DoD Awards $14M for Water/Sewer Construction to A Epstein & Sons International Inc

Contract Overview

Contract Amount: $13,998,682 ($14.0M)

Contractor: A Epstein & Sons International Inc

Awarding Agency: Department of Defense

Start Date: 2005-01-21

End Date: 2019-10-28

Contract Duration: 5,393 days

Daily Burn Rate: $2.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Plain-Language Summary

Department of Defense obligated $14.0 million to A EPSTEIN & SONS INTERNATIONAL INC for work described as: Key points: 1. Contract awarded for water and sewer line construction. 2. Full and open competition was utilized. 3. The contract duration is over 14 years. 4. The award value is approximately $14 million.

Value Assessment

Rating: fair

The contract value of $14 million over a 14-year period suggests a moderate annual spend. Without specific project details or comparable contract data, a precise pricing assessment is difficult. However, the duration implies a need for long-term infrastructure maintenance or development.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to compete. This method generally promotes competitive pricing and allows the government to select the most advantageous offer.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment for contract awards.

Public Impact

Infrastructure development and maintenance for the Department of the Army. Potential for long-term employment opportunities in the construction sector. Ensures critical water and sewer systems are maintained or upgraded.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (over 14 years) may lead to cost overruns or scope creep.
Lack of specific performance metrics or detailed project scope makes it hard to assess value.
Potential for contractor performance issues over an extended period.

Positive Signals

Awarded through full and open competition, suggesting a fair process.
Firm Fixed Price contract type helps control costs.
Long duration indicates a sustained need for these services.

Sector Analysis

This contract falls within the Construction sector, specifically related to heavy civil construction for utilities. Spending benchmarks for similar water and sewer infrastructure projects can vary significantly based on location, scale, and specific requirements.

Small Business Impact

The data indicates that this contract was not awarded to small businesses (sb: false). Therefore, there is no direct benefit to small businesses from this specific award, though they may participate as subcontractors.

Oversight & Accountability

Oversight would typically involve regular progress reviews, performance evaluations, and financial audits by the Department of Defense to ensure contract compliance and effective use of funds over the long duration.

Related Government Programs

Water and Sewer Line and Related Structures Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Long contract duration
Lack of detailed project scope
No small business set-aside
Potential for cost overruns due to inflation/unforeseen conditions

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.0 million to A EPSTEIN & SONS INTERNATIONAL INC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is A EPSTEIN & SONS INTERNATIONAL 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 $14.0 million.

What is the period of performance?

Start: 2005-01-21. End: 2019-10-28.

What is the estimated annual cost of this contract, and how does it compare to similar projects?

With a total award of $14 million over approximately 5393 days (about 14.7 years), the estimated annual cost is roughly $952,000. Comparing this to similar projects requires detailed knowledge of the specific scope of work, location, and prevailing market rates for water and sewer construction, which are not provided here.

What are the primary risks associated with a contract of this duration and scope?

Key risks include potential cost escalation due to inflation or unforeseen site conditions over the 14+ year period, contractor performance degradation, changes in technology or regulatory requirements impacting the project, and the difficulty in maintaining consistent oversight and accountability across such a long timeframe.

How effectively does a firm-fixed-price contract manage risk for long-term infrastructure projects like this?

A firm-fixed-price contract is generally effective in controlling costs for the government, as the price is set upfront. However, for long-term projects, it can shift significant risk to the contractor, potentially leading to higher initial bids to account for uncertainties or disputes if unforeseen issues arise that necessitate contract modifications.

Industry Classification

NAICS: Construction › Utility System Construction › Water and Sewer Line and Related Structures Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 600 W FULTON ST, CHICAGO, IL, 60661

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $200,000

Exercised Options: $200,000

Current Obligation: $13,998,682

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline