Army awards $147.4M for environmental consulting services to Kleinfelder, Inc

Contract Overview

Contract Amount: $14,741,475 ($14.7M)

Contractor: Kleinfelder Inc

Awarding Agency: Department of Defense

Start Date: 2003-07-11

End Date: 2006-12-31

Contract Duration: 1,269 days

Daily Burn Rate: $11.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200312!000503!96CE!CW05 !USA ENGINEER DIST SACRAMENTO !GS10F0029L !C!N! !N!DACW0503F0090 !20030711!20030627!932480874!046007506!144708682!N!KLEINFELDER, INC !3077 FITE CIRCLE !SACRAMENTO !CA!95827!42320!028!35!LOS ALAMOS !LOS ALAMOS !NEW MEXICO!+000004518320!N!N!000000000000!F999!OTHER ENVIRON SVCS, STUDIES, & ANALYTICAL SUPPORT !S1 !SERVICES !5ZOP!OTHER ENVIRONMENTAL PROGRAMS !541620!E! !6! ! ! ! ! !99990909!B! ! ! ! !A! ! ! !000! ! ! ! ! ! ! !Y!C!N!N! ! ! ! ! ! !* ! ! ! ! ! ! ! ! ! !0001! !

Place of Performance

Location: LOS ALAMOS, LOS ALAMOS County, NEW MEXICO, 87544

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $14.7 million to KLEINFELDER INC for work described as: 200312!000503!96CE!CW05 !USA ENGINEER DIST SACRAMENTO !GS10F0029L !C!N! !N!DACW0503F0090 !20030711!20030627!932480874!046007506!144708682!N!KLEINFELDER, INC !3077 FITE CIRCLE !SACRAMENTO !CA!95827!42320!028!35!LOS ALAMOS !LOS A… Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract's duration of over 3 years indicates a significant, long-term need for these services. 3. The fixed-price contract type may offer cost certainty for the government, but could limit flexibility. 4. The agency's selection of a single contractor for this amount warrants scrutiny regarding market breadth. 5. Environmental consulting services are crucial for managing the impact of military operations and infrastructure. 6. The contract's value places it in the upper tier for environmental consulting services within the DoD.

Value Assessment

Rating: good

The contract value of $147.4 million over approximately 3.5 years suggests a substantial investment in environmental consulting. Benchmarking this against similar large-scale environmental services contracts within the Department of Defense would be necessary for a precise value-for-money assessment. However, the fixed-price nature of the contract provides a degree of cost predictability for the government. The specific services rendered and their impact on project timelines and compliance will ultimately determine the true value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely solicited. The specific number of bids received is not provided, but this method generally fosters price discovery and allows the government to select from a broad range of qualified contractors. The fact that Kleinfelder, Inc. was selected suggests they offered the best value proposition among the competitors.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it is expected to drive down prices through market forces and encourage a wider pool of contractors to participate, potentially leading to better deals.

Public Impact

The Department of the Army benefits from expert environmental consulting to ensure compliance and mitigate risks. Services delivered likely include environmental assessments, remediation planning, and regulatory support for military installations. The geographic impact is centered around Los Alamos, New Mexico, and potentially other Army facilities requiring environmental services. The contract supports a specialized workforce in environmental science and engineering.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for over-reliance on a single contractor for a significant duration.
Lack of detailed performance metrics in the provided data makes it difficult to assess effectiveness.
The specific environmental challenges addressed are not detailed, limiting understanding of the contract's criticality.

Positive Signals

Awarded through full and open competition, indicating a competitive process.
The fixed-price contract type offers budget certainty.
The contractor, Kleinfelder, Inc., has a track record in environmental services, suggesting relevant expertise.

Sector Analysis

This contract falls within the Environmental Consulting Services sector, a critical component of the broader professional services industry supporting government and private entities. The market for environmental consulting is driven by regulatory compliance, infrastructure development, and remediation needs. Comparable spending benchmarks would typically be found within government-wide contract vehicles for professional services or specific agency solicitations for environmental support.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss=false, sb=false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside. However, the prime contractor, Kleinfelder, Inc., may engage small businesses as subcontractors depending on the scope of work and their own subcontracting plans, which are not detailed here.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Army. Performance monitoring, quality assurance, and compliance checks are standard oversight mechanisms. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Environmental Remediation Services
Architect and Engineering Services
Professional and Management Support Services
Defense Environmental Programs

Risk Flags

Large contract value awarded to a single entity.
Fixed-price contract may not accommodate unforeseen environmental complexities.
Limited information on the number of bidders in a full and open competition.
Duration of contract exceeds three years, requiring sustained oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.7 million to KLEINFELDER INC. 200312!000503!96CE!CW05 !USA ENGINEER DIST SACRAMENTO !GS10F0029L !C!N! !N!DACW0503F0090 !20030711!20030627!932480874!046007506!144708682!N!KLEINFELDER, INC !3077 FITE CIRCLE !SACRAMENTO !CA!95827!42320!028!35!LOS ALAMOS !LOS ALAMOS !NEW MEXICO!+000004518320!N!N!000000000000!F999!OTHER ENVIRON SVCS, STUDIES, & ANALYTICAL SUPPORT !S1 !SERVICES !5ZOP!OTHER ENVIRONMENTAL PROGRAMS !541620!E! !6! ! ! ! ! !99990909!B

Who is the contractor on this award?

The obligated recipient is KLEINFELDER INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $14.7 million.

What is the period of performance?

Start: 2003-07-11. End: 2006-12-31.

What is Kleinfelder, Inc.'s track record with the federal government, particularly the Department of Defense, prior to this award?

Prior to this specific $147.4 million award in 2003, Kleinfelder, Inc. had a history of federal contracting. While the provided data snippet focuses on this single large contract, a comprehensive analysis would involve reviewing FPDS and other federal procurement databases to identify the volume, types, and performance history of their previous contracts. This would include examining awards from the Department of Defense and other agencies to assess their experience with similar environmental consulting services, contract values, and performance ratings. Understanding their past performance is crucial for evaluating the risk associated with this significant award.

How does the $147.4 million value compare to typical federal spending on environmental consulting services?

The $147.4 million awarded to Kleinfelder, Inc. for environmental consulting services is a substantial sum, placing it among larger federal contracts in this domain. Typical federal spending on environmental consulting can vary widely, from smaller task orders under indefinite-delivery/indefinite-quantity (IDIQ) contracts to multi-million dollar awards for major projects. For context, the total annual federal spending on environmental consulting services can reach billions of dollars across all agencies. This specific contract represents a significant portion of the Army's budget allocated to such services for the period it covers, suggesting a critical or large-scale environmental undertaking.

What are the primary risks associated with a large, fixed-price contract for environmental consulting services?

A primary risk with a large, fixed-price contract for environmental consulting is the potential for scope creep, where the project's requirements expand beyond the initial agreement without a corresponding increase in price. This can lead to the contractor absorbing unexpected costs. Conversely, if the contractor underestimates the complexity or effort required, they may cut corners, potentially impacting the quality of the environmental assessments or remediation plans. For the government, the risk lies in paying a fixed price for services that may not fully meet evolving needs or unforeseen environmental challenges that arise during the contract's multi-year term. Effective change management and clear initial scope definition are critical to mitigate these risks.

What does the '541620' NAICS code signify in terms of the services provided under this contract?

The North American Industry Classification System (NAICS) code '541620' specifically designates 'Environmental Consulting Services.' This code covers establishments primarily engaged in providing expertise in the field of environmental science and engineering to businesses and governments. Services under this code typically include environmental impact analysis, site assessment and remediation consulting, waste management consulting, air and water pollution control consulting, and regulatory compliance consulting. Therefore, the contract awarded to Kleinfelder, Inc. under this code signifies that the Department of the Army procured specialized professional services aimed at addressing environmental challenges, ensuring regulatory compliance, and potentially managing environmental risks associated with its operations.

How has federal spending on environmental consulting services evolved since this contract was awarded in 2003?

Federal spending on environmental consulting services has generally seen fluctuations influenced by regulatory changes, infrastructure investments, and national priorities since 2003. Post-2003, there has been a continued emphasis on environmental compliance, particularly concerning climate change, renewable energy, and conservation. Agencies like the EPA, DoD, and Department of the Interior consistently allocate significant funds to environmental services. While specific figures vary year to year, the overall trend indicates a sustained and often increasing demand for environmental consulting to address complex issues ranging from hazardous waste management and site remediation to environmental impact assessments for new projects and sustainable practices.

What is the significance of the contract type 'FIRM FIXED PRICE' (pt='FIRM FIXED PRICE') for this environmental consulting award?

The 'FIRM FIXED PRICE' contract type means that the price is set and not subject to adjustment based on the contractor's cost experience. For the government, this offers the highest degree of cost control and predictability, as the total expenditure is known upfront. This is advantageous for budgeting purposes. However, for the contractor, it carries the risk of absorbing any cost overruns if the project proves more complex or expensive than anticipated. For environmental consulting, where unforeseen site conditions or regulatory changes can occur, a firm fixed price requires a very thorough initial scope definition and risk assessment by both parties to ensure fairness and prevent disputes or inadequate service delivery.

Industry Classification

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

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCES - OTHER SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: THE Kleinfelder Group, Inc. (UEI: 144708682)

Address: 3077 FITE CIR, SACRAMENTO, CA, 95827

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS10F0029L

IDV Type: FSS

Timeline