Army Awards $62.1M Contract for Environmental Services to Shaw Environmental, Inc
Contract Overview
Contract Amount: $49,270,204 ($49.3M)
Contractor: Shaw Environmental, Inc.
Awarding Agency: Department of Defense
Start Date: 1998-05-28
End Date: 2010-12-31
Contract Duration: 4,600 days
Daily Burn Rate: $10.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: 199808!96CE!0298!CW41 !USA ENGINEER DISTRICT KANSAS CTY!DACW4198D9006 !A!*!0002 !19980528!19990930!621136852!028655181!106521081!N!0LP55!I T CORPORATION !11499 CHESTER RD !CINCINNATI !OH!45246!65000!510!29!ST. LOUIS !ST. LOUIS (CITY) !MISSOURI !0001!+000000050000!N!N!000000000000!F999!OTHER ENVIRON SVCS, STUDIES, & ANALYTICAL SUPPORT !S1 !SERVICES !5ZOP!OTHER ENVIRONMENTAL PROGRAMS !8744!5!B!S!*!B!A!*!A !U!U!2!005!B!* !C!N!Z!* !* !N!C!*!C!C!A!A!A!*!* !*!N!A!C!N!*!*!*!*!*!
Place of Performance
Location: CHESTERFIELD, SAINT LOUIS County, MISSOURI, 63005
State: Missouri Government Spending
Plain-Language Summary
Department of Defense obligated $49.3 million to SHAW ENVIRONMENTAL, INC. for work described as: 199808!96CE!0298!CW41 !USA ENGINEER DISTRICT KANSAS CTY!DACW4198D9006 !A!*!0002 !19980528!19990930!621136852!028655181!106521081!N!0LP55!I T CORPORATION !11499 CHESTER RD !CINCINNATI !OH!45246!65000!510!29!ST. LOUIS !ST. LO… Key points: 1. Contract awarded for environmental services, including remediation. 2. Shaw Environmental, Inc. secured the contract. 3. The contract was awarded under full and open competition. 4. The period of performance spans from May 1998 to December 2010.
Value Assessment
Rating: fair
The contract value is $62,113,685.20. Without specific benchmarks for similar environmental remediation services during that period, a precise pricing assessment is difficult. However, the duration and scope suggest a significant investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a robust price discovery process. This method typically leads to more competitive pricing as multiple vendors are allowed to bid.
Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received fair value for the environmental services rendered over the contract's extended period.
Public Impact
Environmental cleanup services impacting public health and safety. Long-term contract duration suggests ongoing environmental management needs. Award to a specific company highlights the role of private sector in government services. Potential for environmental impact mitigation and restoration of affected areas.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Extended performance period (1998-2010) may indicate evolving or complex environmental issues.
- Cost Plus Fixed Fee contract type can sometimes lead to cost overruns if not managed tightly.
Positive Signals
- Awarded via full and open competition, suggesting competitive pricing.
- Contract addresses critical environmental services for the Army.
Sector Analysis
This contract falls under environmental services, a sector crucial for government operations, particularly for agencies managing land and facilities. Spending in this sector can vary widely based on regulatory requirements and the scale of environmental challenges.
Small Business Impact
The data does not indicate any specific set-aside for small businesses. The award to Shaw Environmental, Inc., a larger entity, suggests that small businesses may not have been the primary focus for this particular contract, though they could have been subcontractors.
Oversight & Accountability
The contract was awarded by the U.S. Army Engineer District, Kansas City, implying oversight from the Department of Defense. The long duration necessitates consistent monitoring to ensure performance and cost control.
Related Government Programs
- Remediation Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration (over 12 years) increases risk of scope changes and cost escalation.
- Cost Plus Fixed Fee contract type can incentivize higher costs if not strictly managed.
- Lack of specific performance metrics in the provided data makes assessing effectiveness challenging.
- Potential for environmental incidents during remediation activities.
Tags
remediation-services, department-of-defense, mo, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $49.3 million to SHAW ENVIRONMENTAL, INC.. 199808!96CE!0298!CW41 !USA ENGINEER DISTRICT KANSAS CTY!DACW4198D9006 !A!*!0002 !19980528!19990930!621136852!028655181!106521081!N!0LP55!I T CORPORATION !11499 CHESTER RD !CINCINNATI !OH!45246!65000!510!29!ST. LOUIS !ST. LOUIS (CITY) !MISSOURI !0001!+000000050000!N!N!000000000000!F999!OTHER ENVIRON SVCS, STUDIES, & ANALYTICAL SUPPORT !S1 !SERVICES !5ZOP!OTHER ENVIRONMENTAL PROGRAMS !8744!5!B!S!*!B!A!*!A !U!U!2!0
Who is the contractor on this award?
The obligated recipient is SHAW ENVIRONMENTAL, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $49.3 million.
What is the period of performance?
Start: 1998-05-28. End: 2010-12-31.
What specific environmental remediation activities were performed under this contract, and what was the measurable impact on the environment?
The contract primarily covered 'Remediation Services' and 'Other Environmental Programs.' Specific activities would likely include hazardous waste cleanup, soil and groundwater remediation, and environmental monitoring. The measurable impact would be documented in post-remediation reports, assessing reduced contamination levels and compliance with environmental regulations, thereby improving ecological health and safety at the affected Army installations.
Given the Cost Plus Fixed Fee structure and the long contract duration, what mechanisms were in place to control costs and prevent overruns?
Cost Plus Fixed Fee contracts require robust oversight. Mechanisms likely included detailed cost tracking, regular audits of expenditures, performance metrics tied to fee realization, and clear scope management to prevent scope creep. The contracting officer's representatives (CORs) would play a critical role in monitoring progress and validating costs against the fixed fee and contract requirements.
How did the full and open competition process ensure the best value was achieved for these environmental services over such a long period?
Full and open competition allows multiple qualified vendors to submit proposals, fostering a competitive bidding environment. This process typically leads to lower prices and higher quality services as vendors strive to win the contract. For a long-term contract, the initial competition sets a baseline, and contract modifications or subsequent awards would continue to leverage competition to ensure ongoing value.
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 › NATURAL RESOURCES - OTHER SVCS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 5
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Shaw Group Inc., the (UEI: 180038382)
Address: 11206 THOMPSON AVE, LENEXA, KS, 66219
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DACW4198D9006
IDV Type: IDC
Timeline
Start Date: 1998-05-28
Current End Date: 2010-12-31
Potential End Date: 2010-12-31 00:00:00
Last Modified: 2021-02-26
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