DoD's $22.2M Radiological Remediation Contract Awarded to Tetra Tech EC, Inc

Contract Overview

Contract Amount: $22,194,322 ($22.2M)

Contractor: Tetra Tech EC, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-08-31

End Date: 2015-04-30

Contract Duration: 1,338 days

Daily Burn Rate: $16.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RADIOLOGICAL EMAC

Place of Performance

Location: ALAMEDA, ALAMEDA County, CALIFORNIA, 94501

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $22.2 million to TETRA TECH EC, INC. for work described as: RADIOLOGICAL EMAC Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1338 days indicates a significant, long-term project. 3. Fixed-price contract type may offer cost certainty for the government. 4. The North American Industry Classification System (NAICS) code 562910 points to environmental remediation services. 5. Awarded by the Department of the Navy, a major component of the Department of Defense. 6. The contract was awarded as a Delivery Order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: fair

Benchmarking the value of this $22.2 million contract is challenging without specific details on the scope of radiological remediation. However, the firm fixed-price structure suggests an attempt to control costs. Comparing this to similar large-scale environmental cleanup contracts would provide better context for value assessment. The duration of nearly four years implies a substantial undertaking, and the pricing should reflect the complexity and risks associated with radiological cleanup.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this procurement method generally fosters price discovery and encourages competitive pricing. The government likely received multiple proposals, allowing for a selection based on a combination of technical merit and cost.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the best value through a robust bidding process, potentially leading to lower prices and higher quality services.

Public Impact

The Department of Defense benefits from the remediation of radiological hazards, ensuring environmental safety and compliance. Services delivered include radiological remediation, crucial for managing hazardous materials. The contract is geographically focused on California (SN: CALIFORNIA), indicating specific site cleanup needs. The contract supports specialized environmental services, potentially impacting the workforce in the remediation sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen radiological contamination is more extensive than anticipated.
Dependence on a single contractor (Tetra Tech EC, Inc.) for a critical and long-term remediation project.
The firm fixed-price nature might disincentivize the contractor from identifying cost-saving efficiencies if not carefully managed.

Positive Signals

Awarded through full and open competition, suggesting a competitive process that should yield fair pricing.
Firm fixed-price contract provides cost certainty for the government over the contract duration.
The contractor, Tetra Tech EC, Inc., is likely experienced in environmental remediation, given the nature of the contract.

Sector Analysis

The environmental remediation sector is a significant part of the broader environmental services industry, driven by regulatory compliance and the need to address historical contamination. This contract falls within the hazardous waste management and site cleanup sub-sector. Spending in this area is often influenced by government mandates and the lifecycle of industrial and military facilities. Comparable spending benchmarks would typically be found within large-scale environmental cleanup contracts awarded by agencies like the EPA or other branches of the DoD.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (SS: false, SB: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. However, the prime contractor, Tetra Tech EC, Inc., may engage small businesses as subcontractors for specialized services, depending on their subcontracting plan and the nature of the work.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Navy. Performance monitoring, quality assurance, and compliance checks are standard oversight mechanisms. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Environmental Remediation Services
Hazardous Waste Management
Department of Defense Contracts
Naval Facilities Engineering Command Contracts
Radiological Cleanup Projects

Risk Flags

Potential for cost overruns due to unforeseen site conditions.
Long-term project duration increases exposure to changing regulations or economic conditions.
Reliance on fixed-price contract may limit contractor's incentive for cost efficiency if not managed well.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.2 million to TETRA TECH EC, INC.. RADIOLOGICAL EMAC

Who is the contractor on this award?

The obligated recipient is TETRA TECH EC, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $22.2 million.

What is the period of performance?

Start: 2011-08-31. End: 2015-04-30.

What is the track record of Tetra Tech EC, Inc. in handling radiological remediation contracts of similar scale and complexity?

Tetra Tech EC, Inc. is a well-established environmental consulting and engineering firm with extensive experience in remediation services, including radiological and hazardous waste cleanup. They have been involved in numerous large-scale projects for government agencies, including the Department of Defense and the Environmental Protection Agency. Their track record typically includes managing complex projects involving site characterization, risk assessment, remediation design, and implementation. Specific details on past performance for contracts of this exact scale and radiological complexity would require a deeper dive into their project portfolio and client feedback, but their general reputation suggests they are a capable contractor for such work.

How does the $22.2 million contract value compare to other radiological remediation efforts by the Department of the Navy or DoD?

The $22.2 million contract value is a significant but not exceptionally large sum for major environmental remediation projects, especially those involving radiological contamination. Large-scale cleanup efforts at former military bases or industrial sites can easily run into tens or hundreds of millions of dollars, sometimes exceeding a billion dollars over many years. This particular contract, awarded as a delivery order, might represent a specific phase or a defined scope within a larger program. To provide a precise comparison, one would need to analyze the scope of work, duration, and specific contaminants addressed in other DoD radiological remediation contracts. However, it falls within a common range for substantial, multi-year remediation tasks.

What are the primary risks associated with this radiological remediation contract, and how are they being managed?

The primary risks associated with radiological remediation contracts include unforeseen contamination levels, potential for environmental releases, worker safety hazards, and schedule delays. Unforeseen contamination can lead to cost overruns, especially under a firm fixed-price contract. Environmental releases pose risks to public health and the environment, requiring stringent containment and monitoring protocols. Worker safety is paramount due to radiation exposure risks, necessitating strict adherence to safety regulations and use of personal protective equipment. Schedule delays can occur due to complex technical challenges, permitting issues, or unexpected site conditions. Management of these risks typically involves thorough site characterization, robust safety plans, contingency planning, regular progress monitoring, and clear communication channels between the contractor and the government.

What is the expected effectiveness of the remediation services to be delivered under this contract?

The expected effectiveness of the remediation services hinges on the specific goals defined in the contract statement of work. Typically, radiological remediation aims to reduce or eliminate hazardous radioactive materials to levels that meet regulatory standards, making the site safe for its intended future use. This involves processes like excavation and disposal of contaminated soil, in-situ treatment, or containment. Effectiveness is measured against predefined cleanup standards and performance metrics. Successful completion should result in a demonstrably safer environment, compliance with environmental regulations, and the ability to release the site for beneficial reuse, thereby fulfilling the Department of Defense's environmental stewardship responsibilities.

What are the historical spending patterns for radiological remediation services by the Department of the Navy?

Historical spending patterns for radiological remediation services by the Department of the Navy are substantial, reflecting the legacy of past activities at numerous naval installations. The Navy, like other branches of the DoD, has ongoing environmental cleanup programs addressing contamination from decades of operations, including radiological hazards. Annual spending can fluctuate based on project cycles, regulatory requirements, and budget allocations. Major cleanup efforts often span multiple years and involve significant financial commitments. Analyzing historical data from sources like the Federal Procurement Data System (FPDS) or agency budget reports would reveal trends in contract awards, types of services procured, and overall investment in radiological remediation over time.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6247309R2614

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Tetra Tech, Inc. (UEI: 045224250)

Address: 1230 COLUMBIA ST STE 750, SAN DIEGO, CA, 92101

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

Financial Breakdown

Contract Ceiling: $22,194,322

Exercised Options: $22,194,322

Current Obligation: $22,194,322

Subaward Activity

Number of Subawards: 16

Total Subaward Amount: $2,570,343

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6247310D0809

IDV Type: IDC

Timeline