DoD awards $19.18M contract for Florida beach renourishment, highlighting significant civil engineering investment

Contract Overview

Contract Amount: $19,180,000 ($19.2M)

Contractor: Great Lakes Dredge & Dock CO, LLC

Awarding Agency: Department of Defense

Start Date: 2025-09-29

End Date: 2026-05-07

Contract Duration: 220 days

Daily Burn Rate: $87.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BEACH RENOURISHMENT DELRAY BEACH, PALM BEACH COUNTY, FL

Place of Performance

Location: DELRAY BEACH, PALM BEACH County, FLORIDA, 33483

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $19.2 million to GREAT LAKES DREDGE & DOCK CO, LLC for work described as: BEACH RENOURISHMENT DELRAY BEACH, PALM BEACH COUNTY, FL Key points: 1. Contract value represents a substantial investment in coastal resilience and infrastructure. 2. Competition dynamics suggest a potentially competitive bidding environment for this type of project. 3. The fixed-price contract structure aims to control costs and manage financial risk. 4. Project duration of 220 days indicates a focused effort on a specific coastal area. 5. The award to a single large contractor may have implications for smaller firms in the sector. 6. Geographic focus on Florida highlights vulnerability to coastal erosion and storm impacts.

Value Assessment

Rating: good

The contract value of $19.18 million for beach renourishment appears reasonable given the scope of civil engineering work involved. Benchmarking against similar large-scale coastal restoration projects would provide a more precise value-for-money assessment. The firm-fixed-price structure suggests an effort to establish cost certainty, which is positive for taxpayer value. However, without detailed cost breakdowns or comparisons to independent cost estimates, a definitive assessment of pricing efficiency is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bidders suggests a degree of competition, though the specific number of bids received is not detailed. A higher number of bidders typically leads to more competitive pricing and better value for the government. The fact that it was competed fully is a positive indicator for price discovery.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down prices through market forces. This approach ensures that the government is not overpaying for services and that the most cost-effective solutions are considered.

Public Impact

Residents and businesses in Delray Beach, Florida, will benefit from enhanced coastal protection and improved recreational areas. The project will deliver critical beach renourishment services, mitigating erosion and supporting ecological health. The geographic impact is concentrated in Palm Beach County, Florida, addressing specific local environmental challenges. While not explicitly stated, such projects often involve local labor and equipment, potentially creating short-term employment opportunities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen environmental conditions arise during the project.
Dependence on a single large contractor could limit future competition for similar projects.
Environmental impacts of dredging and sand placement need careful monitoring.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Awarded through full and open competition, suggesting a competitive process.
Project addresses critical infrastructure needs for coastal resilience.

Sector Analysis

This contract falls within the heavy and civil engineering construction sector, specifically focusing on coastal infrastructure. The market for beach renourishment and coastal defense is driven by environmental concerns, climate change impacts, and the need to protect valuable coastal real estate. Spending in this sector can fluctuate based on federal and state funding priorities, as well as the frequency and severity of natural disasters. Comparable spending benchmarks would involve analyzing other Army Corps of Engineers or FEMA-funded coastal restoration projects.

Small Business Impact

The contract was awarded to Great Lakes Dredge & Dock Co, LLC, a large entity, and there is no indication of a small business set-aside. The contract details do not specify subcontracting requirements for small businesses. This suggests that the primary contractor will likely manage the project, and the direct impact on the small business ecosystem may be limited unless subcontracting opportunities are actively pursued by the prime.

Oversight & Accountability

Oversight for this Department of the Army contract would typically involve project managers within the agency, potentially including the Army Corps of Engineers, who are responsible for monitoring progress, quality, and adherence to contract terms. Accountability measures are embedded in the contract's performance requirements and payment schedules. Transparency is facilitated through contract award databases like SAM.gov. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Army Corps of Engineers Civil Works Projects
Coastal Zone Management Programs
Disaster Mitigation and Infrastructure Resilience
Beach Erosion Control Projects

Risk Flags

Environmental Impact Assessment Required
Potential for Schedule Delays due to Weather
Dependence on Sand Source Availability

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.2 million to GREAT LAKES DREDGE & DOCK CO, LLC. BEACH RENOURISHMENT DELRAY BEACH, PALM BEACH COUNTY, FL

Who is the contractor on this award?

The obligated recipient is GREAT LAKES DREDGE & DOCK CO, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $19.2 million.

What is the period of performance?

Start: 2025-09-29. End: 2026-05-07.

What is the historical spending pattern for beach renourishment projects by the Department of Defense in Florida?

The Department of Defense, primarily through the Army Corps of Engineers, has a long history of funding and executing beach renourishment and coastal protection projects in Florida due to the state's extensive coastline and vulnerability to hurricanes. Historical spending data reveals significant, often multi-million dollar, investments in similar projects across various Florida counties over the past two decades. These projects are typically driven by the need to restore recreational beaches, protect critical infrastructure, and mitigate storm surge impacts. Analyzing past awards for similar scope and scale can provide context for the current $19.18 million contract, indicating whether this award is within the typical range or represents an outlier. Factors influencing historical spending include federal appropriations, specific environmental needs, and the prioritization of coastal resilience initiatives.

How does the per-unit cost of this beach renourishment project compare to similar projects in other regions?

A precise per-unit cost comparison for this beach renourishment project is challenging without specific metrics like cubic yards of sand placed per dollar or linear feet of beach restored per dollar. However, the total contract value of $19.18 million for a 220-day project in Delray Beach, Florida, suggests a significant investment. Beach renourishment costs can vary widely based on factors such as sand source availability and quality, transportation distances, environmental mitigation requirements, and the complexity of the dredging and placement operations. Projects in areas with readily accessible, high-quality sand sources and less complex logistics tend to have lower per-unit costs. Conversely, projects requiring offshore sand, extensive environmental reviews, or specialized equipment can be considerably more expensive. Benchmarking against publicly available data from the Army Corps of Engineers or state environmental agencies for similar Florida projects would be the most relevant comparison.

What are the key performance indicators (KPIs) and success metrics for this contract?

Key performance indicators and success metrics for this beach renourishment contract would likely focus on the successful placement of the specified volume of sand, adherence to environmental compliance standards, and the achievement of desired beach width and elevation targets. The contract likely includes specific technical requirements regarding the type and quality of sand, the method of placement, and the final profile of the renourished beach. Performance would be monitored by government representatives to ensure compliance with these specifications. Success would be measured by the project's completion within the scheduled timeframe (220 days) and budget ($19.18 million), as well as the long-term stability and effectiveness of the renourished beach in providing coastal protection and recreational value, often assessed through post-project surveys and monitoring.

What is the track record of Great Lakes Dredge & Dock Co, LLC with similar federal contracts?

Great Lakes Dredge & Dock Co, LLC (GLDD) is a major player in the dredging and marine construction industry and has a substantial track record with federal contracts, particularly with the U.S. Army Corps of Engineers. They frequently win contracts for beach nourishment, channel deepening, and other coastal and inland waterway projects. Their past performance can be reviewed through federal contract databases (like SAM.gov or FPDS) to assess their history of on-time completion, adherence to budget, and quality of work on similar projects. GLDD's extensive experience suggests they possess the necessary equipment, expertise, and logistical capabilities to execute large-scale projects like the Delray Beach renourishment. However, a detailed review of their specific performance on past Army Corps projects would be necessary for a comprehensive assessment.

What are the potential risks associated with the environmental impact of this beach renourishment project?

Beach renourishment projects, while beneficial for coastal protection, carry inherent environmental risks. These can include the temporary disruption of nearshore habitats for marine life (e.g., sea turtles, shorebirds, benthic organisms) during dredging and sand placement activities. The source of the fill material is critical; if dredged from offshore borrow sites, it can impact benthic communities and potentially alter seabed topography. Turbidity plumes generated during the process can affect water quality and marine life. Furthermore, the introduced sand may not perfectly match the native sediment composition, potentially impacting local ecology. Mitigation measures, such as timing dredging to avoid sensitive species' life cycles and careful selection of borrow sites, are crucial to minimize these impacts. Regulatory agencies (like NOAA Fisheries and EPA) typically oversee these aspects, and the contract likely includes specific environmental compliance requirements.

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 NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912EP25BA015

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Great Lakes Dredge & Dock Corporation

Address: 9811 KATY FWY STE 1200, HOUSTON, TX, 77024

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

Financial Breakdown

Contract Ceiling: $19,180,000

Exercised Options: $19,180,000

Current Obligation: $19,180,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline