Army awards $16M contract for Barkley Dam spillway gate rehab to BCI Construction USA, Inc

Contract Overview

Contract Amount: $16,025,834 ($16.0M)

Contractor: BCI Construction USA, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-09-30

End Date: 2026-11-18

Contract Duration: 1,510 days

Daily Burn Rate: $10.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: BARKLEY DAM, SPILLWAY GATES MECHANICAL AND ELECTRICAL REHAB-BASE CONTRACT- GATES 12-7

Place of Performance

Location: GRAND RIVERS, LIVINGSTON County, KENTUCKY, 42045

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $16.0 million to BCI CONSTRUCTION USA, INC. for work described as: BARKLEY DAM, SPILLWAY GATES MECHANICAL AND ELECTRICAL REHAB-BASE CONTRACT- GATES 12-7 Key points: 1. The contract focuses on mechanical and electrical rehabilitation of spillway gates at Barkley Dam. 2. BCI Construction USA, Inc. secured the award through full and open competition after source exclusion. 3. The project duration is 1510 days, with an estimated completion in November 2026. 4. This is a firm-fixed-price definitive contract, indicating a clear scope and payment structure.

Value Assessment

Rating: good

The contract value of $16.03M appears reasonable for a complex civil engineering project involving mechanical and electrical rehabilitation of critical infrastructure like dam spillway gates. Benchmarking against similar large-scale dam repair projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition after exclusion of sources, suggesting a competitive bidding process was intended to achieve fair pricing. The exclusion of sources warrants further investigation to ensure it did not unduly limit competition.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary infrastructure repairs.

Public Impact

Ensures the continued safe operation of Barkley Dam, a critical piece of infrastructure. Supports regional flood control and navigation on the Cumberland River. Potential for job creation in the construction sector in Kentucky. Rehabilitation of aging infrastructure is vital for national security and economic stability.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to the complexity of rehabilitating aging mechanical and electrical systems.
Risk of schedule delays impacting critical dam operations.
Need to verify the justification for excluding other sources during the competition phase.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Long project duration allows for thorough execution.
Awarded by the Department of the Army, indicating a significant federal interest in infrastructure.

Sector Analysis

This contract falls under the 'Other Heavy and Civil Engineering Construction' sector. Spending in this sector is crucial for maintaining and upgrading national infrastructure, including dams, bridges, and waterways. Federal benchmarks for similar projects would typically consider factors like project complexity, geographic location, and material costs.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). While the prime contractor is BCI Construction USA, Inc., opportunities for small businesses may exist as subcontractors for specialized services or material supply.

Oversight & Accountability

The Department of the Army is responsible for overseeing this contract. Robust oversight will be necessary to monitor progress, ensure quality, and manage any potential risks or changes throughout the project's multi-year duration.

Related Government Programs

Other Heavy and Civil Engineering Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Complexity of rehabilitating aging infrastructure.
Potential for schedule delays impacting dam operations.
Cost overruns due to unforeseen issues.
Adequacy of justification for source exclusion.
Long-term performance and maintenance of rehabilitated systems.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.0 million to BCI CONSTRUCTION USA, INC.. BARKLEY DAM, SPILLWAY GATES MECHANICAL AND ELECTRICAL REHAB-BASE CONTRACT- GATES 12-7

Who is the contractor on this award?

The obligated recipient is BCI CONSTRUCTION USA, 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 $16.0 million.

What is the period of performance?

Start: 2022-09-30. End: 2026-11-18.

What specific mechanical and electrical components are included in the spillway gate rehabilitation, and how does their estimated cost compare to industry standards for similar repairs?

The contract details are limited, but typical components include actuators, control systems, seals, and structural reinforcements for the gates. A detailed cost breakdown would be needed for a precise comparison. However, given the firm-fixed-price nature, the contractor has presumably factored in industry standards and potential risks into their bid. Further analysis would require access to the detailed technical specifications and cost proposals submitted during the bidding process.

What was the specific reason for excluding other sources during the 'full and open competition' phase, and was this exclusion adequately justified to ensure fair market competition?

The exclusion of sources in a 'full and open competition' scenario typically implies that certain pre-qualification criteria or specific technical requirements were met by only a limited number of bidders, or that a previous contract was terminated and the incumbent was the only viable option. A thorough review of the contract's justification documentation is necessary to understand the specific reasons for exclusion and confirm that it did not unfairly limit competition or lead to a suboptimal price for taxpayers.

How will the effectiveness of the spillway gate rehabilitation be measured, and what are the key performance indicators (KPIs) to ensure the long-term operational integrity and safety of the dam?

Effectiveness will likely be measured through rigorous testing and commissioning of the rehabilitated gates, ensuring they meet all operational specifications and safety standards outlined in the contract. Key performance indicators could include successful completion of load tests, responsiveness of control systems, leak detection rates, and adherence to maintenance schedules post-rehabilitation. Independent verification and validation by a third party may also be employed to ensure objective assessment of the project's success.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: W912P522B0006

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4154 LUTHER FOWLER RD, PACE, FL, 32571

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

Financial Breakdown

Contract Ceiling: $19,414,299

Exercised Options: $16,025,834

Current Obligation: $16,025,834

Actual Outlays: $237,171

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline