DOJ awards $3.1M contract for sewage liner replacement at Arizona federal prison

Contract Overview

Contract Amount: $3,103,144 ($3.1M)

Contractor: OCS Construction Services Inc

Awarding Agency: Department of Justice

Start Date: 2025-09-08

End Date: 2026-09-08

Contract Duration: 365 days

Daily Burn Rate: $8.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PHX_ PROJECT 24Z6AS1_ REPLACE SEWAGE LINER

Place of Performance

Location: PHOENIX, MARICOPA County, ARIZONA, 85086

State: Arizona Government Spending

Plain-Language Summary

Department of Justice obligated $3.1 million to OCS CONSTRUCTION SERVICES INC for work described as: PHX_ PROJECT 24Z6AS1_ REPLACE SEWAGE LINER Key points: 1. Contract value represents a significant investment in critical infrastructure for the Federal Prison System. 2. The contract was awarded using full and open competition, suggesting a competitive bidding process. 3. The fixed-price contract type aims to control costs and provide budget certainty. 4. The project duration of one year indicates a focused scope for infrastructure repair. 5. The contractor, OCS Construction Services Inc., has secured this award, highlighting their role in federal projects. 6. The North American Industry Classification System (NAICS) code 237110 points to specialized construction services.

Value Assessment

Rating: good

The contract value of $3.1 million for sewage liner replacement appears reasonable for a federal facility of this nature. Benchmarking against similar infrastructure repair projects within federal prisons or other government facilities would provide a more precise value-for-money assessment. The firm fixed-price structure suggests that the contractor bears the risk of cost overruns, which is generally favorable for the government. However, without detailed project specifications and scope of work, a definitive comparison to market rates for specialized construction services is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while competition was sought, certain sources may have been excluded prior to the solicitation. This suggests a potentially limited competitive pool compared to unrestricted full and open competition. With 7 bidders, the level of competition appears moderate, which could lead to a reasonably competitive price. However, the exclusion of sources warrants further investigation to ensure fair market access and optimal price discovery.

Taxpayer Impact: The moderate number of bidders suggests that taxpayers likely received a competitive price, but the exclusion of certain sources may have limited the potential for even greater cost savings.

Public Impact

The primary beneficiaries are the inmates and staff of the federal prison in Arizona, who will have improved sanitation and reduced risk of service disruptions. The project will deliver essential water and sewer line infrastructure repair, ensuring operational continuity for the facility. The geographic impact is localized to the federal prison facility in Arizona. The contract supports the construction sector by engaging a contractor and potentially their subcontractors and workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in the competition method raises concerns about potential limitations on market access and the possibility of not achieving the most competitive pricing.
The specific reasons for excluding sources are not detailed, which could obscure potential risks or biases in the procurement process.

Positive Signals

The use of 'FULL AND OPEN COMPETITION' indicates an intent to solicit from a broad range of qualified contractors.
The firm fixed-price contract type is a positive signal for cost control and budget predictability.
The award to a specific contractor suggests they met the technical and financial requirements of the solicitation.
The project addresses a critical infrastructure need, ensuring the continued safe and functional operation of a federal facility.

Sector Analysis

The construction of water and sewer lines falls under the heavy and civil engineering construction sector. This sector is vital for maintaining and upgrading public infrastructure. The contract value of $3.1 million is a moderate-sized project within this sector. Comparable spending benchmarks for similar infrastructure repair projects at federal facilities can vary significantly based on location, complexity, and specific repair needs. The market for such specialized construction services is competitive, with numerous firms capable of undertaking these projects.

Small Business Impact

The contract was not set aside for small businesses, and the 'sb' field is false. This indicates that small businesses were not specifically targeted for this award. There is no explicit information regarding subcontracting plans for small businesses. The impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for specialized services or materials.

Oversight & Accountability

Oversight for this contract would typically fall under the Federal Prison System's contracting and facilities management departments. Accountability measures are inherent in the firm fixed-price contract, requiring the contractor to deliver the specified work within budget. Transparency is facilitated by the public nature of federal contract awards, though detailed project specifics might be less accessible. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Prison System Infrastructure Modernization
Bureau of Prisons Capital Improvement Projects
Water and Sewer System Construction Contracts
Federal Facilities Maintenance and Repair

Risk Flags

Potential for limited competition due to source exclusion.
Need for detailed assessment of contractor's past performance.
Importance of verifying value for money against market rates.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3.1 million to OCS CONSTRUCTION SERVICES INC. PHX_ PROJECT 24Z6AS1_ REPLACE SEWAGE LINER

Who is the contractor on this award?

The obligated recipient is OCS CONSTRUCTION SERVICES INC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $3.1 million.

What is the period of performance?

Start: 2025-09-08. End: 2026-09-08.

What is the track record of OCS Construction Services Inc. in performing similar federal construction projects, particularly those involving water and sewer infrastructure?

A review of OCS Construction Services Inc.'s contract history would be necessary to assess their track record. Specifically, examining past performance on federal contracts, especially those with the Bureau of Prisons or other agencies requiring similar infrastructure work, would provide insight into their reliability, quality of work, and adherence to schedules and budgets. Data on past project sizes, types, and client satisfaction would be crucial. Without this specific data, it's difficult to definitively assess their suitability beyond meeting the minimum requirements for this particular award. A deeper dive into their performance ratings on previous federal contracts would be warranted.

How does the awarded amount of $3.1 million compare to the estimated cost or market rates for similar sewage liner replacement projects of this scale?

Benchmarking the $3.1 million award against similar projects is essential for a value-for-money assessment. This would involve comparing it to the cost of sewage liner replacements at other federal correctional facilities, or even comparable state and local government infrastructure projects. Factors such as the specific type of liner material, the length and diameter of the lines, the complexity of the installation (e.g., underground access, soil conditions), and the prevailing labor and material costs in Arizona would influence the comparison. The firm fixed-price nature of the contract suggests the government has secured a ceiling price, but understanding the underlying cost drivers and market rates would confirm if this ceiling is competitive.

What are the specific risks associated with the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method, and how were these mitigated?

The primary risk of 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' is that by excluding certain potential bidders, the government may not have received the most competitive offers available in the market. This could lead to higher prices or less optimal solutions. Mitigation strategies would typically involve a clear, documented justification for the exclusion of specific sources, ensuring that the exclusion was based on objective criteria and not arbitrary. The agency should have demonstrated that the remaining pool of bidders was sufficient to ensure adequate price competition. The fact that seven bids were received suggests a reasonable level of competition was maintained despite the exclusions.

What is the expected impact of this sewage liner replacement on the operational effectiveness and safety of the federal prison?

The replacement of sewage liners is critical for maintaining the operational effectiveness and safety of any facility, especially a federal prison. Aging or damaged sewage systems can lead to backups, leaks, and potential health hazards for both inmates and staff. This project directly addresses these risks by ensuring the integrity of the sanitation infrastructure. Improved sewage systems contribute to a more sanitary living and working environment, reduce the likelihood of costly emergency repairs, and prevent disruptions to essential services. Ultimately, this investment supports the Bureau of Prisons' mission to provide a safe and secure environment.

What has been the historical spending pattern for sewage and water infrastructure maintenance and repair within the Federal Prison System?

Analyzing historical spending patterns for sewage and water infrastructure within the Federal Prison System would provide context for the $3.1 million award. This would involve examining annual budgets allocated for facilities maintenance, capital improvements, and specific repair projects across various Bureau of Prisons facilities over several years. Understanding trends in spending, the frequency of major repair projects, and the average cost per project would help determine if this contract represents a typical investment or an outlier. Such analysis could also reveal patterns of deferred maintenance or recurring issues that necessitate significant capital outlays.

Are there any specific performance metrics or deliverables outlined in the contract that will be used to measure the success of the sewage liner replacement?

While the provided data does not detail specific performance metrics, firm fixed-price contracts typically include detailed statements of work (SOW) that define the required deliverables and quality standards. For a sewage liner replacement, performance metrics would likely focus on the successful installation of the new liners according to specified materials and methods, ensuring leak-free operation, and adherence to project timelines. Post-installation testing, such as pressure tests or video inspections, would be crucial to verify the quality and effectiveness of the work. The contract's success would be measured by the contractor's ability to meet all technical specifications and complete the project within the agreed-upon price and schedule.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: 15BFA025B00000004

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3664 ELIZABETH ST, RIVERSIDE, CA, 92506

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,103,144

Exercised Options: $3,103,144

Current Obligation: $3,103,144

Actual Outlays: $247,705

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline