Great Lakes Cleanup Contract Exceeds $76M for East Branch Grand Calumet River Remediation

Contract Overview

Contract Amount: $76,698,111 ($76.7M)

Contractor: Great Lakes Sediment Remediation, LLC

Awarding Agency: Environmental Protection Agency

Start Date: 2013-03-22

End Date: 2016-09-07

Contract Duration: 1,265 days

Daily Burn Rate: $60.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF GREAT LAKES NATIONAL PROGRAM OFFICE CLEANUP SERVICES (GLNPOCS) CONTRACT PROJECT TITLE: EAST BRANCH GRAND CALUMET RIVER REACHES 4A AND 4B REMEDIAL ACTION

Place of Performance

Location: HAMMOND, LAKE County, INDIANA, 46327

State: Indiana Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $76.7 million to GREAT LAKES SEDIMENT REMEDIATION, LLC for work described as: IGF::OT::IGF GREAT LAKES NATIONAL PROGRAM OFFICE CLEANUP SERVICES (GLNPOCS) CONTRACT PROJECT TITLE: EAST BRANCH GRAND CALUMET RIVER REACHES 4A AND 4B REMEDIAL ACTION Key points: 1. The contract focuses on critical environmental remediation in Indiana. 2. Competition was full and open after exclusion of sources, suggesting a deliberate procurement strategy. 3. The fixed-price contract type aims to control costs for this large-scale project. 4. This project falls under environmental services, a key area for EPA oversight.

Value Assessment

Rating: fair

The contract value of $76.7 million is substantial for environmental remediation. Benchmarking against similar large-scale river cleanup projects is necessary to fully assess value, as specific comparable contracts are not readily available.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The procurement method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates a specific reason for excluding certain potential bidders, which could impact price discovery and overall competition.

Taxpayer Impact: Taxpayer funds are allocated for significant environmental cleanup, aiming for long-term ecological benefit and compliance with environmental regulations.

Public Impact

Restoration of the East Branch Grand Calumet River, improving water quality and ecosystem health. Potential impact on local communities and industries reliant on the river's resources. Demonstrates federal commitment to addressing legacy environmental contamination.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

Limited competition method requires scrutiny.
Potential for cost overruns in complex remediation projects.

Positive Signals

Addresses a significant environmental issue.
Firm fixed-price contract provides cost certainty.

Sector Analysis

This contract falls within the Environmental Protection Agency's (EPA) broader environmental services sector, specifically focusing on remediation. Spending in this sector is driven by regulatory requirements and the need to address historical pollution.

Small Business Impact

The data indicates the primary contractor is Great Lakes Sediment Remediation, LLC. There is no explicit information provided regarding small business participation or subcontracting in this specific contract award.

Oversight & Accountability

The contract is managed by the EPA's Great Lakes National Program Office. Oversight would involve monitoring project progress, adherence to environmental standards, and financial accountability to ensure effective use of taxpayer funds.

Related Government Programs

Remediation Services
Environmental Protection Agency Contracting
Environmental Protection Agency Programs

Risk Flags

Limited competition raises concerns about potential price inflation.
Complexity of environmental remediation can lead to unforeseen costs.
Contract duration and value suggest significant taxpayer investment requiring close monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $76.7 million to GREAT LAKES SEDIMENT REMEDIATION, LLC. IGF::OT::IGF GREAT LAKES NATIONAL PROGRAM OFFICE CLEANUP SERVICES (GLNPOCS) CONTRACT PROJECT TITLE: EAST BRANCH GRAND CALUMET RIVER REACHES 4A AND 4B REMEDIAL ACTION

Who is the contractor on this award?

The obligated recipient is GREAT LAKES SEDIMENT REMEDIATION, LLC.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $76.7 million.

What is the period of performance?

Start: 2013-03-22. End: 2016-09-07.

What were the specific reasons for excluding sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement method, and how did this impact the final contract price?

The exclusion of sources suggests that only a limited number of qualified contractors met specific, potentially stringent, technical or capability requirements for this complex remediation. While this can ensure specialized expertise, it may also reduce competitive pressure, potentially leading to a higher price than under a truly open competition. Further documentation would be needed to detail the exclusion criteria and its precise price impact.

What are the key performance indicators (KPIs) for this remediation contract, and how will their achievement be measured to ensure effectiveness and value for money?

Effectiveness is likely measured by the successful removal or containment of contaminants to meet established environmental standards for the river reaches. KPIs would typically include volume of material remediated, contaminant levels post-remediation, and adherence to project timelines and budget. The EPA's oversight would involve regular site inspections, sampling, and reporting to verify these metrics and ensure the project delivers the intended environmental benefits.

Given the $76.7 million contract value and the 2013-2016 performance period, what is the estimated cost per unit of contaminant removed or area remediated, and how does this compare to industry benchm

Without specific details on the volume of contaminants or the exact area remediated, calculating a precise cost per unit is not feasible. However, large-scale environmental remediation projects are inherently complex and costly. Benchmarking would require comparing this contract's total cost against similar projects addressing similar contaminants in comparable geographic and geological conditions to assess its relative efficiency.

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: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: SOL-R5-13-00002

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 820 BAINBRIDGE ST, LA CROSSE, WI, 54603

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $83,418,489

Exercised Options: $81,412,921

Current Obligation: $76,698,111

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: EPR51105

IDV Type: IDC

Timeline