DOD Awards $18.5M Contract for Sewage Treatment Facilities to SAN ANTONIO RIVER AUTHORITY
Contract Overview
Contract Amount: $18,546,653 ($18.5M)
Contractor: SAN Antonio River Authority
Awarding Agency: Department of Defense
Start Date: 2003-09-29
End Date: 2053-09-28
Contract Duration: 18,262 days
Daily Burn Rate: $1.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIXED PRICE REDETERMINATION
Sector: Construction
Place of Performance
Location: RANDOLPH AFB, BEXAR County, TEXAS, 78150
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $18.5 million to SAN ANTONIO RIVER AUTHORITY for work described as: Key points: 1. Contract value of $18.5 million for sewage treatment facilities. 2. Awarded under full and open competition, suggesting market availability. 3. Long duration (2003-2053) raises questions about long-term need and price stability. 4. Fixed Price Redetermination contract type introduces potential cost escalation risks.
Value Assessment
Rating: fair
The contract value is substantial for sewage treatment facilities. Without specific benchmarks for similar long-term contracts, assessing value is difficult. The fixed price redetermination type suggests potential for cost increases over the contract's long life.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors could have bid. This method generally promotes competitive pricing, but the long duration and redeterminable price structure may obscure true price discovery.
Taxpayer Impact: The long-term nature and potential for price redetermination could lead to higher costs for taxpayers than a fixed-price contract with clearly defined terms.
Public Impact
Ensures continued operation of essential sewage treatment infrastructure. Supports environmental protection by managing wastewater. Provides long-term employment and economic activity in the San Antonio region.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (50 years)
- Fixed Price Redetermination pricing
- Lack of specific performance metrics in provided data
Positive Signals
- Full and open competition
- Essential service provision
Sector Analysis
This contract falls within the Construction and Facilities Maintenance sector. Spending on sewage treatment facilities is critical for public health and environmental compliance. Benchmarks vary widely based on facility size, complexity, and location.
Small Business Impact
The data does not indicate if small businesses were involved in this contract. Full and open competition theoretically allows for small business participation, but the nature of large infrastructure projects often favors larger prime contractors.
Oversight & Accountability
The long duration of this contract necessitates robust oversight to ensure the contractor meets performance standards and that pricing remains fair throughout its term. Regular reviews are crucial for accountability.
Related Government Programs
- Sewage Treatment Facilities
- Department of Defense Contracting
- Defense Logistics Agency Programs
Risk Flags
- Long contract duration (50 years) increases risk of obsolescence and changing needs.
- Fixed Price Redetermination pricing allows for potential cost increases over time.
- Lack of detailed performance metrics makes oversight challenging.
- Potential for contractor lock-in due to long-term commitment.
- Uncertainty regarding market conditions and technology advancements over 50 years.
Tags
sewage-treatment-facilities, department-of-defense, tx, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $18.5 million to SAN ANTONIO RIVER AUTHORITY. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is SAN ANTONIO RIVER AUTHORITY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Logistics Agency).
What is the total obligated amount?
The obligated amount is $18.5 million.
What is the period of performance?
Start: 2003-09-29. End: 2053-09-28.
What is the estimated cost per year for this contract, and how does it compare to similar municipal or federal contracts?
With a total value of $18.5 million over 50 years, the average annual cost is approximately $370,933. Comparing this to similar contracts is challenging without knowing the specific scope of services, facility size, and location. However, this figure should be benchmarked against regional operational costs for comparable sewage treatment facilities to assess value.
What are the specific redetermination clauses and triggers for price adjustments in this contract?
The provided data only states the contract type as 'FIXED PRICE REDETERMINATION' (FPR). Specific details regarding the redetermination clauses, such as the frequency of reviews, the basis for adjustments (e.g., labor costs, material costs, inflation indices), and the maximum potential price increase, are not available. Understanding these clauses is critical for assessing long-term cost risk.
How has the performance of the SAN ANTONIO RIVER AUTHORITY been evaluated under this contract since its inception in 2003?
Performance evaluation data since the contract's start in 2003 is not included. Given the long duration and the FPR type, periodic performance reviews and audits would be essential to ensure the contractor is meeting service level agreements and that the government is receiving fair value. Without this information, assessing the contract's effectiveness is incomplete.
Industry Classification
NAICS: Utilities › Water, Sewage and Other Systems › Sewage Treatment Facilities
Product/Service Code: UTILITIES AND HOUSEKEEPING › UTILITIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 1
Pricing Type: FIXED PRICE REDETERMINATION (A)
Evaluated Preference: NONE
Contractor Details
Address: 100 E GUENTHER, SAN ANTONIO, TX, 78204
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $37,246,391
Exercised Options: $37,246,391
Current Obligation: $18,546,653
Actual Outlays: $1,090,206
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2003-09-29
Current End Date: 2053-09-28
Potential End Date: 2053-09-28 00:00:00
Last Modified: 2025-11-25
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