Army awards $53M contract for hydraulic beachfill, with 7 bidders competing for the 3-year project

Contract Overview

Contract Amount: $52,972,961 ($53.0M)

Contractor: Weeks Marine, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-07-11

End Date: 2025-09-30

Contract Duration: 1,177 days

Daily Burn Rate: $45.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: HYDRAULIC BEACHFILL

Place of Performance

Location: KEYPORT, MONMOUTH County, NEW JERSEY, 07735

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $53.0 million to WEEKS MARINE, INC. for work described as: HYDRAULIC BEACHFILL Key points: 1. The contract's value appears reasonable given the scope of large-scale civil engineering projects. 2. Strong competition among seven bidders suggests a healthy market for these specialized services. 3. The firm-fixed-price structure transfers risk to the contractor, potentially benefiting the government. 4. This project supports critical coastal resilience infrastructure, aligning with national environmental priorities. 5. The contract falls within the 'Other Heavy and Civil Engineering Construction' NAICS code, indicating specialized capabilities.

Value Assessment

Rating: good

The contract value of approximately $53 million for a 3-year hydraulic beachfill project seems within a reasonable range for large-scale civil engineering works. Benchmarking against similar Army Corps of Engineers projects for coastal restoration or beach nourishment indicates that costs can vary significantly based on location, material volume, and environmental conditions. Without specific details on the volume of material or the geographic scope, a precise value-for-money assessment is challenging, but the number of bidders suggests competitive pricing was likely achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, with seven distinct bidders vying for the work. The presence of multiple bidders is a positive indicator of a competitive marketplace for hydraulic beachfill services. This level of competition generally leads to more favorable pricing and better service offerings for the government, as contractors are incentivized to provide their best value proposals to secure the award.

Taxpayer Impact: The robust competition for this contract suggests that taxpayer dollars are being used efficiently, as multiple companies worked to offer competitive bids. This reduces the risk of overpayment and ensures the government receives a fair price for the essential coastal protection services.

Public Impact

The primary beneficiaries are coastal communities in New Jersey requiring beach erosion control and storm surge protection. The service delivered is hydraulic beachfill, a critical component of coastal resilience and environmental management. The geographic impact is focused on the New Jersey coastline, specifically where the beachfill operations are conducted. This contract supports specialized construction jobs within the civil engineering and marine construction sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if unforeseen environmental conditions require significant adjustments to the beachfill plan.
Dependence on weather and sea conditions could lead to schedule delays and potential cost overruns if not managed effectively.
Ensuring consistent quality of the fill material to meet environmental and engineering specifications is crucial.

Positive Signals

The firm-fixed-price contract type shifts cost overrun risk to the contractor.
The award to a single contractor for a defined period provides clear accountability.
The project addresses critical infrastructure needs for coastal protection, offering significant public benefit.

Sector Analysis

The hydraulic beachfill contract falls within the Heavy and Civil Engineering Construction sector, specifically addressing coastal infrastructure needs. This sector is vital for national resilience, particularly in areas prone to erosion and storm damage. The market for such specialized services is often dominated by a few large firms with the necessary equipment and expertise. Comparable spending benchmarks are difficult to establish without precise project details, but large-scale beach nourishment projects can range from tens to hundreds of millions of dollars depending on the scale and location.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information suggesting significant subcontracting opportunities for small businesses. The nature of hydraulic beachfill typically requires specialized, large-scale equipment and expertise, which may limit the direct participation of smaller firms unless they are part of a larger joint venture or specialized subcontractor. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Army Corps of Engineers, which is responsible for managing coastal protection projects. Accountability measures are embedded in the contract terms, including performance standards and delivery schedules. Transparency is generally maintained through contract award databases and public reporting, though specific project execution details may be less accessible. The Army Corps of Engineers often has internal and external audit functions, and potentially Inspector General oversight, to ensure contract compliance and proper use of funds.

Related Government Programs

Army Corps of Engineers Coastal Navigation Projects
Beach Erosion Control Projects
Hurricane and Storm Damage Reduction Projects
Coastal Infrastructure Development

Risk Flags

Potential for environmental impact
Weather dependency
Schedule adherence risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $53.0 million to WEEKS MARINE, INC.. HYDRAULIC BEACHFILL

Who is the contractor on this award?

The obligated recipient is WEEKS MARINE, 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 $53.0 million.

What is the period of performance?

Start: 2022-07-11. End: 2025-09-30.

What is the historical spending pattern for hydraulic beachfill contracts by the Department of the Army?

The Department of the Army, primarily through the Army Corps of Engineers, has a long history of awarding contracts for hydraulic beachfill and related coastal protection projects. Annual spending can fluctuate significantly based on the severity of storm seasons, congressional appropriations for infrastructure, and specific project needs. Historically, these contracts often range from several million to tens of millions of dollars, with occasional mega-projects exceeding $100 million. The number of such contracts awarded annually also varies, influenced by the overall federal budget for civil works and disaster recovery efforts. Analyzing past five to ten years of data would reveal trends in contract values, geographic distribution, and the types of services procured within this category.

How does the per-unit cost of this contract compare to similar beachfill projects in the region?

A precise per-unit cost comparison is challenging without detailed project specifications, such as the volume of material to be placed (cubic yards), the distance it needs to be pumped, and the specific characteristics of the sand used. However, the total contract value of $52.97 million over approximately three years suggests a significant undertaking. Typical costs for hydraulic beachfill can range from $20 to $60 per cubic yard, depending heavily on mobilization, project scale, and site-specific conditions. Given the number of bidders (7), it implies a competitive market, which should drive pricing towards the lower end of this range. Further analysis would require access to the detailed scope of work and bid breakdowns to ascertain if the unit costs are competitive.

What are the primary risks associated with hydraulic beachfill projects of this magnitude?

Hydraulic beachfill projects of this magnitude carry several inherent risks. Environmental risks include potential impacts on marine life during dredging and placement, and the possibility of encountering unexpected submerged debris or hazardous materials. Weather-related risks are significant, as storms can disrupt operations, damage equipment, and erode newly placed material, leading to schedule delays and cost increases. Technical risks involve ensuring the proper mix and placement of sand to achieve the desired beach profile and long-term stability. Contractor performance risk is also present, although mitigated by the firm-fixed-price contract. Finally, regulatory and permitting risks can arise if environmental conditions change or new regulations are imposed during the project lifecycle.

What is the track record of Weeks Marine, Inc. in performing similar large-scale civil engineering contracts?

Weeks Marine, Inc. is a well-established marine construction company with a significant track record in dredging, beach nourishment, and other coastal and civil engineering projects. They have been involved in numerous large-scale contracts for federal agencies, including the Army Corps of Engineers, often handling complex projects requiring specialized equipment and extensive logistical planning. Their history includes projects similar in scope and nature to hydraulic beachfill, demonstrating experience in managing environmental compliance, navigating challenging site conditions, and meeting project deadlines. A review of their past performance ratings and project history within federal procurement databases would provide further insight into their capabilities and reliability for this specific contract.

How does the duration and value of this contract compare to the typical lifecycle of beach nourishment projects?

This contract has a duration of approximately 1177 days (roughly 3.2 years) and a value of $52.97 million. Beach nourishment projects can vary widely in duration and cost. Routine maintenance nourishment might occur every few years with smaller contracts, while major renourishment or initial construction projects can be multi-year endeavors. The duration here suggests a substantial project, possibly involving multiple phases or a large volume of material placement over an extended period. The value aligns with significant coastal restoration efforts. Compared to typical lifecycles, this contract appears to represent a substantial, long-term investment in coastal infrastructure, rather than a short-term maintenance task.

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: SEALED BID

Solicitation ID: W912DS22B0011

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Kiewit-Turner a Joint Venture

Address: 304 GAILLE DR, COVINGTON, LA, 70433

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $53,122,961

Exercised Options: $52,972,961

Current Obligation: $52,972,961

Actual Outlays: $5,237,817

Subaward Activity

Number of Subawards: 256

Total Subaward Amount: $48,772,076

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline