USDA Awards $18.2M for Environmental Review Support to SOLV LLC Under Inflation Reduction Act

Contract Overview

Contract Amount: $18,206,909 ($18.2M)

Contractor: Solv LLC

Awarding Agency: Department of Agriculture

Start Date: 2023-09-28

End Date: 2028-02-11

Contract Duration: 1,597 days

Daily Burn Rate: $11.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ENVIRONMENTAL REVIEW SUPPORT SERVICES FOR USDA RURAL UTILITIES SERVICE IN CONNECTION WITH THE INFLATION REDUCTION ACT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20250

State: District of Columbia Government Spending

Plain-Language Summary

Department of Agriculture obligated $18.2 million to SOLV LLC for work described as: ENVIRONMENTAL REVIEW SUPPORT SERVICES FOR USDA RURAL UTILITIES SERVICE IN CONNECTION WITH THE INFLATION REDUCTION ACT Key points: 1. Contract awarded to SOLV LLC for environmental review services. 2. Supports USDA's Rural Utilities Service in implementing the Inflation Reduction Act. 3. Firm Fixed Price contract awarded via BPA Call. 4. No small business participation noted.

Value Assessment

Rating: fair

The contract value of $18.2 million over approximately 5 years appears reasonable for specialized environmental consulting services. Benchmarking against similar large-scale environmental review contracts is difficult without more granular data on scope and deliverables.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through a Full and Open Competition via a BPA Call, indicating a competitive process. The use of a BPA Call suggests pre-competed rates, which can aid in price discovery, but the final price is dependent on the specific task orders issued.

Taxpayer Impact: Taxpayer funds are being used to support the implementation of the Inflation Reduction Act, aiming for environmental improvements. The value appears aligned with the scope of services required.

Public Impact

Supports the implementation of the Inflation Reduction Act, a key legislative initiative. Environmental review is crucial for ensuring compliance and mitigating potential impacts of rural utility projects. Services provided by SOLV LLC will help expedite the deployment of clean energy and infrastructure projects.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of small business participation.
Limited transparency on specific task order pricing within the BPA Call.

Positive Signals

Supports a major legislative initiative (IRA).
Utilizes a competitive award process.
Fixed price contract provides cost certainty.

Sector Analysis

This contract falls under Environmental Consulting Services, a sector critical for regulatory compliance and sustainable development. Spending in this area often scales with federal initiatives like the IRA, which aims to boost clean energy and infrastructure.

Small Business Impact

The contract data indicates no small business participation (sb: false). This suggests that the prime contractor, SOLV LLC, is likely a larger entity, and opportunities for small businesses were either not pursued or not met.

Oversight & Accountability

The award was made through a competitive process (Full and Open Competition via BPA Call), suggesting some level of oversight. However, ongoing oversight of task order execution and performance by the Rural Utilities Service is essential for accountability.

Related Government Programs

Environmental Consulting Services
Department of Agriculture Contracting
Rural Housing Service Programs

Risk Flags

Lack of small business participation.
Potential for cost overruns if task orders are not tightly managed.
Reliance on a single prime contractor for critical environmental reviews.
Limited public detail on specific deliverables and performance metrics.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $18.2 million to SOLV LLC. ENVIRONMENTAL REVIEW SUPPORT SERVICES FOR USDA RURAL UTILITIES SERVICE IN CONNECTION WITH THE INFLATION REDUCTION ACT

Who is the contractor on this award?

The obligated recipient is SOLV LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Rural Housing Service).

What is the total obligated amount?

The obligated amount is $18.2 million.

What is the period of performance?

Start: 2023-09-28. End: 2028-02-11.

What is the breakdown of environmental review tasks and their associated costs within this contract?

The provided data does not detail the specific environmental review tasks or their individual costs. The total award value of $18.2 million is for the entire contract period. A breakdown would likely be found in the task orders issued under the BPA Call, detailing specific deliverables like environmental impact assessments, permitting support, and regulatory compliance reviews.

How does the cost per unit for environmental consulting services compare to industry benchmarks for similar IRA-related projects?

Benchmarking the per-unit cost is challenging without specific task order details and the nature of the environmental services. However, the overall contract value of $18.2 million for approximately 5 years of support for rural utility projects under the IRA suggests a significant scope. Further analysis would require comparing specific deliverables (e.g., EIS, NEPA reviews) against market rates.

What mechanisms are in place to ensure the effectiveness and efficiency of SOLV LLC's environmental review services?

Effectiveness and efficiency are typically ensured through performance standards outlined in the contract's Statement of Work and task orders. The Rural Utilities Service would monitor progress, review deliverables, and provide feedback. Contract clauses related to quality assurance and timely completion are standard, and performance metrics may be tracked.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Environmental Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 12RADA23R0001

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8201 GREENSBORO DR, MC LEAN, VA, 22102

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,206,909

Exercised Options: $18,206,909

Current Obligation: $18,206,909

Actual Outlays: $1,714,548

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $5,946,938

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 12SAD223A0005

IDV Type: BPA

Timeline