Environmental Protection Agency awards $2.5M contract for Luttrell Repository remediation to Environmental Restoration LLC

Contract Overview

Contract Amount: $2,494,341 ($2.5M)

Contractor: Environmental Restoration LLC

Awarding Agency: Environmental Protection Agency

Start Date: 2024-07-23

End Date: 2026-03-31

Contract Duration: 616 days

Daily Burn Rate: $4.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: UPPER TENMILE CREEK MINING AREA LUTTRELL REPOSITORY RAF ESO TASK ORDER

Place of Performance

Location: DENVER, DENVER County, COLORADO, 80202

State: Colorado Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $2.5 million to ENVIRONMENTAL RESTORATION LLC for work described as: UPPER TENMILE CREEK MINING AREA LUTTRELL REPOSITORY RAF ESO TASK ORDER Key points: 1. Contract awarded to Environmental Restoration LLC for remediation services. 2. The contract is a firm-fixed-price delivery order. 3. Performance period spans over 600 days. 4. The contract falls under the Remediation Services NAICS code. 5. The agency is the Environmental Protection Agency. 6. The contract was awarded under full and open competition after exclusion of sources.

Value Assessment

Rating: fair

The contract value of $2.5 million for remediation services over approximately two years appears to be within a reasonable range for such projects. Benchmarking against similar environmental restoration contracts would provide a clearer picture of value for money. The firm-fixed-price structure suggests that the contractor bears the risk of cost overruns, which can be a positive indicator for the government if the scope is well-defined. However, without detailed cost breakdowns or comparisons to industry standards for the specific remediation tasks, a definitive assessment of cost-effectiveness is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources.' This specific procurement method indicates that while the competition was intended to be broad, certain sources may have been excluded based on specific criteria or prior determinations. The number of bidders is not specified, but the 'full and open' designation suggests an effort to solicit from a wide range of qualified contractors. The exclusion of sources, if justified and transparent, should not inherently diminish price discovery, but it warrants scrutiny to ensure it did not unduly limit competition.

Taxpayer Impact: The use of full and open competition, even with exclusions, aims to leverage market forces to secure competitive pricing for taxpayers. Transparency in the exclusion criteria is key to ensuring that the government received the best possible value and that taxpayer funds were used efficiently.

Public Impact

The primary beneficiaries are likely the local communities and ecosystems impacted by the contamination at the Luttrell Repository. The services delivered involve environmental remediation, aiming to clean up and restore the affected site. The geographic impact is specific to the Upper Tenmile Creek Mining Area in Colorado. Workforce implications may include employment opportunities for environmental scientists, engineers, and skilled labor involved in remediation activities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial site assessments are incomplete, leading to cost increases.
Reliance on a single contractor for a critical remediation phase could pose risks if performance issues arise.
Environmental regulations are complex and subject to change, potentially impacting project timelines and costs.

Positive Signals

Firm-fixed-price contract structure shifts cost risk to the contractor.
Awarded by the Environmental Protection Agency, a primary agency for environmental oversight.
The contract is for a defined period, allowing for focused project management.

Sector Analysis

The environmental remediation sector is a critical component of the broader environmental services industry, which is driven by regulatory compliance, legacy site cleanup, and sustainable development initiatives. This contract fits within the government's ongoing efforts to address historical environmental contamination. Comparable spending benchmarks in this sector can vary widely based on the complexity of the contamination, the size of the site, and the specific remediation technologies employed. The EPA's consistent funding for such activities underscores the importance of this sector.

Small Business Impact

The provided data does not indicate whether this contract included small business set-asides or subcontracting goals. Without this information, it is difficult to assess the direct impact on the small business ecosystem. However, large environmental remediation contracts often involve significant subcontracting opportunities, which could potentially benefit small businesses if actively pursued by the prime contractor. Further investigation into the contractor's subcontracting plan would be necessary.

Oversight & Accountability

Oversight for this contract will primarily be managed by the Environmental Protection Agency (EPA) contracting officers and technical representatives. The firm-fixed-price nature of the contract provides a degree of accountability by placing cost risk on the contractor. Transparency regarding project progress and any significant issues would typically be available through EPA contract reporting mechanisms. The EPA also has an Inspector General's office that can provide independent oversight and audit functions.

Related Government Programs

Superfund Remedial Action
RCRA Corrective Action
Brownfields Program
Federal Facility Cleanup

Risk Flags

Potential for unforeseen site conditions impacting cost and schedule.
Complexity of environmental regulations requires careful management.
Contract performance monitoring is crucial due to the critical nature of remediation.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $2.5 million to ENVIRONMENTAL RESTORATION LLC. UPPER TENMILE CREEK MINING AREA LUTTRELL REPOSITORY RAF ESO TASK ORDER

Who is the contractor on this award?

The obligated recipient is ENVIRONMENTAL RESTORATION LLC.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $2.5 million.

What is the period of performance?

Start: 2024-07-23. End: 2026-03-31.

What is the specific nature of the contamination at the Luttrell Repository and what remediation technologies are anticipated?

The specific contaminants at the Luttrell Repository are not detailed in the provided data. However, given the context of mining areas, potential contaminants could include heavy metals (such as lead, arsenic, cadmium), acidic mine drainage, and potentially radioactive materials. The remediation technologies will depend on the identified contaminants and site conditions. Common methods include excavation and off-site disposal, in-situ stabilization/solidification, capping, or bioremediation. The EPA's selection of Environmental Restoration LLC suggests the contractor has expertise in the required remediation techniques. A detailed site characterization report and remediation plan would outline the specific technologies to be employed.

How does the $2.5 million contract value compare to similar environmental remediation projects of comparable scope and complexity?

Benchmarking the $2.5 million contract value requires comparing it to similar environmental remediation projects. Factors influencing cost include the volume of contaminated material, the type and concentration of contaminants, the geographic location, site accessibility, and the chosen remediation technologies. For instance, a simple soil excavation and disposal project might cost significantly less per cubic yard than a complex in-situ treatment of groundwater contamination. Without specific details on the Luttrell Repository's contamination profile and the planned remediation approach, a precise comparison is difficult. However, for a project spanning over 600 days and involving significant environmental work, $2.5 million represents a moderate investment. The EPA likely conducted a cost analysis during procurement to ensure this value was competitive.

What is Environmental Restoration LLC's track record with the EPA and on similar federal contracts?

Environmental Restoration LLC (ERI) is a known entity in the environmental services sector, often involved in government contracting, including work with the EPA and Department of Defense. Their track record typically includes a range of services such as hazardous waste management, site remediation, demolition, and environmental consulting. To assess their specific performance on this contract, one would need to review past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS) for previous EPA or federal contracts. A review of their project portfolio and any publicly available information on past project successes or challenges would also be informative. Generally, companies awarded significant federal contracts have demonstrated capabilities, but individual project performance can vary.

What are the potential risks associated with this contract, and what mitigation strategies are in place?

Potential risks for this contract include unforeseen site conditions (e.g., discovering more contamination than initially assessed), changes in environmental regulations, contractor performance issues, and potential delays due to weather or logistical challenges. Mitigation strategies often involve thorough site investigations prior to contract award, contingency planning within the contract scope, robust project management by the EPA, and clear communication channels with the contractor. The firm-fixed-price nature of the contract inherently shifts some financial risk to the contractor, incentivizing them to manage costs and timelines effectively. The EPA's oversight will be crucial in identifying and addressing risks as they emerge.

How has federal spending on environmental remediation services trended in recent years, and how does this contract fit into that trend?

Federal spending on environmental remediation services has remained a significant area of investment, driven by the need to address legacy contamination from past industrial and military activities, as well as ongoing environmental protection efforts. Agencies like the EPA (through programs like Superfund) and the Department of Defense consistently allocate substantial budgets to cleanup and restoration projects. Spending trends can fluctuate based on congressional appropriations, the identification of new contaminated sites, and the prioritization of cleanup efforts. This $2.5 million contract for the Luttrell Repository fits within the broader federal commitment to environmental restoration. It represents a specific, targeted investment in addressing contamination at a particular site, contributing to the overall federal goal of environmental stewardship.

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 › ENVIRONMENTAL SYSTEMS PROTECTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 68HE0824R0005

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1666 FABICK DR, FENTON, MO, 63026

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

Financial Breakdown

Contract Ceiling: $3,957,810

Exercised Options: $2,494,341

Current Obligation: $2,494,341

Actual Outlays: $1,012,991

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 68HE0118D0005

IDV Type: IDC

Timeline