Lakeside Industries Inc. awarded $11.9M for Hurricane Ridge Road construction, a significant investment in Washington's transportation infrastructure

Contract Overview

Contract Amount: $11,936,878 ($11.9M)

Contractor: Lakeside Industries Inc

Awarding Agency: Department of Transportation

Start Date: 2008-02-07

End Date: 2008-11-07

Contract Duration: 274 days

Daily Burn Rate: $43.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: WA PRA OLYM 12(1) HURRICANE RIDGE ROAD

Place of Performance

Location: PORT ANGELES, CLALLAM County, WASHINGTON, 98362

State: Washington Government Spending

Plain-Language Summary

Department of Transportation obligated $11.9 million to LAKESIDE INDUSTRIES INC for work described as: WA PRA OLYM 12(1) HURRICANE RIDGE ROAD Key points: 1. The contract value represents a substantial commitment to infrastructure development in the Olympic National Park region. 2. The firm-fixed-price structure suggests a defined scope and budget, potentially mitigating cost overruns. 3. The project's duration of 274 days indicates a focused effort on timely completion. 4. Awarded by the Federal Highway Administration, this project aligns with national transportation goals. 5. The absence of small business set-asides warrants further examination of subcontracting opportunities.

Value Assessment

Rating: good

The contract value of approximately $11.9 million for the Hurricane Ridge Road project appears reasonable for a significant infrastructure undertaking. Benchmarking against similar highway and bridge construction projects of comparable scope and complexity would provide a more precise assessment of value for money. The firm-fixed-price contract type generally offers cost certainty, which is a positive indicator for efficient spending.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely solicited and evaluated. This competitive process is generally expected to yield favorable pricing and ensure that the most capable contractor is selected. The number of bidders, if available, would further clarify the intensity of the competition and its potential impact on price discovery.

Taxpayer Impact: Full and open competition typically benefits taxpayers by driving down costs through market forces and encouraging a wider pool of contractors to participate, leading to potentially better value.

Public Impact

The primary beneficiaries are users of Olympic National Park, who will experience improved access and safety on Hurricane Ridge Road. The project delivers essential road construction and repair services, enhancing the park's infrastructure. The geographic impact is concentrated in Clallam County, Washington, specifically within Olympic National Park. The project likely supports local employment in the construction sector during its execution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if unforeseen geological or environmental challenges arise during construction.
Dependence on weather conditions in a mountainous region can impact project timelines and costs.
Limited information on specific environmental mitigation measures employed during construction.

Positive Signals

Awarded through full and open competition, suggesting a robust bidding process.
Firm-fixed-price contract provides budget certainty for the government.
Project addresses critical infrastructure needs within a national park.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a critical component of the broader construction industry. This sector is characterized by large-scale projects requiring specialized equipment and expertise. Spending in this area is often driven by federal and state initiatives aimed at improving transportation networks and ensuring public safety. Comparable spending benchmarks would typically involve analyzing the cost per mile or per lane mile for similar road construction projects across different regions.

Small Business Impact

The contract details indicate that small business participation was not a specific set-aside requirement for this award. While the prime contractor, Lakeside Industries Inc., may be a large business, further investigation into subcontracting plans would be necessary to determine the extent of small business involvement. The absence of explicit set-asides could mean fewer direct opportunities for small businesses unless they are actively sought as subcontractors.

Oversight & Accountability

Oversight for this contract would typically be managed by the Federal Highway Administration (FHWA), a division of the Department of Transportation. Mechanisms likely include regular progress reports, site inspections, and adherence to contract specifications. Accountability is ensured through the firm-fixed-price structure and the potential for penalties for non-performance. Transparency is generally maintained through contract award databases and public reporting of federal spending.

Related Government Programs

Federal Highway Administration Construction Projects
Olympic National Park Infrastructure
Washington State Department of Transportation Projects
National Park Service Road Maintenance

Risk Flags

Potential environmental impact in a national park setting.
Weather-related delays common in mountainous regions.
Logistical challenges for remote site access.
Need for detailed analysis of small business subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $11.9 million to LAKESIDE INDUSTRIES INC. WA PRA OLYM 12(1) HURRICANE RIDGE ROAD

Who is the contractor on this award?

The obligated recipient is LAKESIDE INDUSTRIES INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $11.9 million.

What is the period of performance?

Start: 2008-02-07. End: 2008-11-07.

What is the track record of Lakeside Industries Inc. on similar federal highway construction projects?

Information regarding Lakeside Industries Inc.'s specific track record on similar federal highway construction projects is not detailed in the provided data. A comprehensive analysis would require accessing historical contract databases to review past performance, any documented issues or successes, and the value and scope of previous federal awards. Understanding their experience with projects of similar scale, complexity, and geographic location, particularly within national park settings, would be crucial for assessing their capability and reliability for the Hurricane Ridge Road project. This would involve looking at on-time and on-budget completion rates, quality of work, and any disputes or claims filed.

How does the awarded amount compare to the estimated cost or bids from other competitors?

The provided data indicates an awarded amount of $11,936,877.95 for the Hurricane Ridge Road project. However, it does not include the initial cost estimates or the bid amounts submitted by other competitors. To assess the value for money, a comparison with the government's estimate and the range of bids received would be necessary. A narrow range between the winning bid and other bids, especially if they are all close to the estimate, might suggest efficient pricing. Conversely, a wide variance could indicate issues with the bidding process or the estimate itself. Without this comparative data, it's difficult to definitively state if the awarded amount represents optimal value.

What are the primary risks associated with this specific highway construction project in a national park environment?

Constructing a highway in a national park like Olympic, specifically on Hurricane Ridge Road, presents several inherent risks. Environmental sensitivities are paramount; work could impact fragile ecosystems, wildlife habitats, and water sources, requiring strict adherence to environmental regulations and potentially leading to delays or increased costs for mitigation. Weather is another significant factor, with mountainous terrain prone to harsh conditions, snow, ice, and landslides, which can disrupt schedules and pose safety hazards. Logistical challenges related to transporting materials and equipment to a remote, high-altitude location can also increase costs and complexity. Furthermore, managing public access and minimizing disruption to park visitors during construction requires careful planning and execution. Finally, unforeseen geological conditions or the need for specialized engineering solutions could lead to scope changes and budget overruns.

What is the expected impact of this project on the local workforce and economy in Washington State?

This highway construction project is expected to have a positive impact on the local workforce and economy in Washington State, particularly in the Olympic Peninsula region. The construction activities will create direct employment opportunities for skilled laborers, equipment operators, engineers, and project managers. Indirectly, the project will stimulate economic activity through the procurement of materials, equipment, and services from local suppliers and businesses. This can lead to increased demand for goods and services, supporting jobs in related industries such as manufacturing, transportation, and hospitality. The improved infrastructure resulting from the project may also enhance tourism and recreational access to Olympic National Park, potentially leading to long-term economic benefits for the surrounding communities.

How has federal spending on highway and bridge construction in Washington State trended over the past five years?

Analyzing federal spending trends on highway and bridge construction in Washington State over the past five years would require access to historical federal contract award data. Generally, federal investment in infrastructure is influenced by national economic conditions, infrastructure funding bills (like the Bipartisan Infrastructure Law), and specific regional needs. Washington State, with its growing population and critical transportation corridors, likely sees consistent federal investment. Trends might show an increase in funding allocated towards projects addressing climate resilience, modernization of existing infrastructure, and expansion of capacity. Specific data would reveal the total dollar amounts awarded annually, the types of projects prioritized (e.g., new construction vs. repair), and the primary agencies involved in funding these initiatives within the state.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCT NONBUILDING FACILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: DTFH7007B00008

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6505 226TH PL SE STE 200, ISSAQUAH, WA, 08

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $11,936,878

Exercised Options: $11,936,878

Current Obligation: $11,936,878

Timeline