California Road Repair Contract Awarded to SEB Engineering for $3.8M, Full and Open Competition

Contract Overview

Contract Amount: $3,795,998 ($3.8M)

Contractor: SEB Engineering Inc.

Awarding Agency: Department of Transportation

Start Date: 2024-08-15

End Date: 2025-06-13

Contract Duration: 302 days

Daily Burn Rate: $12.6K/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: CA ERFO FS ANGEL 2023-1(1) 3N17 SANTA CLARA ROAD CONSTRUCTION REPAIRS INCLUDING DRAINAGE, DEBRIS REMOVAL, MSE WALLS, AND ASPHALT SURFACING

Place of Performance

Location: ARCADIA, LOS ANGELES County, CALIFORNIA, 91006

State: California Government Spending

Plain-Language Summary

Department of Transportation obligated $3.8 million to SEB ENGINEERING INC. for work described as: CA ERFO FS ANGEL 2023-1(1) 3N17 SANTA CLARA ROAD CONSTRUCTION REPAIRS INCLUDING DRAINAGE, DEBRIS REMOVAL, MSE WALLS, AND ASPHALT SURFACING Key points: 1. Contract awarded to SEB ENGINEERING INC. for $3.8M. 2. Competition method was 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. 3. Project involves road construction repairs including drainage, debris removal, MSE walls, and asphalt surfacing. 4. The sector is Highway, Street, and Bridge Construction.

Value Assessment

Rating: good

The contract value of $3.8M appears reasonable for the scope of work described, which includes significant repair and construction elements. Benchmarking against similar large-scale road repair projects would provide a more precise assessment.

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'. This method suggests an initial exclusion of certain sources, followed by a broader competition, which may impact price discovery compared to unrestricted full and open competition.

Taxpayer Impact: The use of full and open competition, even with initial source exclusion, aims to achieve competitive pricing, ultimately benefiting taxpayers by ensuring value for money.

Public Impact

Improved road infrastructure in California, enhancing safety and efficiency for travelers. Supports local economy through construction jobs and material sourcing. Potential for reduced long-term maintenance costs due to comprehensive repairs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential impact of 'exclusion of sources' on ultimate price competitiveness.
Scope creep risk in complex road repair projects.

Positive Signals

Use of full and open competition promotes market engagement.
Firm Fixed Price contract provides cost certainty.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a critical area for public infrastructure. Spending in this sector is often driven by federal and state funding initiatives for transportation improvements.

Small Business Impact

The data indicates that small business participation was not a factor in this specific award (ss: false, sb: false). Further analysis would be needed to determine if opportunities for small businesses were present or considered in the procurement process.

Oversight & Accountability

The Federal Highway Administration (ag) is responsible for overseeing this contract. The use of a Delivery Order under a larger contract structure implies existing oversight mechanisms are in place.

Related Government Programs

Highway, Street, and Bridge Construction
Department of Transportation Contracting
Federal Highway Administration Programs

Risk Flags

Potential for limited competition due to source exclusion.
Bid range significantly lower than award value requires scrutiny.
Lack of explicit small business participation.
Scope complexity in road repair projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $3.8 million to SEB ENGINEERING INC.. CA ERFO FS ANGEL 2023-1(1) 3N17 SANTA CLARA ROAD CONSTRUCTION REPAIRS INCLUDING DRAINAGE, DEBRIS REMOVAL, MSE WALLS, AND ASPHALT SURFACING

Who is the contractor on this award?

The obligated recipient is SEB ENGINEERING INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3.8 million.

What is the period of performance?

Start: 2024-08-15. End: 2025-06-13.

What was the rationale for excluding specific sources prior to the full and open competition phase?

The rationale for excluding specific sources before initiating full and open competition is not detailed in the provided data. Typically, such exclusions might be based on specific technical requirements, past performance issues, or pre-existing contract vehicles. Understanding this rationale is crucial for assessing whether the competition was truly as broad as possible and if it potentially limited the range of competitive bids received.

How does the awarded price compare to the government's estimate or benchmark for similar projects?

The provided data includes a 'br' (bid range) value of 12570, which is significantly lower than the awarded amount. Without the government's independent estimate or a broader set of benchmark data for comparable road repair projects in California, it is difficult to definitively assess the value for money. The bid range suggests multiple bids were received, but the relationship between the bids and the final award price needs further context.

What are the key performance indicators (KPIs) for this contract to ensure successful project completion and taxpayer value?

Key performance indicators for this contract would likely include adherence to the project schedule (dur: 302 days), quality of construction meeting specified standards (e.g., asphalt surfacing, MSE walls), effective debris removal and drainage functionality, and overall cost control within the $3.8M budget. Successful completion also implies minimal disruption to traffic and compliance with safety regulations throughout the project lifecycle.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5323 EASTSIDE RD, REDDING, CA, 96001

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,795,998

Exercised Options: $3,795,998

Current Obligation: $3,795,998

Actual Outlays: $3,795,998

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 6982AF24D000003

IDV Type: IDC

Timeline