Army awards $42.6M for Florida training wall construction, with 4 bidders competing

Contract Overview

Contract Amount: $42,590,171 ($42.6M)

Contractor: Manson Construction CO

Awarding Agency: Department of Defense

Start Date: 2015-04-24

End Date: 2018-04-09

Contract Duration: 1,081 days

Daily Burn Rate: $39.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IGF::CT::IGF MILE POINT TRAINING WALL RECONFIGURATION PROJECT CONSISTS OF CONSTRUCTING APPROXIMATELY 4,000 FEET OF A NEW WEST LEG TRAINING WALL, REMOVING APPROXIMATELY 3,300 FEET OF THE WESTERLY END OF THE EXISTING TRAINING WALL, CONSTRUCTING APPROXIMATELY 2,100 FEET OF A NEW EAST LEG TRAINING WALL AND DREDGING THE CONFLUENCE AREA AND THE FLOW IMPROVEMENT CHANNEL. IGF::CT::IGF

Place of Performance

Location: ATLANTIC BEACH, DUVAL County, FLORIDA, 32233

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $42.6 million to MANSON CONSTRUCTION CO for work described as: IGF::CT::IGF MILE POINT TRAINING WALL RECONFIGURATION PROJECT CONSISTS OF CONSTRUCTING APPROXIMATELY 4,000 FEET OF A NEW WEST LEG TRAINING WALL, REMOVING APPROXIMATELY 3,300 FEET OF THE WESTERLY END OF THE EXISTING TRAINING WALL, CONSTRUCTING APPROXIMATELY 2,100 FEET OF A NEW EAS… Key points: 1. The contract value of $42.6 million represents a significant investment in infrastructure upgrades. 2. Competition dynamics indicate a healthy market for heavy civil engineering construction services. 3. The firm-fixed-price contract type suggests a clear understanding of project scope and cost. 4. Project duration of approximately 3 years aligns with the complexity of civil engineering works. 5. The project's focus on training wall construction points to a specialized defense infrastructure need. 6. Geographic concentration in Florida may indicate regional infrastructure priorities or environmental factors.

Value Assessment

Rating: good

The contract value of $42.6 million for the IGF MILE POINT TRAINING WALL RECONFIGURATION PROJECT appears reasonable given the scope of work, which includes constructing new training walls and dredging. Without specific benchmarks for similar large-scale civil engineering projects in the region, a direct per-unit cost comparison is difficult. However, the presence of multiple bidders suggests a competitive pricing environment, which generally leads to better value for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, with four bids received. The multiple bids indicate that the solicitation was widely disseminated and attracted a reasonable number of interested contractors. This level of competition is generally favorable for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: The full and open competition with four bidders suggests that taxpayer dollars were likely used efficiently, as multiple companies vied to offer the best price and value for the construction services.

Public Impact

The primary beneficiaries are the Department of the Army, which will receive upgraded training facilities. The project delivers critical infrastructure improvements for military training operations. The geographic impact is concentrated in Florida, specifically at the IGF location. The project likely supports a workforce of construction laborers, engineers, and project managers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise during dredging or wall construction.
Delays in project completion could impact training schedules and readiness.
Environmental impact during construction, such as sediment disruption, requires careful management.

Positive Signals

Firm-fixed-price contract helps mitigate cost uncertainty for the government.
Multiple bidders indicate a competitive market, likely leading to a well-priced outcome.
Defined project scope reduces ambiguity and potential for scope creep.

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, specifically related to infrastructure development for defense purposes. The market for such specialized construction is often characterized by a limited number of large firms capable of undertaking complex projects. Comparable spending benchmarks would typically be found in other large-scale military construction or port/harbor development projects.

Small Business Impact

The provided data does not indicate any specific small business set-asides or subcontracting requirements for this contract. Given the scale and specialized nature of the project, it is likely that the prime contractor is a large firm, and any small business involvement would be through subcontracting opportunities, the details of which are not specified here.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. The firm-fixed-price nature of the contract provides a degree of cost control. Accountability measures would include adherence to project specifications, timelines, and quality standards. Transparency is generally maintained through contract award databases and reporting requirements.

Related Government Programs

Military Construction
Naval Facilities Engineering Command Contracts
Army Corps of Engineers Projects
Coastal Infrastructure Projects

Risk Flags

Potential for unforeseen subsurface conditions impacting dredging costs and schedule.
Environmental compliance and permitting risks in a marine construction environment.
Logistical challenges associated with large-scale marine construction operations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $42.6 million to MANSON CONSTRUCTION CO. IGF::CT::IGF MILE POINT TRAINING WALL RECONFIGURATION PROJECT CONSISTS OF CONSTRUCTING APPROXIMATELY 4,000 FEET OF A NEW WEST LEG TRAINING WALL, REMOVING APPROXIMATELY 3,300 FEET OF THE WESTERLY END OF THE EXISTING TRAINING WALL, CONSTRUCTING APPROXIMATELY 2,100 FEET OF A NEW EAST LEG TRAINING WALL AND DREDGING THE CONFLUENCE AREA AND THE FLOW IMPROVEMENT CHANNEL. IGF::CT::IGF

Who is the contractor on this award?

The obligated recipient is MANSON CONSTRUCTION CO.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $42.6 million.

What is the period of performance?

Start: 2015-04-24. End: 2018-04-09.

What is the track record of Manson Construction Co. on similar large-scale civil engineering projects for the Department of Defense?

Manson Construction Co. has a significant history of undertaking large-scale civil engineering and marine construction projects. While specific details on their past performance with the Department of Defense for projects of this exact nature (training wall reconfiguration and dredging) are not provided in this data snippet, their general experience in heavy civil construction, including work on ports, harbors, and other marine infrastructure, suggests they possess the capabilities required for this project. A deeper dive into their contract history, past performance reviews, and any reported issues on previous government contracts would be necessary for a comprehensive assessment of their track record.

How does the awarded price of $42.6 million compare to similar training wall construction projects or dredging projects of comparable scope?

Benchmarking the $42.6 million award against similar projects is challenging without access to a comprehensive database of comparable federal contracts. However, the scope includes significant construction (4,000 ft new wall, 2,100 ft new wall, 3,300 ft removal) and substantial dredging. Large-scale marine construction and dredging projects can range widely in cost depending on location, environmental conditions, material disposal requirements, and specific technical specifications. The fact that four bids were received suggests a competitive environment, which typically helps align pricing with market rates. Further analysis would require identifying projects with similar cubic yards of dredging and linear feet of wall construction, factoring in geographic location and time of award.

What are the primary risk indicators associated with this specific contract, beyond general construction risks?

Beyond standard construction risks like weather delays or material cost fluctuations, specific risk indicators for this project might include unforeseen subsurface conditions during dredging (e.g., encountering unexpected rock formations or contaminated sediments), potential environmental impacts and permitting challenges associated with marine work, and the logistical complexities of operating heavy machinery in a potentially sensitive marine environment. The duration of the project (over 1000 days) also increases the exposure to market volatility for materials and labor. Ensuring robust environmental monitoring and contingency planning for subsurface discoveries would be key risk mitigation strategies.

How effective is the firm-fixed-price contract type in managing costs for a project involving significant dredging and construction?

The firm-fixed-price (FFP) contract type is generally effective in managing costs for projects with well-defined scopes, like this training wall reconfiguration and dredging project. It shifts the risk of cost overruns to the contractor, providing the government with cost certainty. However, for projects involving extensive dredging, unforeseen subsurface conditions can sometimes lead to change orders if not adequately anticipated and priced into the initial bid. The success of the FFP in this case depends on the thoroughness of the initial site investigations and the contractor's ability to accurately estimate costs under potentially variable conditions. The presence of four bidders suggests contractors were confident in their ability to price the scope accurately.

What is the historical spending trend for similar heavy and civil engineering construction contracts awarded by the Department of the Army?

Historical spending trends for similar heavy and civil engineering construction contracts awarded by the Department of the Army would likely show significant annual investment, particularly in areas related to base infrastructure, port facilities, and training ranges. The Army Corps of Engineers, for instance, manages a vast portfolio of such projects. Spending can fluctuate based on national defense priorities, infrastructure modernization initiatives, and congressional appropriations. Analyzing trends would involve looking at the aggregate value of contracts awarded under NAICS codes like 237990 (Other Heavy and Civil Engineering Construction) over several fiscal years, potentially segmenting by agency sub-components like the Navy or specific Army commands.

What are the potential long-term implications of this training wall reconfiguration for military readiness and operational capabilities?

The long-term implications of this training wall reconfiguration are likely positive for military readiness and operational capabilities. Upgraded training facilities, particularly those involving realistic environmental simulations like those potentially offered by improved training walls and associated dredging, are crucial for preparing forces for diverse operational environments. Enhanced training infrastructure can lead to more effective and realistic training scenarios, better skill development, and ultimately, improved mission effectiveness. The specific benefits would depend on the exact nature of the training conducted at this facility and how the new or reconfigured walls support those training objectives.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912EP15R0004

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Manson Construction CO. (UEI: 194097960)

Address: 5209 E MARGINAL WAY S, SEATTLE, WA, 98134

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: $42,590,171

Exercised Options: $42,590,171

Current Obligation: $42,590,171

Subaward Activity

Number of Subawards: 317

Total Subaward Amount: $194,902,919

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline