DOI's $24.7M San Luis Plant Contract Awarded to Slayden Construction Group Under Full and Open Competition

Contract Overview

Contract Amount: $24,756,153 ($24.8M)

Contractor: Slayden Construction Group, Inc.

Awarding Agency: Department of the Interior

Start Date: 2012-09-21

End Date: 2016-06-30

Contract Duration: 1,378 days

Daily Burn Rate: $18.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: SAN LUIS DEMONSTRATION TREATMENT PLANT

Place of Performance

Location: DOS PALOS, MERCED County, CALIFORNIA, 93620

State: California Government Spending

Plain-Language Summary

Department of the Interior obligated $24.8 million to SLAYDEN CONSTRUCTION GROUP, INC. for work described as: SAN LUIS DEMONSTRATION TREATMENT PLANT Key points: 1. The contract value of $24.7 million for the San Luis Demonstration Treatment Plant falls within a typical range for heavy civil engineering projects. 2. Slayden Construction Group, Inc. secured this contract through full and open competition, indicating a competitive bidding process. 3. The project's duration of 1378 days suggests a significant undertaking with potential for cost overruns if not managed effectively. 4. The 'Other Heavy and Civil Engineering Construction' sector is characterized by large-scale infrastructure projects with varying levels of complexity and risk.

Value Assessment

Rating: good

The contract value of $24.7 million appears reasonable for a demonstration treatment plant project of this scale and duration. Benchmarking against similar large-scale civil engineering construction contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple bidders had the opportunity to submit proposals. This method generally promotes competitive pricing and allows the government to select the best value offer.

Taxpayer Impact: Full and open competition is intended to ensure taxpayer funds are used efficiently by fostering a competitive environment that drives down costs.

Public Impact

This project contributes to water infrastructure improvements in California, potentially impacting local water quality and supply. The construction phase likely created temporary local employment opportunities. The successful completion of the demonstration plant could lead to broader adoption of new water treatment technologies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Project duration significantly exceeds typical contract lengths, increasing risk of cost escalation.
Lack of specific performance metrics or award fee structure could limit contractor incentive for exceptional performance.
No indication of small business participation, potentially missing opportunities for economic inclusion.

Positive Signals

Awarded under full and open competition, suggesting a robust and fair bidding process.
Firm Fixed Price contract type provides cost certainty for the government.
Project addresses critical infrastructure needs for water treatment.

Sector Analysis

This contract falls within the 'Other Heavy and Civil Engineering Construction' sector, which involves large-scale infrastructure projects. Spending in this sector can fluctuate based on government infrastructure initiatives and economic conditions.

Small Business Impact

The data indicates that small business participation was not a stated requirement or outcome for this contract (ss: false, sb: false). This suggests that opportunities for small businesses in this large-scale construction project may have been limited.

Oversight & Accountability

The Bureau of Reclamation, as the contracting agency, is responsible for overseeing this project. The contract's duration and value necessitate diligent oversight to ensure timely completion, adherence to specifications, and responsible use of funds.

Related Government Programs

Other Heavy and Civil Engineering Construction
Department of the Interior Contracting
Bureau of Reclamation Programs

Risk Flags

Extended project duration (1378 days) increases risk of cost escalation and schedule slippage.
Lack of specific performance incentives beyond the firm fixed price.
No explicit mention of small business subcontracting goals.
Potential for unforeseen technical challenges in a 'demonstration' capacity.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $24.8 million to SLAYDEN CONSTRUCTION GROUP, INC.. SAN LUIS DEMONSTRATION TREATMENT PLANT

Who is the contractor on this award?

The obligated recipient is SLAYDEN CONSTRUCTION GROUP, 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 $24.8 million.

What is the period of performance?

Start: 2012-09-21. End: 2016-06-30.

What specific demonstration treatment technologies are being implemented, and what are the expected performance improvements compared to existing methods?

The provided data does not specify the exact demonstration treatment technologies. However, the purpose of such a plant is typically to test and validate innovative or advanced water treatment processes. Expected improvements would likely focus on enhanced contaminant removal, increased efficiency, reduced operational costs, or better environmental sustainability compared to conventional methods.

Given the 1378-day duration, what are the primary risk mitigation strategies in place to manage potential cost overruns and schedule delays?

While specific strategies aren't detailed, typical risk mitigation for long-duration construction projects includes robust project management, detailed scheduling with contingency, regular progress reviews, proactive identification of potential issues (e.g., material availability, weather impacts), and clear communication channels between the contractor and the Bureau of Reclamation. A firm fixed-price contract also shifts some cost overrun risk to the contractor.

How will the effectiveness and long-term viability of the demonstration treatment plant be evaluated post-construction?

The effectiveness evaluation would likely involve performance monitoring against pre-defined technical specifications and environmental standards during and after the demonstration period. Long-term viability assessment would consider operational costs, maintenance requirements, scalability, and the overall success in achieving the project's water treatment objectives. The Bureau of Reclamation would establish protocols for data collection and analysis to determine the plant's success.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: R12PS20107

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 500 WILLAMETTE AVE, STAYTON, OR, 97383

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

Financial Breakdown

Contract Ceiling: $24,756,153

Exercised Options: $24,756,153

Current Obligation: $24,756,153

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline