Forest Service awards $3.59M contract for 7 miles of roadway reconditioning in Idaho

Contract Overview

Contract Amount: $3,590,917 ($3.6M)

Contractor: Price Contracting Inc

Awarding Agency: Department of Agriculture

Start Date: 2025-09-29

End Date: 2027-09-01

Contract Duration: 702 days

Daily Burn Rate: $5.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PERFORM ROADWAY RECONDITIONING ALONG PROJECT LENGTH (7 MILES OF RECONDITIONING FROM MP 21 TO MP 28 OF FSR 101). CRUSH, MIX, HAUL, AND PLACE SURFACE COURSE AGGREGATE ALONG PROJECT LENGTH (7 MILES OF SURFACING FROM MP 21 TO MP 28 OF FSR 101).

Place of Performance

Location: SALMON, LEMHI County, IDAHO, 83467

State: Idaho Government Spending

Plain-Language Summary

Department of Agriculture obligated $3.6 million to PRICE CONTRACTING INC for work described as: PERFORM ROADWAY RECONDITIONING ALONG PROJECT LENGTH (7 MILES OF RECONDITIONING FROM MP 21 TO MP 28 OF FSR 101). CRUSH, MIX, HAUL, AND PLACE SURFACE COURSE AGGREGATE ALONG PROJECT LENGTH (7 MILES OF SURFACING FROM MP 21 TO MP 28 OF FSR 101). Key points: 1. The contract focuses on essential road maintenance, including crushing, mixing, hauling, and placing aggregate for surfacing. 2. The project spans 7 miles of Forest Service Road 101, indicating a significant localized infrastructure investment. 3. The fixed-price contract type suggests a defined scope and budget, potentially limiting cost overruns. 4. The award to PRICE CONTRACTING INC. represents a specific investment in the Idaho region's infrastructure. 5. The duration of the contract (702 days) allows for phased execution and potential integration with other forest management activities. 6. The North American Industry Classification System (NAICS) code 237310 points to a specialized construction sector.

Value Assessment

Rating: good

The contract value of $3.59 million for 7 miles of roadway reconditioning appears reasonable given the scope of work, which includes crushing, mixing, hauling, and placing aggregate. Without specific benchmarks for this type of specialized forest road construction, a direct comparison is difficult. However, the firm fixed-price nature of the contract provides cost certainty for the agency. The number of bids received (4) suggests a degree of market interest, which can contribute to fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, indicating that multiple potential bidders were solicited and allowed to submit proposals. The fact that four bids were received suggests a healthy level of competition for this type of specialized construction work. This competitive process is designed to ensure that the government receives the best value by encouraging contractors to offer competitive pricing and robust technical solutions.

Taxpayer Impact: The competitive bidding process for this contract is beneficial for taxpayers as it likely drove down the final price and ensured that the Forest Service received a high-quality service at a fair market rate.

Public Impact

Benefits local and regional communities by improving access and safety on Forest Service roads. Facilitates easier and more efficient movement of resources, personnel, and recreational users within the national forest. Supports the timber and recreation industries by ensuring reliable access to forest resources and areas. Potentially creates or sustains jobs in the construction sector within Idaho. Enhances the overall management and accessibility of the national forest for various purposes.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for weather delays impacting the 702-day schedule, especially in Idaho's climate.
Ensuring the quality of the aggregate material meets the specific requirements for forest road surfacing.
Coordination with other Forest Service activities or closures along FSR 101 during construction.

Positive Signals

Firm fixed-price contract provides budget certainty.
Full and open competition suggests a competitive pricing environment.
Award to an established contractor (PRICE CONTRACTING INC.) implies experience in similar projects.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on highway, street, and bridge construction. The market for such specialized road maintenance and reconditioning services is often regional, driven by the needs of federal, state, and local agencies managing extensive road networks. The Forest Service's investment in maintaining its infrastructure is crucial for resource management, public access, and safety within its vast land holdings. Comparable spending benchmarks would typically be found within the Department of Transportation or other land management agencies undertaking similar road projects.

Small Business Impact

The contract details do not indicate any specific small business set-aside provisions. Given the specialized nature of roadway reconditioning and the firm fixed-price contract type, it is possible that larger, more established construction firms are better positioned to bid and perform. However, the prime contractor, PRICE CONTRACTING INC., may engage small businesses as subcontractors for specific tasks, contributing to the broader small business ecosystem. Further analysis of subcontracting plans would be needed to fully assess the impact on small businesses.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Forest Service contracting officers and project managers. The firm fixed-price nature of the contract provides a clear framework for performance expectations. Accountability measures will be tied to the contract's performance standards and delivery schedule. Transparency is generally maintained through federal contract databases where award details are published. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Highway Administration (FHWA) Roadway Maintenance Programs
Bureau of Land Management (BLM) Road Maintenance Contracts
National Park Service (NPS) Infrastructure Improvement Projects
State Department of Transportation (DOT) Rural Road Projects

Risk Flags

Weather-related delays
Material quality assurance
Unforeseen site conditions
Environmental compliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $3.6 million to PRICE CONTRACTING INC. PERFORM ROADWAY RECONDITIONING ALONG PROJECT LENGTH (7 MILES OF RECONDITIONING FROM MP 21 TO MP 28 OF FSR 101). CRUSH, MIX, HAUL, AND PLACE SURFACE COURSE AGGREGATE ALONG PROJECT LENGTH (7 MILES OF SURFACING FROM MP 21 TO MP 28 OF FSR 101).

Who is the contractor on this award?

The obligated recipient is PRICE CONTRACTING INC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2025-09-29. End: 2027-09-01.

What is the track record of PRICE CONTRACTING INC. with the Forest Service and similar agencies?

PRICE CONTRACTING INC. has a history of performing construction services, including roadwork, for various government agencies. While specific details on their past performance with the Forest Service for roadway reconditioning of this magnitude would require a deeper dive into contract databases, their ability to win this competitive bid suggests they have met the necessary qualifications and demonstrated capability. Analyzing their past performance ratings, any past disputes or contract terminations, and the types of projects they have successfully completed would provide a clearer picture of their reliability and expertise in executing this specific type of work.

How does the cost per mile for this project compare to similar Forest Service or state DOT roadway reconditioning projects?

The cost per mile for this project is approximately $515,848 ($3.59 million / 7 miles). Benchmarking this figure requires comparing it to similar projects undertaken by the Forest Service or state Departments of Transportation, considering factors like terrain, material costs, labor rates, and the specific scope of work (e.g., depth of aggregate, type of surfacing). Without access to a comprehensive database of comparable projects with detailed cost breakdowns, it is challenging to definitively state whether this cost is high or low. However, the competitive nature of the bidding process suggests that the price achieved is likely within a reasonable market range for the services rendered.

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

Primary risks include potential weather delays impacting the 702-day schedule, especially given the Idaho location and the nature of road construction. Ensuring the quality and suitability of the aggregate material is another key risk, as is the potential for unforeseen site conditions. Mitigation strategies likely involve detailed project planning with built-in schedule contingencies for weather, rigorous material testing protocols, and clear specifications in the contract regarding site conditions and material quality. The firm fixed-price contract also shifts some of the cost-overrun risk to the contractor.

What is the expected impact of this contract on the local Idaho economy and workforce?

This contract is expected to have a positive impact on the local Idaho economy by creating jobs in the construction sector, potentially including equipment operators, laborers, and project managers. It will also likely benefit local suppliers of aggregate materials and other construction-related goods and services. The improved roadway infrastructure can indirectly support local businesses that rely on transportation, such as logging, tourism, and recreation operators, by ensuring better access and reducing transit times or costs.

How has Forest Service spending on roadway maintenance and reconditioning evolved over the past five years?

Analyzing the Forest Service's historical spending on roadway maintenance and reconditioning over the past five years would reveal trends in investment in this area. This could indicate whether spending has been increasing, decreasing, or remaining stable, potentially influenced by budget allocations, infrastructure needs assessments, and national priorities. Understanding these patterns provides context for the current $3.59 million award, helping to determine if it represents a typical investment or a significant deviation from historical spending levels for such projects.

Industry Classification

NAICS: Construction › Highway, Street, and Bridge Construction › Highway, Street, and Bridge Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 1240LT25R0003

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1237 HANLAN LN, STEVENSVILLE, MT, 59870

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

Financial Breakdown

Contract Ceiling: $3,590,917

Exercised Options: $3,590,917

Current Obligation: $3,590,917

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline