DoD's $40.9M Contract for Remediation Services Awarded to URS GROUP, INC. Under Full and Open Competition

Contract Overview

Contract Amount: $40,954,409 ($41.0M)

Contractor: URS Group, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-03-21

End Date: 2008-07-16

Contract Duration: 848 days

Daily Burn Rate: $48.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Place of Performance

Location: HICKAM AFB, HONOLULU County, HAWAII, 96853

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $41.0 million to URS GROUP, INC. for work described as: Key points: 1. The contract value of $40.9 million for remediation services indicates a significant investment in environmental cleanup. 2. Awarded under full and open competition, this suggests a competitive bidding process was utilized. 3. The contract duration of 848 days (approx. 2.3 years) points to a medium-term project. 4. The absence of small business participation is noted, potentially limiting opportunities for smaller firms.

Value Assessment

Rating: fair

The contract value of $40.9 million for remediation services is substantial. Without specific benchmarks for similar remediation projects in Hawaii, it's difficult to definitively assess if this price is competitive. However, the award amount relative to the duration suggests a moderate per-day expenditure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and allows for a broad range of potential contractors to bid. This method is generally expected to yield fair market prices.

Taxpayer Impact: Full and open competition aims to ensure taxpayer money is spent efficiently by driving down costs through a competitive bidding process.

Public Impact

Environmental cleanup efforts in Hawaii are supported by this significant federal investment. The contract's execution may lead to job creation within the environmental services sector. The successful completion of remediation services will contribute to environmental protection and public health in the affected area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of small business participation
Potential for cost overruns in long-term remediation projects
Environmental risks associated with the remediation activities

Positive Signals

Awarded through full and open competition
Clear contract duration and fixed price structure
Experienced contractor likely selected

Sector Analysis

Remediation services fall under the broader environmental services sector, which is crucial for addressing industrial and military site contamination. Spending in this sector can fluctuate based on regulatory requirements and historical land use. This contract represents a notable investment within this specialized field.

Small Business Impact

The contract data indicates that no small business participation was involved in this award. This suggests that the prime contractor, URS GROUP, INC., likely handled the entire scope of work, potentially missing opportunities to leverage the capabilities of smaller, specialized firms in the region.

Oversight & Accountability

The Department of the Air Force, under the Department of Defense, is responsible for overseeing this contract. Standard procurement regulations and contract management practices would apply to ensure performance and accountability. The fixed-price nature of the contract provides some cost control, but ongoing monitoring of work quality and progress is essential.

Related Government Programs

Remediation Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Potential for cost overruns due to unforeseen site conditions
Lack of small business subcontracting opportunities
Environmental risks associated with the remediation process
Contract duration may be insufficient for complex, long-term environmental issues

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $41.0 million to URS GROUP, INC.. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is URS GROUP, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $41.0 million.

What is the period of performance?

Start: 2006-03-21. End: 2008-07-16.

What specific remediation activities are covered under this contract, and what are the expected environmental outcomes?

The contract specifies 'Remediation Services' but lacks granular detail on the exact activities. These could range from soil and groundwater cleanup to hazardous waste removal. The expected outcomes would be the reduction or elimination of environmental contaminants to meet regulatory standards, thereby protecting public health and ecosystems in Hawaii.

Given the 848-day duration and fixed-price structure, what are the primary risks to the government regarding cost and schedule overruns?

The primary risk to the government lies in unforeseen site conditions or complexities that could escalate remediation costs beyond the fixed price, despite the contract's structure. Schedule overruns are also a risk if the contractor encounters unexpected challenges or if regulatory approvals are delayed, potentially impacting the overall effectiveness and timely completion of the environmental cleanup.

How does the $40.9 million contract value compare to typical remediation projects of similar scale and complexity in the Pacific region?

Benchmarking this $40.9 million contract requires detailed analysis of comparable remediation projects in the Pacific, considering factors like site contamination levels, geographic location, and specific remediation technologies employed. Without access to such detailed comparative data, it is challenging to definitively state whether this represents a high, low, or average cost for similar undertakings.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: AECOM Global II, LLC (UEI: 043271568)

Address: 10101 REUNION PLACE, SUITE, SAN ANTONIO, TX, 90

Business Categories: Category Business, Not Designated a Small Business

Parent Contract

Parent Award PIID: FA890304D8679

IDV Type: IDC

Timeline