DoD Awards $13M for Bridge and Roadway Replacement in Iowa

Contract Overview

Contract Amount: $13,076,981 ($13.1M)

Contractor: Ahtna-Swcp JV

Awarding Agency: Department of Defense

Start Date: 2025-10-08

End Date: 2027-03-29

Contract Duration: 537 days

Daily Burn Rate: $24.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO REPLACE AN EXISTING 120-FOOT BRIDGE, REPLACE 8 MILES OF EXISTING ROADWAYS WITH ASPHALT AND CONCRETE. REPLACE TWO GRAVEL PARKING LOTS WITH SOLID SURFACE ASPHALT. PRC - W59XQG52530799

Place of Performance

Location: MIDDLETOWN, DES MOINES County, IOWA, 52638

State: Iowa Government Spending

Plain-Language Summary

Department of Defense obligated $13.1 million to AHTNA-SWCP JV for work described as: THE PURPOSE OF THIS TASK ORDER IS TO REPLACE AN EXISTING 120-FOOT BRIDGE, REPLACE 8 MILES OF EXISTING ROADWAYS WITH ASPHALT AND CONCRETE. REPLACE TWO GRAVEL PARKING LOTS WITH SOLID SURFACE ASPHALT. PRC - W59XQG52530799 Key points: 1. Significant infrastructure investment in highway, street, and bridge construction. 2. Competition method indicates a deliberate decision to exclude specific sources. 3. Risk of cost overruns or delays due to complex construction scope. 4. Sector focus on critical transportation infrastructure.

Value Assessment

Rating: fair

The contract value of $13.1M for replacing a 120-foot bridge and 8 miles of roadway appears within a reasonable range for such infrastructure projects. However, without specific benchmarks for the complexity and materials involved, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method suggests a limited competition, potentially impacting price discovery. While competition existed, the exclusion of certain sources might have restricted the pool of bidders, possibly leading to a less competitive price.

Taxpayer Impact: Taxpayer funds are being used for essential infrastructure upgrades. The effectiveness of the competition method in securing the best value for taxpayers is a key consideration.

Public Impact

Improved transportation infrastructure for the region. Potential for job creation during the construction period. Modernized roadways and parking facilities enhancing usability. Ensures continued access and safety for the public.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may impact final cost.
Construction projects are susceptible to unforeseen delays and cost increases.
Scope includes multiple distinct construction elements.

Positive Signals

Addresses critical infrastructure needs.
Clear project timeline provided.
Firm fixed price contract offers cost certainty.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a critical component of the nation's infrastructure. Spending in this area is often driven by maintenance needs, upgrades, and new development projects, with significant federal investment.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of Defense, specifically the Department of the Army, is overseeing this task order. Standard procurement and oversight processes should be in place, but the limited competition aspect warrants attention to ensure accountability.

Related Government Programs

Highway, Street, and Bridge Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Limited competition raises concerns about optimal pricing.
Construction projects inherently carry risks of delays and cost overruns.
Complexity of replacing both a bridge and extensive roadways.
Potential for unforeseen site conditions impacting scope and cost.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.1 million to AHTNA-SWCP JV. THE PURPOSE OF THIS TASK ORDER IS TO REPLACE AN EXISTING 120-FOOT BRIDGE, REPLACE 8 MILES OF EXISTING ROADWAYS WITH ASPHALT AND CONCRETE. REPLACE TWO GRAVEL PARKING LOTS WITH SOLID SURFACE ASPHALT. PRC - W59XQG52530799

Who is the contractor on this award?

The obligated recipient is AHTNA-SWCP JV.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $13.1 million.

What is the period of performance?

Start: 2025-10-08. End: 2027-03-29.

What specific criteria led to the exclusion of sources in this 'full and open competition after exclusion of sources' procurement, and how did this impact the final price?

The exclusion of sources typically occurs when specific technical capabilities, past performance, or unique requirements are necessary, and only a limited number of contractors can meet them. This can reduce competition, potentially leading to higher prices than a truly open competition. Understanding the justification for exclusion is key to assessing if the price achieved was reasonable under the circumstances.

What are the primary risks associated with the 537-day duration of this project, and what mitigation strategies are in place?

The primary risks include potential weather delays, material shortages, unforeseen site conditions, and labor issues, all of which could extend the project timeline and increase costs. Mitigation strategies likely involve detailed project planning, contingency budgeting, robust contract management, and proactive communication with the contractor to address issues promptly.

How does the firm fixed price contract structure benefit taxpayers given the potential complexities of bridge and roadway construction?

A firm fixed price contract shifts most of the risk to the contractor, providing taxpayers with greater cost certainty. While it may result in a slightly higher initial bid to account for contractor risk, it protects against cost overruns due to contractor inefficiencies or unforeseen issues, making the final expenditure more predictable.

Industry Classification

NAICS: Construction › Highway, Street, and Bridge Construction › Highway, Street, and Bridge 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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3200 EL CAMINO REAL STE 240, IRVINE, CA, 92602

Business Categories: Alaskan Native Corporation Owned Firm, American Indian Owned Business, Category Business, Government, Native American Tribal Government, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $28,576,768

Exercised Options: $13,076,981

Current Obligation: $13,076,981

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9128F23D0011

IDV Type: IDC

Timeline