Martin Brothers Construction awarded $80.9M for Folsom Dam Spillway Safety Modifications

Contract Overview

Contract Amount: $80,902,941 ($80.9M)

Contractor: Martin Brothers Construction

Awarding Agency: Department of the Interior

Start Date: 2009-04-08

End Date: 2011-01-20

Contract Duration: 652 days

Daily Burn Rate: $124.1K/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: PHASAE II OF THE FOLSOM DAM SPILLWAY SAFETY OF DAMS MODIFICATION

Place of Performance

Location: FOLSOM, SACRAMENTO County, CALIFORNIA, 95630

State: California Government Spending

Plain-Language Summary

Department of the Interior obligated $80.9 million to MARTIN BROTHERS CONSTRUCTION for work described as: PHASAE II OF THE FOLSOM DAM SPILLWAY SAFETY OF DAMS MODIFICATION Key points: 1. Contract value represents a significant investment in critical infrastructure. 2. Competition dynamics suggest a robust bidding process for this project. 3. Project duration of 652 days indicates a complex and lengthy undertaking. 4. The firm-fixed-price contract type shifts cost risk to the contractor. 5. Geographic location in California highlights regional infrastructure needs. 6. The project falls under 'Other Heavy and Civil Engineering Construction', a vital sector.

Value Assessment

Rating: good

The contract value of $80.9 million for the Folsom Dam Spillway Safety Modifications appears reasonable given the scope of heavy civil engineering construction. Without specific benchmarks for similar dam modification projects, a direct per-unit cost comparison is difficult. However, the scale of the project and the firm-fixed-price nature suggest that the contractor assumes significant cost risk, which is often factored into the initial bid price. The duration of 652 days also implies a substantial amount of work, justifying the overall investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while the competition was intended to be open, certain sources were excluded, potentially narrowing the field of bidders. The number of bids received (4) is moderate, suggesting a reasonable level of interest but not an overwhelming number of competitors. This type of competition might lead to a price that is competitive but could potentially be higher than if all eligible sources were included without exclusion.

Taxpayer Impact: Taxpayers benefit from a competitive process, even with exclusions, as it generally drives down costs compared to a sole-source award. However, the exclusion of certain sources warrants scrutiny to ensure it did not unduly limit competition and inflate the final price.

Public Impact

The primary beneficiaries are the communities and ecosystems downstream of Folsom Dam, who will experience enhanced safety and reduced flood risk. The project delivers critical safety upgrades to the Folsom Dam spillway, ensuring its structural integrity and operational reliability. The geographic impact is concentrated in California, specifically around the Folsom Dam and its service area. Workforce implications include employment opportunities for construction workers, engineers, and project managers in the heavy civil engineering sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise, despite the firm-fixed-price contract.
Risk of schedule delays due to the complexity of dam infrastructure modifications.
Ensuring adequate quality control and safety standards are met throughout the extensive construction period.

Positive Signals

Firm-fixed-price contract structure transfers significant cost risk to the contractor.
The project addresses critical safety and operational needs for a major piece of infrastructure.
The award follows a competitive bidding process, indicating potential for value.

Sector Analysis

This contract falls within the 'Other Heavy and Civil Engineering Construction' sector, which is a substantial part of the U.S. economy focused on infrastructure projects like dams, bridges, and highways. Spending in this sector is often driven by government investment in public works and maintenance. Comparable spending benchmarks would typically involve analyzing other large-scale dam modification or construction projects, both federal and state, to assess cost-effectiveness relative to project scope and complexity.

Small Business Impact

The contract indicates that small business participation was not a primary set-aside criterion (ss: false, sb: false). This suggests that the primary focus was on securing a contractor with the specialized capabilities for large-scale civil engineering. There is no explicit information on subcontracting plans for small businesses within this award notice. The impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for specific services or supplies.

Oversight & Accountability

Oversight for this contract would primarily be managed by the Bureau of Reclamation, an agency within the Department of the Interior. Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to deliver the specified work within the agreed budget. Transparency is facilitated by the public nature of federal contract awards, though detailed project progress reports may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Folsom Dam Operations and Maintenance
California Infrastructure Projects
Army Corps of Engineers Civil Works Projects
Department of the Interior Dam Safety Programs

Risk Flags

Potential for cost escalation due to unforeseen site conditions.
Risk of schedule delays impacting critical infrastructure availability.
Adequacy of competition due to source exclusion.
Ensuring long-term structural integrity post-modification.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $80.9 million to MARTIN BROTHERS CONSTRUCTION. PHASAE II OF THE FOLSOM DAM SPILLWAY SAFETY OF DAMS MODIFICATION

Who is the contractor on this award?

The obligated recipient is MARTIN BROTHERS CONSTRUCTION.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Bureau of Reclamation).

What is the total obligated amount?

The obligated amount is $80.9 million.

What is the period of performance?

Start: 2009-04-08. End: 2011-01-20.

What is the track record of Martin Brothers Construction on similar large-scale civil engineering projects?

Assessing the track record of Martin Brothers Construction on similar large-scale civil engineering projects is crucial for understanding their capacity and past performance. While this specific award notice does not detail their history, a deeper dive into federal contract databases (like SAM.gov or FPDS) would reveal past awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or claims. Examining their portfolio for projects of comparable size, complexity (e.g., dam modifications, spillway construction), and contract type (firm-fixed-price) would provide insight into their ability to manage risk, adhere to schedules, and maintain quality standards. Positive past performance on similar projects would increase confidence in their ability to successfully execute the Folsom Dam modifications, while any negative indicators would warrant closer scrutiny and potentially more robust oversight.

How does the awarded amount compare to the initial estimated cost or budget for the Folsom Dam Spillway Safety Modifications?

The awarded amount of $80.9 million for the Folsom Dam Spillway Safety Modifications provides a concrete figure for the project's cost. However, to assess the value and efficiency of this award, it's essential to compare it against the government's initial cost estimates or allocated budget. If the awarded amount is significantly lower than the estimate, it could indicate successful competition and cost savings for taxpayers. Conversely, if the award is close to or exceeds the estimate, it might suggest that the initial budgeting was accurate, or potentially that the competition did not yield substantial savings. Without access to the pre-solicitation estimates or budget allocations, it's difficult to definitively state whether this award represents exceptional value or simply met expectations. Further analysis would require obtaining this internal budgetary information.

What are the specific risks associated with modifying a dam spillway, and how are they mitigated in this contract?

Modifying a dam spillway involves significant risks, including structural integrity during construction, potential for water management disruptions, environmental impacts, and unforeseen geological conditions. This contract, being a firm-fixed-price (FFP) type, inherently shifts much of the financial risk of cost overruns due to these factors to the contractor, Martin Brothers Construction. Mitigation strategies are typically detailed in the contract's statement of work and specifications, outlining required engineering standards, safety protocols, and environmental protection measures. The Bureau of Reclamation's oversight and quality assurance processes are critical for monitoring adherence to these requirements. The 652-day duration also suggests a phased approach, allowing for careful execution and risk management at each stage. However, the effectiveness of these mitigations relies heavily on the contractor's expertise and the agency's diligent oversight.

What is the historical spending pattern for Folsom Dam modifications or similar infrastructure projects by the Bureau of Reclamation?

Analyzing historical spending patterns for Folsom Dam modifications or comparable projects by the Bureau of Reclamation (BOR) is key to contextualizing the $80.9 million award. This involves examining past contracts for repairs, upgrades, or new construction at Folsom Dam and other BOR facilities. Key metrics to consider include the average contract value, duration, number of bidders, and cost growth over time. Understanding whether this $80.9 million is an outlier, an increase, or consistent with previous investments helps gauge the current project's scale and potential budget trends. For instance, if recent years have seen increased spending on dam safety due to aging infrastructure or regulatory changes, this award might reflect a broader trend. Conversely, if it's significantly higher than historical norms, it could signal scope expansion or rising construction costs in the sector.

How does the competition level ('FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES') typically impact pricing and contractor performance?

The competition level, 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' presents a nuanced scenario. 'Full and open competition' is generally preferred as it maximizes the pool of potential bidders, theoretically leading to the most competitive pricing and best value. However, the 'exclusion of sources' clause indicates that specific, pre-identified contractors or types of contractors were not eligible. This exclusion could stem from various reasons, such as specific technical requirements, past performance issues, or national security concerns. While it still allows for competition among the remaining eligible sources (in this case, 4 bidders), it inherently limits the breadth of that competition. This could potentially result in a higher price than if all potential bidders were included, as the market pressure might be reduced. The impact on performance is less direct but could be influenced by whether the excluded sources were major players in the market.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 08SP200172

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 20 LIGHT SKY CT, SACRAMENTO, CA, 90

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

Financial Breakdown

Contract Ceiling: $80,902,941

Exercised Options: $80,902,941

Current Obligation: $80,902,941

Timeline