DOI Awards $17.9M Contract to Blue World Construction for Texas Park Water System Replacement

Contract Overview

Contract Amount: $17,946,872 ($17.9M)

Contractor: Blue World Construction Inc

Awarding Agency: Department of the Interior

Start Date: 2023-09-25

End Date: 2026-08-13

Contract Duration: 1,053 days

Daily Burn Rate: $17.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BIBE 317515 REPLACE PARK WATER SYSTEM

Place of Performance

Location: BIG BEND NATIONAL PARK, BREWSTER County, TEXAS, 79834

State: Texas Government Spending

Plain-Language Summary

Department of the Interior obligated $17.9 million to BLUE WORLD CONSTRUCTION INC for work described as: BIBE 317515 REPLACE PARK WATER SYSTEM Key points: 1. Contract value of $17.9 million for critical infrastructure. 2. Full and open competition indicates a competitive bidding process. 3. Potential risks include project delays and cost overruns common in construction. 4. Spending falls within the typical range for water system infrastructure projects.

Value Assessment

Rating: good

The contract value of $17.9 million appears reasonable for a large-scale water system replacement project. Benchmarking against similar federal contracts for water infrastructure in Texas would provide a more precise assessment, but the scope suggests a fair price point.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting multiple bidders participated. This method generally leads to competitive pricing and ensures the government receives the best value through a robust price discovery process.

Taxpayer Impact: The investment in replacing aging park water systems is a necessary expenditure to ensure public health and safety, representing a responsible use of taxpayer funds for essential infrastructure maintenance.

Public Impact

Improved water quality and reliability for park visitors and staff. Enhanced environmental protection through upgraded wastewater management. Support for local economy through construction jobs and material sourcing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for unforeseen site conditions impacting cost and schedule.
Reliance on a single contractor for a critical, long-term project.
Weather-related delays common in Texas construction projects.

Positive Signals

Awarded through full and open competition, promoting fairness.
Firm fixed price contract provides cost certainty.
Project addresses essential public health and safety infrastructure.

Sector Analysis

This contract falls under the construction sector, specifically water and sewer infrastructure. Federal spending in this area is substantial, driven by the need to maintain and upgrade aging public utilities across the nation. Benchmarks vary widely based on project complexity and location.

Small Business Impact

The contract was awarded to Blue World Construction Inc., a firm. Analysis of whether small businesses were subcontracted or had opportunities to bid is not detailed in the provided data. Further review would be needed to assess small business participation.

Oversight & Accountability

The National Park Service, under the Department of the Interior, is responsible for overseeing this contract. Standard oversight mechanisms for construction projects, including site inspections and progress reporting, should be in place to ensure compliance and quality.

Related Government Programs

Water and Sewer Line and Related Structures Construction
Department of the Interior Contracting
National Park Service Programs

Risk Flags

Potential for unforeseen site conditions.
Risk of project delays due to weather or supply chain issues.
Contract duration of over 1000 days requires sustained oversight.
Dependence on a single contractor for a critical infrastructure project.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $17.9 million to BLUE WORLD CONSTRUCTION INC. BIBE 317515 REPLACE PARK WATER SYSTEM

Who is the contractor on this award?

The obligated recipient is BLUE WORLD CONSTRUCTION INC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (National Park Service).

What is the total obligated amount?

The obligated amount is $17.9 million.

What is the period of performance?

Start: 2023-09-25. End: 2026-08-13.

What is the historical cost performance of Blue World Construction Inc. on similar federal contracts?

Historical performance data for Blue World Construction Inc. on similar federal contracts is crucial for assessing future risk. Reviewing past project completion times, adherence to budget, and quality of work would provide valuable insights into their capabilities and reliability. This information helps determine if their track record aligns with the expectations for this significant water system replacement project.

Are there specific environmental or geological challenges in the park that could impact the project's cost or timeline?

Understanding potential environmental or geological challenges is vital for accurate cost and timeline projections. Factors like soil stability, groundwater levels, or protected natural resources could necessitate specialized construction techniques or mitigation efforts, potentially increasing expenses and extending the project duration. A thorough site assessment is necessary to identify and plan for such risks.

How does the per-unit cost of this water system replacement compare to similar projects in comparable regions?

Benchmarking the per-unit cost against similar water system replacement projects in comparable regions is essential for evaluating value for money. Factors such as pipe diameter, length of installation, complexity of terrain, and local labor costs influence pricing. A detailed cost breakdown and comparison would reveal if this contract represents an efficient use of federal funds or if there are opportunities for cost savings.

Industry Classification

NAICS: Construction › Utility System Construction › Water and Sewer Line and Related Structures Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: TWO STEP

Solicitation ID: 140P2023R0048

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 26 COLUMBIA TPKE, FLORHAM PARK, NJ, 07932

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

Financial Breakdown

Contract Ceiling: $17,946,872

Exercised Options: $17,946,872

Current Obligation: $17,946,872

Actual Outlays: $3,127,022

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline