Army awards $20.3M Inner Harbor Dredging contract to Marinex Construction Inc. in FY14

Contract Overview

Contract Amount: $20,311,917 ($20.3M)

Contractor: Marinex Construction Inc

Awarding Agency: Department of Defense

Start Date: 2014-01-23

End Date: 2015-02-27

Contract Duration: 400 days

Daily Burn Rate: $50.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: FY14 SAVANNAH AND BRUNSWICK INNER HARBOR MAINTENANCE DREDGING

Place of Performance

Location: SAVANNAH, CHATHAM County, GEORGIA, 31401

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $20.3 million to MARINEX CONSTRUCTION INC for work described as: FY14 SAVANNAH AND BRUNSWICK INNER HARBOR MAINTENANCE DREDGING Key points: 1. Contract awarded to a single vendor, Marinex Construction Inc. 2. The contract was awarded under full and open competition. 3. The project falls under 'Other Heavy and Civil Engineering Construction'. 4. The award value is $20,311,916.89. 5. The contract duration was 400 days.

Value Assessment

Rating: fair

The contract value of $20.3M for harbor maintenance dredging appears reasonable given the scope and duration. Benchmarking against similar large-scale dredging projects would provide a more definitive assessment of its value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a fair market price for the dredging services.

Public Impact

Ensures navigability of Savannah and Brunswick harbors for commercial and military vessels. Supports regional economic activity by facilitating trade and transportation. Potential environmental impacts from dredging activities require careful monitoring. Maintenance dredging is crucial for long-term port infrastructure health.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • No small business participation noted.
  • Contract awarded to a single entity, potentially limiting future competition.

Positive Signals

  • Awarded under full and open competition.
  • Clear definition of scope for harbor maintenance.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on maritime infrastructure maintenance. Spending in this sector can fluctuate based on infrastructure needs and federal budget allocations.

Small Business Impact

The data indicates no small business participation in this contract. While not always feasible, exploring opportunities for small business involvement in future similar contracts could be beneficial.

Oversight & Accountability

The award was made by the Department of the Army, part of the Department of Defense. Standard oversight processes for federal contracts would apply, including performance monitoring and financial accountability.

Related Government Programs

  • Other Heavy and Civil Engineering Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • No small business participation.
  • Potential for vendor lock-in if this vendor becomes dominant.
  • Environmental impact of dredging requires ongoing monitoring.
  • Large contract value necessitates thorough oversight.

Tags

other-heavy-and-civil-engineering-constr, department-of-defense, ga, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.3 million to MARINEX CONSTRUCTION INC. FY14 SAVANNAH AND BRUNSWICK INNER HARBOR MAINTENANCE DREDGING

Who is the contractor on this award?

The obligated recipient is MARINEX 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 $20.3 million.

What is the period of performance?

Start: 2014-01-23. End: 2015-02-27.

What was the competitive landscape like for this specific dredging project, and were there any unique factors that might have limited bids?

The contract was awarded under 'full and open competition,' suggesting multiple bids were solicited. However, the specific nature of harbor dredging, requiring specialized equipment and expertise, along with location-specific environmental regulations, could naturally limit the number of qualified bidders. Further analysis of the bidding process and any pre-bid conferences could reveal if unique factors influenced the competitive landscape beyond standard market conditions.

How does the awarded price of $20.3M compare to industry benchmarks for similar inner harbor maintenance dredging projects of comparable scale and complexity?

Without specific benchmark data for similar inner harbor maintenance dredging projects, a precise comparison is difficult. However, $20.3M for a project spanning over a year suggests a significant undertaking. Factors like the volume of material dredged, disposal costs, and specific environmental mitigation requirements heavily influence pricing. A detailed cost breakdown and comparison with publicly available data on similar Army Corps of Engineers dredging contracts would be necessary for a robust benchmark assessment.

What are the long-term implications of awarding this maintenance dredging contract to a single vendor, particularly regarding future contract pricing and vendor availability?

Awarding a contract to a single vendor, even under full and open competition, can sometimes lead to reduced competition in subsequent procurements if that vendor becomes a dominant player or if the project scope is repeatedly bundled. For long-term maintenance, agencies often aim to foster a competitive market. The Department of the Army should consider strategies to ensure continued vendor availability and competitive pricing for future dredging needs in the Savannah and Brunswick harbors.

Industry Classification

NAICS: ConstructionOther Heavy and Civil Engineering ConstructionOther Heavy and Civil Engineering Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912HN13B0004

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2008 CHERRY HILL LANE, CHARLESTON, SC, 29405

Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,311,917

Exercised Options: $20,311,917

Current Obligation: $20,311,917

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2014-01-23

Current End Date: 2015-02-27

Potential End Date: 2015-02-27 00:00:00

Last Modified: 2020-09-28

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