Army awards $43.7M contract for Muddy River flood damage reduction in Massachusetts

Contract Overview

Contract Amount: $43,686,267 ($43.7M)

Contractor: Charter Contracting Company, LLC

Awarding Agency: Department of Defense

Start Date: 2020-02-26

End Date: 2025-08-15

Contract Duration: 1,997 days

Daily Burn Rate: $21.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: MUDDY RIVER FLOOD DAMAGE REDUCTION, PHASE 2- BOSTON AND BROOKLINE, MASSAHCUSETTS

Place of Performance

Location: BOSTON, SUFFOLK County, MASSACHUSETTS, 02215

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $43.7 million to CHARTER CONTRACTING COMPANY, LLC for work described as: MUDDY RIVER FLOOD DAMAGE REDUCTION, PHASE 2- BOSTON AND BROOKLINE, MASSAHCUSETTS Key points: 1. Contract aims to mitigate flood risks in a densely populated urban area. 2. Project involves significant civil engineering and construction work. 3. Fixed-price contract type may offer cost certainty if managed effectively. 4. Long duration suggests a complex, multi-phase project. 5. Geographic focus on Boston and Brookline highlights localized impact. 6. The awardee has a history of government contracting.

Value Assessment

Rating: good

The contract value of $43.7 million for flood damage reduction appears reasonable given the scope of civil engineering and construction required for a project of this magnitude. Benchmarking against similar large-scale infrastructure projects, particularly those involving flood control in urban environments, suggests that the pricing is within expected ranges. The firm fixed-price structure, while potentially beneficial for cost control, also places risk on the contractor to manage expenses within the awarded amount. Further analysis would require detailed cost breakdowns and comparison to independent cost estimates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely solicited and evaluated. With 5 bids received, the level of competition suggests a healthy market response for this type of specialized construction service. This competitive process is generally expected to drive prices towards market rates and encourage efficiency from the awarded contractor.

Taxpayer Impact: A competitive bidding process for this project helps ensure that taxpayer dollars are used efficiently, as multiple firms vied to offer the best value for the government.

Public Impact

Residents and businesses in Boston and Brookline will benefit from reduced flood risk. The project will deliver critical infrastructure improvements for flood damage reduction. The geographic impact is concentrated in the Muddy River watershed area. Construction activities will likely create temporary employment opportunities in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise during construction.
Risk of project delays due to weather or permitting issues common in large civil works.
Ensuring quality of work meets stringent engineering and environmental standards.

Positive Signals

Awarded under full and open competition, suggesting competitive pricing.
Firm fixed-price contract provides cost certainty if managed well.
Long-term contract duration allows for phased execution and learning curve benefits.

Sector Analysis

This contract falls within the Heavy and Civil Engineering Construction sector, a critical component of infrastructure development. This sector is characterized by large-scale projects, significant capital investment, and specialized expertise. The market size for such projects is substantial, driven by government needs for public works, defense infrastructure, and environmental resilience. Comparable spending benchmarks would involve other major flood control, dam construction, or large-scale urban infrastructure projects undertaken by federal agencies.

Small Business Impact

The contract was awarded to Charter Contracting Company, LLC, and there is no indication of a small business set-aside. Given the scale and complexity of the Muddy River flood damage reduction project, it is unlikely that small businesses would be the prime contractors without significant subcontracting opportunities. Further investigation into the prime contractor's subcontracting plan would be necessary to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Army Corps of Engineers, which is responsible for managing civil works projects. Accountability measures would include adherence to contract specifications, performance milestones, and quality control. Transparency is typically maintained through contract award databases and public reporting on project progress. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Army Corps of Engineers Civil Works Program
National Flood Insurance Program
Environmental Protection Agency Infrastructure Grants

Risk Flags

Potential for cost overruns due to unforeseen site conditions.
Risk of schedule delays from weather or permitting.
Environmental compliance monitoring required.
Coordination complexity in an urban setting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $43.7 million to CHARTER CONTRACTING COMPANY, LLC. MUDDY RIVER FLOOD DAMAGE REDUCTION, PHASE 2- BOSTON AND BROOKLINE, MASSAHCUSETTS

Who is the contractor on this award?

The obligated recipient is CHARTER CONTRACTING COMPANY, 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 $43.7 million.

What is the period of performance?

Start: 2020-02-26. End: 2025-08-15.

What is the track record of Charter Contracting Company, LLC with federal contracts, particularly in civil engineering and flood control projects?

Charter Contracting Company, LLC has a history of performing federal contracts, primarily within the Department of Defense and other agencies requiring heavy civil engineering and construction services. While specific details on their experience with flood control projects of this exact scale require deeper database analysis, their past performance indicates capability in executing complex infrastructure projects. Reviewing past performance evaluations (e.g., CPARS) would provide more granular insights into their reliability, quality of work, and adherence to schedules and budgets on similar federal engagements. Their presence in the federal contracting landscape suggests they have met the necessary qualifications and performance standards to secure significant awards.

How does the awarded amount of $43.7 million compare to the estimated cost or budget for the Muddy River flood damage reduction project?

The awarded amount of $43.7 million represents the government's commitment to the contractor for the specified scope of work. To assess value, this figure needs to be compared against the government's independent government cost estimate (IGCE) and potentially against the bids of other competitors. If the awarded amount is significantly lower than the IGCE and other bids, it could indicate strong competition or potentially an aggressive bid by the contractor. Conversely, if it aligns closely with or exceeds the IGCE, it warrants scrutiny to ensure cost-effectiveness. Without access to the IGCE or detailed bid analysis, it's challenging to definitively benchmark the value solely based on the award amount.

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

Key risks for the Muddy River flood damage reduction project include unforeseen subsurface conditions (e.g., historical fill, utilities, bedrock), environmental compliance challenges, potential for extreme weather events impacting construction schedules, and coordination with multiple stakeholders in a dense urban area. Mitigation strategies typically involve thorough geotechnical investigations prior to award, robust environmental monitoring plans, flexible scheduling to accommodate weather delays, and strong communication protocols with local authorities and the public. The firm fixed-price contract also shifts some financial risk for cost overruns to the contractor, provided the scope is well-defined and managed.

What is the historical spending pattern for flood damage reduction projects in the Boston metropolitan area by the federal government?

Historical federal spending on flood damage reduction in the Boston metropolitan area, particularly related to the Muddy River, has been significant over decades, often involving the Army Corps of Engineers. This specific project, Phase 2, indicates a continuation of federal investment in addressing long-standing flood vulnerabilities in the region. Analyzing past appropriations and contract awards for similar Army Corps projects in Massachusetts or other major East Coast cities would reveal trends in project scale, funding levels, and the types of solutions prioritized. This context helps in understanding if the current $43.7 million award is consistent with historical investment or represents a new level of commitment.

How effective have similar Army Corps of Engineers flood control projects been in other urban areas?

The effectiveness of Army Corps of Engineers flood control projects in urban areas is generally high in terms of reducing direct flood damage and protecting infrastructure, though outcomes can vary. Projects often involve a combination of structural measures (levees, floodwalls, channel modifications) and non-structural measures (buyouts, regulations). Success is typically measured by reduced flood insurance claims, fewer disaster declarations, and improved public safety. Challenges can include long-term maintenance requirements, environmental impacts, and the need for ongoing adaptation to changing climate conditions. The Muddy River project's success will depend on its specific design, implementation, and long-term maintenance strategy.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912WJ19R0014

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 500 HARRISON AVE STE 4R, BOSTON, MA, 02118

Business Categories: Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $43,686,267

Exercised Options: $43,686,267

Current Obligation: $43,686,267

Actual Outlays: $5,294,781

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline