DoD awards $29.1M contract for Humboldt Bay jetty repairs, highlighting civil engineering construction needs

Contract Overview

Contract Amount: $29,124,443 ($29.1M)

Contractor: S.E.A. Construction LLC

Awarding Agency: Department of Defense

Start Date: 2020-04-22

End Date: 2023-07-31

Contract Duration: 1,195 days

Daily Burn Rate: $24.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS CONTRACT WILL REPAIR DAMAGED AREAS ON THE HUMBOLDT NORTH AND SOUTH JETTIES. THE JETTIES ARE LOCATED NEAR THE ENTRANCE TO HUMBOLDT BAY NEAR EUREKA, CALIFORNIA.

Place of Performance

Location: SAN FRANCISCO, SAN FRANCISCO County, CALIFORNIA, 94102

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $29.1 million to S.E.A. CONSTRUCTION LLC for work described as: THIS CONTRACT WILL REPAIR DAMAGED AREAS ON THE HUMBOLDT NORTH AND SOUTH JETTIES. THE JETTIES ARE LOCATED NEAR THE ENTRANCE TO HUMBOLDT BAY NEAR EUREKA, CALIFORNIA. Key points: 1. Contract addresses critical infrastructure maintenance for naval access. 2. S.E.A. Construction LLC secured the award through full and open competition. 3. The project spans over three years, indicating a significant scope of work. 4. Fixed-price contract type suggests predictable cost outcomes for the government. 5. Geographic focus on California's Humboldt Bay points to regional economic impact. 6. The contract falls under heavy and civil engineering construction, a vital sector.

Value Assessment

Rating: good

The contract value of $29.1 million for jetty repairs appears reasonable given the scope and duration. Benchmarking against similar large-scale civil engineering projects would provide a more precise value-for-money assessment. The firm fixed-price structure helps mitigate cost overrun risks for the government. The award to S.E.A. Construction LLC, a single entity, suggests a competitive bidding process that likely drove a fair price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 6 bidders (implied by 'no': 6) suggests a healthy level of competition for this significant civil engineering project. This competitive environment is expected to lead to a more favorable price for the government compared to sole-source or limited competition awards.

Taxpayer Impact: The full and open competition ensures that taxpayer dollars are used efficiently by leveraging market forces to achieve the best possible price for essential infrastructure repairs.

Public Impact

The primary beneficiaries are the U.S. Navy and Coast Guard, ensuring continued safe access to Humboldt Bay. Services delivered include the repair of damaged areas on the Humboldt North and South Jetties. The geographic impact is concentrated in Eureka, California, supporting local economic activity. The project likely involves a significant workforce of skilled construction laborers and engineers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for schedule delays given the multi-year duration and complexity of marine construction.
Environmental compliance during repair activities needs careful monitoring to prevent ecological disruption.
Long-term durability of repairs will be crucial for sustained effectiveness.

Positive Signals

Firm fixed-price contract provides cost certainty.
Full and open competition likely resulted in a competitive price.
Focus on critical infrastructure maintenance ensures operational readiness.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on coastal infrastructure. This sector is critical for national security, trade, and environmental protection. The market for such specialized construction services is often characterized by a limited number of highly qualified firms capable of undertaking large-scale, complex projects. The $29.1 million award is substantial and reflects the significant investment required for maintaining vital maritime assets like jetties.

Small Business Impact

While the contract was awarded under full and open competition and does not indicate a specific small business set-aside, the prime contractor, S.E.A. Construction LLC, may engage small businesses for subcontracting opportunities. The nature of heavy civil engineering often requires specialized equipment and expertise, which could limit the scope available for smaller firms. Further analysis of subcontracting plans would be needed to assess the direct impact on the small business ecosystem.

Oversight & Accountability

The Department of Defense, through the Department of the Army, is responsible for overseeing this contract. Oversight mechanisms likely include regular progress reports, site inspections, and quality assurance checks to ensure compliance with contract terms and specifications. Transparency is generally maintained through contract award databases, though specific details of ongoing oversight may not be publicly disclosed. The Inspector General's office may conduct audits or investigations if any irregularities are suspected.

Related Government Programs

Coastal Infrastructure Projects
Army Corps of Engineers Civil Works
Port and Harbor Maintenance
Federal Infrastructure Investment

Risk Flags

Potential for cost overruns if unforeseen conditions arise.
Risk of environmental non-compliance during construction.
Dependency on specialized contractor expertise.
Vulnerability to weather-related delays in marine construction.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $29.1 million to S.E.A. CONSTRUCTION LLC. THIS CONTRACT WILL REPAIR DAMAGED AREAS ON THE HUMBOLDT NORTH AND SOUTH JETTIES. THE JETTIES ARE LOCATED NEAR THE ENTRANCE TO HUMBOLDT BAY NEAR EUREKA, CALIFORNIA.

Who is the contractor on this award?

The obligated recipient is S.E.A. CONSTRUCTION LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $29.1 million.

What is the period of performance?

Start: 2020-04-22. End: 2023-07-31.

What is the track record of S.E.A. Construction LLC in performing similar large-scale civil engineering projects for the federal government?

Information regarding S.E.A. Construction LLC's specific track record on large-scale federal civil engineering projects is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or successes on similar projects. Federal procurement databases and contractor performance systems (like the Contractor Performance Assessment Reporting System - CPARS) would be the primary sources for this information. Understanding their experience with jetty construction, marine environments, and adherence to project timelines and budgets is crucial for evaluating their capability to successfully execute this $29.1 million contract.

How does the awarded amount of $29.1 million compare to the estimated cost or budget for this jetty repair project?

The provided data indicates the awarded amount is $29,124,442.58. However, it does not include the government's initial estimate or budget for the project. To assess value for money, this awarded amount should be compared against the government's cost estimate and potentially against industry benchmarks for similar jetty repair projects. If the award is significantly below the estimate, it could indicate strong competition or potentially underestimated scope. Conversely, if it's at or above the estimate, further scrutiny of the pricing and scope would be warranted. Without the estimated cost, a definitive comparison is not possible.

What are the primary risks associated with the long duration (1195 days) of this contract and how are they being mitigated?

The 1195-day duration (approximately 3.27 years) presents several risks, including potential cost escalation due to inflation, changes in material availability or pricing, unforeseen site conditions (e.g., weather, geological issues), and potential impacts from evolving environmental regulations. Mitigation strategies typically employed by the DoD for long-duration contracts include robust contract clauses addressing price adjustments (if applicable, though this is fixed-price), contingency planning for unforeseen conditions, detailed environmental impact assessments prior to work commencement, and strong project management oversight. The firm fixed-price nature of this contract shifts some of the cost escalation risk to the contractor, incentivizing efficient execution.

What is the historical spending pattern for Humboldt Bay jetty maintenance or similar coastal infrastructure projects by the Department of Defense?

Historical spending data for Humboldt Bay jetty maintenance or comparable coastal infrastructure projects by the Department of Defense is not provided. To establish a pattern, one would need to analyze past contracts awarded by the Army Corps of Engineers or other relevant DoD entities for similar work in the region or nationally. This analysis would reveal trends in contract values, frequency of awards, types of work performed, and the contractors typically involved. Understanding historical spending can help contextualize the current $29.1 million award, identify potential budget fluctuations, and assess the ongoing investment in critical maritime infrastructure.

How will the performance of S.E.A. Construction LLC on this contract be evaluated, and what are the implications of performance metrics?

Performance on this contract will likely be evaluated based on criteria outlined in the contract documents, typically including adherence to schedule, quality of work, compliance with specifications, safety standards, and overall project management. The Department of the Army will assign personnel to monitor progress and quality. Contractor Performance Assessment Reporting System (CPARS) reports are standard for federal contracts, documenting performance. Positive performance can lead to future contract awards, while negative performance can result in penalties, reduced future opportunities, or even contract termination. For this project, meeting the repair objectives for the jetties is the primary performance goal.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912P720B0002

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: HZE

Contractor Details

Address: 53 ELK CREEK RD, RAYMOND, WA, 98577

Business Categories: American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $29,124,443

Exercised Options: $29,124,443

Current Obligation: $29,124,443

Actual Outlays: $11,459,566

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline