DoD Awards $22.3M for UXO Clearance at Fort Irwin, CA, with Limited Competition
Contract Overview
Contract Amount: $22,315,734 ($22.3M)
Contractor: KGS Seres 8A JV LLC
Awarding Agency: Department of Defense
Start Date: 2021-01-13
End Date: 2025-07-13
Contract Duration: 1,642 days
Daily Burn Rate: $13.6K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: UXO CLEARANCE BASE YEAR RANGE MAINTENANCE, FORT IRWIN, CALIFORNIA
Place of Performance
Location: FORT IRWIN, SAN BERNARDINO County, CALIFORNIA, 92310
Plain-Language Summary
Department of Defense obligated $22.3 million to KGS SERES 8A JV LLC for work described as: UXO CLEARANCE BASE YEAR RANGE MAINTENANCE, FORT IRWIN, CALIFORNIA Key points: 1. Significant contract value for essential base maintenance and safety. 2. Limited competition raises questions about price discovery and potential cost efficiencies. 3. Risk of unexploded ordnance requires specialized expertise and careful execution. 4. Remediation services sector is critical for military base operations and environmental safety.
Value Assessment
Rating: fair
The contract value of $22.3 million over approximately 4 years appears reasonable for specialized UXO clearance and maintenance. However, without competitive bidding, it's difficult to definitively assess if this represents the best possible price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, suggesting a sole-source or limited source justification. This limits the government's ability to leverage market competition to drive down costs and ensure the most innovative solutions are considered.
Taxpayer Impact: Taxpayer funds are committed to a critical safety and maintenance requirement. The lack of competition may result in a higher cost than if multiple vendors had vied for the contract.
Public Impact
Ensures safety and operational readiness at Fort Irwin by clearing hazardous unexploded ordnance. Supports environmental remediation efforts, mitigating long-term risks associated with legacy munitions. Provides essential maintenance services, contributing to the overall infrastructure integrity of the base.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Potential for cost overruns without competitive pressure
- Reliance on a single contractor for critical safety services
Positive Signals
- Addresses a critical safety and environmental need
- Long-term contract provides stability for essential services
- Contract awarded to a joint venture, potentially supporting small business participation
Sector Analysis
This contract falls within the environmental remediation and base support services sector. Spending in this area is crucial for maintaining military readiness and compliance with environmental regulations. Benchmarks for similar UXO clearance contracts can vary widely based on location, scope, and threat level.
Small Business Impact
The contract was awarded to KGS SERES 8A JV LLC, an 8(a) joint venture. This structure suggests an intention to support small businesses, particularly those owned by socially and economically disadvantaged individuals, through set-aside programs.
Oversight & Accountability
Oversight will be critical to ensure the contractor meets all safety and performance requirements. The Department of the Army's contracting officers and technical representatives will monitor progress and expenditures to ensure accountability.
Related Government Programs
- Remediation Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns due to limited competition
- Contractor performance risk in a critical safety operation
- Environmental impact risks associated with ordnance removal
- Dependence on a single entity for essential base safety
Tags
remediation-services, department-of-defense, ca, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.3 million to KGS SERES 8A JV LLC. UXO CLEARANCE BASE YEAR RANGE MAINTENANCE, FORT IRWIN, CALIFORNIA
Who is the contractor on this award?
The obligated recipient is KGS SERES 8A JV 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 $22.3 million.
What is the period of performance?
Start: 2021-01-13. End: 2025-07-13.
What specific factors justified the limited competition for this UXO clearance contract?
The justification for limited competition would typically stem from unique capabilities required, urgent needs, or specific site conditions that only a particular contractor can address. Detailed documentation should exist within the contract file outlining these specific reasons and demonstrating why a full and open competition was not feasible or advantageous.
What are the primary risks associated with UXO clearance, and how are they being mitigated?
Primary risks include accidental detonation, environmental contamination, and potential delays due to unforeseen ordnance discoveries. Mitigation strategies likely involve stringent safety protocols, specialized equipment, highly trained personnel, detailed site surveys, and contingency planning for unexpected findings. The contract's performance standards should reflect these risk management requirements.
How does the firm-fixed-price contract structure impact cost control and contractor performance?
A firm-fixed-price contract shifts most of the risk to the contractor, incentivizing them to control costs and perform efficiently to maximize profit. For the government, it provides cost certainty. However, if the scope is not well-defined or unforeseen issues arise, the contractor may seek change orders, potentially increasing the total cost.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services
Product/Service Code: NATURAL RESOURCES MANAGEMENT › ENVIRONMENTAL SYSTEMS PROTECTION
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W912PL21R0006
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 293 BOSTON POST RD W STE 100, MARLBOROUGH, MA, 01752
Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $22,315,734
Exercised Options: $22,315,734
Current Obligation: $22,315,734
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2021-01-13
Current End Date: 2025-07-13
Potential End Date: 2025-07-13 00:00:00
Last Modified: 2024-12-16
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