Army awards $12M contract for dredging services, highlighting need for specialized marine construction

Contract Overview

Contract Amount: $12,008,311 ($12.0M)

Contractor: Dmyles Inc.

Awarding Agency: Department of Defense

Start Date: 2025-03-17

End Date: 2025-12-07

Contract Duration: 265 days

Daily Burn Rate: $45.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CLEVELAND DREDGE

Place of Performance

Location: CLEVELAND, CUYAHOGA County, OHIO, 44101

State: Ohio Government Spending

Plain-Language Summary

Department of Defense obligated $12.0 million to DMYLES INC. for work described as: CLEVELAND DREDGE Key points: 1. Contract value appears reasonable given the specialized nature of marine construction and dredging. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration of 265 days is standard for this type of project. 4. The fixed-price contract type shifts risk to the contractor. 5. This award falls within the broader category of heavy civil engineering construction.

Value Assessment

Rating: good

The contract value of $12,008,310.98 for dredging services is difficult to benchmark precisely without more specific project details. However, considering the specialized equipment and expertise required for marine construction, the price appears within a reasonable range for a project of this scope. The firm fixed-price structure indicates that the contractor assumes the risk of cost overruns, which is generally favorable for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, certain sources were excluded for specific reasons, potentially related to specialized capabilities or prior performance. The presence of 2 bidders suggests a moderate level of competition, which is generally sufficient to ensure fair pricing.

Taxpayer Impact: The use of full and open competition, even with exclusions, aims to secure competitive pricing for taxpayers. A moderate number of bidders helps prevent price gouging and ensures the government receives value for its investment.

Public Impact

This contract will ensure the maintenance and operational capacity of waterways managed by the Department of the Army. The services provided will support national defense infrastructure and logistical capabilities. The geographic impact is concentrated in Ohio, where the dredging activities will take place. The contract supports specialized labor within the marine construction and engineering sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep if initial dredging requirements are underestimated.
  • Dependence on specialized dredging equipment which may have limited availability.
  • Environmental compliance challenges in sensitive aquatic ecosystems.

Positive Signals

  • Firm fixed-price contract limits cost uncertainty for the government.
  • Contractor has experience in heavy civil engineering construction.
  • Competition, even if limited, provides a basis for price validation.

Sector Analysis

This contract falls under the Heavy and Civil Engineering Construction sector, specifically related to marine infrastructure. This sector is critical for national infrastructure, including ports, waterways, and flood control. Spending in this area is often driven by maintenance needs, new construction projects, and national security requirements. Comparable spending benchmarks would typically involve other large-scale dredging, port development, or waterway maintenance contracts.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, the primary impact on small businesses would be through potential subcontracting opportunities if the prime contractor, DMYLES INC., chooses to engage them. Without specific subcontracting plans, the direct benefit to the small business ecosystem from this particular award is uncertain.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. As a definitive contract awarded by the Department of the Army, it falls under the purview of the Army's contracting command and potentially the Department of Defense Inspector General for audits and investigations. Transparency is maintained through contract databases like FPDS. The firm fixed-price nature of the contract simplifies some oversight aspects by fixing the total cost.

Related Government Programs

  • Army Corps of Engineers Civil Works Programs
  • Port and Waterway Infrastructure Projects
  • Marine Construction Services
  • Environmental Dredging Contracts

Risk Flags

  • Potential for limited competition due to source exclusions.
  • Environmental compliance risks inherent in dredging operations.
  • Dependence on specialized contractor capabilities.

Tags

construction, department-of-defense, department-of-the-army, ohio, definitive-contract, firm-fixed-price, heavy-civil-engineering, dredging, limited-competition, marine-construction

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.0 million to DMYLES INC.. CLEVELAND DREDGE

Who is the contractor on this award?

The obligated recipient is DMYLES 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 $12.0 million.

What is the period of performance?

Start: 2025-03-17. End: 2025-12-07.

What is the specific geographic location and scope of the dredging work to be performed under this contract?

The contract specifies the state of Ohio (ST: OH, SN: OHIO) as the location for the dredging activities. However, the precise geographic scope, such as the specific waterway, port, or channel requiring dredging, is not detailed in the provided data. The National Item Identification Number (NAICS) 237990, 'Other Heavy and Civil Engineering Construction,' and the Product Service Code (PSC) are general, indicating the type of work but not the exact site. Further details would be found in the contract's statement of work.

What is the track record of DMYLES INC. with federal contracts, particularly in dredging or similar heavy civil engineering projects?

The provided data indicates DMYLES INC. is the contractor (CO: DMYLES INC.) for this $12M Army contract. To assess their track record, one would need to consult federal procurement databases (like FPDS or SAM.gov) to review their past performance on other federal contracts. This would include examining the types of services they've provided, their performance ratings, any past disputes or terminations, and their history with similar project scopes and values. Without this external data, their specific track record remains unknown from the given snippet.

How does the $12,008,310.98 contract value compare to historical spending on similar dredging projects by the Department of the Army?

Benchmarking this $12M contract requires comparing it to historical data for similar dredging projects undertaken by the Department of the Army or other federal agencies. Factors influencing cost include project duration (265 days), complexity, environmental considerations, and specific location. A comprehensive analysis would involve querying databases for contracts with similar NAICS codes (237990) and PSCs, filtering by agency and project type, and analyzing the average contract values over recent fiscal years. This $12M award appears to be a significant but not unprecedented investment for specialized marine construction.

What are the key performance indicators (KPIs) or deliverables expected under this contract, and how will they be measured?

The provided data does not specify the key performance indicators (KPIs) or detailed deliverables for this dredging contract. Typically, such contracts would outline specific metrics related to the volume of material dredged, the depth and width of channels achieved, disposal methods, environmental compliance, and project completion timelines. Performance measurement would likely involve regular progress reports, site inspections by government representatives, and final acceptance testing to ensure the work meets the contract's technical specifications and quality standards.

What is the potential risk associated with the 'Full and Open Competition After Exclusion of Sources' award type?

The 'Full and Open Competition After Exclusion of Sources' award type suggests that while the competition was intended to be broad, specific sources were deliberately excluded. This exclusion could be based on factors like unique capabilities, proprietary technology, or prior performance issues. The risk lies in whether these exclusions unnecessarily limited the competitive pool, potentially leading to higher prices or reduced innovation compared to unrestricted full and open competition. However, it can also be a valid approach if specific expertise is required that only a limited number of contractors possess.

Industry Classification

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

Product/Service Code: ARCHITECT/ENGINEER SERVICESARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: W912P425BA011

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1901 CONNECTICUT AVE, NIAGARA FALLS, NY, 14305

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $12,008,311

Exercised Options: $12,008,311

Current Obligation: $12,008,311

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2025-03-17

Current End Date: 2025-12-07

Potential End Date: 2025-12-07 00:00:00

Last Modified: 2025-12-05

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending