Army awards $42.6M contract for auxiliary spillway construction in Oklahoma

Contract Overview

Contract Amount: $42,561,189 ($42.6M)

Contractor: ASI Constructors, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-09-16

End Date: 2014-11-11

Contract Duration: 1,152 days

Daily Burn Rate: $36.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: AUXILIARY SPILLWAY

Place of Performance

Location: CANTON, BLAINE County, OKLAHOMA, 73724

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $42.6 million to ASI CONSTRUCTORS, INC. for work described as: AUXILIARY SPILLWAY Key points: 1. Contract value represents a significant investment in civil engineering infrastructure. 2. Competition dynamics suggest a potentially competitive bidding environment for similar projects. 3. Contract duration of 1152 days indicates a complex, long-term construction undertaking. 4. Fixed-price contract type aims to control costs and provide budget certainty. 5. Project location in Oklahoma highlights regional infrastructure development focus. 6. The nature of the work falls under heavy and civil engineering construction.

Value Assessment

Rating: fair

The contract value of $42.6 million for an auxiliary spillway is substantial. Benchmarking against similar large-scale civil engineering projects would be necessary to fully assess value for money. The firm fixed-price structure suggests an attempt to manage cost overruns, but the final cost relative to initial estimates and market rates for comparable spillway construction is not detailed here. Without more granular data on project scope and specific materials, a definitive value assessment is challenging.

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 bids. The presence of 4 bids suggests a moderate level of competition for this project. While not an exhaustive number, it provides some basis for price discovery and suggests that the selected contractor's price was deemed competitive among the participants.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to lower prices and better quality services. The fact that multiple bids were received suggests that taxpayer funds were likely used efficiently in this instance.

Public Impact

The primary beneficiaries are likely the residents and infrastructure of the region surrounding the auxiliary spillway, ensuring improved water management and flood control. The project delivers critical civil engineering services related to dam safety and water resource management. Geographic impact is localized to Oklahoma, addressing specific regional needs. Workforce implications include employment opportunities for construction workers, engineers, and related trades during the project's duration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns despite fixed-price contract if scope changes significantly.
Construction delays due to unforeseen site conditions or weather.
Ensuring long-term durability and effectiveness of the spillway structure.

Positive Signals

Awarded under full and open competition, suggesting a fair process.
Firm fixed-price contract type provides cost certainty.
Project addresses critical infrastructure needs for water management.

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, a significant segment of the construction industry focused on large-scale public works. This sector includes projects like dams, highways, bridges, and flood control structures. Spending in this area is often driven by government infrastructure initiatives and the need to maintain and upgrade existing public facilities. Comparable spending benchmarks would typically involve analyzing the cost per linear foot or cubic yard of similar spillway or dam construction projects.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting plans for small businesses. The contractor, ASI Constructors, Inc., is likely a larger entity. Further investigation would be needed to determine if small business subcontracting opportunities were pursued or mandated as part of the contract's terms.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and engineering divisions. Accountability measures would be embedded in the contract's terms, including performance standards, payment schedules tied to milestones, and potential penalties for non-compliance. Transparency is generally facilitated through contract award databases, though detailed project progress reports may not always be publicly accessible.

Related Government Programs

Army Corps of Engineers Civil Works Programs
Federal Dam Safety and Infrastructure Projects
Oklahoma Water Resource Management Initiatives
Heavy Civil Engineering Construction Contracts

Risk Flags

Potential for cost overruns
Construction delays
Long-term structural integrity concerns

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $42.6 million to ASI CONSTRUCTORS, INC.. AUXILIARY SPILLWAY

Who is the contractor on this award?

The obligated recipient is ASI CONSTRUCTORS, 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 $42.6 million.

What is the period of performance?

Start: 2011-09-16. End: 2014-11-11.

What is the track record of ASI Constructors, Inc. on similar federal projects?

ASI Constructors, Inc. has a history of engaging in large-scale civil engineering and construction projects, often involving water infrastructure. While specific details on their performance on past federal contracts require deeper database analysis, their involvement in projects of this magnitude suggests experience in managing complex construction undertakings. A review of their past performance ratings, any documented disputes or claims, and the successful completion of similar federal projects would provide a clearer picture of their reliability and expertise. Examining their financial stability and capacity to handle a project of this scale is also crucial for assessing their track record.

How does the awarded amount compare to the estimated cost or market rates for similar auxiliary spillway projects?

The awarded amount of $42.6 million for an auxiliary spillway is a significant figure. To benchmark its value, one would need to compare it against the estimated costs provided during the bidding process, the bids received from other competitors, and the market rates for similar projects in the region or nationally. Factors such as project complexity, site conditions, material costs, and specific design requirements heavily influence these costs. Without access to the detailed cost breakdown, engineering estimates, and a database of comparable projects with their respective costs, it is difficult to definitively state whether this award represents excellent, fair, or questionable value for money.

What are the primary risks associated with a project of this nature and duration?

Projects involving the construction of large civil engineering structures like auxiliary spillways carry inherent risks. Key risks include unforeseen geological or hydrological conditions at the construction site, which can lead to delays and cost increases. Weather-related disruptions are also a significant concern, especially over a multi-year construction period. Material cost fluctuations, labor availability and cost, and potential design changes or scope creep can further impact the project's budget and timeline. Ensuring compliance with environmental regulations and obtaining necessary permits can also present challenges. Finally, the long-term performance and durability of the completed structure require rigorous quality control and adherence to engineering standards.

What is the expected effectiveness of this auxiliary spillway in improving water management?

The effectiveness of the auxiliary spillway hinges on its design, construction quality, and integration with the existing water management system. Auxiliary spillways are typically designed to safely release excess water from a reservoir or impoundment during high-flow events, thereby preventing overtopping of the main dam structure and mitigating downstream flood risks. Its success will be measured by its ability to perform as intended during flood conditions, ensuring the structural integrity of the dam and protecting downstream communities and infrastructure. The specific capacity and operational parameters of this spillway, as defined in its engineering plans, will determine the extent of its contribution to improved water management and flood control in the affected area.

What has been the historical spending trend for auxiliary spillway construction by the Department of the Army?

Analyzing historical spending trends for auxiliary spillway construction by the Department of the Army requires access to comprehensive historical contract data. This would involve querying databases for contracts categorized under civil works, dam construction, and flood control over several fiscal years. Trends might reveal cyclical spending patterns influenced by infrastructure funding appropriations, major weather events necessitating upgrades, or shifts in national water resource management priorities. Understanding these patterns can help contextualize the $42.6 million award, indicating whether it represents a typical investment, an increase, or a decrease in spending for such projects compared to historical norms.

Were there any specific performance issues or concerns raised during the contract's execution?

Information regarding specific performance issues or concerns during the execution of this contract (2011-2014) is not readily available in the provided summary data. Typically, such details would be found in contract performance reports, inspection records, or official communications between the contracting agency and the contractor. If performance issues arose, they might have led to contract modifications, claims, or even termination, depending on their severity. A thorough review of the contract's official file and any associated Inspector General reports would be necessary to ascertain if any significant performance problems were encountered and how they were addressed.

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: W912BV11R0008

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1850 E PLATTEVILLE BLVD, PUEBLO WEST, CO, 81007

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

Financial Breakdown

Contract Ceiling: $42,561,189

Exercised Options: $42,561,189

Current Obligation: $42,561,189

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline