Army awards $56.3M contract for Columbia River dredging, with $25.7M for new work and $8.9M for disposal

Contract Overview

Contract Amount: $56,290,309 ($56.3M)

Contractor: J. E. Mcamis, Inc

Awarding Agency: Department of Defense

Start Date: 2009-07-16

End Date: 2011-12-24

Contract Duration: 891 days

Daily Burn Rate: $63.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: TAS::96 3134::TAS $25,743,802.00 TAS::96 8862::TAS $8,866,700.00 THIS DREDGING PROJECT INCLUDES NEW WORK FOR THE IMPROVEMENT OF THE COLUMBIA RIVER FROM RIVER MILE 65+00 TO RIVER MILE 67+50 AND RIVER MILE 87+25 TO RIVER MILE 88+25. DISPOSAL OF NEW WORK MATERIAL FROM RIVER MILE 65+00 TO RIVER MILE 67+50 AND RIVER MILE 87+25 TO RIVER MILE 88+25 WILL BE LOCATED AT THE DESIGNATED UPLAND SITE, COTTONWOOD ISLAND.

Place of Performance

Location: SAINT HELENS, COLUMBIA County, OREGON, 97051

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $56.3 million to J. E. MCAMIS, INC for work described as: TAS::96 3134::TAS $25,743,802.00 TAS::96 8862::TAS $8,866,700.00 THIS DREDGING PROJECT INCLUDES NEW WORK FOR THE IMPROVEMENT OF THE COLUMBIA RIVER FROM RIVER MILE 65+00 TO RIVER MILE 67+50 AND RIVER MILE 87+25 TO RIVER MILE 88+25. DISPOSAL OF NEW WORK MATERIAL FROM RIVER MILE 65+… Key points: 1. Contract value of $56.3M for river improvements and material disposal. 2. Project focuses on specific river mile segments for enhanced navigation. 3. Utilizes a firm-fixed-price contract type, indicating defined scope and cost. 4. Competition was full and open, suggesting a competitive bidding process. 5. Contract duration of 891 days points to a significant, multi-year undertaking. 6. The project is situated in Oregon, impacting local waterways and potentially ecosystems.

Value Assessment

Rating: good

The total award amount of $56.3 million appears reasonable for a large-scale civil engineering project involving extensive dredging and material disposal over nearly three years. While specific cost breakdowns for the new work versus disposal are provided, a direct comparison to similar contracts is difficult without more granular data on the scope of work, such as cubic yards dredged or disposal site capacity. However, the firm-fixed-price nature suggests the government secured a defined cost for the specified deliverables.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bids suggests a moderate level of competition for this specialized civil engineering service. A higher number of bidders might typically lead to more aggressive pricing, but the firm-fixed-price structure and the specialized nature of river dredging can influence the number and competitiveness of bids.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and encourage innovation. For this project, the two bids suggest that while competition existed, it may not have been as robust as in markets with more numerous, readily available contractors.

Public Impact

The U.S. Army Corps of Engineers benefits from improved navigation infrastructure on the Columbia River. Services delivered include dredging of specified river segments and disposal of dredged material. Geographic impact is concentrated in Oregon, specifically along the Columbia River. Potential workforce implications include employment for skilled labor in heavy civil construction and maritime operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, specifically related to water transportation infrastructure. The market for large-scale river dredging and maintenance is specialized, often dominated by a few experienced firms capable of handling the complex logistics, environmental regulations, and heavy equipment required. Spending in this sector is driven by the need to maintain and improve navigable waterways for commerce and defense, with significant federal investment allocated annually to such projects.

Small Business Impact

The data indicates this contract was not set aside for small businesses, nor does it explicitly mention subcontracting plans for small businesses. Given the specialized nature and scale of major civil engineering projects like river dredging, prime contracts are often awarded to larger, established firms. The absence of small business set-aside information suggests that opportunities for small businesses may be limited to indirect support roles or specific components if subcontracted by the prime.

Oversight & Accountability

Oversight for this project would typically fall under the U.S. Army Corps of Engineers, which manages civil works projects. Accountability measures are embedded in the contract's firm-fixed-price structure and performance requirements. Transparency is generally maintained through public contract awards and reporting, though detailed daily operational oversight is internal to the agency. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

construction, heavy-civil-engineering, department-of-defense, department-of-the-army, oregon, definitive-contract, firm-fixed-price, full-and-open-competition, river-dredging, infrastructure, large-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $56.3 million to J. E. MCAMIS, INC. TAS::96 3134::TAS $25,743,802.00 TAS::96 8862::TAS $8,866,700.00 THIS DREDGING PROJECT INCLUDES NEW WORK FOR THE IMPROVEMENT OF THE COLUMBIA RIVER FROM RIVER MILE 65+00 TO RIVER MILE 67+50 AND RIVER MILE 87+25 TO RIVER MILE 88+25. DISPOSAL OF NEW WORK MATERIAL FROM RIVER MILE 65+00 TO RIVER MILE 67+50 AND RIVER MILE 87+25 TO RIVER MILE 88+25 WILL BE LOCATED AT THE DESIGNATED UPLAND SITE, COTTONWOOD ISLAND.

Who is the contractor on this award?

The obligated recipient is J. E. MCAMIS, 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 $56.3 million.

What is the period of performance?

Start: 2009-07-16. End: 2011-12-24.

What is the historical spending pattern for similar Columbia River dredging projects by the Army Corps of Engineers?

Analyzing historical spending for similar Columbia River dredging projects by the Army Corps of Engineers requires access to detailed contract databases and project archives. Generally, such projects are awarded periodically based on navigation channel condition assessments and funding allocations. Costs can vary significantly based on the length and depth of the channel section to be dredged, the type of material (e.g., sand, silt, rock), the distance to disposal sites, and environmental mitigation requirements. For instance, past projects might range from a few million dollars for routine maintenance to tens of millions for major capital improvements or complex environmental remediation. The $56.3 million awarded here for specific segments suggests a substantial undertaking, potentially involving more than just routine maintenance, given the inclusion of new work and dedicated disposal site costs.

How does the per-unit cost of dredging and disposal for this contract compare to industry benchmarks?

Determining the precise per-unit cost for dredging and disposal in this contract is challenging without specific metrics like cubic yards of material moved. However, industry benchmarks for dredging can range widely, from under $10 per cubic yard for soft, easily accessible material to over $100 per cubic yard for rock or material requiring specialized handling and distant disposal. The contract's total value of $56.3 million, encompassing both new work and disposal over a significant river section, suggests a substantial volume of material. If we were to estimate, for example, that 2 million cubic yards were moved, the average cost would be around $28 per cubic yard, which could be considered competitive for certain types of material and disposal requirements. Without explicit volume data, a definitive benchmark comparison remains speculative.

What are the primary risks associated with this specific dredging project, and how are they being mitigated?

Primary risks for this Columbia River dredging project include unforeseen subsurface conditions (e.g., encountering unexpected rock formations or debris), environmental impacts (e.g., sediment plumes affecting aquatic life, discovery of hazardous materials), and potential delays due to weather or equipment issues. Mitigation strategies are likely embedded within the contract's specifications and the Army Corps of Engineers' project management. For instance, detailed geotechnical surveys prior to award help identify subsurface challenges. Environmental monitoring plans are crucial for managing sediment dispersal and ensuring compliance with regulations. The firm-fixed-price contract shifts some financial risk of cost overruns due to unforeseen conditions to the contractor, provided these conditions were not explicitly excluded from the contract's scope. Robust project management and contingency planning by the Corps are also key.

What is the track record of J. E. MCAMIS, INC. in performing similar large-scale civil engineering and dredging contracts for the federal government?

J. E. MCAMIS, INC. has a history of performing civil engineering and construction contracts, including work for federal agencies. Information regarding their specific track record on large-scale dredging projects for the Army Corps of Engineers or other federal entities would typically be available through federal procurement databases like SAM.gov or through agency performance evaluation systems. A review of past performance would assess their ability to complete projects on time, within budget, and to required quality standards. Their experience with firm-fixed-price contracts and full-and-open competition is also relevant. Without direct access to their detailed performance history on similar projects, it's difficult to provide a definitive assessment, but their selection as a prime contractor suggests they met the agency's pre-qualification criteria.

How does the total contract value of $56.3 million compare to the agency's (Department of the Army) typical annual spending on riverine infrastructure maintenance and improvement?

The Department of the Army, primarily through the Army Corps of Engineers, allocates substantial funds annually to civil works projects, including riverine infrastructure maintenance and improvement. Annual budgets for the Civil Works program often run into the billions of dollars, supporting a wide array of projects such as navigation, flood control, and environmental restoration. A single contract of $56.3 million for a specific dredging project, while significant, represents a portion of the overall budget. The agency's spending on riverine infrastructure is influenced by factors like the condition of waterways, economic priorities for navigation, and congressional appropriations. This contract's value is consistent with the scale of major capital investments or significant maintenance efforts required for critical waterways like the Columbia River.

Industry Classification

NAICS: ConstructionOther Heavy and Civil Engineering ConstructionOther Heavy and Civil Engineering Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W9127N09R0007

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 621 COUNTRY DR, CHICO, CA, 95928

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

Financial Breakdown

Contract Ceiling: $57,690,217

Exercised Options: $56,290,309

Current Obligation: $56,290,309

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2009-07-16

Current End Date: 2011-12-24

Potential End Date: 2011-12-24 00:00:00

Last Modified: 2021-02-25

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