DoD's $14.1M Remediation Services Contract with UXB International Faces Scrutiny Over Competition and Value

Contract Overview

Contract Amount: $14,139,288 ($14.1M)

Contractor: UXB International, Inc.

Awarding Agency: Department of Defense

Start Date: 2001-08-30

End Date: 2011-03-31

Contract Duration: 3,500 days

Daily Burn Rate: $4.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Place of Performance

Location: WHITE SANDS MISSILE RANGE, DONA ANA County, NEW MEXICO, 88002

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $14.1 million to UXB INTERNATIONAL, INC. for work described as: Key points: 1. The contract awarded to UXB INTERNATIONAL, INC. for remediation services totaled $14.1 million. 2. Competition was listed as 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', suggesting potential limitations. 3. The contract duration was substantial, spanning from 2001 to 2011. 4. The sector is primarily environmental remediation, a critical but often complex area for government spending. 5. The fixed-price contract type aims to control costs, but the long duration warrants review.

Value Assessment

Rating: questionable

The total award of $14.1 million over a decade suggests a significant investment. Without specific per-unit cost data or benchmarks for similar remediation projects, assessing the value for money is difficult. The long duration and specific competition method raise questions about whether the government consistently received competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates that while the competition was intended to be open, specific sources were excluded. This limits the pool of potential bidders and may have impacted price discovery, potentially leading to higher costs than a truly open competition.

Taxpayer Impact: The long-term nature and the specific competition method suggest that taxpayers may have paid more than necessary if a broader competitive field could have been engaged. The $14.1 million total award warrants a review of cost-effectiveness over the contract's lifespan.

Public Impact

Environmental cleanup services are vital for public health and safety, impacting communities near affected sites. Long-term government contracts can provide stable work for specialized firms, contributing to the local economy. The use of 'exclusion of sources' in competition raises transparency concerns for the public and potential bidders. The significant dollar amount highlights the government's commitment to environmental remediation efforts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method
Long contract duration (10 years)
Lack of clear per-unit cost data for value assessment

Positive Signals

Firm fixed-price contract type helps control costs
Contract addresses essential environmental remediation needs

Sector Analysis

The environmental remediation sector involves specialized services for cleaning up contaminated sites. Government contracts in this area are crucial for fulfilling regulatory requirements and protecting public health. Benchmarks for remediation services can vary widely based on the type and scale of contamination, making direct comparisons challenging.

Small Business Impact

The data does not indicate whether small businesses participated in or benefited from this contract. Given the specialized nature and significant value, it's possible that larger firms dominated the bidding process, potentially limiting small business opportunities.

Oversight & Accountability

The long duration of this contract (2001-2011) necessitates robust oversight to ensure performance standards were met and costs remained justified. The 'exclusion of sources' clause requires careful justification to ensure accountability and prevent potential favoritism.

Related Government Programs

Remediation Services
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Limited competition raises concerns about potential overpayment.
Long contract duration may indicate a lack of flexibility or missed opportunities for re-competition.
Lack of detailed cost breakdown makes value assessment difficult.
The 'exclusion of sources' clause requires scrutiny for fairness and effectiveness.
Potential for scope creep over a decade-long contract.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.1 million to UXB INTERNATIONAL, INC.. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is UXB INTERNATIONAL, 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 $14.1 million.

What is the period of performance?

Start: 2001-08-30. End: 2011-03-31.

What specific remediation services were provided under this contract, and how did their scope evolve over the 10-year period?

The contract was for 'Remediation Services' (NAICS 562910). While the specific types of remediation are not detailed, this typically includes activities like hazardous waste removal, site cleanup, and environmental restoration. The long duration suggests a potentially broad or evolving scope, possibly addressing multiple sites or phases of cleanup, which would require ongoing monitoring to ensure efficient resource allocation and task completion.

How was the 'exclusion of sources' justified, and what impact did it have on the final contract price compared to a fully open bid?

The justification for excluding specific sources is critical for understanding the competitive landscape. If only a few firms were deemed capable, it could limit price competition. A thorough review would assess if alternative, qualified firms were overlooked and if the final price reflects the limited competition, potentially indicating a premium paid by the government.

Were there performance metrics or milestones tied to the $14.1 million award, and how effectively were they met over the contract's lifespan?

Firm fixed-price contracts often include performance standards or milestones. Understanding these metrics and assessing UXB International's performance against them is key to evaluating the contract's effectiveness. Evidence of successful remediation completion and adherence to timelines would indicate value, while delays or unmet standards would raise concerns about the $14.1 million expenditure.

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: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 21641 BEAUMEADE CIRCLE SUI, ASHBURN, VA, 20147

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $50,298

Exercised Options: $50,298

Current Obligation: $14,139,288

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline