Air Force Awards $19.3M Environmental Remediation Contract to Versar-Arcadis Joint Venture

Contract Overview

Contract Amount: $19,319,903 ($19.3M)

Contractor: Versar-Arcadis a Joint Venture

Awarding Agency: Department of Defense

Start Date: 2020-07-24

End Date: 2027-07-23

Contract Duration: 2,555 days

Daily Burn Rate: $7.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ENVIRONMENTAL REMEDIATION SERVICES FOR OPTIMIZED REMEDIATION CONTACT SERVICES,AIR FORCE ENVIRONMENTAL COMMAND ARIZONA AND NEVADA LOCATIONSCLINS 0039AA 0039CA 0040AA 0040AB&

Place of Performance

Location: AJO, PIMA County, ARIZONA, 85321

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $19.3 million to VERSAR-ARCADIS A JOINT VENTURE for work described as: ENVIRONMENTAL REMEDIATION SERVICES FOR OPTIMIZED REMEDIATION CONTACT SERVICES,AIR FORCE ENVIRONMENTAL COMMAND ARIZONA AND NEVADA LOCATIONSCLINS 0039AA 0039CA 0040AA 0040AB& Key points: 1. Contract awarded for environmental remediation services across Arizona and Nevada. 2. The contract has a base value of $19.3 million with a duration of 7 years. 3. Competition was full and open, suggesting a competitive bidding process. 4. The primary sector is environmental services, crucial for regulatory compliance and public health.

Value Assessment

Rating: good

The contract's firm fixed price structure provides cost certainty. Benchmarking against similar environmental remediation contracts is recommended to ensure optimal value, though the base value appears reasonable for the scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and allows for the best value to be determined. The use of a delivery order under an existing contract structure implies a pre-established framework for pricing.

Taxpayer Impact: Full and open competition aims to ensure taxpayer funds are used efficiently by driving down costs through market forces.

Public Impact

Ensures environmental compliance at Air Force facilities in Arizona and Nevada. Supports public health by addressing potential environmental hazards. Provides essential services for maintaining operational readiness of military installations. Contributes to the environmental services industry and local economies where services are performed.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

  • Potential for scope creep in long-term remediation projects.
  • Dependence on contractor performance for environmental safety.

Positive Signals

  • Firm fixed price contract limits cost overruns.
  • Full and open competition promotes competitive pricing.
  • Long contract duration allows for consistent service delivery.

Sector Analysis

This contract falls within the environmental services sector, specifically remediation. Spending in this sector is driven by regulatory requirements, infrastructure needs, and historical contamination. Benchmarks for similar large-scale remediation projects vary significantly based on complexity and location.

Small Business Impact

While this contract was awarded to a joint venture, it's important to assess if any subcontracting opportunities exist for small businesses within the environmental remediation field. The data does not explicitly state small business participation.

Oversight & Accountability

The Department of the Army, as the procuring agency, is responsible for oversight. The contract's duration and delivery order nature suggest ongoing monitoring will be critical to ensure performance standards and cost controls are met.

Related Government Programs

  • Remediation Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Long contract duration may expose the government to market fluctuations.
  • Potential for unforeseen environmental challenges impacting cost and schedule.
  • Contractor performance is critical for environmental safety and compliance.
  • Need to verify small business subcontracting opportunities.

Tags

remediation-services, department-of-defense, az, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.3 million to VERSAR-ARCADIS A JOINT VENTURE. ENVIRONMENTAL REMEDIATION SERVICES FOR OPTIMIZED REMEDIATION CONTACT SERVICES,AIR FORCE ENVIRONMENTAL COMMAND ARIZONA AND NEVADA LOCATIONSCLINS 0039AA 0039CA 0040AA 0040AB&

Who is the contractor on this award?

The obligated recipient is VERSAR-ARCADIS A JOINT VENTURE.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $19.3 million.

What is the period of performance?

Start: 2020-07-24. End: 2027-07-23.

What is the historical performance record of Versar-Arcadis Joint Venture on similar environmental remediation contracts?

Assessing the past performance of the Versar-Arcadis Joint Venture is crucial for understanding their reliability and capability in executing complex environmental remediation projects. Reviewing their track record on similar contracts, including adherence to timelines, budget management, and quality of work, provides insight into potential risks and the likelihood of successful project completion.

Are there specific environmental risks or complexities at the Arizona and Nevada locations that could impact the contract's total cost or duration?

Understanding the specific environmental conditions, such as the type and extent of contamination, geological factors, and regulatory requirements at the Arizona and Nevada sites, is vital. Unforeseen complexities can lead to cost overruns and schedule delays, impacting the overall value and effectiveness of the remediation effort. A thorough site assessment is key.

How effectively does the firm fixed price structure account for potential fluctuations in material or labor costs over the 7-year contract period?

The firm fixed price (FFP) contract aims to lock in costs, but its effectiveness over a long duration like seven years depends on how well initial pricing accounted for potential market volatility. While it protects the government from cost increases, it could limit contractor flexibility if unforeseen cost escalations occur, potentially impacting the quality or pace of work.

Industry Classification

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

Product/Service Code: NATURAL RESOURCES MANAGEMENTENVIRONMENTAL SYSTEMS PROTECTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 630 PLAZA DR STE 200, HIGHLANDS RANCH, CO, 80129

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

Financial Breakdown

Contract Ceiling: $21,554,123

Exercised Options: $19,319,903

Current Obligation: $19,319,903

Subaward Activity

Number of Subawards: 7

Total Subaward Amount: $4,850,451

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DY16D0027

IDV Type: IDC

Timeline

Start Date: 2020-07-24

Current End Date: 2027-07-23

Potential End Date: 2027-07-23 00:00:00

Last Modified: 2025-09-15

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