Army Corps of Engineers awards $27.9M contract for Santa Ana River flood control project in California

Contract Overview

Contract Amount: $27,924,617 ($27.9M)

Contractor: Jilk Heavy Construction, Inc.

Awarding Agency: Department of Defense

Start Date: 2015-09-28

End Date: 2019-01-31

Contract Duration: 1,221 days

Daily Burn Rate: $22.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::OT::IGF SANTA ANA RIVER MAINSTEM, LOWER SANTA ANA RIVER CHANNEL, REACH 9-PHASE 5A NORTH BANK PROTECTION, ORANGE COUNTY, CALIFORNIA

Place of Performance

Location: YORBA LINDA, ORANGE County, CALIFORNIA, 92887

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $27.9 million to JILK HEAVY CONSTRUCTION, INC. for work described as: IGF::OT::IGF SANTA ANA RIVER MAINSTEM, LOWER SANTA ANA RIVER CHANNEL, REACH 9-PHASE 5A NORTH BANK PROTECTION, ORANGE COUNTY, CALIFORNIA Key points: 1. Contract awarded to JILK HEAVY CONSTRUCTION, INC. for flood control infrastructure. 2. Project focuses on bank protection for the Santa Ana River Mainstem and Lower Channel. 3. Definitive contract type with a firm fixed price indicates clear scope and cost control. 4. Project duration of 1221 days suggests a significant, multi-year construction effort. 5. The contract was awarded under full and open competition, implying a robust bidding process. 6. Located in Orange County, California, the project aims to enhance regional flood resilience.

Value Assessment

Rating: good

The contract value of $27.9 million for a major civil engineering project appears reasonable given the scope of work involving flood control infrastructure in a populated area. Benchmarking against similar Army Corps of Engineers projects for river channelization and bank protection would provide a more precise value-for-money assessment. The firm fixed-price structure suggests that cost overruns are primarily the contractor's responsibility, which is a positive indicator for the government.

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. With 4 bidders participating, this suggests a healthy level of competition for this significant civil engineering project. The competitive bidding process is expected to have driven down prices and ensured the government received a fair market price for the services.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that leads to more cost-effective contract awards and encourages innovation among contractors.

Public Impact

Residents and businesses in Orange County, California, will benefit from improved flood protection. The project delivers critical infrastructure upgrades to the Santa Ana River's flood control system. Geographic impact is concentrated in the Lower Santa Ana River region of Orange County. The construction effort will likely create numerous jobs in the local and regional construction workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for construction delays impacting project completion and flood protection timelines.
Ensuring adherence to environmental regulations during extensive civil works.
Managing the complexity of coordinating a large-scale infrastructure project.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Awarded under full and open competition, suggesting competitive pricing.
Project addresses critical flood control needs in a populated area.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on water infrastructure and flood control. The Army Corps of Engineers is a major player in funding and overseeing such projects nationwide. The market for civil engineering construction is substantial, driven by government investment in public works, infrastructure upgrades, and disaster mitigation. This project aligns with broader federal efforts to maintain and improve critical water management systems.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses in the provided data. This suggests that the primary award went to a large business. Further analysis would be needed to determine if small businesses were involved as subcontractors or if there were opportunities missed for their participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Army Corps of Engineers, which has established project management and quality assurance protocols. Accountability measures are inherent in the firm fixed-price contract structure, which places financial risk on the contractor. Transparency is generally maintained through public contract databases and reporting, though specific oversight reports from an Inspector General would require further investigation.

Related Government Programs

Army Corps of Engineers Civil Works Programs
Federal Flood Mitigation Projects
California Infrastructure Investments
Water Resource Management Contracts

Risk Flags

Potential for schedule delays
Unforeseen site conditions
Environmental compliance risks
Contractor performance issues

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.9 million to JILK HEAVY CONSTRUCTION, INC.. IGF::OT::IGF SANTA ANA RIVER MAINSTEM, LOWER SANTA ANA RIVER CHANNEL, REACH 9-PHASE 5A NORTH BANK PROTECTION, ORANGE COUNTY, CALIFORNIA

Who is the contractor on this award?

The obligated recipient is JILK HEAVY CONSTRUCTION, 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 $27.9 million.

What is the period of performance?

Start: 2015-09-28. End: 2019-01-31.

What is the track record of JILK HEAVY CONSTRUCTION, INC. on similar federal contracts?

A review of federal contract databases indicates that JILK HEAVY CONSTRUCTION, INC. has a history of performing civil engineering and construction work for various government agencies. While specific details on past performance for projects of this exact scale and type (e.g., major river channelization) would require deeper database analysis, their presence in the federal contracting space suggests experience. Examining past performance reviews and any documented issues on previous contracts would provide a more comprehensive understanding of their reliability and capability for this Santa Ana River project.

How does the awarded amount compare to similar flood control projects managed by the Army Corps of Engineers?

Comparing the $27.9 million award to similar Army Corps of Engineers projects requires access to a detailed database of past contracts, including project scope, location, and duration. However, for a multi-year, significant bank protection and channel work project in a populated area like Orange County, this figure appears within a plausible range for major civil infrastructure. Factors like specific geological conditions, environmental mitigation requirements, and the complexity of the existing infrastructure significantly influence project costs. A direct comparison would necessitate identifying projects with highly comparable characteristics.

What are the primary risks associated with this type of civil engineering construction contract?

The primary risks associated with this type of civil engineering construction contract include potential cost overruns if unforeseen site conditions arise (though mitigated by fixed-price), schedule delays due to weather, environmental challenges, or permitting issues, and performance risks related to the quality of construction. For a bank protection project, risks also include potential impacts on local ecosystems and the need for strict adherence to environmental regulations. The firm fixed-price nature shifts much of the cost risk to the contractor, but schedule delays and performance issues remain key concerns for the government.

How effective are Army Corps of Engineers projects in mitigating flood risks in California?

Army Corps of Engineers projects in California, including those focused on flood control like the Santa Ana River system, have historically been effective in reducing flood damages and protecting communities. These projects often involve a combination of structural measures (levees, channels, dams) and non-structural approaches. The effectiveness is measured by reduced flood insurance claims, fewer disaster declarations, and improved public safety. However, effectiveness can be influenced by the scale of the project relative to extreme weather events, ongoing maintenance, and the integration with local land-use planning.

What has been the historical spending trend for flood control projects by the Army Corps of Engineers in California?

Historical spending by the Army Corps of Engineers on flood control projects in California has been substantial and generally consistent, reflecting the state's significant flood risks due to its geography and population density. Funding levels can fluctuate based on federal appropriations, infrastructure priorities, and the occurrence of major weather events. Major projects, like those on the Los Angeles and Sacramento Rivers, often involve multi-year commitments in the tens to hundreds of millions of dollars. The Santa Ana River system itself has seen significant investment over decades.

What is the potential impact of this contract on local employment and the regional economy?

This $27.9 million construction contract is expected to have a positive impact on local employment and the regional economy in Orange County, California. Large-scale civil engineering projects require a significant workforce, including engineers, project managers, heavy equipment operators, laborers, and skilled tradespeople. The demand for these services will likely lead to job creation and increased economic activity through wages paid and procurement of materials and services from local suppliers. The duration of the project (1221 days) suggests a sustained period of economic stimulus.

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 NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912PL15B0010

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14732 S MAPLE AVE, GARDENA, CA, 90248

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

Financial Breakdown

Contract Ceiling: $27,924,617

Exercised Options: $27,924,617

Current Obligation: $27,924,617

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline