DOE's $23.5M remediation services contract with AHTNA FACILITY SERVICES, INC. awarded via sole-source justification
Contract Overview
Contract Amount: $23,486,063 ($23.5M)
Contractor: Ahtna Facility Services, Incorporated
Awarding Agency: Department of Energy
Start Date: 2010-09-22
End Date: 2016-03-31
Contract Duration: 2,017 days
Daily Burn Rate: $11.6K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: TAS::89 0218::TAS FIRST TASK ORDER AGAINST CONTRACT NO. DE-FE0005000 WHICH OBLIGATES GOVERNMENT'S MINIMUM GUARANTEE
Place of Performance
Location: BAKERSFIELD, KERN County, CALIFORNIA, 93301
Plain-Language Summary
Department of Energy obligated $23.5 million to AHTNA FACILITY SERVICES, INCORPORATED for work described as: TAS::89 0218::TAS FIRST TASK ORDER AGAINST CONTRACT NO. DE-FE0005000 WHICH OBLIGATES GOVERNMENT'S MINIMUM GUARANTEE Key points: 1. Contract awarded as a sole-source action, raising questions about potential price efficiencies lost. 2. The contract duration spans over five years, indicating a long-term need for remediation services. 3. Services are categorized under Remediation Services, a critical area for environmental management. 4. The contract was awarded by the Department of Energy, a frequent issuer of such services. 5. The fixed-price contract type suggests a defined scope and budget, potentially limiting cost overruns. 6. The contract was awarded in California, a state with significant environmental remediation needs.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without comparable sole-source remediation services contracts from the Department of Energy. The firm fixed-price structure provides some cost certainty, but the lack of competition means there's no market-driven validation of the pricing. Further analysis would require access to detailed cost breakdowns and comparisons with similar services procured competitively.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning it was not openly competed. This approach is typically used when only one responsible source is available or in the interest of the government. The lack of competition limits the government's ability to leverage market forces to achieve the best possible price and value.
Taxpayer Impact: Sole-source awards can potentially lead to higher costs for taxpayers as there is no competitive pressure to drive down prices. This necessitates robust internal oversight to ensure fair pricing.
Public Impact
The primary beneficiaries are likely the Department of Energy and potentially other federal agencies requiring environmental remediation services. The services delivered are critical for environmental cleanup and compliance at federal sites. The contract has a geographic impact in California, where the services are performed. The contract supports jobs within the environmental services sector, particularly for the awarded contractor and its subcontractors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competitive pricing and potential value for taxpayers.
- Lack of transparency in the sole-source justification process could hide inefficiencies.
- Long contract duration may not adapt well to evolving remediation technologies or needs.
Positive Signals
- Firm fixed-price contract provides budget certainty for the government.
- Award to a specific contractor suggests a potentially specialized capability meeting a unique need.
- Remediation services are essential for environmental protection and regulatory compliance.
Sector Analysis
The environmental remediation services sector is a significant part of the broader industrial services market. Federal agencies, particularly the Department of Energy and Department of Defense, are major clients due to the legacy of environmental contamination at many of their sites. Spending in this sector is driven by regulatory requirements, cleanup mandates, and the need to manage hazardous materials. Comparable spending benchmarks would involve analyzing other large-scale remediation contracts awarded by federal agencies.
Small Business Impact
Information regarding small business set-asides or subcontracting plans is not available in the provided data. As this was a sole-source award, it is less likely to have included specific small business subcontracting goals unless mandated by the contracting agency for specific reasons. Further investigation into the contract's specific terms and conditions would be needed to assess any impact on the small business ecosystem.
Oversight & Accountability
Oversight for this contract would primarily fall under the Department of Energy's contracting and program management offices. Inspector General jurisdiction would apply to investigations of fraud, waste, or abuse. Transparency is limited by the sole-source nature of the award, but contract award data is generally publicly available through federal procurement databases.
Related Government Programs
- Environmental Remediation Services
- Department of Energy Contracts
- Federal Facility Cleanup Programs
- Hazardous Waste Management Contracts
Risk Flags
- Sole-source award justification requires scrutiny.
- Lack of competitive bidding may lead to suboptimal pricing.
- Long-term contract duration needs performance monitoring.
Tags
department-of-energy, remediation-services, sole-source, firm-fixed-price, environmental-services, california, large-contract, federal-agency, environmental-cleanup
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $23.5 million to AHTNA FACILITY SERVICES, INCORPORATED. TAS::89 0218::TAS FIRST TASK ORDER AGAINST CONTRACT NO. DE-FE0005000 WHICH OBLIGATES GOVERNMENT'S MINIMUM GUARANTEE
Who is the contractor on this award?
The obligated recipient is AHTNA FACILITY SERVICES, INCORPORATED.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $23.5 million.
What is the period of performance?
Start: 2010-09-22. End: 2016-03-31.
What specific remediation activities are covered under this contract?
The provided data indicates the contract is for 'Remediation Services' under NAICS code 562910. This broad category typically encompasses a range of activities related to cleaning up contaminated sites, managing hazardous waste, and restoring environmental conditions. Specific activities could include site assessment, soil and groundwater remediation, demolition of contaminated structures, waste disposal, and long-term monitoring. Without the full contract details, the precise scope of work remains unspecified, but it is clearly focused on addressing environmental contamination issues for the Department of Energy.
Why was this contract awarded on a sole-source basis?
The data explicitly states the contract was awarded as 'NOT AVAILABLE FOR COMPETITION,' which is synonymous with a sole-source award. The justification for such an award typically falls under specific exceptions to full and open competition, such as when only one responsible source is capable of providing the required services, or in situations where urgency or national security dictates a non-competitive award. For this specific contract, the reason for the sole-source justification is not detailed in the provided data. A deeper dive into the contract's justification documentation would be necessary to understand the rationale.
What is the track record of AHTNA FACILITY SERVICES, INC. with the federal government?
AHTNA FACILITY SERVICES, INC. has been awarded this specific contract by the Department of Energy. To assess their broader track record, one would need to examine their contract history across all federal agencies. This would involve looking at the number and value of contracts awarded, the types of services provided, past performance reviews, and any instances of contract disputes or terminations. The provided data only offers a snapshot of one contract, making a comprehensive assessment of their track record impossible without further research into federal procurement databases.
How does the $23.5 million obligation compare to typical remediation contracts?
The $23.5 million obligation represents a significant investment in remediation services. While it is a substantial amount, the 'typical' size of remediation contracts can vary widely depending on the scope, complexity, and duration of the cleanup effort. Large-scale environmental remediation projects for federal agencies can easily run into tens or hundreds of millions of dollars over their lifecycle. To provide a precise comparison, one would need to benchmark this against other remediation contracts awarded by the Department of Energy or other agencies for similar types of sites or contamination issues, considering both total contract value and annual spending.
What are the potential risks associated with a sole-source remediation contract?
The primary risk associated with a sole-source remediation contract is the potential for inflated costs due to the absence of competitive bidding. Without competing offers, the government may not achieve the most favorable pricing. Other risks include a lack of innovation if the sole provider is not incentivized to explore more efficient methods, and potential vendor lock-in, making it difficult to switch providers if performance issues arise. Furthermore, the justification for the sole-source award itself needs to be robust to ensure it is truly in the government's best interest.
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 › NATURAL RESOURCES - OTHER SVCS
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Ahtna, Incorporated (UEI: 069586055)
Address: 240 E TUDOR RD STE 100, ANCHORAGE, AK, 99503
Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $23,486,063
Exercised Options: $23,486,063
Current Obligation: $23,486,063
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: DEFE0005000
IDV Type: IDC
Timeline
Start Date: 2010-09-22
Current End Date: 2016-03-31
Potential End Date: 2016-09-16 00:00:00
Last Modified: 2016-09-15
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