EPA awards $10.5M contract for animal care facility O&M to New Year Tech, Inc

Contract Overview

Contract Amount: $10,547,746 ($10.5M)

Contractor: NEW Year Tech, Inc

Awarding Agency: Environmental Protection Agency

Start Date: 2004-10-01

End Date: 2009-09-30

Contract Duration: 1,825 days

Daily Burn Rate: $5.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: O&M OF ANIMAL CARE FACILITY

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27705

State: North Carolina Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $10.5 million to NEW YEAR TECH, INC for work described as: O&M OF ANIMAL CARE FACILITY Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Duration of 5 years suggests a stable, long-term need for services. 3. Firm Fixed Price contract type shifts performance risk to the contractor. 4. The contract is for Operations & Maintenance (O&M) of an animal care facility. 5. The North American Industry Classification System (NAICS) code is 541710 (R&D in Physical, Engineering, and Life Sciences). 6. The contract was awarded by the Environmental Protection Agency (EPA).

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging without more detailed service descriptions and comparable contract data. The raw dollar amount of $10.5 million over five years averages to $2.1 million annually. Given the sole-source nature, it's difficult to assess if this represents competitive pricing. Further analysis would require understanding the scope of 'O&M of Animal Care Facility' and comparing it to similar contracts for facilities of comparable size and complexity, which are not readily available in the provided data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a 'NOT AVAILABLE FOR COMPETITION' basis, indicating a sole-source procurement. This means that only one vendor, New Year Tech, Inc., was solicited and awarded the contract. The lack of competition means that the EPA did not explore other potential vendors or receive multiple bids. This approach is typically used when only one source is capable of meeting the requirement, but it bypasses the competitive process that usually drives down prices and fosters innovation.

Taxpayer Impact: Sole-source awards can potentially lead to higher costs for taxpayers as there is no competitive pressure to ensure the most cost-effective solution is chosen. It also limits opportunities for other businesses to compete for government work.

Public Impact

The primary beneficiaries are likely EPA researchers and staff who rely on the animal care facility for their work. The contract ensures the continued operation and maintenance of essential animal care facilities, supporting scientific research. The geographic impact is localized to the facility's location in North Carolina. Workforce implications include the employment of personnel by New Year Tech, Inc. to perform the O&M services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potentially increases costs for taxpayers.
Lack of transparency in the justification for sole-source procurement.
Limited data available to assess the contractor's past performance or track record on similar contracts.

Positive Signals

Firm Fixed Price contract shifts performance risk to the contractor.
Contract duration of 5 years indicates a stable, ongoing need for these critical services.
The contract supports vital research activities within the EPA.

Sector Analysis

The contract falls under the Research and Development sector, specifically within the sub-sector of physical, engineering, and life sciences (NAICS 541710). This area involves significant government spending to support scientific advancement and innovation. Contracts for facility operations and maintenance are crucial for enabling the research activities that underpin this sector. Comparable spending benchmarks would typically involve looking at other government contracts for the maintenance and operation of specialized research facilities, such as laboratories or animal care centers, across various agencies.

Small Business Impact

The provided data indicates that small business participation was not a factor in this award, as the 'sb' field is false and the contract was sole-source. There is no indication of small business set-asides or subcontracting requirements associated with this specific award. This means that opportunities for small businesses to participate in this particular contract were likely non-existent due to the procurement method.

Oversight & Accountability

Oversight for this contract would primarily fall under the Environmental Protection Agency's contracting officers and program managers. As a sole-source award, the justification and process would be subject to internal EPA review and potentially oversight from federal procurement regulations. Transparency is limited due to the non-competitive nature. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

EPA Research and Development Contracts
Federal Animal Care Facility Management
Government Operations and Maintenance Services
Sole-Source Contract Awards

Risk Flags

Sole-source award
Lack of competition
Limited performance data available

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $10.5 million to NEW YEAR TECH, INC. O&M OF ANIMAL CARE FACILITY

Who is the contractor on this award?

The obligated recipient is NEW YEAR TECH, INC.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $10.5 million.

What is the period of performance?

Start: 2004-10-01. End: 2009-09-30.

What specific services are included under 'O&M of Animal Care Facility' for this contract?

The provided data does not detail the specific services encompassed by 'O&M of Animal Care Facility.' Typically, such services can include facility maintenance (HVAC, plumbing, electrical), sanitation, waste management, environmental monitoring, equipment calibration and repair, security, and potentially husbandry services related to the care of animals housed within the facility. A comprehensive understanding would require reviewing the contract's Statement of Work (SOW) or Performance Work Statement (PWS).

What was the justification for awarding this contract on a sole-source basis?

The data indicates the contract was 'NOT AVAILABLE FOR COMPETITION,' signifying a sole-source award. The specific justification for this determination is not provided. Common reasons for sole-source awards include unique capabilities of a single contractor, urgent and compelling needs where competition is not feasible, or when a specific piece of equipment or service is only available from one source. Without further documentation from the EPA, the precise rationale remains unknown.

How does the $10.5 million contract value compare to similar EPA animal care facility O&M contracts?

Direct comparison is difficult without access to a database of similar EPA contracts, including their scope, duration, and specific services. The $10.5 million over five years ($2.1 million annually) represents a significant investment. However, the value is highly dependent on the size and complexity of the animal care facility, the number of animals housed, and the specific O&M requirements. A sole-source award further complicates benchmarking, as competitive pricing dynamics are absent.

What is the track record of New Year Tech, Inc. in performing similar government contracts?

The provided data does not include information on New Year Tech, Inc.'s track record or past performance on government contracts. To assess their reliability and experience, one would need to consult contract databases (like FPDS or SAM.gov) for previous awards, performance reviews, and any reported issues. Without this information, it's impossible to evaluate their suitability based on past performance.

What are the potential risks associated with a sole-source contract of this magnitude?

The primary risks associated with a sole-source contract of this magnitude include a lack of competitive pricing, potentially leading to overpayment by the government. There's also a reduced incentive for the contractor to innovate or provide exceptional service, as there is no immediate threat of losing the contract to a competitor. Furthermore, it limits opportunities for other capable businesses to engage with the government, potentially hindering market competition and small business growth.

How does the Firm Fixed Price (FFP) contract type impact risk allocation for this contract?

A Firm Fixed Price (FFP) contract type places the majority of the performance risk on the contractor, New Year Tech, Inc. This means the contractor is obligated to complete the work for the agreed-upon price, regardless of unforeseen cost increases. While this protects the government from cost overruns, it incentivizes the contractor to manage costs efficiently. If the contractor underestimates costs or encounters unexpected challenges, their profit margin will be reduced.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation ID: PRNC0410374

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 12330 PINECREST ROAD, RESTON, VA, 11

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Minority Owned Business, Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $16,145,081

Exercised Options: $13,137,361

Current Obligation: $10,547,746

Timeline