DoD Awards $7.3M Contract for Tainter Gate Corrosion Protection to Paragon Construction
Contract Overview
Contract Amount: $7,304,044 ($7.3M)
Contractor: Paragon Construction Services of America Inc.
Awarding Agency: Department of Defense
Start Date: 2025-04-10
End Date: 2027-07-19
Contract Duration: 830 days
Daily Burn Rate: $8.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TOWN BLUFF TAINTER GATE CORROSION PROTECTION
Place of Performance
Location: WOODVILLE, TYLER County, TEXAS, 75979
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $7.3 million to PARAGON CONSTRUCTION SERVICES OF AMERICA INC. for work described as: TOWN BLUFF TAINTER GATE CORROSION PROTECTION Key points: 1. The contract focuses on essential corrosion protection for Tainter gates, a critical infrastructure component. 2. Paragon Construction Services of America Inc. secured the award, indicating potential specialization or competitive bidding. 3. The project duration of 830 days suggests a significant scope of work. 4. The award falls under 'Other Heavy and Civil Engineering Construction', a broad category with varying cost benchmarks.
Value Assessment
Rating: fair
The contract value of $7.3M for 830 days of work needs comparison against similar infrastructure repair projects. Without specific unit costs or detailed scope, a precise value assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests initial broad solicitation followed by specific exclusions, potentially limiting the competitive pool and impacting price discovery.
Taxpayer Impact: Taxpayer funds are allocated for critical infrastructure maintenance, aiming to preserve asset longevity and prevent costlier future repairs.
Public Impact
Ensures the longevity and operational safety of vital water control infrastructure. Supports the Department of Defense's mission by maintaining essential facilities. Potential for job creation within the construction sector in Texas.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition due to source exclusion.
- Lack of detailed cost breakdown for value assessment.
- Potential for cost overruns on long-duration projects.
Positive Signals
- Addresses critical infrastructure maintenance needs.
- Awarded to a specialized construction firm.
- Firm fixed price contract provides cost certainty.
Sector Analysis
This contract falls under 'Other Heavy and Civil Engineering Construction,' a sector encompassing a wide range of projects from dams to bridges. Spending benchmarks vary significantly based on project complexity and location.
Small Business Impact
The data does not indicate whether small businesses were involved in the subcontracting or prime contracting opportunities for this award. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The 'DEFINITIVE CONTRACT' type implies a contract with progressively completed work. Oversight will be crucial to ensure adherence to scope, quality, and budget throughout the project lifecycle.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost escalation due to long project duration.
- Limited competition may have inflated the price.
- Scope creep risk on complex civil engineering projects.
- Dependence on a single contractor for critical repairs.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, tx, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $7.3 million to PARAGON CONSTRUCTION SERVICES OF AMERICA INC.. TOWN BLUFF TAINTER GATE CORROSION PROTECTION
Who is the contractor on this award?
The obligated recipient is PARAGON CONSTRUCTION SERVICES OF AMERICA 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 $7.3 million.
What is the period of performance?
Start: 2025-04-10. End: 2027-07-19.
What specific corrosion issues are being addressed, and what is the expected lifespan extension from this protection?
The contract specifies 'corrosion protection' for Tainter gates, implying a need to prevent material degradation and structural weakening. The expected lifespan extension is not detailed but is presumed to be significant, justifying the investment in maintaining critical infrastructure and preventing more costly failures or replacements in the future.
How did the exclusion of sources impact the final contract price compared to a fully open competition?
The 'exclusion of sources' suggests that while the initial solicitation was open, certain entities were later removed from consideration. This can limit the number of bidders, potentially leading to a higher price than if all qualified sources had competed. The extent of this impact is unknown without a benchmark of fully open competition prices for similar work.
What are the key performance indicators for this contract, and how will effectiveness be measured?
Key performance indicators likely include the successful application of corrosion protection materials, adherence to project timelines, and the quality of workmanship. Effectiveness will be measured by the demonstrable reduction in corrosion rates and the extended service life of the Tainter gates, likely verified through inspections and material testing post-completion.
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 NONBUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W9126G25R0009
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1070 W CAUSEWAY APPROACH STE B, MANDEVILLE, LA, 70471
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $7,304,044
Exercised Options: $7,304,044
Current Obligation: $7,304,044
Actual Outlays: $804,000
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2025-04-10
Current End Date: 2027-07-19
Potential End Date: 2027-07-19 00:00:00
Last Modified: 2026-01-02
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