DoD Awards $13.15M Remedial Design Contract for Welsbach Superfund Site in New Jersey

Contract Overview

Contract Amount: $13,153,305 ($13.2M)

Contractor: Arcadis U.S., Inc.

Awarding Agency: Department of Defense

Start Date: 2015-12-16

End Date: 2021-09-15

Contract Duration: 2,100 days

Daily Burn Rate: $6.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::OT::IGF THE CONTRACTOR SHALL PERFORM ALL THE NECESSARY WORK AND SERVICES IN PERFORMING A REMEDIAL DESIGN AND RELATED STUDIES FOR THE WELSBACH&GENERAL GAS MANTLE SUPERFUND SITE, CAMDEN AND GLOUCESTER CITY, NEW JERSEY IN ACCORDANCE WITH THE SCOPE OF WORK DATED 08 SEPTEMBER 2015.

Place of Performance

Location: FAIR LAWN, BERGEN County, NEW JERSEY, 07410

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $13.2 million to ARCADIS U.S., INC. for work described as: IGF::OT::IGF THE CONTRACTOR SHALL PERFORM ALL THE NECESSARY WORK AND SERVICES IN PERFORMING A REMEDIAL DESIGN AND RELATED STUDIES FOR THE WELSBACH&GENERAL GAS MANTLE SUPERFUND SITE, CAMDEN AND GLOUCESTER CITY, NEW JERSEY IN ACCORDANCE WITH THE SCOPE OF WORK DATED 08 SEPTEMBER 20… Key points: 1. Contract focuses on environmental remediation design and studies for a Superfund site. 2. ARCADIS U.S., INC. is the contractor, with the Department of the Army as the agency. 3. The contract type is Cost Plus Fixed Fee, awarded via full and open competition. 4. Project duration is 2100 days, indicating a long-term, complex environmental undertaking.

Value Assessment

Rating: good

The Cost Plus Fixed Fee structure allows for flexibility in complex projects but requires careful oversight to manage costs. The total award of $13.15M for a multi-year remedial design project appears reasonable given the scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust process for selecting the most qualified bidder. This method generally promotes competitive pricing and ensures value for taxpayer money.

Taxpayer Impact: Full and open competition aims to secure the best value for taxpayers by allowing all eligible contractors to bid on the project.

Public Impact

Addresses environmental cleanup at a designated Superfund site, impacting public health and local ecosystems. The project involves complex engineering and studies, potentially leading to significant long-term environmental improvements. Contract duration of 2100 days highlights the scale and complexity of the remedial design work required.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Engineering services for environmental remediation are crucial for addressing legacy pollution sites. Spending in this sector is driven by regulatory requirements and public health concerns, with benchmarks varying widely based on site complexity and remediation approach.

Small Business Impact

The data indicates this contract was awarded through full and open competition and does not specify any set-asides for small businesses. Therefore, the direct impact on small businesses is not evident from this award alone.

Oversight & Accountability

The Department of the Army's contracting process, including the use of full and open competition and a Cost Plus Fixed Fee structure, requires diligent oversight to ensure cost control and adherence to the scope of work for this Superfund site remediation.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, nj, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.2 million to ARCADIS U.S., INC.. IGF::OT::IGF THE CONTRACTOR SHALL PERFORM ALL THE NECESSARY WORK AND SERVICES IN PERFORMING A REMEDIAL DESIGN AND RELATED STUDIES FOR THE WELSBACH&GENERAL GAS MANTLE SUPERFUND SITE, CAMDEN AND GLOUCESTER CITY, NEW JERSEY IN ACCORDANCE WITH THE SCOPE OF WORK DATED 08 SEPTEMBER 2015.

Who is the contractor on this award?

The obligated recipient is ARCADIS U.S., 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 $13.2 million.

What is the period of performance?

Start: 2015-12-16. End: 2021-09-15.

What is the estimated cost per year for this remedial design project?

The total contract value is $13,153,304.95 over a duration of 2100 days. To estimate the cost per year, we can approximate the number of years by dividing 2100 days by 365 days/year, which is approximately 5.75 years. Dividing the total cost by this duration gives an approximate annual cost of $2,287,500. This is a rough estimate as the work may not be evenly distributed throughout the contract period.

What are the primary risks associated with a Cost Plus Fixed Fee contract for environmental remediation?

The primary risks with a Cost Plus Fixed Fee (CPFF) contract for environmental remediation include potential cost overruns if the contractor's actual costs exceed the estimated costs, as the government bears the risk. There's also a risk of reduced incentive for the contractor to control costs efficiently, as their fee is fixed. Effective oversight is crucial to mitigate these risks and ensure the project stays within budget and scope.

How does the 'full and open competition' method impact the effectiveness of this contract?

Full and open competition generally enhances contract effectiveness by fostering a competitive environment where multiple qualified contractors vie for the work. This process is expected to yield a more competitive price, higher quality services, and innovative solutions. It increases the likelihood that the government selects the best-value offer, leading to a more successful and cost-effective outcome for the remedial design and studies at the Welsbach Superfund site.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICESARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912DQ14R3001

Offers Received: 7

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

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

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $13,153,305

Exercised Options: $13,153,305

Current Obligation: $13,153,305

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DQ15D3012

IDV Type: IDC

Timeline

Start Date: 2015-12-16

Current End Date: 2021-09-15

Potential End Date: 2021-09-15 00:00:00

Last Modified: 2025-10-08

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