Department of Energy awards $1.58M contract for water tower repairs, highlighting infrastructure needs
Contract Overview
Contract Amount: $3,126,534 ($3.1M)
Contractor: Manolis Painting, Inc.
Awarding Agency: Department of Energy
Start Date: 2022-08-15
End Date: 2026-06-30
Contract Duration: 1,415 days
Daily Burn Rate: $2.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: REQUISITION 21MA000516 TO IS ISSUED FOR DESIGN BUILD WATER TOWER REPAIRS AND RECERTIFICATION AT THE GERMANTOWN CAMPUS IN ACCORDANCE WITH THE AMERICAN WATER WORKS ASSOCIATION AWWA FOR THE FIRM-FIXED PRICE AMOUNT OF $1,582,293.00. THE PERIOD OF PERFOR
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585
Plain-Language Summary
Department of Energy obligated $3.1 million to MANOLIS PAINTING, INC. for work described as: REQUISITION 21MA000516 TO IS ISSUED FOR DESIGN BUILD WATER TOWER REPAIRS AND RECERTIFICATION AT THE GERMANTOWN CAMPUS IN ACCORDANCE WITH THE AMERICAN WATER WORKS ASSOCIATION AWWA FOR THE FIRM-FIXED PRICE AMOUNT OF $1,582,293.00. THE PERIOD OF PERFOR Key points: 1. Contract addresses critical infrastructure maintenance for the Germantown campus. 2. Firm-fixed-price structure shifts risk to the contractor. 3. Full and open competition suggests a potentially competitive bidding process. 4. Contract duration of nearly four years indicates a substantial scope of work. 5. Focus on AWWA standards ensures adherence to industry best practices. 6. Geographic location in the District of Columbia may impact local workforce utilization.
Value Assessment
Rating: good
The contract value of $1,582,293.00 for water tower repairs and recertification appears reasonable given the scope and duration. While direct comparisons are difficult without more specific project details, the firm-fixed-price nature suggests the contractor has assessed all costs and risks. The inclusion of recertification under AWWA standards implies a comprehensive service, potentially justifying the investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The number of bidders is not specified, but this procurement method generally fosters price discovery and allows the government to select the best value offer. The agency's decision to use this method suggests confidence in the availability of multiple qualified contractors.
Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically leads to more competitive pricing and a wider selection of qualified contractors, ensuring the government receives the best possible value for its investment.
Public Impact
The primary beneficiaries are the Department of Energy and its personnel at the Germantown campus, who will have access to safe and reliable water infrastructure. The contract delivers essential repair and recertification services for a critical water tower. The geographic impact is localized to the Germantown campus in the District of Columbia. Workforce implications may include skilled tradespeople such as painters, welders, and inspectors, potentially drawing from the local DC labor market.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen structural issues arise beyond the scope of standard repairs.
- Dependence on contractor's adherence to strict AWWA standards for quality assurance.
- Risk of schedule delays due to weather or material availability, impacting the long duration.
Positive Signals
- Firm-fixed-price contract mitigates budget uncertainty for the government.
- Full and open competition suggests a robust selection process.
- Adherence to AWWA standards ensures a high level of service quality and safety.
Sector Analysis
This contract falls within the Construction of Water and Sewer Lines and Related Structures (NAICS 237110) sector. This sector is vital for maintaining public and private infrastructure, with significant government spending allocated to infrastructure repair and upgrades. The market for water tower maintenance is specialized, often requiring specific expertise in structural engineering, painting, and compliance with stringent safety and water quality regulations.
Small Business Impact
The contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses. This suggests that the primary award went to a larger entity or that small business participation was not a prioritized element of this specific procurement. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
Oversight will likely be managed by the contracting officer and the Department of Energy's project management team. Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to complete the work to specified standards. Transparency is generally maintained through federal contract databases, though detailed project progress reports may not be publicly available.
Related Government Programs
- Federal Infrastructure Investment and Jobs Act
- Department of Energy Facilities Management
- Public Water System Infrastructure Projects
- Government Building Maintenance Contracts
Risk Flags
- Potential for scope creep if unforeseen issues arise.
- Contractor performance risk over a long duration.
- Quality assurance challenges in ensuring consistent adherence to AWWA standards.
Tags
construction, water-and-sewer-line-construction, department-of-energy, firm-fixed-price, full-and-open-competition, infrastructure-maintenance, district-of-columbia, germantown-campus, awwa-standards, definitive-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $3.1 million to MANOLIS PAINTING, INC.. REQUISITION 21MA000516 TO IS ISSUED FOR DESIGN BUILD WATER TOWER REPAIRS AND RECERTIFICATION AT THE GERMANTOWN CAMPUS IN ACCORDANCE WITH THE AMERICAN WATER WORKS ASSOCIATION AWWA FOR THE FIRM-FIXED PRICE AMOUNT OF $1,582,293.00. THE PERIOD OF PERFOR
Who is the contractor on this award?
The obligated recipient is MANOLIS PAINTING, INC..
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $3.1 million.
What is the period of performance?
Start: 2022-08-15. End: 2026-06-30.
What is the typical cost range for water tower repair and recertification projects of this scale?
The cost for water tower repair and recertification can vary significantly based on the tower's condition, size, materials, and the specific services required. Projects involving structural repairs, lead paint abatement, or complete recoating can range from several hundred thousand to several million dollars. For a firm-fixed-price contract of $1.58 million over nearly four years, this suggests a comprehensive scope that likely includes significant structural work, extensive coating, and recertification under stringent standards like AWWA. Benchmarking against similar government contracts for water tower maintenance in the DC metropolitan area or for federal facilities could provide more precise comparisons, but the awarded amount appears within a plausible range for a project of this complexity and duration.
What specific risks are associated with a firm-fixed-price contract for infrastructure repair?
A firm-fixed-price (FFP) contract shifts most of the risk to the contractor. For infrastructure repair, this means the contractor is obligated to complete the work for the agreed-upon price, regardless of unforeseen difficulties. Potential risks include the contractor underestimating costs, leading to financial strain or a desire to cut corners on quality. Conversely, if the contractor accurately anticipates all challenges and the government could have secured a lower price through a different contract type or better-defined scope, the government might be seen as overpaying. For this water tower project, risks could involve discovering hidden structural damage or asbestos during repairs, which, if not clearly defined in the scope, could lead to disputes or the contractor absorbing significant unexpected costs, potentially impacting project completion or quality if not managed carefully.
How does the 'full and open competition' procurement method impact the value for taxpayers?
Full and open competition is generally the most advantageous method for taxpayers. It allows any responsible business to submit a bid, maximizing the pool of potential contractors and fostering a competitive environment. This competition drives down prices as contractors vie for the contract, leading to better value for the government. It also increases the likelihood that the government will receive high-quality services or products at a fair market price. In this case, the Department of Energy's decision to use full and open competition for the water tower repairs suggests an effort to secure the best possible price and contractor, thereby optimizing taxpayer investment in essential infrastructure maintenance.
What are the implications of the nearly four-year contract duration for project management and oversight?
A contract duration of approximately 1415 days (nearly four years) for water tower repairs and recertification implies a substantial and potentially complex scope of work, or perhaps a phased approach to maintenance and upgrades. For project management, this extended timeline requires robust planning, scheduling, and resource allocation by the contractor. For the Department of Energy, it necessitates consistent oversight to ensure progress aligns with milestones, quality standards are maintained throughout, and the contractor remains accountable. Long durations can also introduce risks related to changing technologies, material obsolescence, or shifts in agency priorities. Effective management will involve regular progress reviews, clear communication channels, and proactive risk mitigation to ensure the project's successful completion within budget and scope.
What is the significance of adhering to American Water Works Association (AWWA) standards?
Adherence to American Water Works Association (AWWA) standards is highly significant for water infrastructure projects. AWWA sets industry best practices and guidelines for the design, construction, operation, and maintenance of water systems to ensure public health and safety. For water tower repairs and recertification, following AWWA standards means the work will be performed to a recognized, high level of quality, ensuring the structural integrity of the tower and the potability of the water it stores. This includes specifications for materials, welding, coating, inspection, and testing. For the Department of Energy, mandating AWWA compliance provides assurance that the repairs meet rigorous safety and operational benchmarks, protecting both personnel and the surrounding environment, and ensuring the long-term functionality of a critical asset.
Industry Classification
NAICS: Construction › Utility System Construction › Water and Sewer Line and Related Structures Construction
Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 89303022RMA000041
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Manolis Painting Inc.
Address: 539 NORTH DEAN STREET, BALTIMORE, MD, 21205
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $3,126,534
Exercised Options: $3,126,534
Current Obligation: $3,126,534
Actual Outlays: $1,742,383
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2022-08-15
Current End Date: 2026-06-30
Potential End Date: 2026-06-30 00:00:00
Last Modified: 2026-01-06
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