DOE Awards $121M Remediation Services Contract to RSI Entech, LLC for 3 Years

Contract Overview

Contract Amount: $121,106,156 ($121.1M)

Contractor: RSI Entech, LLC

Awarding Agency: Department of Energy

Start Date: 2023-10-01

End Date: 2026-09-30

Contract Duration: 1,095 days

Daily Burn Rate: $110.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: TO INCREMENTALLY FUND TO 9 FOR ONE MONTH.

Place of Performance

Location: OAK RIDGE, ANDERSON County, TENNESSEE, 37830

State: Tennessee Government Spending

Plain-Language Summary

Department of Energy obligated $121.1 million to RSI ENTECH, LLC for work described as: TO INCREMENTALLY FUND TO 9 FOR ONE MONTH. Key points: 1. Contract value of $121.1M over three years. 2. RSI Entech, LLC is the awardee. 3. Department of Energy is the contracting agency. 4. NAICS code 562910 indicates Remediation Services. 5. Contract type is Cost Plus Fixed Fee.

Value Assessment

Rating: fair

The contract is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking against similar remediation services contracts is needed to assess pricing reasonableness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition after exclusion of sources. This method aims for broad market participation, but the exclusion of sources warrants further investigation to ensure fair price discovery.

Taxpayer Impact: Taxpayer funds are being used to cover the costs of remediation services, with the final cost dependent on the fixed fee and actual costs incurred.

Public Impact

Environmental cleanup services funded by taxpayers. Potential for long-term environmental impact mitigation. Job creation in the remediation sector. Ensuring compliance with environmental regulations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize higher costs.
  • Exclusion of sources in competition needs justification.
  • Limited information on specific remediation tasks and expected outcomes.

Positive Signals

  • Full and open competition utilized.
  • Contract awarded to a specific company for defined services.
  • Clear contract duration and start/end dates.

Sector Analysis

The remediation services sector is critical for environmental protection and compliance. Spending in this sector can vary significantly based on the scale and complexity of cleanup projects, regulatory requirements, and the number of active sites.

Small Business Impact

No specific information is provided regarding small business participation in this contract. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

Oversight will be crucial to monitor costs under the Cost Plus Fixed Fee structure and ensure the remediation services are performed effectively and efficiently, meeting all environmental standards.

Related Government Programs

  • Remediation Services
  • Department of Energy Contracting
  • Department of Energy Programs

Risk Flags

  • Cost Plus Fixed Fee structure may lead to cost overruns.
  • Justification for 'exclusion of sources' is unclear.
  • Lack of detailed performance metrics.
  • Potential for limited competition despite 'full and open' designation.

Tags

remediation-services, department-of-energy, tn, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $121.1 million to RSI ENTECH, LLC. TO INCREMENTALLY FUND TO 9 FOR ONE MONTH.

Who is the contractor on this award?

The obligated recipient is RSI ENTECH, LLC.

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $121.1 million.

What is the period of performance?

Start: 2023-10-01. End: 2026-09-30.

What specific remediation activities are covered under this contract, and what are the expected environmental outcomes?

The contract specifies 'Remediation Services' under NAICS code 562910. However, the exact scope of work, including the types of contaminants, the geographical areas of remediation, and the specific cleanup technologies to be employed, is not detailed in the provided data. Expected environmental outcomes, such as pollutant reduction targets or site restoration goals, would also require further documentation review.

How does the 'exclusion of sources' in the full and open competition process impact the overall cost-effectiveness and fairness of the award?

While the contract states 'full and open competition after exclusion of sources,' the rationale for excluding specific sources is not provided. This exclusion could potentially limit the competitive pool, possibly leading to higher prices than if all capable sources were considered. A thorough review of the justification for exclusion is necessary to ensure it was based on legitimate technical or programmatic reasons and did not unduly restrict competition.

What are the key performance indicators (KPIs) for RSI Entech, LLC, and how will their performance be measured to ensure effective remediation?

The provided data does not include specific Key Performance Indicators (KPIs) or the metrics that will be used to evaluate RSI Entech, LLC's performance. Effective oversight would require clearly defined KPIs related to project timelines, budget adherence, quality of work, safety protocols, and environmental impact reduction. Regular performance reviews against these KPIs are essential for ensuring the successful and efficient completion of the remediation services.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 203 VICTORIUS BLVD, OAK RIDGE, TN, 37830

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $143,967,632

Exercised Options: $143,967,632

Current Obligation: $121,106,156

Actual Outlays: $99,402,401

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 89303020DLM000001

IDV Type: IDC

Timeline

Start Date: 2023-10-01

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-03-05

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