Army awards $14.9M contract for Mud Mountain Dam facility upgrades, with 4 bids received

Contract Overview

Contract Amount: $14,915,059 ($14.9M)

Contractor: Glen/Mar Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-01-03

End Date: 2025-12-16

Contract Duration: 347 days

Daily Burn Rate: $43.0K/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: MUD MOUNTAIN DAM LOWER CASCADE CREEK WATER CONTROL FACILITY

Place of Performance

Location: ENUMCLAW, KING County, WASHINGTON, 98022

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $14.9 million to GLEN/MAR CONSTRUCTION, INC. for work described as: MUD MOUNTAIN DAM LOWER CASCADE CREEK WATER CONTROL FACILITY Key points: 1. Contract value appears reasonable given the scope of heavy civil engineering construction. 2. Full and open competition suggests a healthy market for this type of work. 3. Fixed-price contract type shifts risk to the contractor, potentially impacting cost certainty. 4. Project duration of approximately one year is typical for facility upgrades. 5. Geographic location in Washington state may influence labor and material costs. 6. The award to Glen/Mar Construction, Inc. warrants review of their past performance.

Value Assessment

Rating: good

The contract value of $14.9 million for the Mud Mountain Dam facility upgrades seems within a reasonable range for heavy civil engineering construction projects of this nature. Benchmarking against similar Army Corps of Engineers projects for dam maintenance and repair would provide a more precise value-for-money assessment. The firm fixed-price contract type indicates that the government has secured a defined cost, with the contractor assuming the risk of cost overruns. This structure, while beneficial for budget predictability, relies on accurate initial cost estimation by the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition after exclusion of sources,' indicating that the solicitation was broadly advertised, and multiple bids were considered. With four bids received, the competition level suggests a moderately active market for this specialized construction service. The presence of multiple bidders generally promotes price discovery and can lead to more competitive pricing for the government. However, the specific nature of dam construction may limit the pool of qualified bidders.

Taxpayer Impact: The competitive bidding process for this contract is beneficial for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition award. The four bids received suggest that taxpayer funds are being used efficiently by leveraging market forces.

Public Impact

The primary beneficiaries are the U.S. Army Corps of Engineers and the public relying on the dam's flood control functions. The contract will deliver critical upgrades to the Mud Mountain Dam's water control facility. The project's geographic impact is localized to the area surrounding the Mud Mountain Dam in Washington state. Workforce implications include employment opportunities for skilled construction labor in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the fixed-price contract did not adequately account for unforeseen site conditions.
Risk of schedule delays impacting the dam's operational readiness if the contractor faces challenges.
Dependence on the contractor's technical expertise and capacity to execute complex civil engineering tasks.
Limited visibility into the contractor's internal cost structure due to the fixed-price nature of the award.

Positive Signals

The firm fixed-price contract structure transfers cost overrun risk to the contractor.
Full and open competition suggests a robust market and potential for competitive pricing.
The Army Corps of Engineers likely has established procedures for overseeing such construction projects.
The project addresses critical infrastructure needs for flood control, enhancing public safety.

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, specifically focusing on water control facilities. This sector is characterized by large-scale projects requiring specialized engineering expertise, significant capital investment, and adherence to stringent safety and environmental regulations. The market size for such specialized dam and water control infrastructure projects is substantial, driven by ongoing maintenance, upgrades, and new construction needs for federal and state agencies. Comparable spending benchmarks would involve analyzing other Army Corps of Engineers contracts for similar dam infrastructure repairs and upgrades across the nation.

Small Business Impact

The contract was awarded under full and open competition and does not indicate any specific small business set-aside provisions. The prime contractor, Glen/Mar Construction, Inc., is not explicitly identified as a small business in the provided data. There is no information regarding subcontracting plans or their impact on the small business ecosystem. Future analysis could explore whether the prime contractor intends to utilize small business subcontractors.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Army Corps of Engineers, which has established project management and quality assurance protocols for construction projects. Accountability measures are embedded in the firm fixed-price contract terms, requiring the contractor to deliver the specified work within the agreed-upon cost. Transparency is generally maintained through contract award databases and public reporting, although detailed project execution specifics may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Army Corps of Engineers Civil Works Programs
Dam Safety and Infrastructure Modernization
Flood Control Projects
Water Resource Management Contracts

Risk Flags

Potential for cost overruns due to fixed-price contract type.
Risk of schedule delays impacting critical infrastructure.
Contractor's past performance needs verification.
Market competitiveness may be limited by specialization.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.9 million to GLEN/MAR CONSTRUCTION, INC.. MUD MOUNTAIN DAM LOWER CASCADE CREEK WATER CONTROL FACILITY

Who is the contractor on this award?

The obligated recipient is GLEN/MAR CONSTRUCTION, 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 $14.9 million.

What is the period of performance?

Start: 2025-01-03. End: 2025-12-16.

What is the track record of Glen/Mar Construction, Inc. on similar federal contracts, particularly with the Army Corps of Engineers?

A review of federal contract databases (e.g., FPDS, SAM.gov) would be necessary to assess Glen/Mar Construction, Inc.'s past performance. Specifically, one would look for previous awards for heavy civil engineering construction, dam maintenance, or water control facility upgrades. Analyzing their performance history, including any past performance evaluations, contract modifications, or disputes, would provide insight into their reliability and capability. Understanding their experience with the Army Corps of Engineers is crucial, as agency-specific requirements and procedures can vary. A strong track record with similar projects and agencies would increase confidence in their ability to successfully execute the Mud Mountain Dam contract.

How does the awarded price of $14.9 million compare to similar dam infrastructure upgrade contracts awarded by the Army Corps of Engineers in the last three years?

To benchmark the value, one would need to identify comparable Army Corps of Engineers contracts for dam upgrades or water control facility construction awarded within the past three years. Key comparison factors would include project scope, complexity, geographic location (to account for regional cost differences), and contract type. Analyzing the price per square foot, per linear foot of structure, or as a percentage of estimated project cost (if available) for these comparable contracts would provide a basis for comparison. If the $14.9 million award appears significantly higher or lower than similar projects, it would warrant further investigation into the specific technical requirements, site conditions, or market dynamics influencing this particular contract's pricing.

What are the primary risks associated with the firm fixed-price contract type for this specific project, and how are they mitigated?

The primary risk of a firm fixed-price (FFP) contract is that the contractor may cut corners on quality or scope to maintain profitability if their initial cost estimates were too low or if unforeseen issues arise. For a complex project like dam upgrades, potential risks include discovering unexpected subsurface conditions, material price escalations beyond the contractor's control, or design ambiguities. Mitigation strategies typically involve robust contract language defining clear performance standards and specifications, thorough pre-bid site investigations, and strong government oversight during construction to ensure quality and adherence to the SOW. The Army Corps of Engineers likely has established procedures for quality assurance and progress monitoring to identify and address potential issues early.

What is the historical spending trend for Mud Mountain Dam maintenance and upgrades, and how does this $14.9 million award fit within that pattern?

Analyzing historical spending data for the Mud Mountain Dam, specifically for maintenance, repair, and minor construction activities over the past 5-10 years, would be necessary. This would involve reviewing previous contract awards related to the dam's operations and infrastructure. The $14.9 million award should be compared to the typical annual or periodic investment in the facility. If this award represents a significant one-time capital investment for major upgrades, it would be viewed differently than a routine annual maintenance expenditure. Understanding the historical funding patterns can help assess whether this contract represents a necessary investment in aging infrastructure or an anomaly in spending.

Given the 'full and open competition after exclusion of sources' award type, what does the number of bidders (4) suggest about the market competitiveness for this specialized construction service?

The 'full and open competition after exclusion of sources' designation, coupled with four bids, suggests a moderately competitive market for this specialized heavy civil engineering construction service. While four bidders indicate that the opportunity was broadly advertised and attracted multiple interested parties, it may not represent the highest level of competition achievable. The exclusion of sources clause implies that certain potential bidders were intentionally not solicited, which could limit the overall pool. For highly specialized services, four bidders can be considered a reasonable number, indicating that the market is not overly concentrated, but it also suggests that the pool of qualified contractors might be somewhat limited, potentially impacting the aggressiveness of the pricing.

Industry Classification

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

Solicitation ID: W912DW25B0003

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 15800 SE 135TH AVE, CLACKAMAS, OR, 97015

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $14,915,059

Exercised Options: $14,915,059

Current Obligation: $14,915,059

Actual Outlays: $2,750,678

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline