State Department awards $25.4M for overseas remediation services, highlighting long-term environmental cleanup needs

Contract Overview

Contract Amount: $25,362,084 ($25.4M)

Contractor: Acuity - Janus Global, LLC

Awarding Agency: Department of State

Start Date: 2012-03-31

End Date: 2018-12-29

Contract Duration: 2,464 days

Daily Burn Rate: $10.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: OVERSEAS CONTRACT

Plain-Language Summary

Department of State obligated $25.4 million to ACUITY - JANUS GLOBAL, LLC for work described as: OVERSEAS CONTRACT Key points: 1. Contract value represents significant investment in environmental remediation abroad. 2. Competition was full and open, suggesting a robust bidding process. 3. Contract duration of over 6 years indicates a sustained need for these services. 4. The award type is a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 5. Focus on remediation services points to ongoing environmental challenges at overseas locations.

Value Assessment

Rating: good

The total award of $25.4 million over approximately six years suggests a substantial but potentially reasonable investment for extensive overseas environmental remediation. Benchmarking this value is challenging without knowing the specific scope of work, geographic locations, and the nature of the contamination. However, the duration and scale imply a significant operational requirement. The contract type (Time and Materials) can sometimes lead to cost overruns if not managed tightly, but it also allows for flexibility in addressing unforeseen remediation challenges.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which indicates that while the initial solicitation might have had some exclusions, the final award was made after a broad competitive process. This suggests that multiple qualified contractors had the opportunity to bid, fostering price discovery and potentially leading to a more competitive price. The specific details of the exclusion of sources would be needed for a complete picture, but the 'full and open' designation is generally positive for competition.

Taxpayer Impact: A full and open competition generally benefits taxpayers by encouraging a wider range of bids, which can drive down costs and ensure the government receives the best value for its investment in critical overseas environmental services.

Public Impact

Benefits the Department of State by ensuring environmental compliance and safety at overseas facilities. Delivers essential remediation services to address environmental hazards and contamination. Geographic impact is global, focusing on various overseas locations requiring cleanup. Supports a specialized workforce in environmental remediation and hazardous material handling.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost uncertainty if not closely monitored.
Lack of specific details on remediation scope makes it difficult to fully assess value.
Potential for unforeseen complexities in overseas environmental cleanup.

Positive Signals

Awarded through full and open competition, indicating a competitive bidding process.
Long contract duration suggests a stable and predictable need for services.
Focus on remediation addresses critical environmental and safety requirements.

Sector Analysis

The environmental remediation services sector is crucial for government agencies operating globally, particularly for agencies like the State Department with numerous overseas installations. This contract falls within the broader professional, scientific, and technical services industry. The market for such services is competitive, with specialized firms capable of handling complex environmental challenges, including hazardous waste management, site cleanup, and compliance with international environmental regulations. The $25.4 million award over six years is a significant but not extraordinary sum for a sustained, multi-site environmental program.

Small Business Impact

Information regarding small business set-asides or subcontracting goals was not explicitly provided in the data. Given the specialized nature of overseas environmental remediation, it is possible that larger, more experienced firms were primary awardees. Further analysis would be needed to determine if small businesses were involved as subcontractors or if there were specific provisions to encourage their participation.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's contracting officers and program managers. Given the nature of overseas operations and environmental services, robust oversight is critical to ensure compliance with environmental regulations, safety standards, and contract terms. Transparency would be enhanced by public reporting on contract performance and any modifications. Inspector General jurisdiction would likely apply to investigations of fraud, waste, or abuse related to the contract.

Related Government Programs

Overseas Contingency Operations (OCO) funding
Environmental Compliance and Restoration Programs
Department of State Facilities Management
Hazardous Waste Management Contracts

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Complexity and variability of overseas environmental conditions.
Need for stringent oversight to ensure compliance and value.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $25.4 million to ACUITY - JANUS GLOBAL, LLC. OVERSEAS CONTRACT

Who is the contractor on this award?

The obligated recipient is ACUITY - JANUS GLOBAL, LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $25.4 million.

What is the period of performance?

Start: 2012-03-31. End: 2018-12-29.

What specific types of environmental remediation were covered under this contract?

The provided data indicates 'Remediation Services' but does not specify the exact nature of the environmental issues addressed. This could range from soil and groundwater contamination cleanup, hazardous material abatement (e.g., asbestos, lead paint), demolition and disposal of contaminated structures, to long-term monitoring and site restoration at various overseas diplomatic facilities. Understanding the specific contaminants and the scope of work (e.g., number of sites, size of affected areas) is crucial for a comprehensive assessment of the contract's value and effectiveness.

How does the Time and Materials (T&M) contract type impact cost control for this remediation project?

A Time and Materials (T&M) contract pays the contractor for direct labor hours at specified hourly rates and for the actual cost of materials and services. While T&M contracts offer flexibility for projects with uncertain scopes or evolving requirements, they carry a higher risk of cost overruns if not managed diligently. For environmental remediation, where unforeseen conditions are common, T&M can be appropriate. However, the Department of State would need robust oversight, including detailed tracking of labor hours, material costs, and regular progress reviews, to ensure costs remain within the overall award ceiling and provide good value.

What is the typical cost range for similar overseas environmental remediation contracts awarded by the State Department or other agencies?

Benchmarking the $25.4 million award requires detailed comparison based on scope, location, and duration. However, large-scale environmental remediation projects for government agencies can range from hundreds of thousands to tens of millions of dollars. Contracts for hazardous material removal at embassies or military bases, or for cleaning up contaminated sites, often fall into this multi-million dollar category. The State Department manages numerous facilities globally, each with unique environmental challenges, making direct comparisons difficult without specific project details. The duration of over six years suggests a significant, ongoing program rather than a single site cleanup.

What performance metrics or key performance indicators (KPIs) were likely used to evaluate the contractor's success?

For an environmental remediation contract, likely KPIs would include adherence to project timelines, successful completion of remediation goals (e.g., meeting regulatory cleanup standards), compliance with health and safety protocols (zero lost-time incidents), proper waste management and disposal, accurate reporting, and cost control within the T&M framework. The State Department would monitor these metrics to ensure the contractor is effectively and safely addressing environmental hazards while managing resources efficiently throughout the contract period.

How has the State Department's spending on overseas environmental remediation evolved over the past decade?

Historical spending data on overseas environmental remediation by the State Department would provide context for the $25.4 million award. Agencies often face increasing environmental liabilities and regulatory requirements globally. Spending trends can be influenced by factors such as new facility construction, aging infrastructure requiring upgrades or cleanup, changes in environmental regulations, and geopolitical events impacting overseas operations. Analyzing past spending patterns would reveal whether this award represents a typical investment, an increase, or a decrease in the department's commitment to addressing environmental issues abroad.

Industry Classification

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

Product/Service Code: QUALITY CONTROL, TEST, INSPECTION › INSPECTION SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: EOD Technology Inc. (UEI: 078670677)

Address: 2229 OLD HWY 95, LENOIR CITY, TN, 37771

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,362,084

Exercised Options: $25,362,084

Current Obligation: $25,362,084

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SAQMMA11D0103

IDV Type: IDC

Timeline