Wolf Creek Dam Project Awarded $114.6M for Spillway Gate Replacement, Facing Potential Delays

Contract Overview

Contract Amount: $114,560,781 ($114.6M)

Contractor: American Bridge Company

Awarding Agency: Department of Defense

Start Date: 2022-09-28

End Date: 2030-02-27

Contract Duration: 2,709 days

Daily Burn Rate: $42.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: WOLF CREEK DAM SPILLWAY GATES & MACHINERY REPLACEMENT PROJECT IN JAMESTOWN, KY.

Place of Performance

Location: JAMESTOWN, RUSSELL County, KENTUCKY, 42629

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $114.6 million to AMERICAN BRIDGE COMPANY for work described as: WOLF CREEK DAM SPILLWAY GATES & MACHINERY REPLACEMENT PROJECT IN JAMESTOWN, KY. Key points: 1. The project's significant cost of $114.6 million highlights the substantial investment required for critical infrastructure. 2. Competition was full and open, suggesting a robust market for heavy civil engineering construction services. 3. Potential risks include project duration and the absence of small business participation. 4. The sector is dominated by large, established construction firms capable of handling complex projects.

Value Assessment

Rating: fair

The contract's firm fixed price structure aims to control costs, but the large value and extended duration present inherent risks. Benchmarking against similar large-scale dam infrastructure projects is necessary to fully assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The $114.6 million price tag represents a significant taxpayer investment in essential infrastructure, with the firm fixed price aiming to cap potential cost overruns.

Public Impact

Ensures the structural integrity and operational capacity of the Wolf Creek Dam's spillway. Supports regional water management and flood control capabilities. Creates construction jobs and stimulates economic activity in Jamestown, Kentucky.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long project duration (2709 days)
  • No small business participation noted
  • Potential for cost overruns despite fixed price

Positive Signals

  • Full and open competition
  • Firm fixed price contract type
  • Critical infrastructure upgrade

Sector Analysis

This project falls within the heavy and civil engineering construction sector, which is characterized by large-scale, complex projects often requiring specialized expertise and significant capital investment. Benchmarks for similar dam infrastructure projects would be in the hundreds of millions.

Small Business Impact

The contract awarded to American Bridge Company does not indicate any specific provisions or set-asides for small businesses. This suggests a lack of small business participation in this large-scale infrastructure project.

Oversight & Accountability

The contract's duration and value warrant close monitoring by the Department of the Army to ensure timely completion and adherence to the fixed price. Regular progress reports and performance reviews are crucial.

Related Government Programs

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

Risk Flags

  • Extended project duration
  • Lack of small business participation
  • Potential for unforeseen site conditions
  • Risk of material price escalation
  • Dependency on a single large contractor

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $114.6 million to AMERICAN BRIDGE COMPANY. WOLF CREEK DAM SPILLWAY GATES & MACHINERY REPLACEMENT PROJECT IN JAMESTOWN, KY.

Who is the contractor on this award?

The obligated recipient is AMERICAN BRIDGE COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $114.6 million.

What is the period of performance?

Start: 2022-09-28. End: 2030-02-27.

What is the historical cost performance of American Bridge Company on similar large-scale civil engineering projects?

Analyzing American Bridge Company's past performance on comparable projects is crucial for assessing the likelihood of this contract meeting its budget and schedule. Past projects with similar scope, complexity, and contract types can reveal patterns in cost management, potential for delays, and overall project success rates, providing valuable insights for future risk assessment.

What are the specific risks associated with the 2709-day duration of this project?

The extended duration of 2709 days for the Wolf Creek Dam project introduces several risks. These include potential for material price escalation beyond the fixed price contingency, increased labor costs, unforeseen site conditions that emerge over time, and the possibility of technological obsolescence in machinery or construction methods by project completion. Regulatory changes or environmental factors could also impact the extended timeline.

How will the effectiveness of the spillway gate and machinery replacement be measured post-completion?

Effectiveness will likely be measured through a combination of performance testing, operational readiness assessments, and long-term monitoring. This includes verifying the gates' ability to operate within specified parameters under various water levels, ensuring the machinery's reliability and efficiency, and confirming the project's contribution to the dam's overall safety and flood control objectives through post-construction evaluations.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912P521R0007

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: American Bridge Holding Company

Address: 1000 AMERICAN BRIDGE WAY, CORAOPOLIS, PA, 15108

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

Financial Breakdown

Contract Ceiling: $114,560,781

Exercised Options: $114,560,781

Current Obligation: $114,560,781

Actual Outlays: $6,972,840

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2022-09-28

Current End Date: 2030-02-27

Potential End Date: 2030-02-27 00:00:00

Last Modified: 2025-10-16

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