GSA Awards $45.8M Environmental Remediation Contract for Belle Mead Army Depot to Charter Contracting

Contract Overview

Contract Amount: $45,866,156 ($45.9M)

Contractor: Charter Contracting Company, LLC

Awarding Agency: General Services Administration

Start Date: 2016-12-23

End Date: 2021-01-01

Contract Duration: 1,470 days

Daily Burn Rate: $31.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF AWARD FOR THE ENVIRONMENTAL REMEDIATION OF THE FORMER BELLE MEAD ARMY DEPOT, HILLSBOROUGH TWP., NJ

Place of Performance

Location: HILLSBOROUGH, SOMERSET County, NEW JERSEY, 08844

State: New Jersey Government Spending

Plain-Language Summary

General Services Administration obligated $45.9 million to CHARTER CONTRACTING COMPANY, LLC for work described as: IGF::OT::IGF AWARD FOR THE ENVIRONMENTAL REMEDIATION OF THE FORMER BELLE MEAD ARMY DEPOT, HILLSBOROUGH TWP., NJ Key points: 1. The contract focuses on environmental remediation services, a critical but often complex area of government spending. 2. Charter Contracting Company, LLC, secured the award, indicating a competitive landscape for specialized environmental services. 3. The firm fixed-price contract type suggests a defined scope and budget, potentially mitigating cost overrun risks. 4. The award falls under the Remediation Services NAICS code, highlighting a specific sector of government procurement.

Value Assessment

Rating: good

The contract's value of $45.8M for environmental remediation appears reasonable given the scope of work at a former army depot. Benchmarking against similar large-scale remediation projects would provide further context on its pricing efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method was 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited but still competitive process. This approach may have impacted the final price discovery compared to unrestricted full and open competition.

Taxpayer Impact: The use of a competitive process, even if limited, aims to ensure taxpayer funds are used efficiently for essential environmental cleanup.

Public Impact

Ensures the cleanup of a former military site, protecting public health and the environment. Supports specialized environmental services industry and job creation. Addresses long-term environmental liabilities associated with former government facilities. Potential for future environmental monitoring and maintenance needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may have impacted price.
Contract duration is substantial (1470 days).
No small business set-aside noted.

Positive Signals

Firm fixed-price contract type.
Clear focus on environmental remediation.
Awarded by GSA, a major contracting agency.

Sector Analysis

This contract falls within the environmental services sector, specifically remediation. Spending in this area is driven by regulatory requirements and the need to address legacy contamination from industrial and military activities. Benchmarks vary widely based on site complexity and remediation technology.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). This suggests the scope and requirements likely favored larger, specialized firms capable of handling complex environmental remediation projects.

Oversight & Accountability

The General Services Administration (GSA) is responsible for overseeing this contract. Standard procurement oversight processes should apply, focusing on contract performance, adherence to terms, and financial accountability.

Related Government Programs

Remediation Services
General Services Administration Contracting
Public Buildings Service Programs

Risk Flags

Potential for cost increases if unforeseen contamination is discovered.
Contract duration extends over several years, increasing exposure to changing regulations or economic conditions.
Limited competition could result in a less optimal price.
No small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $45.9 million to CHARTER CONTRACTING COMPANY, LLC. IGF::OT::IGF AWARD FOR THE ENVIRONMENTAL REMEDIATION OF THE FORMER BELLE MEAD ARMY DEPOT, HILLSBOROUGH TWP., NJ

Who is the contractor on this award?

The obligated recipient is CHARTER CONTRACTING COMPANY, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $45.9 million.

What is the period of performance?

Start: 2016-12-23. End: 2021-01-01.

What specific environmental hazards were addressed by this contract, and how does the remediation plan align with regulatory standards?

The contract details environmental remediation for the former Belle Mead Army Depot. Specific hazards would typically include soil and groundwater contamination from past military operations, such as fuels, solvents, or heavy metals. The remediation plan's alignment with regulatory standards (e.g., EPA, state environmental agencies) is crucial for ensuring effective cleanup and compliance, though specific details are not provided in this summary.

How did the 'exclusion of sources' in the competition process affect the final contract price compared to a fully open bid?

Excluding certain sources, even in a full and open competition context, can limit the number of bidders. This reduced competition might lead to a higher price than if all potential qualified contractors had participated. However, the exclusion might be based on specific technical requirements or past performance, aiming to ensure the best-suited contractor is selected, potentially justifying a higher price for better outcomes.

What is the long-term environmental and financial liability for the government post-remediation, and are there ongoing monitoring requirements?

While this contract covers the active remediation phase, long-term liability often extends to post-remediation monitoring and potential future corrective actions if contamination resurfaces or wasn't fully addressed. The contract's end date (2021) suggests the primary cleanup is complete, but ongoing environmental stewardship and monitoring requirements, if any, would determine continued government responsibility and associated costs.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: GS-03P-17-AZ-C-0001

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 500 HARRISON AVE STE 4R, BOSTON, MA, 02118

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,866,156

Exercised Options: $45,866,156

Current Obligation: $45,866,156

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline