction CO

Awarding Agency: Department of Transportation

Start Date: 2021-11-18

End Date: 2024-08-30

Contract Duration: 1,016 days

Daily Burn Rate: $24.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS 2.90-MILE PROJECT INCLUDES TWO BRIDGES, ROCKFALL MITIGATION, RETAINING WALLS, TRAILHEAD PARKING FACILITIES, CAMP GROUND FACILITIES, GRADING, DRAINAGE, BASE, PAVING, SIGNING, STRIPING, PEDESTRIAN RAILING, AND PERMANENT TRAFFIC BARRIERS.

Place of Performance

Location: HOOD RIVER, HOOD RIVER County, OREGON, 97031

State: Oregon Government Spending

Plain-Language Summary

Department of Transportation obligated $24.6 million to CONWAY CONSTRUCTION CO for work described as: THIS 2.90-MILE PROJECT INCLUDES TWO BRIDGES, ROCKFALL MITIGATION, RETAINING WALLS, TRAILHEAD PARKING FACILITIES, CAMP GROUND FACILITIES, GRADING, DRAINAGE, BASE, PAVING, SIGNING, STRIPING, PEDESTRIAN RAILING, AND PERMANENT TRAFFIC BARRIERS. Key points: 1. The contract encompasses a wide range of construction activities, including bridges, rockfall mitigation, and recreational facilities. 2. The project's duration of over 1000 days suggests a complex and multi-faceted undertaking. 3. The use of a definitive contract type indicates a flexible agreement for services over a period. 4. The project is located in Oregon, contributing to regional infrastructure development. 5. The firm fixed price contract type suggests a defined cost structure for the services rendered.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific cost breakdowns for each component. However, the total award of $24.6 million for a 2.90-mile project involving two bridges, extensive mitigation, and facility construction appears within a reasonable range for large-scale infrastructure projects. The firm fixed price nature of the contract provides cost certainty, but the final value will depend on the efficient execution of the work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which suggests that while competition was sought, certain sources were excluded for specific reasons. The number of bidders is not explicitly stated, but this procurement method implies a limited pool of qualified contractors were considered, potentially impacting the breadth of competition and price discovery.

Taxpayer Impact: This limited competition may mean taxpayers did not benefit from the lowest possible price that could have been achieved through broader open competition.

Public Impact

Residents and visitors in Oregon will benefit from improved transportation infrastructure, including new bridges and enhanced safety features. The project will deliver critical infrastructure upgrades, including rockfall mitigation and trailheads, enhancing public safety and recreational access. The geographic impact is concentrated in Oregon, supporting local economic activity and improving regional connectivity. The construction activities will likely create numerous jobs for skilled labor in the region during the project's duration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Exclusion of Sources' in the competition method raises questions about the extent of true market competition and potential cost implications for taxpayers.
The long project duration (1016 days) could lead to cost overruns if not managed effectively, despite the firm fixed price.

Positive Signals

The project addresses multiple critical infrastructure needs, including safety (rockfall mitigation) and accessibility (trailheads, parking).
The firm fixed price contract provides a degree of cost certainty for the government.
The contract is awarded to Conway Construction Co., a known entity in the construction sector.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a significant segment of the broader construction industry. The market for such large-scale infrastructure projects is often characterized by a limited number of highly specialized and experienced contractors. Spending in this sector is heavily influenced by federal and state funding initiatives aimed at improving national transportation networks. Comparable projects often involve multi-million dollar awards for complex civil engineering and construction tasks.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary focus or requirement for this specific contract. There is no indication of small business set-asides or explicit subcontracting goals for small businesses. This suggests that the prime contractor, Conway Construction Co., will likely manage the project with its own resources or through larger subcontractors, potentially limiting direct opportunities for small businesses within this particular contract's framework.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Transportation and the Federal Highway Administration. Accountability measures are inherent in the firm fixed price contract type, which obligates the contractor to deliver the specified scope within the agreed price. Transparency is generally maintained through contract award databases and public reporting, although detailed project-specific oversight reports may not always be publicly accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Federal Highway Administration Grants
National Highway System Projects
Infrastructure Investment and Jobs Act Programs
State Department of Transportation Capital Improvement Projects

Risk Flags

Limited competition due to source exclusion.
Potential for cost overruns given long project duration.
Complexity of integrating multiple construction elements (bridges, mitigation, facilities).

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $24.6 million to CONWAY CONSTRUCTION CO. THIS 2.90-MILE PROJECT INCLUDES TWO BRIDGES, ROCKFALL MITIGATION, RETAINING WALLS, TRAILHEAD PARKING FACILITIES, CAMP GROUND FACILITIES, GRADING, DRAINAGE, BASE, PAVING, SIGNING, STRIPING, PEDESTRIAN RAILING, AND PERMANENT TRAFFIC BARRIERS.

Who is the contractor on this award?

The obligated recipient is CONWAY CONSTRUCTION CO.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Highway Administration).

What is the total obligated amount?

The obligated amount is $24.6 million.

What is the period of performance?

Start: 2021-11-18. End: 2024-08-30.

What is Conway Construction Co.'s track record with federal contracts, particularly with the Department of Transportation?

Conway Construction Co. has a history of engaging in significant construction projects. While specific details on all their federal contracts require deeper database analysis, their involvement in this $24.6 million Department of Transportation project in Oregon indicates a capacity to handle large-scale infrastructure work. Their track record with the DOT would ideally show a pattern of successful project completion, adherence to timelines and budgets, and compliance with federal regulations. A review of past performance evaluations and any disputes or claims filed against them would provide a more comprehensive understanding of their reliability and expertise in executing similar federal contracts.

How does the cost per mile for this project compare to similar highway and bridge construction projects?

The total contract value is $24.6 million for a 2.90-mile project, resulting in a cost of approximately $8.48 million per mile. This figure encompasses not just paving but also significant elements like bridge construction, rockfall mitigation, and facility development. Direct cost-per-mile comparisons can be misleading without accounting for these complexities. For instance, projects with extensive bridge work or challenging terrain (like rockfall mitigation) will naturally have a higher cost per mile than simple road resurfacing. To provide a robust comparison, one would need to analyze projects of similar scope (e.g., those involving new bridge construction in mountainous or geologically sensitive areas) and adjust for regional labor and material cost differences.

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

Key risks for this project include potential delays due to weather, unforeseen site conditions (especially with rockfall mitigation), and material cost fluctuations, despite the firm fixed price contract. The long duration (1016 days) amplifies these risks. Mitigation strategies likely involve detailed project planning, contingency allowances within the scope, robust site investigation prior to construction, and strong contract management by the Federal Highway Administration. The 'Exclusion of Sources' in the competition might also indicate a pre-identified risk or specific requirement that narrowed the bidder pool, potentially mitigating risks related to contractor capability or specialized needs.

What is the expected effectiveness of the delivered infrastructure in terms of improving transportation efficiency and safety?

The project's effectiveness will be measured by its success in improving transportation efficiency and safety in its specific Oregon location. The inclusion of two bridges suggests a critical need to overcome geographical barriers or replace aging structures, which directly impacts travel times and reliability. Rockfall mitigation and permanent traffic barriers are clear safety enhancements, reducing the risk of accidents and road closures. Trailhead and campground facilities aim to improve recreational access and potentially boost local tourism. Quantifiable metrics for effectiveness could include reduced accident rates on the improved segment, decreased travel times, and increased usage of the recreational facilities post-completion.

How has federal spending on highway and bridge construction in Oregon trended over the past five years?

Analyzing federal spending trends on highway and bridge construction in Oregon over the past five years would require access to specific historical contract data from agencies like the Federal Highway Administration (FHWA) and the Department of Transportation. Generally, federal infrastructure spending is influenced by national policies, economic conditions, and specific funding allocations like the Bipartisan Infrastructure Law. Oregon, like many states, relies on federal funds for major transportation projects. Trends could show an increase in funding allocated towards modernizing aging infrastructure, improving resilience against climate impacts, and expanding capacity. This specific $24.6 million contract represents a significant investment within that broader context.

What does the 'Full and Open Competition After Exclusion of Sources' procurement method imply about the contractor selection process?

The 'Full and Open Competition After Exclusion of Sources' (FOUCAES) method implies that the government initially intended to compete the contract broadly but then excluded certain potential offerors. This exclusion is typically based on specific justifications, such as national security, proprietary data concerns, or the need for highly specialized capabilities that only a limited number of firms possess. While it aims for competition among the remaining eligible sources, it inherently restricts the pool of bidders compared to true full and open competition. This suggests that the agency had specific requirements or identified risks that led them to believe only certain contractors could meet the needs effectively, potentially impacting the final price achieved.

Industry Classification

NAICS: Construction › Highway, Street, and Bridge Construction › Highway, Street, and Bridge Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: 69056721B000016

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6620 NW WHITNEY RD UNIT 100, VANCOUVER, WA, 98665

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,645,968

Exercised Options: $24,645,968

Current Obligation: $24,645,968

Actual Outlays: $24,645,968

Subaward Activity

Number of Subawards: 16

Total Subaward Amount: $8,067,344

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline