Department of Transportation awards $3.3M contract for bridge rehabilitation and road resurfacing in DC

Contract Overview

Contract Amount: $3,311,926 ($3.3M)

Contractor: Highway & Safety Services Inc

Awarding Agency: Department of Transportation

Start Date: 2021-09-03

End Date: 2028-01-31

Contract Duration: 2,341 days

Daily Burn Rate: $1.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PROJECT NP-NAMA 12(3) THE PROJECT CONSISTS OF THE REHABILITATION OF OUTLET BRIDGE AND RESURFACING OF EAST BASIN DRIVE. THE PROJECT WORK INCLUDES ASPHALT PAVEMENT MILLING, ASPHALT CONCRETE PAVEMENT, CONCRETE REMOVAL, REPAIR CONCRETE, PCC PAVEMENT, P

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $3.3 million to HIGHWAY & SAFETY SERVICES INC for work described as: PROJECT NP-NAMA 12(3) THE PROJECT CONSISTS OF THE REHABILITATION OF OUTLET BRIDGE AND RESURFACING OF EAST BASIN DRIVE. THE PROJECT WORK INCLUDES ASPHALT PAVEMENT MILLING, ASPHALT CONCRETE PAVEMENT, CONCRETE REMOVAL, REPAIR CONCRETE, PCC PAVEMENT, P Key points: 1. Contract awarded to Highway & Safety Services Inc. for infrastructure improvements. 2. Project scope includes rehabilitation of an outlet bridge and resurfacing of a drive. 3. Work involves asphalt milling, concrete removal and repair, and pavement installation. 4. The contract is a firm-fixed-price definitive contract. 5. Project duration spans from September 2021 to January 2028. 6. The contract was awarded under full and open competition after exclusion of sources.

Value Assessment

Rating: fair

The contract value of $3.3 million for bridge rehabilitation and road resurfacing appears within a reasonable range for the scope of work, considering the duration and complexity. However, without specific benchmarks for similar projects in the District of Columbia or detailed cost breakdowns, a precise value-for-money assessment is challenging. The firm-fixed-price structure provides cost certainty for the government, but potential for cost overruns exists if unforeseen conditions arise during the extensive rehabilitation period.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition after exclusion of sources,' indicating that while the competition was intended to be broad, specific sources may have been excluded based on certain criteria. The presence of four bidders suggests a moderate level of competition. This approach aims to balance competitive pricing with specific project requirements, but the exclusion of certain sources could potentially limit the breadth of competitive offers.

Taxpayer Impact: The competitive process, even with exclusions, aims to secure a fair price for taxpayers. A moderate number of bidders generally supports price discovery, though the impact of source exclusion on the final price is not explicitly detailed.

Public Impact

Residents and commuters in the District of Columbia will benefit from improved road infrastructure. The project will enhance the safety and longevity of the outlet bridge and East Basin Drive. Improved transportation routes can support local commerce and reduce travel times. The project is expected to create or sustain jobs within the construction sector in the DC metropolitan area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep given the long duration and rehabilitation nature of the project.
The 'exclusion of sources' clause warrants further investigation to ensure it did not unduly limit competition.
Firm-fixed-price contracts can sometimes lead to disputes if unforeseen site conditions are encountered.

Positive Signals

Awarded under full and open competition, suggesting a broad initial outreach.
The definitive contract structure allows for flexibility within defined parameters.
The project addresses critical infrastructure needs for the Department of Transportation.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a significant segment of the broader construction industry. Spending in this area is driven by federal and state infrastructure initiatives aimed at maintaining and upgrading transportation networks. Comparable projects often involve substantial investment due to the scale, materials, and specialized labor required for structural rehabilitation and resurfacing.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside requirement (ss: false, sb: false). While Highway & Safety Services Inc. may utilize small businesses for subcontracting, there is no explicit mandate within this award. The impact on the small business ecosystem would depend on the subcontracting plans of the prime contractor, which are not detailed here.

Oversight & Accountability

Oversight for this contract would typically fall under the Federal Highway Administration (FHWA) and potentially the Department of Transportation's Office of Inspector General (OIG). The firm-fixed-price nature of the contract provides a degree of cost control, but oversight would focus on adherence to project specifications, timelines, and quality standards. Transparency is facilitated through contract award data, but detailed progress reports and audits would be key accountability measures.

Related Government Programs

Federal Highway Administration Capital Improvement Projects
National Highway System Construction and Rehabilitation
District of Columbia Department of Transportation Infrastructure Projects

Risk Flags

Potential for cost overruns due to long project duration and rehabilitation scope.
"Exclusion of sources" in competition may warrant further review.
Lack of detailed cost breakdown makes value assessment difficult.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $3.3 million to HIGHWAY & SAFETY SERVICES INC. PROJECT NP-NAMA 12(3) THE PROJECT CONSISTS OF THE REHABILITATION OF OUTLET BRIDGE AND RESURFACING OF EAST BASIN DRIVE. THE PROJECT WORK INCLUDES ASPHALT PAVEMENT MILLING, ASPHALT CONCRETE PAVEMENT, CONCRETE REMOVAL, REPAIR CONCRETE, PCC PAVEMENT, P

Who is the contractor on this award?

The obligated recipient is HIGHWAY & SAFETY SERVICES INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3.3 million.

What is the period of performance?

Start: 2021-09-03. End: 2028-01-31.

What is the track record of Highway & Safety Services Inc. with federal contracts, particularly with the Department of Transportation?

Highway & Safety Services Inc. has a history of federal contracting, primarily with the Department of Transportation. Reviewing their past performance on similar highway, bridge, and road construction projects would be crucial. Data on contract completion rates, any past performance issues, and their success in meeting deadlines and quality standards on previous DOT awards would provide insight into their reliability for this project. Understanding their experience with firm-fixed-price contracts and large-scale infrastructure rehabilitation is also important for assessing their capability to execute this $3.3 million project effectively over its multi-year duration.

How does the awarded price compare to similar bridge rehabilitation and resurfacing projects in the DC metropolitan area?

Benchmarking the $3.3 million award against similar projects in the DC metropolitan area requires access to detailed cost data for comparable infrastructure work. Factors such as project scale (square footage of resurfacing, linear feet of bridge), complexity (type of bridge rehabilitation, soil conditions), and the specific materials used significantly influence pricing. Without a detailed cost breakdown from the awarded contract or access to a database of recent comparable bids and awards in the region, it is difficult to definitively state if this price represents excellent, fair, or concerning value. However, the firm-fixed-price nature suggests the contractor has factored in anticipated costs and risks.

What are the primary risks associated with a multi-year firm-fixed-price contract for infrastructure rehabilitation?

The primary risks with a multi-year firm-fixed-price contract for infrastructure rehabilitation include unforeseen site conditions (e.g., discovering hazardous materials, unexpected subsurface issues), material price escalation beyond the contractor's initial estimates, and potential labor shortages or disputes over the contract duration. For the government, the risk is that the fixed price might become unfavorable if market conditions change drastically or if the contractor's initial cost estimates were overly conservative, leading to a less competitive outcome than a cost-reimbursable contract might have offered in certain scenarios. Conversely, the contractor bears the risk of cost overruns.

What is the expected impact of this project on local traffic and transportation efficiency in the District of Columbia?

This project is expected to have a significant, albeit potentially disruptive, impact on local traffic and transportation efficiency in the District of Columbia. The rehabilitation of an outlet bridge and resurfacing of East Basin Drive are critical for maintaining and improving the flow of traffic. While construction activities will likely cause temporary detours, lane closures, and increased congestion, the long-term outcome should be smoother, safer, and more reliable travel. Improved road surfaces and a rehabilitated bridge can reduce vehicle wear and tear, decrease travel times once completed, and enhance overall network efficiency for commuters and commercial traffic.

How has federal spending on highway, street, and bridge construction evolved over the past five years, and where does this contract fit?

Federal spending on highway, street, and bridge construction has generally seen fluctuations driven by infrastructure funding legislation, such as the FAST Act and its subsequent reauthorizations. Overall, there has been a sustained focus on addressing the nation's aging infrastructure, leading to significant federal investment in this sector. This $3.3 million contract awarded by the Federal Highway Administration fits within this broader trend of federal investment aimed at repairing and upgrading critical transportation assets. It represents a localized application of federal funds to address specific infrastructure needs within the District of Columbia, contributing to the overall national effort to improve transportation networks.

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: 693C7321B000015

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 18960 WOODFIELD RD, GAITHERSBURG, MD, 20879

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,311,926

Exercised Options: $3,311,926

Current Obligation: $3,311,926

Actual Outlays: $3,275,073

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline