NASA's $11.7M water and sewer contract awarded to Northeast Ohio Regional Sewer District

Contract Overview

Contract Amount: $11,700,898 ($11.7M)

Contractor: Northeast Ohio Regional Sewer District

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2007-06-20

End Date: 2014-07-02

Contract Duration: 2,569 days

Daily Burn Rate: $4.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WATER AND SEWER USAGE FOR NASA LEWIS RESEARCH CENT ER

Place of Performance

Location: CLEVELAND, CUYAHOGA County, OHIO, 44115

State: Ohio Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $11.7 million to NORTHEAST OHIO REGIONAL SEWER DISTRICT for work described as: WATER AND SEWER USAGE FOR NASA LEWIS RESEARCH CENT ER Key points: 1. Contract awarded on a sole-source basis, raising questions about potential cost efficiencies. 2. The duration of the contract (2569 days) suggests a long-term need for these services. 3. The contract falls under sewage treatment facilities, a critical but often overlooked infrastructure need. 4. Awarded by NASA, indicating a specialized requirement for research center operations. 5. The firm fixed-price structure provides cost certainty but may limit flexibility. 6. Lack of competition suggests potential for higher prices than a competitive bid might yield.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging due to its sole-source nature and specialized service. Without competitive bids, it's difficult to ascertain if the $11.7 million represents a fair market price for sewage treatment facilities. However, the long duration implies a consistent need, and the fixed-price nature offers budget predictability for NASA. Further analysis would require comparing per-unit costs for similar services at other federal research facilities or municipal contracts in the region.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. This typically occurs when only one vendor can provide the required service or product. In this case, the Northeast Ohio Regional Sewer District likely has a unique capability or is the designated provider for the NASA Lewis Research Center's location. The lack of competition means there was no opportunity for price discovery through bidding, potentially leading to higher costs for the government.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive pressure to drive down costs. The government did not benefit from the potential cost savings that a competitive bidding process could have generated.

Public Impact

The primary beneficiary is NASA, ensuring the operational continuity of the Lewis Research Center. The contract provides essential water and sewer usage services, crucial for facility operations and environmental compliance. The geographic impact is localized to the area surrounding the NASA Lewis Research Center in Ohio. The contract supports the workforce of the Northeast Ohio Regional Sewer District, maintaining essential public services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits price competition and potentially increases costs for taxpayers.
  • Long contract duration without clear performance metrics could lead to complacency or inefficiencies.
  • Lack of transparency in the sole-source justification makes it difficult to assess true value for money.

Positive Signals

  • Ensures essential utility services for a critical federal research facility.
  • Firm fixed-price contract provides budget certainty for NASA.
  • Award to a regional public entity may align with government goals for intergovernmental cooperation.

Sector Analysis

The contract falls within the Utilities and Waste Management sector, specifically focusing on sewage treatment. This sector is vital for public health and environmental protection. While large federal contracts often involve private sector providers, this award to a regional public entity highlights intergovernmental service agreements. Comparable spending benchmarks are difficult to establish without knowing the specific volume and treatment requirements, but municipal sewer services are a significant public expenditure.

Small Business Impact

This contract does not appear to involve small business set-asides, as it was awarded directly to a regional sewer district. There is no indication of subcontracting opportunities for small businesses within this specific award. The focus is on a direct service provision from a governmental entity to another.

Oversight & Accountability

Oversight for this contract would primarily fall under NASA's contracting officer and potentially its Inspector General's office. Given the sole-source nature, oversight would focus on ensuring the services are delivered as agreed upon and that the pricing, while not competitively determined, remains reasonable for the services rendered. Transparency is limited due to the lack of a competitive bidding process.

Related Government Programs

  • NASA Facilities Maintenance Contracts
  • Federal Utility Services Contracts
  • Environmental Services Contracts
  • Public Works Contracts

Risk Flags

  • Sole-source award
  • Lack of competition
  • Long contract duration

Tags

other, nasa, ohio, not-competed, firm-fixed-price, sewage-treatment-facilities, utilities, water-and-sewer-usage, sole-source, regional-sewer-district

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $11.7 million to NORTHEAST OHIO REGIONAL SEWER DISTRICT. WATER AND SEWER USAGE FOR NASA LEWIS RESEARCH CENT ER

Who is the contractor on this award?

The obligated recipient is NORTHEAST OHIO REGIONAL SEWER DISTRICT.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $11.7 million.

What is the period of performance?

Start: 2007-06-20. End: 2014-07-02.

What is the historical spending pattern for water and sewer services at NASA Lewis Research Center?

Detailed historical spending data for water and sewer services specifically at NASA Lewis Research Center prior to this contract is not readily available in the public domain. This $11.7 million contract, spanning from June 20, 2007, to July 2, 2014 (2569 days), represents a significant expenditure over its duration. To understand historical patterns, one would need access to NASA's internal procurement records or budget allocations for facility operations at that specific center. Without such data, it's impossible to definitively state if this contract amount is higher or lower than previous spending, or if spending has been consistent over time. The sole-source nature of this award further complicates comparisons, as it bypasses the usual competitive processes that might reveal price trends.

How does the per-unit cost of this contract compare to similar services provided to other federal agencies or research centers?

Directly comparing the per-unit cost of this contract is challenging due to several factors. Firstly, the contract is sole-source, awarded to the Northeast Ohio Regional Sewer District, making it difficult to find direct market equivalents. Secondly, the data provided does not specify the volume of water usage or the exact nature of the sewer services (e.g., industrial wastewater treatment vs. standard sewage). Without these specifics, a meaningful per-unit cost benchmark against other federal facilities or even municipal services is not feasible. Typically, such comparisons would involve analyzing gallons treated, volume of sewage processed, or similar metrics. The absence of this granular data, coupled with the unique provider, prevents a robust value-for-money assessment based on unit costs.

What are the specific risks associated with a sole-source award for essential utility services like water and sewer?

The primary risk associated with a sole-source award for essential utility services is the potential for inflated costs due to a lack of competitive bidding. Without competing vendors, the government loses the leverage to negotiate the best possible price. This can lead to taxpayers footing a higher bill than necessary. Another risk is vendor complacency; a sole-source provider might have less incentive to innovate or improve service quality over time, knowing they are the only option. Furthermore, if the sole-source provider experiences operational issues, there are no immediate alternative vendors to step in, potentially disrupting critical services to the federal facility. Ensuring robust contract oversight and clear performance standards becomes even more crucial in sole-source situations.

What is the track record of the Northeast Ohio Regional Sewer District in providing services to government entities?

The Northeast Ohio Regional Sewer District (NEORSD) is a large, established public entity responsible for wastewater treatment and stormwater management for a significant portion of Northeast Ohio. Its track record generally involves managing complex infrastructure and providing essential services to numerous municipalities and residents. While specific details on its performance with government contracts beyond this NASA award are not detailed here, NEORSD is known for its operational capacity and experience in handling large-scale wastewater treatment. Its public nature suggests a focus on regulatory compliance and public service delivery. However, the effectiveness and efficiency of its specific service provision under this sole-source NASA contract would require a deeper dive into performance metrics and NASA's internal evaluations.

How does the duration of this contract (2569 days) impact its overall value and risk assessment?

The contract's duration of 2569 days (approximately 7 years) indicates a long-term, stable requirement for water and sewer services at the NASA Lewis Research Center. From a value perspective, a longer contract can sometimes lead to better pricing through economies of scale or commitment discounts, although this is less likely with a sole-source award. It also provides continuity of service, which is crucial for ongoing operations. However, a long duration also increases the risk of price escalation if not adequately managed, potential for service quality degradation if oversight is lax, and the risk of the government being locked into a suboptimal arrangement if market conditions or needs change significantly. The firm fixed-price nature mitigates some cost risk for NASA, but the long term still necessitates careful monitoring of performance and potential future needs.

Industry Classification

NAICS: UtilitiesWater, Sewage and Other SystemsSewage Treatment Facilities

Product/Service Code: ARCHITECT/ENGINEER SERVICESARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3900 EUCLID AVE, CLEVELAND, OH, 90

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $9,446,898

Exercised Options: $9,446,898

Current Obligation: $11,700,898

Timeline

Start Date: 2007-06-20

Current End Date: 2014-07-02

Potential End Date: 2014-07-02 00:00:00

Last Modified: 2014-07-01

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