DoD's $27M Miter Gate Replacement Contract Awarded to Dix Corporation for Army Project
Contract Overview
Contract Amount: $27,093,773 ($27.1M)
Contractor: DIX Corporation
Awarding Agency: Department of Defense
Start Date: 2010-02-12
End Date: 2011-03-22
Contract Duration: 403 days
Daily Burn Rate: $67.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TD MITER GATE REPLACEMENT CONSTRUCTION
Place of Performance
Location: DALLESPORT, KLICKITAT County, WASHINGTON, 98617
Plain-Language Summary
Department of Defense obligated $27.1 million to DIX CORPORATION for work described as: TD MITER GATE REPLACEMENT CONSTRUCTION Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The firm-fixed-price contract type indicates that the contractor bears the risk of cost overruns. 3. The contract duration of 403 days suggests a moderately complex project. 4. The project falls under 'Other Heavy and Civil Engineering Construction,' a broad category. 5. The award amount of approximately $27.1 million requires careful benchmarking against similar projects.
Value Assessment
Rating: fair
The contract value of $27.1 million for a heavy civil engineering construction project needs to be benchmarked against similar gate replacement or dam infrastructure projects. Without specific details on the scope of work, it's difficult to definitively assess value for money. However, the firm-fixed-price nature of the contract shifts cost risk to the contractor, which can be a positive indicator if the price is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. The presence of 3 bidders (as indicated by 'no': 3) suggests a reasonable level of competition for this project. This competitive environment is generally favorable for price discovery and potentially achieving a more cost-effective outcome for the government.
Taxpayer Impact: A competitive bidding process helps ensure that taxpayer dollars are used efficiently by driving down prices through market forces.
Public Impact
The primary beneficiaries are the Department of the Army and potentially the surrounding infrastructure that relies on the Miter Gate. The service delivered is the construction and replacement of a critical component of heavy civil engineering infrastructure. The geographic impact is localized to the specific Army facility where the Miter Gate is located in Washington. Workforce implications would include construction labor and specialized engineering roles.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if the initial project definition was not sufficiently detailed.
- Risk of delays due to unforeseen site conditions common in heavy construction.
- Ensuring the long-term durability and performance of the replaced gate is crucial.
Positive Signals
- Firm-fixed-price contract mitigates cost overrun risk for the government.
- Full and open competition suggests a potentially competitive price was secured.
- The project addresses critical infrastructure maintenance for the Department of the Army.
Sector Analysis
This contract falls within the heavy and civil engineering construction sector, which is a significant part of the broader construction industry. Projects of this nature often involve substantial capital investment and require specialized engineering and construction expertise. Comparable spending benchmarks would typically be found in other large-scale infrastructure projects, such as dam repairs, bridge construction, or other water control structures.
Small Business Impact
The contract details do not indicate any specific small business set-aside provisions. Given the nature and potential value of the project, it is likely that larger, established construction firms would be the primary bidders. Subcontracting opportunities may exist for specialized services, potentially benefiting small businesses, but this is not explicitly detailed in the provided data.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer's representative (COR) and the relevant Army Corps of Engineers district. Accountability measures are inherent in the firm-fixed-price contract, requiring the contractor to deliver the specified work within the agreed-upon price. Transparency would be facilitated through contract award databases and potentially public reporting on project milestones.
Related Government Programs
- Army Corps of Engineers Construction Projects
- Department of Defense Infrastructure Modernization
- Heavy Civil Engineering Contracts
- Dam and Waterway Infrastructure Maintenance
Risk Flags
- Potential for unforeseen site conditions impacting schedule and cost.
- Risk of contractor performance issues on a large-scale construction project.
- Long-term operational and maintenance costs not fully captured in the initial award.
Tags
construction, heavy-civil-engineering, department-of-defense, department-of-the-army, definitive-contract, firm-fixed-price, full-and-open-competition, infrastructure, washington, large-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $27.1 million to DIX CORPORATION. TD MITER GATE REPLACEMENT CONSTRUCTION
Who is the contractor on this award?
The obligated recipient is DIX CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $27.1 million.
What is the period of performance?
Start: 2010-02-12. End: 2011-03-22.
What specific issues or conditions necessitated the replacement of the Miter Gate?
The provided data does not specify the exact reasons for the Miter Gate replacement. Typically, such replacements are driven by factors like structural degradation, obsolescence of existing components, failure to meet current operational standards, or increased maintenance costs of the aging infrastructure. A thorough inspection and engineering assessment would have preceded the decision to award this contract, identifying the specific deficiencies that required a full replacement rather than repair.
How does the $27.1 million contract value compare to similar Miter Gate replacement projects or heavy civil engineering contracts of comparable scope?
Benchmarking this $27.1 million contract requires access to a database of similar projects, including their scope, location, and specific components replaced. Without such comparative data, a direct assessment of value for money is challenging. However, large-scale civil engineering projects, especially those involving critical infrastructure like water control structures, can easily run into tens of millions of dollars. Factors influencing cost include the size and complexity of the gate, site accessibility, environmental considerations, and the specific engineering requirements for its operation and longevity.
What are the key performance indicators (KPIs) used to measure the success of this construction contract?
Key performance indicators for a construction contract like this typically include adherence to schedule (project completion within the 403-day duration), quality of workmanship (meeting all engineering specifications and standards), safety performance (minimizing accidents and incidents on site), and final cost (ensuring the project is completed within the firm-fixed-price). The successful operation and integration of the new Miter Gate into the existing system would also be a critical measure of success.
What is the track record of Dix Corporation in performing similar heavy civil engineering or large-scale construction projects for the federal government?
The provided data identifies Dix Corporation as the contractor but does not offer details on their past performance or track record with the federal government. A comprehensive assessment would require reviewing their contract history, past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or claims on similar projects. This information is crucial for understanding their capacity and reliability in executing complex construction endeavors.
What are the potential risks associated with the long-term maintenance and operational costs of the new Miter Gate post-replacement?
While the initial replacement contract is firm-fixed-price, the long-term operational and maintenance (O&M) costs are a separate consideration. Risks include the durability of the new gate under continuous use and environmental exposure, the availability of spare parts, the need for specialized maintenance personnel, and potential future upgrades or repairs. The initial design and material selection by Dix Corporation, along with the Army's own maintenance protocols, will significantly influence these future costs.
How does this contract fit into the broader context of Department of the Army infrastructure spending and modernization efforts?
This $27.1 million contract for a Miter Gate replacement represents a specific investment in maintaining and modernizing critical infrastructure. The Department of the Army, like other branches of the military, faces ongoing challenges with aging facilities and infrastructure. Such projects are essential for ensuring operational readiness, safety, and the efficient functioning of military installations. This contract would be one component of a larger, multi-year strategy for infrastructure upkeep and capital investment across the Army's portfolio.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W9127N10R0007
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4024 S GROVE RD, SPOKANE, WA, 99224
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $27,093,773
Exercised Options: $27,093,773
Current Obligation: $27,093,773
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2010-02-12
Current End Date: 2011-03-22
Potential End Date: 2011-03-22 00:00:00
Last Modified: 2020-09-27
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