Army Awards $25.4M Dredging Contract to Norfolk Dredging Company for Wilmington Harbor Maintenance

Contract Overview

Contract Amount: $25,367,272 ($25.4M)

Contractor: Norfolk Dredging Company

Awarding Agency: Department of Defense

Start Date: 2025-11-16

End Date: 2026-04-30

Contract Duration: 165 days

Daily Burn Rate: $153.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: MAINTENANCE DREDGING, WILMINGTON HARBOR INNER OCEAN BAR

Place of Performance

Location: WILMINGTON, NEW HANOVER County, NORTH CAROLINA, 28403

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $25.4 million to NORFOLK DREDGING COMPANY for work described as: MAINTENANCE DREDGING, WILMINGTON HARBOR INNER OCEAN BAR Key points: 1. Contract awarded for essential harbor maintenance, ensuring navigational safety and economic activity. 2. Norfolk Dredging Company, a significant player in the industry, secured the bid. 3. The contract value is substantial, reflecting the scale of the dredging operation. 4. Competition was full and open, suggesting a competitive bidding process. 5. The project falls under the Construction sector, specifically heavy civil engineering.

Value Assessment

Rating: good

The contract value of $25.4 million appears reasonable for a large-scale maintenance dredging project of this duration and scope. Benchmarking against similar Army Corps of Engineers dredging contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure the most cost-effective solution for essential infrastructure maintenance.

Public Impact

Ensures continued safe navigation for commercial and recreational vessels in Wilmington Harbor. Supports regional economic activity by maintaining access for shipping and trade. Contributes to the overall health and functionality of critical U.S. waterways. Provides employment opportunities within the dredging and maritime industries.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if unforeseen subsurface conditions are encountered.
  • Dependence on a single contractor for this specific maintenance task.

Positive Signals

  • Awarded under full and open competition.
  • Clear scope of work for maintenance dredging.
  • Defined contract period with specific end date.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on maritime infrastructure. Spending in this area is crucial for maintaining national waterways, supporting trade, and ensuring efficient transportation of goods.

Small Business Impact

The data indicates that small businesses were not directly awarded this contract, as it was won by Norfolk Dredging Company. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The Department of the Army, through its Corps of Engineers, is responsible for overseeing this contract. Standard oversight mechanisms for construction and dredging projects, including site inspections and progress reporting, are expected to be in place.

Related Government Programs

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

Risk Flags

  • Potential for unforeseen subsurface conditions impacting cost and schedule.
  • Reliance on a single prime contractor for a critical infrastructure task.
  • Environmental compliance and disposal of dredged material require careful management.
  • Fluctuations in fuel and material costs could affect contractor profitability and project execution.

Tags

other-heavy-and-civil-engineering-constr, department-of-defense, nc, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.4 million to NORFOLK DREDGING COMPANY. MAINTENANCE DREDGING, WILMINGTON HARBOR INNER OCEAN BAR

Who is the contractor on this award?

The obligated recipient is NORFOLK DREDGING 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 $25.4 million.

What is the period of performance?

Start: 2025-11-16. End: 2026-04-30.

What is the historical cost performance of Norfolk Dredging Company on similar federal contracts?

Analyzing Norfolk Dredging Company's past performance on federal contracts, particularly those involving maintenance dredging for the Army Corps of Engineers, is crucial. This includes reviewing contract modifications, cost overruns, and adherence to schedules. A history of successful, on-budget completions suggests reliability, while frequent issues may indicate potential risks for this current award.

What are the specific environmental considerations and mitigation plans for this dredging project?

Maintenance dredging projects often involve environmental considerations such as sediment disposal, potential impact on marine life, and water quality. Understanding the specific environmental impact assessments, mitigation strategies outlined in the contract, and regulatory compliance measures is vital to ensure the project is conducted responsibly and sustainably.

How does the awarded price compare to the government's independent cost estimate for this project?

Comparing the awarded price of $25.4 million to the government's independent cost estimate (if available) provides insight into the effectiveness of the competitive bidding process. A price significantly below the estimate might suggest aggressive bidding or potential underestimation of scope, while a price above could indicate market fluctuations or unforeseen complexities.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912PM25BA003

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 110 CENTERVILLE TPKE N, CHESAPEAKE, VA, 23320

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

Financial Breakdown

Contract Ceiling: $25,961,533

Exercised Options: $25,871,083

Current Obligation: $25,367,272

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2025-11-16

Current End Date: 2026-04-30

Potential End Date: 2026-04-30 00:00:00

Last Modified: 2026-01-15

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