DoD Awards $65.7M Contract for Sewage Treatment Facilities in Hawaii
Contract Overview
Contract Amount: $65,739,358 ($65.7M)
Contractor: Aqua Engineers Inc
Awarding Agency: Department of Defense
Start Date: 2016-10-01
End Date: 2022-09-30
Contract Duration: 2,190 days
Daily Burn Rate: $30.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::CT::IGF -- FUNDING OCT THRU DEC 2016
Place of Performance
Location: WAHIAWA, HONOLULU County, HAWAII, 96786
State: Hawaii Government Spending
Plain-Language Summary
Department of Defense obligated $65.7 million to AQUA ENGINEERS INC for work described as: IGF::CT::IGF -- FUNDING OCT THRU DEC 2016 Key points: 1. Contract awarded to Aqua Engineers Inc. for sewage treatment facilities. 2. Full and open competition was utilized for this procurement. 3. The contract has a duration of 2190 days, spanning from October 2016 to September 2022. 4. The contract type is Firm Fixed Price, indicating predictable costs. 5. This contract falls under the Sewage Treatment Facilities NAICS code.
Value Assessment
Rating: good
The contract's firm fixed price structure suggests a clear understanding of costs. Benchmarking against similar sewage treatment facility contracts would provide further insight into its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Full and open competition was employed, allowing multiple bidders to participate. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The use of full and open competition is expected to yield a fair price for taxpayers, maximizing the value of the $65.7 million investment.
Public Impact
Ensures operational sewage treatment facilities for military personnel and their families in Hawaii. Supports environmental protection by maintaining proper wastewater management. Provides essential infrastructure maintenance for the Department of the Army. Contributes to the local economy through contract execution and potential subcontracts.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen issues arise during the long contract duration.
- Dependence on a single contractor for a critical infrastructure service.
Positive Signals
- Firm Fixed Price contract provides cost certainty.
- Full and open competition suggests a competitive award.
- Long duration allows for sustained service delivery.
Sector Analysis
This contract is within the construction and engineering sector, specifically focusing on environmental infrastructure. Spending on sewage treatment facilities is crucial for public health and environmental compliance, with benchmarks varying significantly based on project scale and location.
Small Business Impact
The data indicates this was a full and open competition, but does not specify if small businesses participated or were awarded subcontracts. Further analysis would be needed to determine the extent of small business involvement.
Oversight & Accountability
The contract's long duration and fixed price nature suggest a need for ongoing oversight to ensure performance standards are met and that the contractor remains accountable for delivering the specified sewage treatment services.
Related Government Programs
- Sewage Treatment Facilities
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Contract duration exceeds 5 years, increasing risk of scope creep or obsolescence.
- Potential for contractor performance issues over the extended period.
- Dependence on a single entity for critical infrastructure.
- Lack of specific small business participation data.
Tags
sewage-treatment-facilities, department-of-defense, hi, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $65.7 million to AQUA ENGINEERS INC. IGF::CT::IGF -- FUNDING OCT THRU DEC 2016
Who is the contractor on this award?
The obligated recipient is AQUA ENGINEERS INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $65.7 million.
What is the period of performance?
Start: 2016-10-01. End: 2022-09-30.
What was the competitive landscape like during the bidding process for this sewage treatment facility contract?
The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. While this suggests a competitive environment, the number of bids received and the specific qualifications of the bidders would provide a clearer picture of the actual competitive intensity and how effectively it drove down prices.
Are there any identified risks associated with the long-term maintenance of sewage treatment facilities under this contract?
The primary risk with a long-term contract for essential infrastructure like sewage treatment facilities is the potential for unforeseen operational challenges or technological obsolescence. While a firm fixed price offers cost certainty, it's crucial to ensure the contract includes mechanisms for addressing scope changes or performance issues that may arise over the 2190-day period.
How effectively does this contract ensure the ongoing operational readiness of sewage treatment facilities for the Department of the Army?
The contract's firm fixed price and long duration are designed to ensure consistent operational readiness by locking in costs and service provision over an extended period. However, effectiveness hinges on robust performance metrics and diligent oversight by the Department of the Army to confirm that Aqua Engineers Inc. is meeting all service level agreements and maintenance requirements.
Industry Classification
NAICS: Utilities › Water, Sewage and Other Systems › Sewage Treatment Facilities
Product/Service Code: UTILITIES AND HOUSEKEEPING › UTILITIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SEALED BID
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3560 KOLOA RD, KALAHEO, HI, 96741
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $65,739,358
Exercised Options: $65,739,358
Current Obligation: $65,739,358
Actual Outlays: $1,213,086
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2016-10-01
Current End Date: 2022-09-30
Potential End Date: 2022-09-30 00:00:00
Last Modified: 2023-06-02
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