Department of Defense awards $28.3M for environmental remediation services at Joint Base Andrews, MD

Contract Overview

Contract Amount: $28,318,874 ($28.3M)

Contractor: BAY West LLC

Awarding Agency: Department of Defense

Start Date: 2011-08-24

End Date: 2020-09-30

Contract Duration: 3,325 days

Daily Burn Rate: $8.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ER MULTI-SITE PBC, JOINT BASE ANDREWS MD PROJECT #

Place of Performance

Location: ANDREWS AFB, PRINCE GEORGES County, MARYLAND, 20762

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $28.3 million to BAY WEST LLC for work described as: ER MULTI-SITE PBC, JOINT BASE ANDREWS MD PROJECT # Key points: 1. Contract value represents a significant investment in environmental cleanup and compliance. 2. The contract was awarded through full and open competition, suggesting a competitive bidding process. 3. The duration of the contract (over 9 years) indicates a long-term commitment to environmental management. 4. The firm-fixed-price structure aims to control costs and provide predictability. 5. The project focuses on remediation services, crucial for environmental health and safety at military installations.

Value Assessment

Rating: good

The contract value of $28.3 million over approximately 9 years suggests a substantial but potentially reasonable investment for comprehensive environmental remediation services at a major military installation. Benchmarking against similar large-scale environmental cleanup contracts at federal facilities is necessary for a definitive value assessment. The firm-fixed-price contract type indicates a commitment to cost control by the government, shifting some risk to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while the competition was intended to be open, certain sources were excluded, potentially limiting the pool of bidders. The specific reasons for exclusion are not detailed, but this approach can sometimes lead to less competitive pricing than a truly unrestricted full and open competition. The number of bids received (2) is also on the lower side for a contract of this magnitude, further suggesting limited competition.

Taxpayer Impact: The limited competition may have resulted in a higher price for taxpayers than if a broader range of qualified contractors had been able to bid. The exclusion of sources warrants further investigation to ensure fairness and optimal value.

Public Impact

The primary beneficiaries are the Department of Defense and the environment surrounding Joint Base Andrews, MD, through the cleanup of hazardous substances. Services delivered include environmental remediation, likely involving the removal or containment of contaminants. The geographic impact is localized to Joint Base Andrews and its surrounding areas in Maryland. The contract supports specialized environmental services jobs, contributing to the skilled workforce in the environmental sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition due to exclusion of sources may have inflated costs.
The long contract duration could present risks if contractor performance degrades over time.
Lack of detailed information on the specific remediation activities makes it difficult to assess the full scope of work.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Awarding to a single contractor for a long duration can ensure continuity of services.
The contract addresses critical environmental compliance and safety needs for a military installation.

Sector Analysis

This contract falls within the Environmental Remediation Services sector, a critical component of government contracting focused on addressing contamination at federal sites. The market for such services is substantial, driven by regulatory requirements and the need to manage legacy environmental issues at military bases and other federal facilities. Comparable spending benchmarks would typically involve looking at other large-scale environmental cleanup contracts awarded by agencies like the EPA, DoD, or DOE.

Small Business Impact

The data indicates that small business participation was not a primary focus for this contract, as the 'sb' (small business set-aside) field is false. There is no explicit information regarding subcontracting plans for small businesses. This suggests that the primary contractor, Bay West LLC, is likely a large business, and opportunities for small businesses may be limited unless they are direct suppliers or subcontractors not explicitly detailed in this summary data.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program management office within the Department of the Army. The firm-fixed-price nature of the contract provides a degree of accountability through adherence to the agreed-upon price. Transparency is facilitated by the contract award data being publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Environmental Remediation Services
Military Base Operations Support
Hazardous Waste Management
Federal Facility Cleanup Programs

Risk Flags

Limited competition
Long contract duration
Lack of detailed scope information

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.3 million to BAY WEST LLC. ER MULTI-SITE PBC, JOINT BASE ANDREWS MD PROJECT #

Who is the contractor on this award?

The obligated recipient is BAY WEST 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 $28.3 million.

What is the period of performance?

Start: 2011-08-24. End: 2020-09-30.

What specific environmental contaminants were addressed under this contract, and what remediation techniques were employed?

The provided data does not specify the exact environmental contaminants or the remediation techniques utilized. Environmental remediation contracts typically address a range of issues such as petroleum hydrocarbons, heavy metals, solvents, or unexploded ordnance. Techniques can vary widely, including excavation and disposal, in-situ treatment, groundwater pump-and-treat systems, or containment measures. A detailed review of the contract statement of work (SOW) and any associated environmental reports for Joint Base Andrews would be necessary to identify the specific contaminants and methods.

How does the awarded price of $28.3 million compare to the estimated cost or budget for this remediation project?

The provided data does not include the estimated cost or budget for this remediation project, making a direct comparison impossible. The contract value of $28.3 million represents the total obligated amount or ceiling value over the contract's life. To assess if this was a good value, one would need to compare it against pre-negotiated budgets, independent government cost estimates, or benchmark data from similar projects. The firm-fixed-price structure suggests the government aimed for cost certainty, but without budget information, the value proposition remains partially obscured.

What were the specific reasons for excluding certain sources in this 'full and open competition after exclusion of sources' award?

The data does not specify the reasons for excluding certain sources. This contract type is typically used when, after an initial attempt at full and open competition, either no acceptable proposals are received, or proposals are received from only a limited number of sources. Alternatively, it can be used when it is determined to be in the government's best interest to exclude specific sources for reasons such as national security, proprietary information, or unique capabilities. Without further documentation, the rationale behind the exclusion remains unclear and could potentially impact the competitiveness of the award.

What is the track record of Bay West LLC in performing similar environmental remediation contracts for the federal government?

The provided data identifies Bay West LLC as the contractor but does not offer details on their track record. To assess their performance history, one would need to consult federal procurement databases (like SAM.gov or FPDS) for past contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or contract modifications. A thorough review would reveal their experience with similar projects, their past performance ratings, and their capacity to handle large-scale environmental remediation.

How does the contract duration of over 9 years (3325 days) impact the risk profile and potential for cost overruns?

A contract duration exceeding 9 years introduces several risk factors. While it ensures continuity of services for long-term environmental remediation, it also increases the potential for cost overruns due to inflation, unforeseen site conditions, changes in regulatory requirements, or contractor performance degradation over time. The firm-fixed-price structure helps mitigate some of this risk by locking in the price, but scope creep or significant changes in work could still lead to modifications and increased costs. Robust oversight and clear performance metrics are crucial for managing risks associated with such extended contracts.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCES - OTHER SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W9128F09R0035

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5 EMPIRE DR, SAINT PAUL, MN, 55103

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

Financial Breakdown

Contract Ceiling: $28,427,567

Exercised Options: $28,318,874

Current Obligation: $28,318,874

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9128F10D0025

IDV Type: IDC

Timeline