Army Awards $15M Hazardous Substance Cleanup Contract to Parsons Infrastructure & Tech

Contract Overview

Contract Amount: $15,066,849 ($15.1M)

Contractor: Parsons Government Services Inc.

Awarding Agency: Department of Defense

Start Date: 2001-08-31

End Date: 2008-06-30

Contract Duration: 2,495 days

Daily Burn Rate: $6.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: 200111!000958!2100!CA87 !U.S. ARMY ENGINEER AND SUPPORT !DACA8700D0038 !A!N!*!Y!0010 !20010831!20011230!006908511!006908511!030866545!N!PARSONS INFRASTRUCTURE & TECHN!100 WEST WALNUT STREET !PASADENA !CA!91124!00100!027!53!ABERDEEN !GRAYS HARBOR !WASHINGTON!+000000080000!N!N!000000000000!F108!HAZARDOUS SUBSTANCE REMOVAL/CLEANUP/DISPOSAL SVCS !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !541330!*!*!5!B!S!C!*!*!*!B!*!*!N!Z!D !N!Y!1!001!N!1A!C!Y!Z! ! !N!C!N! ! ! !A!A!A!A!000!A!B!N! ! ! ! ! ! !0001!

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $15.1 million to PARSONS GOVERNMENT SERVICES INC. for work described as: 200111!000958!2100!CA87 !U.S. ARMY ENGINEER AND SUPPORT !DACA8700D0038 !A!N!*!Y!0010 !20010831!20011230!006908511!006908511!030866545!N!PARSONS INFRASTRUCTURE & TECHN!100 WEST WALNUT STREET !PASADENA !CA!91124!00100!027!53!ABERDEEN !GRAYS… Key points: 1. The contract focuses on hazardous substance removal, cleanup, and disposal services. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. The contract duration is substantial, spanning over 20 years. 4. The primary contractor is Parsons Infrastructure & Technology, a known entity in the sector.

Value Assessment

Rating: fair

The contract value of $15,066,848.60 over 20 years suggests a moderate annual spend. Benchmarking against similar hazardous substance removal contracts would be necessary to assess if this pricing is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more favorable price for the services rendered.

Public Impact

Environmental cleanup services are critical for public health and safety. Long-term contracts can ensure continuity of essential environmental services. The significant duration raises questions about long-term needs and potential for cost overruns if not managed effectively. Transparency in the bidding process is key to ensuring taxpayer value.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

Long contract duration (20+ years) may indicate potential for scope creep or evolving needs.
Lack of specific details on the nature of hazardous substances and cleanup scope.
Potential for cost increases over such a long period.

Positive Signals

Awarded through full and open competition.
Contractor has a history in infrastructure and technology services.
Services provided are essential for environmental protection.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically environmental consulting and remediation. Spending in this area is driven by regulatory requirements and infrastructure needs.

Small Business Impact

The data does not indicate any specific set-aside for small businesses. Analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

The long duration of the contract necessitates robust oversight from the Department of the Army to ensure performance, manage costs, and adapt to changing environmental regulations and technologies.

Related Government Programs

Department of Defense Contracting
Department of the Army Programs

Risk Flags

Extended contract duration (20+ years) increases risk of cost escalation and scope creep.
Lack of specific details on the hazardous substances and cleanup scope.
Potential for evolving environmental regulations impacting service requirements and costs.
Need for continuous oversight to ensure contractor performance and taxpayer value over the long term.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.1 million to PARSONS GOVERNMENT SERVICES INC.. 200111!000958!2100!CA87 !U.S. ARMY ENGINEER AND SUPPORT !DACA8700D0038 !A!N!*!Y!0010 !20010831!20011230!006908511!006908511!030866545!N!PARSONS INFRASTRUCTURE & TECHN!100 WEST WALNUT STREET !PASADENA !CA!91124!00100!027!53!ABERDEEN !GRAYS HARBOR !WASHINGTON!+000000080000!N!N!000000000000!F108!HAZARDOUS SUBSTANCE REMOVAL/CLEANUP/DISPOSAL SVCS !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !541330!*!*!5!B!S!C!*!*!*!B!*!*!N!

Who is the contractor on this award?

The obligated recipient is PARSONS GOVERNMENT SERVICES 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 $15.1 million.

What is the period of performance?

Start: 2001-08-31. End: 2008-06-30.

What is the specific scope of work for hazardous substance removal and cleanup, and how has it evolved over the contract's long duration?

The provided data indicates the contract is for 'HAZARDOUS SUBSTANCE REMOVAL/CLEANUP/DISPOSAL SVCS'. Without further details, the specific types of substances, the scale of operations, and the geographical areas covered remain unclear. Over a 20-year period, the scope could significantly change due to new discoveries, evolving environmental regulations, or shifts in project priorities, requiring careful management and potential contract modifications.

How does the $15M total contract value compare to industry benchmarks for similar long-term environmental remediation projects?

Benchmarking this $15M contract against similar long-term (20+ year) hazardous substance removal and cleanup projects is crucial for assessing value. Factors like the complexity of the sites, the types of contaminants, and the specific services required (e.g., site assessment, remediation, disposal) heavily influence costs. A detailed comparison with industry data would reveal if the Army secured competitive pricing or if there's potential for cost savings.

What mechanisms are in place to ensure effective oversight and accountability for a contract spanning over two decades?

Given the contract's 20-year duration, robust oversight mechanisms are paramount. This likely includes regular performance reviews, milestone tracking, stringent quality control measures, and clear communication channels between the Army and Parsons. Accountability would be enforced through contract clauses, potential penalties for non-performance, and periodic re-evaluations of the contract's continued necessity and cost-effectiveness.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Parsons Corporation (UEI: 030866545)

Address: 100 W WALNUT ST, PASADENA, CA, 91124

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DACA8700D0038

IDV Type: IDC

Timeline