DoD awards $12.1M for PFAS investigation at Hurlburt Field and Cape Canaveral, with engineering services to MSE Group LLC

Contract Overview

Contract Amount: $12,142,289 ($12.1M)

Contractor: MSE Group LLC

Awarding Agency: Department of Defense

Start Date: 2022-09-15

End Date: 2026-05-13

Contract Duration: 1,336 days

Daily Burn Rate: $9.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TASK ORDER FOR PHASE I REMEDIAL INVESTIGATION OF PER- AND POLYFLUOROALKYL SUBSTANCES (PFAS)FOR HURLBURT FIELD, FLORIDA CAPE CANAVERAL SPACE FORCE STATION, FLORIDA UNDER CONTRACT W9127821D0058.

Place of Performance

Location: CAPE CANAVERAL, BREVARD County, FLORIDA, 32920

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $12.1 million to MSE GROUP LLC for work described as: TASK ORDER FOR PHASE I REMEDIAL INVESTIGATION OF PER- AND POLYFLUOROALKYL SUBSTANCES (PFAS)FOR HURLBURT FIELD, FLORIDA CAPE CANAVERAL SPACE FORCE STATION, FLORIDA UNDER CONTRACT W9127821D0058. Key points: 1. This contract addresses critical environmental concerns related to PFAS contamination at two key Air Force installations. 2. The fixed-price nature of the contract shifts some financial risk to the contractor. 3. The duration of the contract suggests a comprehensive approach to the remedial investigation. 4. The award falls under engineering services, a broad category with diverse market dynamics. 5. The geographic focus on Florida highlights regional environmental challenges. 6. The absence of small business set-aside indicates a focus on specialized capabilities.

Value Assessment

Rating: good

The contract value of $12.1 million for a Phase I Remedial Investigation of PFAS is within a reasonable range for complex environmental assessments at large military installations. Benchmarking against similar large-scale environmental remediation contracts, particularly those involving PFAS, suggests this pricing is competitive. The firm-fixed-price structure provides cost certainty for the government, although it requires thorough initial scope definition to avoid change orders. The contractor, MSE Group LLC, has experience in environmental consulting, which supports the assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. This competitive process is expected to drive favorable pricing and ensure the selection of a contractor with the best technical approach and value. The specific number of bidders is not provided, but the 'full and open' designation suggests a robust competition.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to lower prices and higher quality services, ensuring government funds are used efficiently.

Public Impact

The primary beneficiaries are the Department of Defense and the Air Force, ensuring compliance with environmental regulations and protecting the operational readiness of Hurlburt Field and Cape Canaveral Space Force Station. The services delivered include a Phase I Remedial Investigation, which is a critical first step in identifying and characterizing PFAS contamination. The geographic impact is focused on Hurlburt Field, Florida, and Cape Canaveral Space Force Station, Florida, addressing environmental concerns within these specific military communities. The contract supports specialized environmental engineering and consulting roles, potentially creating or sustaining jobs within the engineering and environmental services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial site characterization is incomplete, leading to cost overruns despite the fixed-price contract.
Complexity of PFAS analysis requires specialized laboratory capabilities, and any issues with these could delay the investigation.
Long contract duration (over 3 years) increases the risk of market changes or evolving regulatory requirements impacting the project's scope or cost.

Positive Signals

Firm-fixed-price contract provides cost certainty and incentivizes contractor efficiency.
Award under full and open competition suggests a thorough vetting of technical capabilities and pricing.
The contract addresses a high-priority environmental issue (PFAS) for the Department of Defense, indicating strong program support.
MSE Group LLC's experience in environmental services is a positive indicator for successful project execution.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), which is a significant segment of the professional services market. The environmental consulting sub-sector, particularly concerning emerging contaminants like PFAS, is experiencing substantial growth driven by regulatory pressures and public awareness. The total addressable market for environmental remediation and consulting services is in the tens of billions of dollars annually. This contract represents a specific, albeit substantial, task order within that broader market, focusing on a critical environmental compliance need for a major federal agency.

Small Business Impact

The contract was not awarded as a small business set-aside, and the data indicates no specific subcontracting requirements for small businesses were mandated in this award. This suggests that the primary contractor, MSE Group LLC, was selected based on its capabilities to perform the work directly. While this specific contract may not directly benefit small businesses through set-asides, the prime contractor may engage small businesses for specialized support services, though this is not explicitly detailed in the provided data.

Oversight & Accountability

Oversight for this contract will be managed by the Department of the Army, likely through contracting officers and technical representatives who will monitor progress, review deliverables, and ensure compliance with contract terms. The firm-fixed-price nature provides a degree of financial oversight by fixing the total cost. Transparency is facilitated by the contract's public availability and the reporting requirements inherent in federal procurement. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Environmental Remediation Services
Department of Defense Environmental Programs
PFAS Cleanup Initiatives
Military Base Environmental Compliance
Engineering and Architectural Services

Risk Flags

Potential for Unforeseen Site Conditions
Evolving PFAS Regulatory Landscape
Contractor Performance Risk
Schedule Delay Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.1 million to MSE GROUP LLC. TASK ORDER FOR PHASE I REMEDIAL INVESTIGATION OF PER- AND POLYFLUOROALKYL SUBSTANCES (PFAS)FOR HURLBURT FIELD, FLORIDA CAPE CANAVERAL SPACE FORCE STATION, FLORIDA UNDER CONTRACT W9127821D0058.

Who is the contractor on this award?

The obligated recipient is MSE GROUP LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $12.1 million.

What is the period of performance?

Start: 2022-09-15. End: 2026-05-13.

What is the track record of MSE Group LLC in handling PFAS investigations for federal agencies?

MSE Group LLC has a documented history of providing environmental consulting and engineering services. While specific details on their PFAS investigation experience for federal agencies are not fully elaborated in this data, their selection for this significant task order suggests they possess the requisite qualifications and past performance. Federal procurement databases and agency performance reviews would offer more granular insights into their specific successes and challenges with similar projects, including their experience with the complexities of PFAS characterization, risk assessment, and regulatory compliance across various DoD installations or other federal sites. Further investigation into their project portfolio and client testimonials would provide a clearer picture of their expertise in this specialized environmental domain.

How does the $12.1 million cost compare to similar PFAS investigations at other military bases?

The $12.1 million cost for a Phase I Remedial Investigation of PFAS at Hurlburt Field and Cape Canaveral is substantial, reflecting the complexity and scope of addressing these persistent contaminants. Benchmarking this against similar large-scale environmental assessments at other military installations reveals that costs can vary significantly based on the size of the installation, the extent of suspected contamination, the number of sites requiring investigation, and the specific regulatory framework. Contracts for comprehensive PFAS investigations, especially those involving multiple sites or extensive historical data review, can range from several million to tens of millions of dollars. This particular award appears to be within the expected range for a multi-site, multi-year investigation at major Air Force facilities, especially considering the firm-fixed-price structure which often includes contingencies.

What are the primary risks associated with this contract for the Department of Defense?

The primary risks for the Department of Defense (DoD) in this contract revolve around potential cost overruns due to unforeseen site conditions or complexities in PFAS identification and delineation, despite the firm-fixed-price structure. Incomplete initial scoping could lead to change orders, increasing the overall expenditure. There's also a risk of schedule delays if the contractor encounters difficulties in data acquisition, laboratory analysis, or stakeholder coordination. Furthermore, evolving scientific understanding or regulatory requirements concerning PFAS could necessitate adjustments to the investigation scope, potentially impacting the project's effectiveness and cost. Ensuring the contractor maintains adequate technical expertise and quality control throughout the lengthy contract duration is also a key oversight consideration.

How effective is a Phase I Remedial Investigation in addressing PFAS contamination?

A Phase I Remedial Investigation (RI) is a foundational step designed to gather preliminary information about the nature and extent of contamination at a site. For PFAS, a Phase I RI aims to identify potential sources, delineate the horizontal and vertical extent of contamination in various media (soil, groundwater, surface water), and assess potential exposure pathways. While it doesn't involve extensive remediation activities, it is crucial for informing subsequent decisions, such as whether further investigation (Phase II RI) or remedial actions are necessary. Its effectiveness lies in providing a comprehensive baseline understanding, enabling risk assessments and the development of targeted, cost-effective cleanup strategies. Without a thorough Phase I RI, subsequent efforts could be misdirected or inefficient.

What has been the historical spending trend for engineering services related to environmental compliance at Air Force bases?

Historical spending trends for engineering services related to environmental compliance at Air Force bases have generally shown a steady increase over the past two decades, driven by evolving environmental regulations (like CERCLA, RCRA, and specific mandates for emerging contaminants) and the aging infrastructure of many bases. Spending on hazardous waste management, site remediation, munitions response, and compliance assessments has been a consistent budget item. More recently, there has been a significant surge in spending related to PFAS investigations and remediation, as awareness of these contaminants and regulatory scrutiny have intensified. This trend is likely to continue as the Air Force addresses legacy contamination and implements new environmental stewardship programs across its global installations.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W9127819R0059

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7254 BLANCO ROAD SUITE 207, SAN ANTONIO, TX, 78216

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,824,944

Exercised Options: $12,142,289

Current Obligation: $12,142,289

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9127821D0058

IDV Type: IDC

Timeline