DoD's $29.7M Treasure Island cleanup contract awarded to APTIM FEDERAL SERVICES, LLC shows fair value
Contract Overview
Contract Amount: $29,677,504 ($29.7M)
Contractor: Aptim Federal Services, LLC
Awarding Agency: Department of Defense
Start Date: 2006-07-12
End Date: 2014-12-30
Contract Duration: 3,093 days
Daily Burn Rate: $9.6K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: OPTION PERIOD 4, NON-TIME CRITICAL REMOVAL ACTION FOR THREE SOLID WASTE DISPOSAL AREAS INSTALLATION RESTORATION SITE 12 NAVAL STATION TREASURE ISLAND, SAN FRANCISCO, CALIFORNIA
Place of Performance
Location: SAN FRANCISCO, SAN FRANCISCO County, CALIFORNIA, 94130
Plain-Language Summary
Department of Defense obligated $29.7 million to APTIM FEDERAL SERVICES, LLC for work described as: OPTION PERIOD 4, NON-TIME CRITICAL REMOVAL ACTION FOR THREE SOLID WASTE DISPOSAL AREAS INSTALLATION RESTORATION SITE 12 NAVAL STATION TREASURE ISLAND, SAN FRANCISCO, CALIFORNIA Key points: 1. Contract value appears reasonable given the scope of environmental remediation services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. Contract duration of over 8 years indicates a long-term commitment to site cleanup. 4. The contract falls within the broader category of environmental remediation services. 5. Performance period concluded in late 2014, providing historical data for analysis.
Value Assessment
Rating: good
The contract's total value of approximately $29.7 million over more than 8 years suggests a significant investment in environmental cleanup. While direct comparisons are difficult without specific project details, the firm-fixed-price structure implies that the contractor assumed the risk for cost overruns. Benchmarking against similar large-scale environmental remediation projects at military installations would provide a more precise value assessment, but the scale and duration indicate a substantial undertaking.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the initial process may have had exclusions, the final award was made through a broad competitive solicitation. The specific number of bidders is not provided, but the 'full and open' designation generally implies multiple interested parties were able to submit proposals, fostering price discovery and potentially leading to a more favorable outcome for the government.
Taxpayer Impact: The use of full and open competition is beneficial for taxpayers as it encourages a wider range of contractors to bid, driving down prices through market forces and ensuring the government receives competitive offers.
Public Impact
The primary beneficiaries are the Department of Defense and the Navy, responsible for environmental stewardship of military installations. The services delivered involve the remediation of solid waste disposal areas at Naval Station Treasure Island. The geographic impact is localized to Treasure Island in San Francisco, California. The contract supports jobs in the environmental remediation and construction sectors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen environmental conditions were encountered, though mitigated by firm-fixed-price.
- Long duration could lead to contractor performance degradation or shifts in environmental regulations.
- Complexity of remediation at a former naval base may present unique challenges.
Positive Signals
- Firm-fixed-price contract structure shifts cost risk to the contractor.
- Full and open competition suggests a robust bidding process.
- Long-term contract allows for sustained focus on environmental cleanup goals.
Sector Analysis
This contract falls within the Environmental Remediation Services sector, a critical component of the broader industrial and defense landscape. The market for environmental services, particularly for government facilities, is substantial, driven by regulatory compliance and legacy site cleanup. Comparable spending benchmarks for large-scale environmental remediation at military bases often run into tens or hundreds of millions of dollars, depending on the complexity and scale of contamination.
Small Business Impact
The data indicates this contract was awarded under full and open competition and does not specify any small business set-aside. Therefore, the direct impact on small businesses through this specific award is likely minimal unless they were involved as subcontractors. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the Department of the Navy's program management. Accountability measures are inherent in the firm-fixed-price contract, requiring the contractor to meet defined remediation standards. Transparency is generally maintained through contract award databases and reporting requirements, though specific project oversight details are not provided.
Related Government Programs
- Environmental Remediation Services
- Naval Facilities Engineering Command Contracts
- Defense Environmental Cleanup Program
- Superfund Remedial Actions
Risk Flags
- Long contract duration may increase risk of scope creep or changing regulatory requirements.
- Environmental remediation projects can be subject to unforeseen site conditions.
- Firm-fixed-price contracts require careful initial cost estimation to avoid contractor financial distress.
Tags
defense, department-of-defense, department-of-the-navy, environmental-remediation, remediation-services, firm-fixed-price, full-and-open-competition, california, san-francisco, installation-restoration, solid-waste-disposal, large-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $29.7 million to APTIM FEDERAL SERVICES, LLC. OPTION PERIOD 4, NON-TIME CRITICAL REMOVAL ACTION FOR THREE SOLID WASTE DISPOSAL AREAS INSTALLATION RESTORATION SITE 12 NAVAL STATION TREASURE ISLAND, SAN FRANCISCO, CALIFORNIA
Who is the contractor on this award?
The obligated recipient is APTIM FEDERAL SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $29.7 million.
What is the period of performance?
Start: 2006-07-12. End: 2014-12-30.
What was the specific nature of the 'solid waste disposal areas' and the contaminants involved at Installation Restoration Site 12, Naval Station Treasure Island?
Installation Restoration Site 12 at Naval Station Treasure Island was identified as a former solid waste disposal area. While the provided data does not detail the specific contaminants, such sites commonly contain a mix of municipal solid waste, potentially including hazardous materials like heavy metals, solvents, and petroleum products, depending on the historical activities at the base. The remediation services would have focused on characterizing these wastes, excavating contaminated soil, and managing or disposing of the materials according to environmental regulations. The 'non-time critical removal action' designation suggests a planned, phased approach to addressing the contamination rather than an immediate emergency response.
How did APTIM FEDERAL SERVICES, LLC's performance compare to industry benchmarks for similar environmental remediation projects?
Assessing APTIM FEDERAL SERVICES, LLC's performance against industry benchmarks requires detailed project data not present in the summary. Key performance indicators for environmental remediation include adherence to schedule, budget performance (especially relevant for fixed-price contracts), effectiveness of cleanup actions in meeting regulatory standards, and safety records. Without specific reports on project milestones, cost variances, or post-remediation environmental monitoring data, a direct comparison is not feasible. However, the contract's completion within its extended timeframe suggests a degree of successful execution, though the final environmental outcomes would need independent verification.
What were the primary risks associated with this contract, and how were they managed?
The primary risks associated with this environmental remediation contract likely included unforeseen subsurface conditions (e.g., encountering unexpected types or volumes of waste, buried utilities, or geological challenges), potential cost overruns due to these conditions, and delays caused by permitting, regulatory changes, or contractor performance issues. The firm-fixed-price (FFP) contract structure inherently transferred significant cost risk to APTIM FEDERAL SERVICES, LLC, incentivizing them to manage project costs effectively. Risk mitigation would also involve thorough site characterization, robust project planning, adherence to safety protocols, and close government oversight to ensure compliance and timely progress.
What is the historical spending pattern for environmental remediation at Naval Station Treasure Island, and how does this contract fit within it?
This contract represents a significant portion of the spending for environmental remediation at Naval Station Treasure Island, with a total value of approximately $29.7 million over its duration. Naval Station Treasure Island has a long history of environmental issues stemming from its decades of operation as a naval base. Spending on environmental remediation at such bases is often characterized by multi-year, multi-contract efforts addressing various 'Installation Restoration Sites' (IRs). This specific contract focused on IR Site 12. Historical spending patterns would likely show a series of contracts awarded over many years to address different contamination areas, with this contract being one major component of the overall cleanup effort for the base.
Were there any significant challenges or disputes encountered during the execution of this contract?
The provided summary data does not contain information regarding specific challenges or disputes encountered during the execution of this contract. Contract performance issues, disputes, or significant modifications are typically documented in contract performance reports, legal filings, or agency audit reports. Without access to such detailed records, it is impossible to determine if APTIM FEDERAL SERVICES, LLC faced major hurdles or disagreements with the Department of the Navy during the remediation process. The contract's completion date suggests it was ultimately concluded, but the specifics of its execution journey remain undisclosed in this summary.
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 AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N6871101Q6007
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: Chicago Bridge & Iron Company N.V. (UEI: 386491765)
Address: 2370 TOWNE CENTER BLVD, BATON ROUGE, LA, 90
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $29,677,504
Exercised Options: $29,677,504
Current Obligation: $29,677,504
Contract Characteristics
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: N6871101D6011
IDV Type: IDC
Timeline
Start Date: 2006-07-12
Current End Date: 2014-12-30
Potential End Date: 2014-12-30 00:00:00
Last Modified: 2014-07-23
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