Army Awards $310M Chickamauga Lock Contract to Shimmick Construction

Contract Overview

Contract Amount: $309,878,150 ($309.9M)

Contractor: Shimmick Construction Company, Inc.

Awarding Agency: Department of Defense

Start Date: 2017-09-28

End Date: 2026-01-27

Contract Duration: 3,043 days

Daily Burn Rate: $101.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF CHICKAMAUGA LOCK CHAMBER - BASE CONTRACT

Place of Performance

Location: CHATTANOOGA, HAMILTON County, TENNESSEE, 37406

State: Tennessee Government Spending

Plain-Language Summary

Department of Defense obligated $309.9 million to SHIMMICK CONSTRUCTION COMPANY, INC. for work described as: IGF::OT::IGF CHICKAMAUGA LOCK CHAMBER - BASE CONTRACT Key points: 1. The contract is for the Chickamauga Lock Chamber replacement project. 2. Shimmick Construction Company, Inc. is the prime contractor. 3. The project falls under 'Other Heavy and Civil Engineering Construction'. 4. The contract type is Firm Fixed Price, indicating price certainty.

Value Assessment

Rating: good

The contract value of $309.9 million appears reasonable for a large-scale civil engineering project of this nature. Benchmarking against similar lock and dam construction projects would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for this significant infrastructure project.

Public Impact

Replaces aging infrastructure critical for inland waterway transportation. Supports economic activity by facilitating efficient movement of goods. Project completion will enhance navigation safety and capacity. Potential for job creation in the region during construction.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns in large civil engineering projects.
  • Schedule delays are common in complex construction endeavors.
  • Environmental impact considerations during construction.

Positive Signals

  • Firm Fixed Price contract provides cost certainty.
  • Awarded through full and open competition.
  • Project addresses critical infrastructure needs.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically related to infrastructure development. Spending in this sector is often driven by government investment in transportation and public works.

Small Business Impact

The data indicates the prime contractor is Shimmick Construction Company, Inc., and there is no explicit mention of small business participation in the provided details. Further investigation into subcontracting opportunities would be needed.

Oversight & Accountability

The contract is managed by the Department of the Army. Oversight would typically involve monitoring progress, quality, and adherence to contract terms to ensure successful project completion and responsible use of funds.

Related Government Programs

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

Risk Flags

  • Potential for schedule delays.
  • Risk of cost overruns in complex construction.
  • Environmental compliance challenges.
  • Dependency on a single prime contractor.

Tags

other-heavy-and-civil-engineering-constr, department-of-defense, tn, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $309.9 million to SHIMMICK CONSTRUCTION COMPANY, INC.. IGF::OT::IGF CHICKAMAUGA LOCK CHAMBER - BASE CONTRACT

Who is the contractor on this award?

The obligated recipient is SHIMMICK CONSTRUCTION COMPANY, 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 $309.9 million.

What is the period of performance?

Start: 2017-09-28. End: 2026-01-27.

What is the historical cost performance of Shimmick Construction Company, Inc. on similar large-scale civil engineering projects?

Analyzing Shimmick Construction's past performance on comparable projects is crucial for assessing potential risks and value. Reviewing their track record regarding budget adherence, schedule management, and quality of work on previous large civil engineering contracts will provide insights into their capability to deliver the Chickamauga Lock project successfully and within the allocated funds.

Are there any identified environmental risks associated with the Chickamauga Lock replacement, and how are they being mitigated?

Large civil engineering projects, especially those involving waterways, often present environmental challenges such as habitat disruption, water quality impacts, and waste management. Understanding the specific environmental risks identified for the Chickamauga Lock site and the mitigation strategies outlined in the contract or environmental impact statements is essential for assessing potential delays, additional costs, and long-term sustainability.

How does the awarded price compare to independent cost estimates for similar lock replacement projects?

Comparing the awarded contract price of $309.9 million to independent cost estimates for comparable lock replacement projects is vital for evaluating value for money. This analysis helps determine if the government secured a competitive price and avoided potential overpayment. Benchmarking against similar projects provides a quantitative measure of the contract's financial effectiveness.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912P517B0001

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Shimmick Construction Company Inc.

Address: 8201 EDGEWATER DR STE 202, OAKLAND, CA, 94621

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

Financial Breakdown

Contract Ceiling: $309,878,150

Exercised Options: $309,878,150

Current Obligation: $309,878,150

Actual Outlays: $80,321,049

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2017-09-28

Current End Date: 2026-01-27

Potential End Date: 2026-01-27 00:00:00

Last Modified: 2025-11-26

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