Wiggins Creek Bridge construction contract awarded to Earth Work Solutions for $3.86M, utilizing full and open competition

Contract Overview

Contract Amount: $3,855,502 ($3.9M)

Contractor: Earth Work Solutions (WY)

Awarding Agency: Department of Transportation

Start Date: 2023-06-02

End Date: 2024-12-01

Contract Duration: 548 days

Daily Burn Rate: $7.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: WY FLAP CR CN10-277(1) WIGGINS CREEK BRIDGE BRIDGE CONSTRUCTION 6982AF23C000037

Place of Performance

Location: JEFFREY CITY, FREMONT County, WYOMING, 82310

State: Wyoming Government Spending

Plain-Language Summary

Department of Transportation obligated $3.9 million to EARTH WORK SOLUTIONS (WY) for work described as: WY FLAP CR CN10-277(1) WIGGINS CREEK BRIDGE BRIDGE CONSTRUCTION 6982AF23C000037 Key points: 1. Contract value appears reasonable for bridge construction, pending detailed cost breakdown analysis. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. Contract duration of 548 days is standard for a project of this scope. 4. Fixed-price contract type shifts risk to the contractor, which can be beneficial for the government. 5. The project is located in Wyoming, a state with significant infrastructure needs. 6. This contract falls within the Highway, Street, and Bridge Construction NAICS code.

Value Assessment

Rating: good

The contract value of $3.86 million for the Wiggins Creek Bridge construction appears to be within a reasonable range for a project of this nature. Benchmarking against similar bridge construction projects in the region or nationally would provide a more precise assessment of value for money. The firm fixed-price contract type is generally favorable for the government as it caps costs, assuming the initial price was set competitively.

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 the competition was intended to be open, certain sources were excluded. This suggests a potentially limited pool of bidders compared to a truly unrestricted full and open competition. The presence of four bids indicates some level of market interest, but the exclusion of sources warrants further investigation into the rationale and its impact on price discovery.

Taxpayer Impact: The exclusion of sources, even with four bidders, may have limited the competitive pressure, potentially resulting in a higher price for taxpayers than if all capable firms had been allowed to bid.

Public Impact

The primary beneficiaries are the residents and businesses in Wyoming who will gain improved transportation infrastructure. The project will deliver essential bridge construction services, enhancing safety and efficiency on the roadway. The geographic impact is localized to the area around Wiggins Creek in Wyoming. The contract will likely create or sustain jobs in the construction sector within Wyoming.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to exclusion of sources.
Risk of cost overruns if initial estimates were inaccurate, despite fixed-price contract.
Dependence on contractor's ability to manage project effectively within the fixed price.

Positive Signals

Firm fixed-price contract shifts cost risk to the contractor.
Awarded under a competitive process, indicating some level of market vetting.
Project addresses a clear infrastructure need.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a critical component of the nation's infrastructure. The market for bridge construction is often characterized by a mix of large, established firms and smaller, specialized contractors. Federal spending in this area is substantial, driven by the need to maintain and upgrade aging infrastructure and build new capacity. This specific contract represents a localized investment within a broader federal commitment to transportation.

Small Business Impact

The contract was not set aside for small businesses, and the data does not indicate any specific subcontracting requirements for small businesses. This suggests that the primary contractor, Earth Work Solutions, will likely manage the project with its own resources or through larger, non-small business subcontractors. The impact on the small business ecosystem is therefore likely minimal unless Earth Work Solutions voluntarily engages small businesses for specialized services.

Oversight & Accountability

Oversight for this contract will likely be managed by the Federal Highway Administration, a division of the Department of Transportation. Accountability measures are inherent in the firm fixed-price contract, which obligates the contractor to deliver the specified work within the agreed-upon price. Transparency is generally facilitated through federal contract databases, though detailed project progress reports may not always be publicly accessible. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Highway Administration Bridge Program
National Highway System
State Infrastructure Grants

Risk Flags

Limited competition due to exclusion of sources.
Potential for unforeseen site conditions impacting fixed price.
Contractor performance risk.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $3.9 million to EARTH WORK SOLUTIONS (WY). WY FLAP CR CN10-277(1) WIGGINS CREEK BRIDGE BRIDGE CONSTRUCTION 6982AF23C000037

Who is the contractor on this award?

The obligated recipient is EARTH WORK SOLUTIONS (WY).

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Highway Administration).

What is the total obligated amount?

The obligated amount is $3.9 million.

What is the period of performance?

Start: 2023-06-02. End: 2024-12-01.

What is the track record of Earth Work Solutions with federal contracts?

Information regarding Earth Work Solutions' specific track record with federal contracts is not detailed in the provided data. A comprehensive review would involve searching federal procurement databases like SAM.gov and FPDS-NG for past performance ratings, contract history, and any instances of disputes or terminations. Understanding their experience with similar-sized bridge construction projects and their performance on previous federal awards is crucial for assessing their capability and reliability in executing this current contract successfully. Without this historical data, the assessment of risk associated with the contractor remains incomplete.

How does the awarded price compare to similar bridge construction projects?

The awarded price of $3.86 million for the Wiggins Creek Bridge construction needs to be benchmarked against comparable projects to assess value for money. Factors such as bridge size, complexity, materials used, and location significantly influence costs. A preliminary assessment suggests the price is reasonable for a bridge project, but a detailed comparison with projects of similar scope and in similar geographic or economic conditions is necessary. This would involve analyzing data from federal contract databases and industry reports to determine if the price is competitive and reflects fair market value. The firm fixed-price nature of the contract implies the initial bid was deemed acceptable.

What are the primary risks associated with this contract?

The primary risks associated with this contract include potential cost overruns if the initial fixed price did not adequately account for unforeseen site conditions or material price fluctuations, although the fixed-price nature shifts this risk primarily to the contractor. Another risk is the contractor's performance and adherence to the schedule, given the 548-day duration. The 'limited' competition, stemming from the exclusion of sources, could also pose a risk if it led to a suboptimal price. Finally, environmental or permitting delays, common in construction, could impact the project timeline and potentially lead to claims if not managed proactively.

How effective is the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' in ensuring value?

The effectiveness of 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' in ensuring value is mixed. While it aims for competition, the exclusion of specific sources inherently limits the bidder pool. This can reduce competitive pressure, potentially leading to higher prices than a truly unrestricted competition. However, if the exclusions were based on legitimate technical requirements or past performance issues with certain contractors, it might ensure that only qualified bidders participate, thereby reducing performance risk. The presence of four bidders suggests some level of competition, but the rationale behind the exclusions is key to determining if maximum value was achieved for the taxpayer.

What is the historical spending pattern for bridge construction by the Department of Transportation?

Historical spending patterns for bridge construction by the Department of Transportation (DOT) are substantial and consistent, reflecting the ongoing need to maintain and upgrade the nation's transportation infrastructure. The DOT, primarily through the Federal Highway Administration (FHWA), allocates significant funds annually towards bridge projects across the country. This spending is influenced by factors such as the age of existing bridges, traffic volume, federal infrastructure initiatives, and economic conditions. Analyzing past DOT spending on similar bridge projects can provide context for the $3.86 million awarded for the Wiggins Creek Bridge, helping to determine if this contract aligns with historical investment levels and priorities.

Industry Classification

NAICS: Construction › Highway, Street, and Bridge Construction › Highway, Street, and Bridge 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: SEALED BID

Solicitation ID: 6982AF23B000018

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2506 LITTLE POWDER RIVER RD, GILLETTE, WY, 82716

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

Financial Breakdown

Contract Ceiling: $3,855,502

Exercised Options: $3,855,502

Current Obligation: $3,855,502

Actual Outlays: $3,855,502

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline