Interior Department awards $5M civil engineering contract for infrastructure upgrades in California

Contract Overview

Contract Amount: $5,005,410 ($5.0M)

Contractor: Suulutaaq, Inc.

Awarding Agency: Department of the Interior

Start Date: 2025-04-21

End Date: 2026-04-30

Contract Duration: 374 days

Daily Burn Rate: $13.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS REQUIREMENT INVOLVES REMOVING EXISTING CONDUIT REMOVING CONCRETE HEADWALL, ADDING A SEEPAGE STABILITY BERM, AND INSTALLING TOE DRAIN INSPECTION WELLS.

Place of Performance

Location: FOLSOM, SACRAMENTO County, CALIFORNIA, 95630

State: California Government Spending

Plain-Language Summary

Department of the Interior obligated $5.0 million to SUULUTAAQ, INC. for work described as: THIS REQUIREMENT INVOLVES REMOVING EXISTING CONDUIT REMOVING CONCRETE HEADWALL, ADDING A SEEPAGE STABILITY BERM, AND INSTALLING TOE DRAIN INSPECTION WELLS. Key points: 1. Contract focuses on critical infrastructure improvements including conduit removal, headwall modification, and drainage system installation. 2. The firm fixed-price contract type suggests a clear scope and predictable costs for the government. 3. Competition was limited after exclusion of sources, potentially impacting price negotiation. 4. The project duration of over a year indicates a significant scope of work. 5. This contract falls under heavy and civil engineering construction, a sector vital for public infrastructure. 6. The award to Suulutaq, Inc. represents a specific investment in regional infrastructure maintenance.

Value Assessment

Rating: fair

The contract value of $5,005,410 for heavy civil engineering construction appears within a reasonable range for the described scope. However, without specific benchmarks for similar seepage stability berm and toe drain installation projects, a precise value-for-money assessment is challenging. The firm fixed-price structure helps control costs, but the limited competition could have led to a higher price than if it were fully open. Further analysis would require comparing this bid to other bids received or to historical data for comparable projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while initial broad solicitation may have occurred, specific sources were later excluded. This suggests a potentially limited pool of bidders. The number of bids received (2) further supports this, as it is lower than what would typically be expected in a truly open competition. This limited competition may have reduced the government's leverage in price negotiation and potentially led to a less competitive outcome.

Taxpayer Impact: The limited competition means taxpayers may not have received the most cost-effective solution possible, as fewer companies were vying for the contract. This could translate to a higher overall cost for the project.

Public Impact

The primary beneficiaries are likely local communities in California that rely on the improved infrastructure for water management and flood control. Services delivered include the removal of outdated conduit, installation of new seepage control measures, and the addition of inspection wells for ongoing monitoring. The geographic impact is localized to the specific area within California where the Bureau of Reclamation operates and requires these infrastructure upgrades. Workforce implications include employment opportunities for skilled construction labor, engineers, and project managers involved in the execution of the contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may have resulted in a higher price for taxpayers.
The exclusion of sources raises questions about the breadth of the initial solicitation and potential market reach.
Lack of detailed performance metrics in the provided data makes it difficult to assess contractor performance risk.
The specific nature of the work (conduit removal, berm installation) might require specialized expertise, potentially limiting the bidder pool.

Positive Signals

The firm fixed-price contract type provides cost certainty for the government.
The project addresses essential infrastructure needs, contributing to public safety and resource management.
The Bureau of Reclamation's involvement suggests adherence to established engineering standards and oversight.
The contract duration allows for thorough execution and quality control.

Sector Analysis

This contract falls within the 'Other Heavy and Civil Engineering Construction' sector, which encompasses a wide range of infrastructure projects. The market for such services is often characterized by a mix of large, established firms and smaller, specialized contractors. Government contracts are a significant driver in this sector, particularly for projects involving public works, utilities, and environmental management. Comparable spending benchmarks would typically be derived from similar Bureau of Reclamation projects or other federal agencies undertaking civil engineering works.

Small Business Impact

The provided data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). This means the contract was not exclusively reserved for small businesses. Consequently, the primary contractor, Suulutaq, Inc., is likely a larger entity or was selected through a competition that did not prioritize small business set-asides. There is no explicit information on subcontracting plans for small businesses, which could be a missed opportunity to engage the small business ecosystem in this project.

Oversight & Accountability

Oversight for this contract would primarily fall under the Bureau of Reclamation, a sub-agency of the Department of the Interior. They are responsible for ensuring the contractor adheres to the contract terms, specifications, and quality standards. Accountability measures are embedded in the firm fixed-price contract, which penalizes deviations from the agreed scope and price. Transparency is generally facilitated through contract award databases like FPDS, though detailed project-specific oversight reports are not always publicly available. 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

Bureau of Reclamation Infrastructure Projects
Civil Engineering and Construction Contracts
Water Resource Management Projects
Federal Heavy Construction Awards

Risk Flags

Limited Competition
Potential for higher cost due to limited bidders
Need for detailed performance monitoring
Unforeseen site conditions risk

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $5.0 million to SUULUTAAQ, INC.. THIS REQUIREMENT INVOLVES REMOVING EXISTING CONDUIT REMOVING CONCRETE HEADWALL, ADDING A SEEPAGE STABILITY BERM, AND INSTALLING TOE DRAIN INSPECTION WELLS.

Who is the contractor on this award?

The obligated recipient is SUULUTAAQ, 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 $5.0 million.

What is the period of performance?

Start: 2025-04-21. End: 2026-04-30.

What is the track record of Suulutaq, Inc. with federal contracts, particularly with the Department of the Interior?

A review of federal contract databases would be necessary to fully assess Suulutaq, Inc.'s track record. Based on the provided data, this is a definitive contract awarded by the Bureau of Reclamation. Further investigation would involve examining past performance on similar civil engineering projects, including contract values, timeliness of delivery, and any reported disputes or terminations. Understanding their history with the Department of the Interior specifically would reveal their familiarity with agency requirements and procedures. A positive track record with similar projects would increase confidence in their ability to successfully execute this current contract, while a history of issues might indicate potential risks.

How does the $5,005,410 award compare to similar heavy and civil engineering construction contracts awarded by the Bureau of Reclamation?

To benchmark this contract's value, we would need to compare it against a portfolio of similar heavy and civil engineering construction projects undertaken by the Bureau of Reclamation or other agencies with comparable scopes. Key comparison points would include the type of work (e.g., conduit removal, berm installation, drainage systems), project duration, geographic location, and contract type (firm fixed-price). If similar projects have been awarded for significantly lower or higher amounts, it would suggest this contract is either a particularly good deal or potentially overpriced. The limited competition (2 bidders) also suggests that direct price comparisons might be less indicative of true market value compared to contracts with robust competition.

What are the primary risks associated with this specific type of civil engineering project, and how are they mitigated?

This project involves several inherent risks common to heavy civil engineering construction. These include potential unforeseen site conditions (e.g., soil instability, underground utilities not previously identified), weather delays impacting the construction schedule, and material cost fluctuations. The 'removing existing conduit' and 'removing concrete headwall' aspects could uncover hazardous materials or structural issues. Mitigation strategies typically involve thorough site investigations prior to award, contingency planning in the project schedule, robust contract language addressing unforeseen conditions, and the use of a firm fixed-price contract which shifts some cost risk to the contractor. The installation of 'toe drain inspection wells' is a proactive measure to monitor the effectiveness of the seepage stability berm, mitigating long-term performance risks.

What is the historical spending pattern for 'Other Heavy and Civil Engineering Construction' by the Bureau of Reclamation?

Analyzing historical spending patterns for 'Other Heavy and Civil Engineering Construction' by the Bureau of Reclamation would involve examining contract award data over several fiscal years. This would reveal the typical annual investment in this category, the average contract size, and the frequency of awards. It would also highlight any trends, such as increasing or decreasing investment, or shifts in the types of projects being prioritized. Understanding this context helps determine if the $5M award for this specific project is in line with historical norms or represents a significant deviation. Such analysis could also identify key contractors that frequently win these types of awards.

Given the 'limited' competition, what is the potential impact on the quality of work performed?

While limited competition can raise concerns about price, it doesn't automatically imply lower quality. However, a reduced number of bidders (in this case, 2) means fewer companies were incentivized to offer their absolute best pricing and technical solutions. If the excluded sources were highly capable, the government might have missed out on potentially superior approaches or innovations. The quality of work will ultimately depend on the contractor's capabilities, the clarity of the contract's technical specifications, and the effectiveness of the Bureau of Reclamation's oversight and quality assurance processes. A strong performance work statement and rigorous inspection regime are crucial to ensure quality regardless of the competition level.

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 BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 140R2025R0004

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 110 RAILROAD AVE STE A, SUISUN CITY, CA, 94585

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $5,005,410

Exercised Options: $5,005,410

Current Obligation: $5,005,410

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline