Army awards $5.6M for Johnstown sediment removal and concrete repairs to Earthmovers Unlimited Inc

Contract Overview

Contract Amount: $5,595,378 ($5.6M)

Contractor: Earthmovers Unlimited Inc

Awarding Agency: Department of Defense

Start Date: 2025-02-25

End Date: 2026-06-12

Contract Duration: 472 days

Daily Burn Rate: $11.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FY24 SEDIMENT REMOVAL AND CONCRETE REPAIRS AT CITY OF JOHNSTOWN, JOHNSTOWN, PA

Place of Performance

Location: JOHNSTOWN, CAMBRIA County, PENNSYLVANIA, 15901

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $5.6 million to EARTHMOVERS UNLIMITED INC for work described as: FY24 SEDIMENT REMOVAL AND CONCRETE REPAIRS AT CITY OF JOHNSTOWN, JOHNSTOWN, PA Key points: 1. Contract value appears reasonable given the scope of heavy civil engineering work. 2. Full and open competition suggests a competitive bidding process. 3. Definitive contract type indicates a flexible agreement for ongoing services. 4. Firm fixed price contract type provides cost certainty for the government. 5. Project duration of over a year suggests a significant undertaking. 6. Location in Pennsylvania positions the work within a key industrial region.

Value Assessment

Rating: good

The contract value of $5.6 million for sediment removal and concrete repairs seems aligned with typical costs for similar heavy civil engineering projects. While specific benchmarks for this exact scope are difficult to ascertain without more granular detail, the firm fixed-price structure suggests that the contractor has assessed the risks and costs involved. The number of bids received (3) indicates a moderate level of interest, which can contribute to fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which implies that initial solicitations may have excluded certain sources, but ultimately the competition was opened to all qualified bidders. With three bids received, the competition level is moderate. This suggests that while there was some interest, it may not have reached the highest levels of market saturation, potentially impacting the downward pressure on pricing.

Taxpayer Impact: A moderate level of competition means taxpayers likely received a fair price, but there may have been opportunities for even greater savings with more bidders.

Public Impact

The City of Johnstown, Pennsylvania, will benefit from improved infrastructure through sediment removal and concrete repairs. Essential services related to waterway management and structural integrity will be delivered. The geographic impact is localized to Johnstown, PA. The project will likely involve a workforce skilled in heavy construction and environmental remediation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in definitive contracts if not managed tightly.
Reliance on a single contractor for a multi-year project requires robust oversight.

Positive Signals

Firm fixed-price contract provides budget certainty.
Full and open competition suggests a fair market approach.
Clear end date for project completion.

Sector Analysis

This contract falls within the 'Other Heavy and Civil Engineering Construction' sector, a broad category encompassing infrastructure projects like dredging, demolition, and repair of structures. The market for such services is often characterized by a mix of large, established firms and smaller, specialized contractors. Federal spending in this area is driven by the need to maintain and upgrade critical public infrastructure, with project costs varying significantly based on scale, complexity, and location.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on the small business ecosystem would be through potential subcontracting opportunities, which are not detailed in this summary. Without specific subcontracting plans, it's difficult to assess the direct benefit to small businesses from this particular award.

Oversight & Accountability

The contract is a definitive contract, which typically involves a period of performance with defined delivery schedules and payment terms. Oversight would likely be managed by the contracting officer and the relevant Army Corps of Engineers district responsible for the Johnstown area. Transparency is generally maintained through contract award databases, but detailed project-specific oversight mechanisms are not specified here. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Army Corps of Engineers Civil Works Projects
Environmental Dredging Contracts
Infrastructure Repair and Maintenance Contracts
Public Works Construction Contracts

Risk Flags

Moderate competition level
Definitive contract type requires careful oversight

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.6 million to EARTHMOVERS UNLIMITED INC. FY24 SEDIMENT REMOVAL AND CONCRETE REPAIRS AT CITY OF JOHNSTOWN, JOHNSTOWN, PA

Who is the contractor on this award?

The obligated recipient is EARTHMOVERS UNLIMITED INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $5.6 million.

What is the period of performance?

Start: 2025-02-25. End: 2026-06-12.

What is the track record of Earthmovers Unlimited Inc. with federal contracts, particularly with the Department of Defense?

A review of federal contract databases would be necessary to fully assess Earthmovers Unlimited Inc.'s track record. This would involve examining past performance on similar projects, including their timeliness, quality of work, and any history of disputes or contract modifications. Specifically, looking at their history with the Department of the Army and other agencies involved in civil engineering and construction would provide valuable context for their ability to successfully execute this $5.6 million contract. Understanding their past performance metrics and any reported issues can help gauge the risk associated with this award.

How does the awarded price of $5.6 million compare to similar sediment removal and concrete repair projects undertaken by the federal government?

Benchmarking this $5.6 million contract requires comparing it to projects with similar scope, scale, and geographic location. Factors such as the volume of sediment removed, the extent of concrete repair, the complexity of the site, and prevailing labor and material costs in Pennsylvania would need to be considered. Without access to a detailed breakdown of the work required and specific cost drivers, a precise comparison is challenging. However, general market data for heavy civil engineering projects can provide a rough estimate. If similar projects of comparable complexity have been awarded at significantly lower or higher prices, it would indicate potential overpricing or exceptional value, respectively.

What are the primary risks associated with this definitive contract for sediment removal and concrete repair?

Key risks for this definitive contract include potential environmental hazards during sediment removal, unforeseen subsurface conditions impacting concrete repair, and weather-related delays, especially given the project's duration extending into late 2026. As a definitive contract, there's also a risk of scope creep if the requirements are not tightly managed, potentially leading to cost overruns despite the firm fixed-price structure. The contractor's ability to manage a complex project involving both dredging and structural repair, along with adherence to safety and environmental regulations, are critical risk factors. The moderate competition level also presents a slight risk that the price might not be as optimized as it could be with more bidders.

How effective are definitive contracts in managing long-term infrastructure projects like this one?

Definitive contracts can be effective for long-term infrastructure projects when clearly defined task orders or delivery schedules are established and managed diligently. They offer flexibility to adapt to evolving needs within the project's scope. However, their effectiveness hinges on robust government oversight to prevent scope creep and ensure timely progress. For projects like sediment removal and concrete repair, where conditions can be unpredictable, the flexibility of a definitive contract can be advantageous. The firm fixed-price nature, combined with clear performance metrics and milestones, helps maintain cost control and accountability over the project's lifecycle.

What has been the historical federal spending trend for 'Other Heavy and Civil Engineering Construction' in Pennsylvania?

Analyzing historical federal spending trends for 'Other Heavy and Civil Engineering Construction' in Pennsylvania would provide context for this $5.6 million award. This would involve examining data from agencies like the Army Corps of Engineers, Department of Transportation, and others that fund such infrastructure work. Understanding whether spending in this category has been increasing, decreasing, or remaining stable in the state can indicate market conditions, the level of government investment in infrastructure, and the potential for future contracts. A consistent or growing trend might suggest a healthy market, while a declining trend could signal reduced opportunities or budget constraints.

What are the implications of the 'Full and Open Competition After Exclusion of Sources' award type for cost efficiency?

The 'Full and Open Competition After Exclusion of Sources' award type suggests an initial phase where certain potential bidders might have been excluded, possibly due to specific qualifications or pre-existing relationships, before the opportunity was opened broadly. While the 'full and open' aspect aims for maximum competition, the initial exclusion could potentially limit the pool of bidders. The fact that three bids were received indicates a moderate level of competition. This means that while the government likely received competitive offers, the cost efficiency might not be as maximized as it would be in a scenario with a larger number of diverse bidders vying for the contract. The final price reflects the offers received from this specific competitive process.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering 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: W911WN25B8004

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 930 OLD ROUTE 53, KYLERTOWN, PA, 16847

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

Financial Breakdown

Contract Ceiling: $5,595,378

Exercised Options: $5,595,378

Current Obligation: $5,595,378

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline