Interior Department awards $17.7M contract for Sloan Canyon Contact Station construction and design

Contract Overview

Contract Amount: $17,746,181 ($17.7M)

Contractor: Atherton Construction LLC

Awarding Agency: Department of the Interior

Start Date: 2024-08-29

End Date: 2026-10-09

Contract Duration: 771 days

Daily Burn Rate: $23.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: SLOAN CANYON CONTACT STATION CONSTRUCTION & DELEGATED DESIGN

Place of Performance

Location: HENDERSON, CLARK County, NEVADA, 89074

State: Nevada Government Spending

Plain-Language Summary

Department of the Interior obligated $17.7 million to ATHERTON CONSTRUCTION LLC for work described as: SLOAN CANYON CONTACT STATION CONSTRUCTION & DELEGATED DESIGN Key points: 1. Contract awarded to Atherton Construction LLC for a firm-fixed-price definitive contract. 2. The contract includes both construction and delegated design services. 3. Competition was full and open after exclusion of sources, indicating a competitive process. 4. The contract duration is 771 days, spanning from August 2024 to October 2026. 5. The project is located in Nevada, a state with significant federal land holdings. 6. The contract value is substantial, reflecting the scope of construction and design work.

Value Assessment

Rating: good

The contract value of $17.7 million for a contact station and delegated design appears reasonable given the scope of work. Benchmarking against similar federal construction projects of this size and complexity would provide further insight. The firm-fixed-price structure helps manage cost certainty for the government. Without specific cost breakdowns or comparable project data, a precise value-for-money assessment is challenging, but the competitive award suggests a reasonable price was achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, certain sources were excluded prior to the solicitation. The number of bidders is not explicitly stated in the provided data, but the 'limited' competition level suggests that the pool of potential bidders may have been constrained. This could potentially impact price discovery compared to a truly unrestricted full and open competition.

Taxpayer Impact: While the competition was not fully unrestricted, the exclusion of sources was likely based on specific criteria. Taxpayers benefit from a competitive process that aims to secure the best value, even with some limitations on bidder eligibility.

Public Impact

The primary beneficiaries are visitors to Sloan Canyon National Conservation Area, who will gain improved facilities. The contract delivers essential construction and design services for a new contact station. The geographic impact is localized to Nevada, specifically the Sloan Canyon area. The project will likely create temporary employment opportunities for construction workers and related trades.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise during construction.
Risk of schedule delays due to weather, material availability, or labor issues.
Dependence on the contractor's ability to effectively manage both design and construction phases.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Delegated design component allows for integrated planning and execution.
Award to a single contractor for both services can streamline project management.

Sector Analysis

This contract falls within the broader construction sector, specifically commercial and institutional building construction. The federal government is a significant client in this sector, awarding numerous contracts for facilities management, development, and infrastructure. The market for such services is competitive, with many firms capable of undertaking projects of this scale. This contract represents a specific investment in public land infrastructure, enhancing visitor services and operational capacity for the Bureau of Land Management.

Small Business Impact

The provided data indicates that small business set-aside was not utilized for this contract (ss: false, sb: false). Therefore, there are no direct subcontracting implications specifically tied to small business set-aside goals. The prime contractor, Atherton Construction LLC, may still engage small businesses as subcontractors, but this is not mandated by a set-aside provision in this particular award.

Oversight & Accountability

Oversight for this contract will be managed by the Bureau of Land Management, an agency within the Department of the Interior. Accountability measures are inherent in the firm-fixed-price contract structure, which obligates the contractor to deliver specified services within the agreed-upon price. Transparency is generally maintained through federal contract databases and reporting requirements. The Inspector General for the Department of the Interior would have jurisdiction over any potential fraud, waste, or abuse related to this contract.

Related Government Programs

National Conservation Area Management
Federal Building Construction
Public Lands Infrastructure
Visitor Center Development

Risk Flags

Potential for design-build integration challenges.
Risk of schedule slippage due to combined design and construction phases.
Need for robust government oversight to ensure design quality and constructability.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $17.7 million to ATHERTON CONSTRUCTION LLC. SLOAN CANYON CONTACT STATION CONSTRUCTION & DELEGATED DESIGN

Who is the contractor on this award?

The obligated recipient is ATHERTON CONSTRUCTION LLC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Bureau of Land Management).

What is the total obligated amount?

The obligated amount is $17.7 million.

What is the period of performance?

Start: 2024-08-29. End: 2026-10-09.

What is the track record of Atherton Construction LLC with federal contracts, particularly with the Department of the Interior or Bureau of Land Management?

A review of federal contract databases would be necessary to fully assess Atherton Construction LLC's track record. This would involve examining past performance on similar projects, including contract values, timeliness of delivery, and any history of disputes or performance issues. Understanding their experience with the Department of the Interior and Bureau of Land Management specifically would be crucial, as agency-specific requirements and operating environments can vary. A strong past performance record with these agencies would indicate a lower risk for this current project. Conversely, any negative performance indicators would warrant closer scrutiny of this new award.

How does the awarded price of $17.7 million compare to similar construction and design projects for federal contact stations or visitor centers?

Benchmarking this $17.7 million contract against similar federal projects requires access to a database of comparable contract awards. Key comparison factors would include the square footage of the facility, the complexity of the design, the specific site conditions (e.g., remote location, environmental considerations), and the duration of the project. Projects of similar scope awarded by agencies like the National Park Service or Forest Service could serve as benchmarks. Without such comparative data, it's difficult to definitively state whether this price represents excellent, good, or fair value. However, the firm-fixed-price nature and competitive award suggest an effort to secure value.

What are the primary risks associated with a contract that combines both delegated design and construction services?

Combining delegated design and construction under a single contract, while potentially streamlining project delivery, introduces specific risks. One primary risk is the potential for design errors or omissions to impact construction costs and schedules, especially if the contractor responsible for design is also the one performing the construction. This can create a conflict of interest where the contractor might be incentivized to overlook design flaws to avoid delays or additional costs to themselves. Effective oversight by the government agency is critical to ensure the design meets all requirements and that the construction accurately reflects the approved design. Clear contractual language defining responsibilities and performance standards is essential to mitigate these risks.

What is the historical spending pattern for contact station construction and design by the Bureau of Land Management?

Analyzing historical spending patterns for contact station construction and design by the Bureau of Land Management (BLM) would involve reviewing past contract awards over several fiscal years. This would reveal trends in contract values, the number of projects undertaken, and the typical procurement methods used (e.g., full and open, sole source). Understanding this historical context helps in evaluating whether the current $17.7 million award is consistent with past investment levels or represents a significant increase or decrease. It can also highlight any shifts in the BLM's strategy regarding infrastructure development and visitor services. Data on average project costs and durations would provide further context for assessing the current contract's value.

What are the implications of the 'Full and Open Competition After Exclusion of Sources' procurement method on potential bidder participation and final pricing?

The 'Full and Open Competition After Exclusion of Sources' method implies that the solicitation was open to all responsible sources, but certain entities were excluded from consideration prior to the solicitation release. The reasons for exclusion are typically based on specific qualifications, past performance, or other criteria deemed necessary by the agency. While this method aims for broad competition, the exclusion of certain sources can limit the overall number of potential bidders compared to a truly unrestricted 'Full and Open Competition.' This reduced competition could potentially affect the final pricing, as fewer bidders might lead to less aggressive price proposals. However, if the exclusions were narrowly defined and based on essential requirements, the competition might still yield a fair and reasonable price.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 140L0624R0026

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1050 WIGWAM PKWY, HENDERSON, NV, 89074

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

Financial Breakdown

Contract Ceiling: $17,746,181

Exercised Options: $17,746,181

Current Obligation: $17,746,181

Actual Outlays: $15,869,565

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline