DOE Awards $910M Task Order to Savannah River Mission Completion for Liquid Waste Program Operations

Contract Overview

Contract Amount: $910,535,421 ($910.5M)

Contractor: Savannah River Mission Completion, LLC

Awarding Agency: Department of Energy

Start Date: 2022-06-27

End Date: 2023-09-30

Contract Duration: 460 days

Daily Burn Rate: $2.0M/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Other

Official Description: THIS AWARD IS FOR THE SAVANNAH RIVER INTEGRATED MISSION COMPLETION CONTRACT TASK ORDER 3 - LIQUID WASTE PROGRAM OPERATIONS.

Place of Performance

Location: AIKEN, AIKEN County, SOUTH CAROLINA, 29802

State: South Carolina Government Spending

Plain-Language Summary

Department of Energy obligated $910.5 million to SAVANNAH RIVER MISSION COMPLETION, LLC for work described as: THIS AWARD IS FOR THE SAVANNAH RIVER INTEGRATED MISSION COMPLETION CONTRACT TASK ORDER 3 - LIQUID WASTE PROGRAM OPERATIONS. Key points: 1. The award focuses on critical liquid waste program operations at Savannah River. 2. Savannah River Mission Completion, LLC, the incumbent, secured this task order. 3. The contract type is Cost Plus Incentive Fee, indicating performance-based incentives. 4. This award falls under Remediation Services, a key sector for environmental cleanup.

Value Assessment

Rating: good

The award value of $910.5M for a 15-month period appears reasonable given the scope of liquid waste program operations. Benchmarking against similar large-scale environmental remediation contracts is necessary for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method is expected to drive price discovery and potentially achieve a fair and reasonable price for the government.

Taxpayer Impact: The competitive nature of the award aims to ensure taxpayer funds are used efficiently for essential environmental remediation services.

Public Impact

Ensures continued operation and management of hazardous liquid waste at a major federal site. Supports national security and environmental protection goals through safe waste handling. Provides stability for ongoing remediation efforts at the Savannah River Site.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns inherent in Cost Plus Incentive Fee contracts.
  • Reliance on a single contractor for critical, long-term operations.

Positive Signals

  • Awarded through full and open competition.
  • Focus on essential environmental remediation services.

Sector Analysis

This award is within the Remediation Services sector, which involves managing and cleaning up hazardous waste. Spending in this sector is often driven by regulatory requirements and legacy environmental issues at federal facilities.

Small Business Impact

The prime contractor, Savannah River Mission Completion, LLC, is not listed as a small business. Further analysis would be needed to determine if small businesses are included as subcontractors.

Oversight & Accountability

The Department of Energy's oversight will be crucial to ensure the contractor meets performance objectives and manages costs effectively under the incentive fee structure.

Related Government Programs

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

Risk Flags

  • Cost uncertainty inherent in Cost Plus Incentive Fee contracts.
  • Potential for scope creep in complex environmental operations.
  • Dependence on a single entity for critical infrastructure management.
  • Long-term environmental liabilities associated with liquid waste.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $910.5 million to SAVANNAH RIVER MISSION COMPLETION, LLC. THIS AWARD IS FOR THE SAVANNAH RIVER INTEGRATED MISSION COMPLETION CONTRACT TASK ORDER 3 - LIQUID WASTE PROGRAM OPERATIONS.

Who is the contractor on this award?

The obligated recipient is SAVANNAH RIVER MISSION COMPLETION, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $910.5 million.

What is the period of performance?

Start: 2022-06-27. End: 2023-09-30.

What are the key performance indicators (KPIs) tied to the incentive fee structure for this contract, and how will they be measured?

The specific KPIs are not detailed in the provided data. However, for a Cost Plus Incentive Fee contract in liquid waste operations, KPIs typically focus on safety metrics, environmental compliance, waste reduction targets, operational efficiency, and timely completion of milestones. Measurement would involve regular reporting by the contractor, verified by government quality assurance personnel, with performance against targets directly influencing the fee earned.

What is the historical performance of Savannah River Mission Completion, LLC on similar contracts, particularly regarding cost control and meeting environmental targets?

Historical performance data for Savannah River Mission Completion, LLC on similar contracts is not provided. A comprehensive review would require accessing past performance evaluations, contract close-out reports, and any documented issues or successes related to cost management, schedule adherence, and environmental remediation outcomes. This information is critical for assessing the risk associated with this award.

How does the $910.5 million award for 15 months compare to the projected budget and previous spending for liquid waste program operations at the Savannah River Site?

Without specific budget projections or historical spending data for this particular program, a direct comparison is difficult. However, the award amount suggests a significant ongoing investment in managing the site's liquid waste. Benchmarking against similar DOE sites or previous contract periods would be necessary to determine if this represents an increase, decrease, or stable level of funding for these critical operations.

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)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Address: 109 RAMSEY PL, LYNCHBURG, VA, 24501

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

Financial Breakdown

Contract Ceiling: $987,409,569

Exercised Options: $987,409,569

Current Obligation: $910,535,421

Actual Outlays: $905,898,438

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 89303322DEM000068

IDV Type: IDC

Timeline

Start Date: 2022-06-27

Current End Date: 2023-09-30

Potential End Date: 2023-09-30 00:00:00

Last Modified: 2025-02-27

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