Kachess Dam Modification Phase 3 Awarded for $18.6M to Pipkin Inc. by Bureau of Reclamation
Contract Overview
Contract Amount: $18,630,155 ($18.6M)
Contractor: Pipkin Inc.
Awarding Agency: Department of the Interior
Start Date: 2024-04-02
End Date: 2026-04-06
Contract Duration: 734 days
Daily Burn Rate: $25.4K/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: KACHESS DAM MODIFICATION PHASE 3 YAKIMA PROJECT, WASHINGTON, BUREAU OF RECLAMATION C-PN REGION
Place of Performance
Location: EASTON, KITTITAS County, WASHINGTON, 98925
Plain-Language Summary
Department of the Interior obligated $18.6 million to PIPKIN INC. for work described as: KACHESS DAM MODIFICATION PHASE 3 YAKIMA PROJECT, WASHINGTON, BUREAU OF RECLAMATION C-PN REGION Key points: 1. Contract awarded for $18.6M for dam modification. 2. Pipkin Inc. is the sole contractor. 3. Project duration is 734 days. 4. Firm Fixed Price contract type. 5. Construction sector spending.
Value Assessment
Rating: fair
The contract value of $18.6M appears reasonable for a multi-year heavy civil engineering project. Benchmarking against similar dam modification projects would provide a clearer assessment of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may impact price discovery and potentially lead to higher costs compared to unrestricted full and open competition.
Taxpayer Impact: Taxpayer funds are being used for critical infrastructure upgrades. The limited competition raises questions about achieving the best possible price for the government.
Public Impact
Ensures continued water supply and flood control for the Yakima Project. Supports regional agricultural and municipal water needs. Modernizes aging infrastructure to meet current safety and operational standards.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may result in suboptimal pricing.
- Potential for cost overruns in complex construction projects.
Positive Signals
- Addresses critical infrastructure needs.
- Firm Fixed Price contract provides cost certainty.
Sector Analysis
This contract falls within the heavy and civil engineering construction sector, specifically related to water resource management infrastructure. Spending in this sector is often driven by infrastructure needs, environmental regulations, and public safety.
Small Business Impact
The contract data does not indicate any specific provisions or awards to small businesses. Further analysis would be needed to determine if small business participation was considered or achieved.
Oversight & Accountability
The Bureau of Reclamation, part of the Department of the Interior, is responsible for this project. Oversight would involve monitoring project progress, adherence to contract terms, and quality control to ensure taxpayer funds are used effectively.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of the Interior Contracting
- Bureau of Reclamation Programs
Risk Flags
- Limited competition may lead to higher costs.
- Construction projects are susceptible to delays and cost overruns.
- Potential for scope creep if not managed tightly.
- Dependence on a single contractor for a critical infrastructure project.
Tags
other-heavy-and-civil-engineering-constr, department-of-the-interior, wa, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Interior awarded $18.6 million to PIPKIN INC.. KACHESS DAM MODIFICATION PHASE 3 YAKIMA PROJECT, WASHINGTON, BUREAU OF RECLAMATION C-PN REGION
Who is the contractor on this award?
The obligated recipient is PIPKIN INC..
Which agency awarded this contract?
Awarding agency: Department of the Interior (Bureau of Reclamation).
What is the total obligated amount?
The obligated amount is $18.6 million.
What is the period of performance?
Start: 2024-04-02. End: 2026-04-06.
What specific factors led to the exclusion of sources in the competition, and how did this impact the final price?
The exclusion of sources suggests specific technical requirements or pre-existing conditions that limited the pool of eligible bidders. Understanding these limitations is crucial to assessing whether the limited competition was justified and if the resulting price reflects fair market value under the circumstances. Without this information, it's difficult to definitively gauge the value proposition.
What are the key performance indicators and risk mitigation strategies for this dam modification project?
Key performance indicators likely include project completion on schedule and within budget, adherence to quality standards, and successful integration of modifications. Risk mitigation strategies would typically involve detailed engineering assessments, contingency planning for unforeseen site conditions, robust safety protocols, and close monitoring of contractor performance throughout the project lifecycle.
How does the cost of this modification compare to similar projects in other regions or previous phases?
A comparative cost analysis against similar dam modification projects, considering factors like project scope, complexity, and regional economic conditions, is essential. Benchmarking against previous phases of the Yakima Project could also reveal cost trends. Without such comparisons, it's challenging to determine if this $18.6M contract represents an efficient use of resources or if there are opportunities for cost savings in future projects.
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 AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 140R1024R0002
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4801 CONTRACTORS DR, EAST WENATCHEE, WA, 98802
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $18,630,155
Exercised Options: $18,630,155
Current Obligation: $18,630,155
Actual Outlays: $18,119,314
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2024-04-02
Current End Date: 2026-04-06
Potential End Date: 2026-04-06 00:00:00
Last Modified: 2026-04-07
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