DoD's BECOS contract awards $13.7M to LATA-CTI for environmental services over 10 years

Contract Overview

Contract Amount: $13,725,026 ($13.7M)

Contractor: Lata-Cti Environmental Services LLC

Awarding Agency: Department of Defense

Start Date: 2020-09-28

End Date: 2030-09-27

Contract Duration: 3,651 days

Daily Burn Rate: $3.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BRAC-ENVIRONMENTAL CONSTRUCTION AND OPTIMIZATION SERVICES (BECOS)

Place of Performance

Location: GRISSOM ARB, MIAMI County, INDIANA, 46971

State: Indiana Government Spending

Plain-Language Summary

Department of Defense obligated $13.7 million to LATA-CTI ENVIRONMENTAL SERVICES LLC for work described as: BRAC-ENVIRONMENTAL CONSTRUCTION AND OPTIMIZATION SERVICES (BECOS) Key points: 1. Contract awarded to LATA-CTI ENVIRONMENTAL SERVICES LLC for environmental remediation. 2. Significant 10-year duration suggests long-term need for services. 3. Full and open competition after exclusion of sources indicates a specific, but competitive, procurement approach. 4. The contract is firm fixed price, providing cost certainty for the government.

Value Assessment

Rating: good

The contract's firm fixed price structure provides good cost control. Benchmarking against similar remediation contracts is difficult without more detailed service scope and location data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The procurement method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests a competitive process but with specific pre-qualification or limitations. This method aims to balance competition with ensuring qualified vendors, potentially impacting price discovery compared to unrestricted full and open competition.

Taxpayer Impact: The firm fixed price contract offers predictable costs, minimizing unexpected taxpayer expenses for the defined scope of work over the 10-year period.

Public Impact

Ensures continued environmental cleanup and compliance at Department of Defense facilities. Supports long-term environmental stewardship and remediation efforts. Provides stable employment for personnel involved in environmental services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (10 years) may limit flexibility to adopt new technologies or pricing models.
Exclusion of sources in competition could potentially limit the pool of highly competitive bids.
Lack of small business participation noted.

Positive Signals

Firm fixed price contract provides budget certainty.
Long-term contract ensures continuity of essential environmental services.
Competition, even with exclusions, likely drove a reasonable price.

Sector Analysis

Environmental remediation services are crucial for government agencies managing legacy contamination and ongoing compliance. Spending in this sector can vary significantly based on the scale of cleanup required and regulatory mandates.

Small Business Impact

The data indicates no small business participation in this contract. This suggests that the prime contractor is likely a large business, and opportunities for small businesses may be limited to subcontracting, which is not detailed here.

Oversight & Accountability

The firm fixed price contract and the 'full and open competition after exclusion of sources' method suggest a structured procurement process. Oversight would focus on contract performance, adherence to environmental regulations, and cost management throughout the 10-year term.

Related Government Programs

Remediation Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Long contract duration may lead to vendor lock-in or missed opportunities for cost savings through re-competition.
Exclusion of sources could limit competitive pressure, potentially impacting price.
No small business participation noted, raising concerns about subcontracting opportunities.
Potential for scope creep or change orders over a 10-year period.
Reliance on a single awardee for a decade could pose a risk if performance degrades.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.7 million to LATA-CTI ENVIRONMENTAL SERVICES LLC. BRAC-ENVIRONMENTAL CONSTRUCTION AND OPTIMIZATION SERVICES (BECOS)

Who is the contractor on this award?

The obligated recipient is LATA-CTI ENVIRONMENTAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $13.7 million.

What is the period of performance?

Start: 2020-09-28. End: 2030-09-27.

What specific environmental remediation services are covered under this contract, and how do they align with the Air Force's long-term environmental goals?

The contract likely covers a range of remediation activities such as soil and groundwater cleanup, hazardous waste management, and site closure support. These services are critical for the Air Force to meet its environmental compliance obligations, address historical contamination at its installations, and ensure the safety of personnel and surrounding communities. The 10-year duration suggests these are ongoing or complex, long-term remediation projects.

What were the primary reasons for excluding certain sources during the competition phase, and did this exclusion impact the final price?

Exclusion of sources typically occurs when specific technical capabilities, past performance, or security clearances are required that only a limited number of contractors possess. While this can reduce the number of bidders, the remaining competition among qualified firms is intended to still yield a fair price. The impact on the final price depends on the competitiveness of the remaining bidders and the government's negotiation leverage.

How will the effectiveness of the environmental remediation be measured and ensured over the 10-year contract period?

Effectiveness will be measured through key performance indicators (KPIs) tied to environmental cleanup standards, regulatory compliance milestones, and site-specific remediation goals. The Department of the Air Force will likely conduct regular performance reviews, site inspections, and data analysis of remediation progress. Independent verification and validation of results will be crucial to ensure taxpayer funds are achieving the desired environmental outcomes.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA890320R0015

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6727 ACADEMY RD NE, ALBUQUERQUE, NM, 87109

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,087,323

Exercised Options: $13,725,026

Current Obligation: $13,725,026

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $10,196,563

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: FA890320D0004

IDV Type: IDC

Timeline