NOAA awards $446M for Superfund site cleanup, with Industrial Economics Inc. as prime contractor

Contract Overview

Contract Amount: $446,221 ($446.2K)

Contractor: Industrial Economics Inc

Awarding Agency: Department of Commerce

Start Date: 2022-09-22

End Date: 2027-09-21

Contract Duration: 1,825 days

Daily Burn Rate: $245/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RESTORATION PLANNING AND SCALING ACTIVITIES AS PART OF THE NRDAS FOR THE LOWER DUWAMISH RIVER AND PORTLAND HARBOR SUPERFUND SITES IN SEATTLE, WA AND PORTLAND, OR IN SUPPORT OF THE NOAA OFFICE OF HABITAT CONSERVATION

Place of Performance

Location: SEATTLE, KING County, WASHINGTON, 98168

State: Washington Government Spending

Plain-Language Summary

Department of Commerce obligated $446,221 to INDUSTRIAL ECONOMICS INC for work described as: RESTORATION PLANNING AND SCALING ACTIVITIES AS PART OF THE NRDAS FOR THE LOWER DUWAMISH RIVER AND PORTLAND HARBOR SUPERFUND SITES IN SEATTLE, WA AND PORTLAND, OR IN SUPPORT OF THE NOAA OFFICE OF HABITAT CONSERVATION Key points: 1. The contract focuses on restoration planning and scaling for Superfund sites in Seattle and Portland. 2. Industrial Economics Inc. is the prime contractor, with the award being a delivery order. 3. The contract is for Remediation Services, a critical area for environmental protection. 4. The fixed-price contract aims to control costs over its five-year duration.

Value Assessment

Rating: good

The $446 million award over five years suggests a significant scope of work. Without specific unit costs or comparable contracts for similar large-scale Superfund site remediation, a precise pricing assessment is difficult. However, the fixed-price nature indicates an attempt to establish clear cost expectations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method might restrict the pool of potential bidders, potentially impacting the price discovery process compared to unrestricted full and open competition.

Taxpayer Impact: The taxpayer impact is tied to the effectiveness and efficiency of the remediation services. A well-executed cleanup at a lower-than-expected cost benefits taxpayers, while cost overruns or ineffective remediation would be detrimental.

Public Impact

Environmental cleanup of Superfund sites in Seattle and Portland will proceed. NOAA's habitat conservation efforts are supported by this contract. Local economies in Washington and Oregon may see activity from this project. Long-term environmental health of the Lower Duwamish River and Portland Harbor is a key outcome.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may not yield the best price.
Contract duration is long, increasing risk of scope creep or changing needs.
Small business participation is not indicated.

Positive Signals

Focus on critical Superfund site remediation.
Fixed-price contract provides cost certainty.
Clear end date for project delivery.

Sector Analysis

This contract falls under Remediation Services, a sector crucial for environmental cleanup and compliance. Spending in this area is driven by regulatory requirements and the need to address hazardous waste sites. Benchmarks are difficult without specific project details, but large Superfund site cleanups often involve multi-million dollar contracts.

Small Business Impact

The data indicates that small business participation was not a factor in this award (sb: false). This suggests the prime contractor is likely a larger entity, and there's no explicit requirement or mention of subcontracting to small businesses within this specific award notice.

Oversight & Accountability

The award is managed by NOAA, part of the Department of Commerce. Oversight will involve monitoring the contractor's progress on restoration planning and scaling activities for the Superfund sites to ensure compliance with environmental regulations and contract terms.

Related Government Programs

Remediation Services
Department of Commerce Contracting
National Oceanic and Atmospheric Administration Programs

Risk Flags

Potential for cost overruns despite fixed-price due to complexity.
Long contract duration increases risk of unforeseen issues.
Limited competition may not have secured the lowest possible price.
Lack of explicit small business set-aside or participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $446,221 to INDUSTRIAL ECONOMICS INC. RESTORATION PLANNING AND SCALING ACTIVITIES AS PART OF THE NRDAS FOR THE LOWER DUWAMISH RIVER AND PORTLAND HARBOR SUPERFUND SITES IN SEATTLE, WA AND PORTLAND, OR IN SUPPORT OF THE NOAA OFFICE OF HABITAT CONSERVATION

Who is the contractor on this award?

The obligated recipient is INDUSTRIAL ECONOMICS INC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $446,221.

What is the period of performance?

Start: 2022-09-22. End: 2027-09-21.

What specific remediation strategies will be employed, and how do they align with the long-term goals for the Lower Duwamish River and Portland Harbor?

The contract focuses on 'restoration planning and scaling activities.' This implies the initial phases involve detailed environmental assessments, feasibility studies, and the development of comprehensive plans for remediation. The specific strategies will be determined during this planning phase, guided by NOAA's objectives for habitat conservation and the requirements of the Superfund program, aiming for sustainable and effective long-term environmental recovery.

Given the limited competition, what mechanisms are in place to ensure the contractor, Industrial Economics Inc., is providing cost-effective services?

The contract is 'FIRM FIXED PRICE,' which inherently shifts cost risk to the contractor and provides a ceiling for expenditures. While competition was limited, NOAA will likely employ robust contract management, performance monitoring, and potentially milestone-based payments to ensure Industrial Economics Inc. delivers services efficiently and meets performance standards without exceeding the agreed-upon price.

How will the success of the restoration planning and scaling activities be measured to ensure taxpayer value?

Success will be measured against predefined milestones within the contract, such as the timely delivery of comprehensive restoration plans, accurate scaling assessments, and adherence to budget. Ultimately, taxpayer value is realized through the effective initiation of Superfund site cleanup, contributing to improved environmental quality and public health in the affected regions.

Industry Classification

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

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2067 MASS AVE STE 4, CAMBRIDGE, MA, 02140

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

Financial Breakdown

Contract Ceiling: $823,339

Exercised Options: $446,221

Current Obligation: $446,221

Actual Outlays: $194,979

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $305,764

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: DOCWC133F17CQ0105

IDV Type: IDC

Timeline