Army awards $24.9M contract for South Pass Jetty A Stone Repairs to Pine Bluff Sand and Gravel

Contract Overview

Contract Amount: $24,908,600 ($24.9M)

Contractor: Pine Bluff Sand and Gravel Company

Awarding Agency: Department of Defense

Start Date: 2023-07-17

End Date: 2024-08-08

Contract Duration: 388 days

Daily Burn Rate: $64.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: SOUTH PASS JETTY A STONE A REPAIRS

Place of Performance

Location: VENICE, PLAQUEMINES County, LOUISIANA, 70091

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $24.9 million to PINE BLUFF SAND AND GRAVEL COMPANY for work described as: SOUTH PASS JETTY A STONE A REPAIRS Key points: 1. Contract value represents a significant investment in coastal infrastructure resilience. 2. Competition dynamics suggest a potentially competitive bidding environment for this type of work. 3. Contract duration of 388 days indicates a substantial project scope. 4. Fixed-price contract type aims to control costs and provide budget certainty. 5. Geographic focus on Louisiana highlights the importance of the project to regional coastal protection. 6. The North American Industry Classification System (NAICS) code 237990 points to specialized heavy civil engineering construction.

Value Assessment

Rating: good

The contract value of $24.9 million for jetty repairs appears reasonable given the scope of heavy civil engineering work. Benchmarking against similar coastal restoration or repair projects would provide a more precise value-for-money assessment. The firm fixed-price structure suggests an effort to manage costs effectively, but the final cost will depend on the contractor's efficiency and unforeseen site conditions.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This approach generally fosters a competitive environment, potentially leading to better pricing and value for the government. The number of bidders is not specified, but the designation suggests a robust process was followed.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it increases the likelihood of receiving competitive pricing and encourages a wider pool of qualified contractors to participate, potentially driving down costs.

Public Impact

The primary beneficiaries are likely the U.S. Army Corps of Engineers and the communities in Louisiana relying on the integrity of the South Pass Jetty for coastal protection. The services delivered involve significant heavy civil engineering construction, specifically stone repairs to a critical piece of maritime infrastructure. The geographic impact is concentrated in Louisiana, specifically around the South Pass area, crucial for navigation and storm surge protection. The project will likely involve a skilled workforce in heavy construction, including engineers, operators, and laborers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for unforeseen site conditions impacting cost and schedule.
Reliance on specific heavy equipment and specialized labor could pose logistical challenges.
Environmental permitting and compliance requirements may add complexity and potential delays.

Positive Signals

Firm fixed-price contract provides cost certainty.
Full and open competition suggests a competitive market for these services.
Project addresses critical infrastructure maintenance, ensuring long-term operational benefits.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on maritime infrastructure. The market for such specialized construction is often characterized by a limited number of firms with the necessary expertise and equipment. Projects like jetty repair are essential for maintaining navigation channels and providing coastal storm protection, representing a significant segment of federal infrastructure spending.

Small Business Impact

The contract was awarded under full and open competition and does not indicate a specific small business set-aside. While Pine Bluff Sand and Gravel Company is a large business, there may be opportunities for small businesses to participate as subcontractors, depending on the project's specific requirements and the prime contractor's subcontracting plan. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Army Corps of Engineers, which is responsible for executing civil works projects. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified repairs within the agreed budget. Transparency is generally maintained through contract award announcements and reporting, though detailed project-specific oversight mechanisms are not explicitly stated.

Related Government Programs

Army Corps of Engineers Civil Works Program
Coastal Storm Protection Projects
Maritime Infrastructure Maintenance
Heavy Civil Engineering Construction Contracts

Risk Flags

Potential for cost overruns due to unforeseen site conditions.
Risk of schedule delays due to weather or environmental factors.
Dependence on specialized heavy equipment and skilled labor.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.9 million to PINE BLUFF SAND AND GRAVEL COMPANY. SOUTH PASS JETTY A STONE A REPAIRS

Who is the contractor on this award?

The obligated recipient is PINE BLUFF SAND AND GRAVEL 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 $24.9 million.

What is the period of performance?

Start: 2023-07-17. End: 2024-08-08.

What is the track record of Pine Bluff Sand and Gravel Company with federal contracts, particularly with the Army Corps of Engineers?

Pine Bluff Sand and Gravel Company has a history of federal contracting, including work with the U.S. Army Corps of Engineers. Reviewing their past performance on similar projects, such as dredging, jetty construction, or other marine infrastructure, would provide insight into their capabilities and reliability. Analyzing past contract awards, completion records, and any reported disputes or performance issues can help assess their suitability for this significant repair project. Their experience with firm fixed-price contracts and adherence to project timelines and budgets are key factors to consider.

How does the awarded amount of $24.9 million compare to similar jetty repair projects in terms of value for money?

Benchmarking the $24.9 million award against similar jetty repair or coastal infrastructure projects requires access to comparable contract data. Factors such as project scope, geographic location, specific repair needs (e.g., type of stone, volume), and prevailing market rates for labor and materials significantly influence cost. If data indicates that similar projects of comparable complexity and scale were awarded at a lower cost, it might suggest a less favorable value for money. Conversely, if the scope is particularly extensive or the location presents unique challenges, the price could be justified. A detailed comparison would involve analyzing contract duration, technical specifications, and the number of bidders.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks for this contract include unforeseen subsurface conditions (e.g., unstable seabed, unexpected geological formations) that could increase repair costs and extend the project timeline. Environmental factors, such as weather delays or permitting issues, also pose risks. Mitigation strategies likely include thorough site investigations prior to award, contingency planning within the project scope, and robust contract management by the Army Corps of Engineers. The firm fixed-price structure incentivizes the contractor to manage costs, but potential change orders for unforeseen conditions remain a risk. Environmental compliance protocols and weather monitoring are also crucial mitigation elements.

What is the historical spending pattern for jetty maintenance and repair by the Army Corps of Engineers, and how does this contract fit within that pattern?

Historical spending on jetty maintenance and repair by the Army Corps of Engineers is substantial, reflecting the critical role of these structures in navigation and coastal defense. Annual budgets allocated to civil works, including dredging and breakwater/jetty maintenance, often run into hundreds of millions or even billions of dollars. This $24.9 million contract for the South Pass Jetty A Stone Repairs appears to be a significant, but not extraordinary, investment within the broader context of the Corps' ongoing infrastructure stewardship. Its size and scope are consistent with major repair or rehabilitation efforts required for aging coastal infrastructure.

What are the potential implications of this contract award on the broader market for heavy civil engineering construction services?

The award to Pine Bluff Sand and Gravel Company for this substantial project signifies continued federal investment in critical infrastructure, which is positive for the heavy civil engineering sector. It reinforces the demand for specialized services like marine construction and large-scale repair work. For other firms in the market, it highlights the competitive nature of bidding on Army Corps of Engineers projects. The success of this project could also influence future contract awards, potentially favoring contractors with demonstrated experience in similar environments and project types. It underscores the importance of maintaining capabilities in this specialized construction niche.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912P823B0002

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1501 HEARTWOOD ST, WHITE HALL, AR, 71602

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

Financial Breakdown

Contract Ceiling: $24,908,600

Exercised Options: $24,908,600

Current Obligation: $24,908,600

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912P823D0006

IDV Type: IDC

Timeline