Transportation contract awarded to Fisher Land Co. for $12.5M for highway construction in Oregon

Contract Overview

Contract Amount: $12,526,341 ($12.5M)

Contractor: Fisher Land CO

Awarding Agency: Department of Transportation

Start Date: 2006-04-26

End Date: 2007-10-29

Contract Duration: 551 days

Daily Burn Rate: $22.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: OR PFH 244-1(1) SUNRIVER TO MT. BACHELOR

Place of Performance

Location: BEND, DESCHUTES County, OREGON, 97701

State: Oregon Government Spending

Plain-Language Summary

Department of Transportation obligated $12.5 million to FISHER LAND CO for work described as: OR PFH 244-1(1) SUNRIVER TO MT. BACHELOR Key points: 1. Contract value appears reasonable for the scope of highway construction. 2. Full and open competition suggests a competitive bidding process. 3. Contract duration of 551 days is typical for infrastructure projects. 4. Fixed-price contract shifts risk to the contractor. 5. Project located in Oregon, impacting local infrastructure. 6. Contract awarded by the Federal Highway Administration, a key transportation agency.

Value Assessment

Rating: good

The contract value of $12.5 million for highway construction in Oregon seems aligned with typical infrastructure projects of this nature. Benchmarking against similar Federal Highway Administration projects would provide a more precise value-for-money assessment. The firm-fixed-price structure indicates that the contractor bears the primary financial risk, which can be advantageous for the government if costs are managed effectively. However, without detailed cost breakdowns or comparisons to industry standards for similar work in the region, a definitive assessment of pricing efficiency is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this procurement method generally fosters a competitive environment, which should lead to more favorable pricing for the government. The open nature of the competition suggests that the agency sought the best value through a broad market solicitation.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for cost savings through a robust bidding process, ensuring that the government receives competitive pricing.

Public Impact

The primary beneficiaries are likely the residents and businesses in Oregon who will benefit from improved highway infrastructure. The project delivers essential services related to highway, street, and bridge construction. The geographic impact is concentrated in Oregon, specifically the area between Sunriver and Mt. Bachelor. The project will likely create temporary employment opportunities for construction workers and related support staff in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise, despite the firm-fixed-price structure.
Ensuring timely completion within the 551-day duration to avoid potential delays in public use.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Awarded by the Federal Highway Administration, suggesting adherence to federal construction standards.
Full and open competition likely resulted in a competitive bid.

Sector Analysis

This contract falls within the construction sector, specifically focusing on heavy civil engineering and transportation infrastructure. The market for highway construction is substantial, driven by federal and state funding for infrastructure maintenance and development. This project represents a typical investment in maintaining and improving the nation's road network, aligning with broader government objectives for transportation efficiency and safety. Comparable spending benchmarks would involve analyzing other highway construction contracts awarded by the FHWA or state Departments of Transportation for similar project scopes and geographic regions.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. As it was awarded under full and open competition, it is possible that small businesses participated in the bidding process. However, without further information on subcontracting plans or specific set-aside goals, the direct impact on the small business ecosystem remains unclear. Larger infrastructure projects often involve prime contractors who may then subcontract portions of the work, potentially creating opportunities for small businesses.

Oversight & Accountability

Oversight for this contract would typically be managed by the Federal Highway Administration (FHWA) contracting officers and project managers. Accountability measures would include adherence to contract specifications, performance milestones, and quality control. Transparency is generally maintained through contract award databases and public reporting requirements. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract lifecycle.

Related Government Programs

Federal Highway Administration Capital Improvement Projects
National Highway System Construction
State Transportation Improvement Programs

Risk Flags

Potential for schedule delays
Risk of unforeseen site conditions impacting cost
Contractor performance risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $12.5 million to FISHER LAND CO. OR PFH 244-1(1) SUNRIVER TO MT. BACHELOR

Who is the contractor on this award?

The obligated recipient is FISHER LAND CO.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $12.5 million.

What is the period of performance?

Start: 2006-04-26. End: 2007-10-29.

What is the track record of Fisher Land Co. in completing federal highway construction projects?

Information regarding Fisher Land Co.'s specific track record with federal highway construction projects is not detailed in the provided data. To assess their performance, one would need to review their past federal contract history, including on-time completion rates, adherence to budget, and any documented performance issues or awards. Databases like the Federal Procurement Data System (FPDS) or SAM.gov could provide insights into their past performance on similar contracts. A review of past performance would help determine their reliability and capability in executing projects of this scale and complexity for the Federal Highway Administration.

How does the awarded amount compare to the estimated cost or benchmark for similar highway construction projects in Oregon?

The provided data does not include the estimated cost or a detailed breakdown of the awarded amount ($12.5 million) relative to specific project components. To benchmark the value, one would need to compare this contract's cost per mile, cost per lane-mile, or cost per square yard of pavement against similar projects undertaken by the Oregon Department of Transportation or the Federal Highway Administration in the same region and timeframe. Factors such as terrain, complexity of the construction (e.g., bridges, tunnels), and material costs significantly influence project expenses. Without these comparative metrics, it is difficult to definitively assess if the awarded amount represents optimal value for money.

What are the primary risks associated with this firm-fixed-price contract for highway construction?

The primary risks associated with this firm-fixed-price contract, while generally favorable to the government by capping costs, lie in potential contractor performance issues. If Fisher Land Co. underestimates costs or encounters unforeseen site conditions (e.g., unexpected soil issues, environmental discoveries), they may face financial strain, potentially leading to delays, quality compromises, or even contract default. The government's risk is primarily in ensuring adequate contract oversight to monitor progress, quality, and compliance, and in managing any necessary change orders. The 551-day duration also presents a risk of schedule slippage due to weather, labor issues, or material availability, which could impact the project's overall benefit realization.

What is the expected effectiveness of this highway construction project in terms of improving transportation efficiency and safety in the specified region?

The effectiveness of this highway construction project hinges on its specific scope, which is described as 'Highway, Street, and Bridge Construction' between Sunriver and Mt. Bachelor in Oregon. Assuming the project addresses known deficiencies such as outdated infrastructure, capacity constraints, or safety hazards, its effectiveness would be measured by improvements in traffic flow, reduction in accident rates, and enhanced user experience. The Federal Highway Administration typically funds projects that align with national goals for safety and efficiency. A detailed project plan outlining the specific improvements (e.g., widening lanes, improving sightlines, repairing structural integrity) would be necessary to quantify the expected effectiveness.

How has federal spending on highway construction in Oregon trended over the past five years, and how does this contract fit into that pattern?

Analyzing federal spending trends on highway construction in Oregon over the past five years would require access to historical procurement data from agencies like the Federal Highway Administration (FHWA) and the Oregon Department of Transportation. This contract, valued at $12.5 million, represents a significant but not exceptionally large investment. Its placement within the broader spending pattern would depend on the total annual federal outlays for similar projects in the state. If federal infrastructure spending in Oregon has been increasing due to national initiatives (like the Bipartisan Infrastructure Law), this contract would be part of that upward trend. Conversely, if spending has been stable or declining, it might represent a more substantial single investment.

What are the potential long-term economic impacts of this infrastructure investment on the Sunriver to Mt. Bachelor corridor?

The long-term economic impacts of this highway construction project are likely to be positive, particularly for the Sunriver and Mt. Bachelor area. Improved transportation infrastructure can enhance accessibility, potentially boosting tourism and recreational activities, which are often significant economic drivers in such regions. Better road conditions can also facilitate the movement of goods and services, supporting local businesses and potentially attracting new investment. Furthermore, the construction phase itself provides short-term employment and stimulates local economies through the demand for labor, materials, and services. The enhanced connectivity could also improve the quality of life for residents by reducing travel times and improving safety.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: DTFH7006B00001

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 47859 BERRY ST, OAKRIDGE, OR, 04

Business Categories: Category Business, Emerging Small Business, Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $12,526,341

Exercised Options: $12,526,341

Current Obligation: $12,526,341

Contract Characteristics

Cost or Pricing Data: NO

Timeline