Army awards $10.86M for Natomas Reach D Pumping Plant 4, emphasizing heavy civil engineering construction

Contract Overview

Contract Amount: $10,863,349 ($10.9M)

Contractor: Syblon-Reid CO.

Awarding Agency: Department of Defense

Start Date: 2021-02-24

End Date: 2025-07-04

Contract Duration: 1,591 days

Daily Burn Rate: $6.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: NATOMAS REACH D PUMPING PLANT 4

Place of Performance

Location: SACRAMENTO, SACRAMENTO County, CALIFORNIA, 95834

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $10.9 million to SYBLON-REID CO. for work described as: NATOMAS REACH D PUMPING PLANT 4 Key points: 1. Value for money appears reasonable given the firm-fixed-price contract type and the scope of heavy civil engineering. 2. Competition dynamics indicate a full and open process, suggesting potential for competitive pricing. 3. Risk indicators are moderate, with a long performance period and a definitive contract type. 4. Performance context is tied to Army engineering and construction needs in California. 5. Sector positioning is within heavy and civil engineering construction, a critical infrastructure domain.

Value Assessment

Rating: good

The contract's firm-fixed-price structure provides cost certainty for the government. While specific cost breakdowns are not available, the total award amount of $10.86 million for a pumping plant construction project of this scale and duration (over 4 years) appears to be within a reasonable range for heavy civil engineering. Benchmarking against similar Army Corps of Engineers projects would provide further insight into value.

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. With 4 bidders participating, the level of competition suggests a healthy market response. This process is designed to foster price discovery and ensure the government receives competitive offers, potentially leading to better pricing outcomes.

Taxpayer Impact: A full and open competition process generally benefits taxpayers by driving down costs through market forces, ensuring that public funds are used efficiently.

Public Impact

The primary beneficiaries are the Department of the Army and potentially the region served by the pumping plant, ensuring critical infrastructure functionality. Services delivered include the construction and potentially upgrade of the Natomas Reach D Pumping Plant 4. The geographic impact is localized to California, specifically the area served by the Natomas Reach D Pumping Plant. Workforce implications include employment opportunities for construction workers, engineers, and project managers in the civil engineering sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (over 4 years) could introduce risks related to cost escalation or changes in project requirements.
Definitive contract type, while common, may offer less flexibility than other contract types if unforeseen issues arise.
Reliance on a single contractor for a critical infrastructure project necessitates robust oversight.

Positive Signals

Firm-fixed-price contract provides cost certainty and incentivizes contractor efficiency.
Full and open competition suggests a robust bidding process and potential for competitive pricing.
The project addresses critical infrastructure needs for the Department of the Army.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, which is vital for maintaining and upgrading public infrastructure. The market for such services is often characterized by large, specialized firms capable of undertaking complex projects. The Army Corps of Engineers is a significant player in this sector, awarding numerous contracts for water management, flood control, and other civil works. Comparable spending benchmarks would typically be found within Army Corps of Engineers' historical contract awards for similar pumping station or civil construction projects.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While this contract may not directly involve small business set-asides, larger prime contractors often engage small businesses for subcontracting opportunities. The impact on the small business ecosystem would depend on whether Syblon-Reid Co. utilizes small businesses for specialized services or materials related to this project.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army, likely through the Army Corps of Engineers. Accountability measures are inherent in the firm-fixed-price contract type, which holds the contractor responsible for delivering the specified work within the agreed-upon price. Transparency is facilitated by the public nature of federal contract awards, though detailed project progress reports may not always be publicly accessible. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Army Corps of Engineers Civil Works Projects
Pumping Station Construction and Maintenance
Heavy and Civil Engineering Construction Contracts
Federal Infrastructure Development

Risk Flags

Long contract duration may increase risk of cost escalation or scope creep.
Definitive contract type may limit flexibility in adapting to unforeseen circumstances.
Critical infrastructure project requires diligent oversight to ensure quality and timely completion.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.9 million to SYBLON-REID CO.. NATOMAS REACH D PUMPING PLANT 4

Who is the contractor on this award?

The obligated recipient is SYBLON-REID CO..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $10.9 million.

What is the period of performance?

Start: 2021-02-24. End: 2025-07-04.

What is the contractor's track record with the Department of the Army and similar projects?

Syblon-Reid Co. has a history of performing work for the Department of the Army, as indicated by this award. To fully assess their track record, a deeper dive into their past performance ratings on similar Army contracts, particularly those involving heavy civil engineering and construction of water-related infrastructure, would be necessary. Examining contract completion timeliness, adherence to budget (especially for fixed-price contracts), and any documented disputes or performance issues would provide a comprehensive view. Information on their experience with pumping plant construction specifically would also be valuable for understanding their suitability for this project.

How does the awarded amount compare to similar pumping plant construction projects by the Army Corps of Engineers?

Benchmarking this $10.86 million award against similar pumping plant construction projects by the Army Corps of Engineers requires access to a database of comparable contracts. Factors such as project size (e.g., pumping capacity), complexity, specific site conditions, and the year of award significantly influence costs. Without direct comparative data, it's challenging to definitively state if this represents superior or inferior value. However, the firm-fixed-price nature and full and open competition suggest an effort to secure competitive pricing. Further analysis would involve identifying projects with similar scope and scale awarded within a comparable timeframe.

What are the key performance risks associated with this definitive contract and its long duration?

The primary performance risks for this definitive contract, spanning over 1591 days (approximately 4.3 years), include potential cost overruns due to unforeseen site conditions, material price fluctuations, or labor availability issues, despite the firm-fixed-price structure. Changes in project scope or requirements could lead to costly modifications. The long duration also increases the risk of contractor performance degradation or key personnel turnover. Robust government oversight, clear contract specifications, and proactive risk management by both the government and the contractor are crucial to mitigate these potential issues and ensure successful project completion.

What is the historical spending pattern for the Natomas Reach D Pumping Plant 4 project or similar infrastructure needs?

Historical spending data for the specific 'Natomas Reach D Pumping Plant 4' project prior to this award is not provided in the given data. However, the Department of the Army, particularly through the Army Corps of Engineers, has a consistent history of investing in civil works and infrastructure, including pumping plants, for flood control and water management. Analyzing past budgets allocated to similar projects in the Sacramento area or California would reveal trends in investment. Understanding the lifecycle costs of such facilities, including maintenance and potential upgrades, would also inform historical spending patterns and the justification for this new construction award.

How does the level of competition (4 bidders) impact the final price and overall value for taxpayers?

Having four bidders in a full and open competition generally suggests a healthy level of market interest and potential for competitive pricing. More bidders typically increase the likelihood that the government will receive offers closer to the lowest possible cost the market can bear. This competitive pressure can drive down the final awarded price compared to a sole-source or limited competition scenario. For taxpayers, this means their money is more likely to be spent efficiently, as the government benefits from the market's drive to secure the contract, potentially leading to cost savings and better overall value for the services rendered.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W9123821B0002

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1130 SIBLEY ST, FOLSOM, CA, 95630

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $10,863,349

Exercised Options: $10,863,349

Current Obligation: $10,863,349

Actual Outlays: $1,003,789

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline