DoD's $12.5M Remediation Services Contract with Weston Solutions Inc. Awarded in 2005
Contract Overview
Contract Amount: $12,479,596 ($12.5M)
Contractor: Weston Solutions Inc
Awarding Agency: Department of Defense
Start Date: 2005-05-17
End Date: 2010-03-31
Contract Duration: 1,779 days
Daily Burn Rate: $7.0K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Place of Performance
Location: WEST CHESTER, CHESTER County, PENNSYLVANIA, 19380
Plain-Language Summary
Department of Defense obligated $12.5 million to WESTON SOLUTIONS INC for work described as: Key points: 1. Contract awarded for remediation services, indicating a need for environmental cleanup or restoration. 2. The contract type (Cost Plus Fixed Fee) suggests potential for cost overruns if not managed closely. 3. A duration of 1779 days (nearly 5 years) points to a significant, long-term project. 4. The contract was competed after exclusion of sources, which warrants further investigation into the rationale. 5. The North American Industry Classification System (NAICS) code 562910 aligns with environmental remediation services. 6. The award was made to Weston Solutions Inc., a contractor with experience in this sector.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without more detailed cost breakdowns and performance metrics. The Cost Plus Fixed Fee (CPFF) structure can sometimes lead to higher overall costs compared to fixed-price contracts if not rigorously overseen. However, for complex remediation projects where the full scope of work may not be entirely predictable at the outset, CPFF can be appropriate. Further analysis would require comparing the final cost to the initial estimate and assessing the efficiency of the services rendered.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This designation implies that while the competition was intended to be open, specific sources were excluded, suggesting a potentially limited pool of bidders. The exact reasons for excluding certain sources would need to be examined to understand the impact on competition. With only two bidders indicated, the level of competition may have been constrained, potentially affecting price discovery.
Taxpayer Impact: The limited competition may have resulted in a higher price for taxpayers than if a broader range of qualified contractors had been able to participate. Understanding the justification for source exclusion is crucial for ensuring fair pricing.
Public Impact
The primary beneficiaries are likely the Department of Defense and potentially the environment, through the remediation services provided. Services delivered include environmental remediation, addressing contamination or hazardous conditions. The geographic impact is specified as Pennsylvania (SN: PENNSYLVANIA), indicating the location of the remediation efforts. Workforce implications would involve skilled labor for environmental cleanup, potentially creating jobs in the remediation sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' designation raises concerns about the breadth of competition and potential for higher costs.
- The Cost Plus Fixed Fee (CPFF) contract type carries inherent risks of cost escalation if not managed with stringent oversight.
- Limited number of bidders (2) suggests a potentially constrained competitive landscape.
Positive Signals
- The contract was awarded to a specific contractor (Weston Solutions Inc.) indicating a selection based on some criteria.
- The contract duration of nearly 5 years suggests a significant and potentially complex project requiring sustained effort.
- The award was made by the Department of Defense, a major federal agency with substantial contracting needs.
Sector Analysis
This contract falls within the environmental remediation services sector, a critical component of the broader environmental services industry. This industry encompasses a wide range of activities, including hazardous waste management, site cleanup, and environmental consulting. Spending in this sector is often driven by regulatory requirements, historical contamination, and infrastructure development. Comparable spending benchmarks would typically involve analyzing other large-scale environmental cleanup contracts awarded by government agencies or private entities for similar types of remediation projects.
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 or specific impacts on the small business ecosystem stemming from a small business set-aside. The primary contractor, Weston Solutions Inc., would be responsible for managing the entire scope of work, and any subcontracting would be at their discretion.
Oversight & Accountability
Oversight for this contract would typically fall under the purview of the Defense Contract Management Agency (DCMA), as indicated by the 'sa' field. Accountability measures would be embedded within the contract terms, including performance standards, reporting requirements, and payment milestones tied to deliverables. Transparency assessment would depend on the public availability of contract performance reports and cost data, which is not detailed here. Inspector General jurisdiction would apply if any issues of fraud, waste, or abuse were identified.
Related Government Programs
- Environmental Remediation Services
- Department of Defense Contracts
- Cost Plus Fixed Fee Contracts
- Long-Term Service Contracts
- Environmental Cleanup Programs
Risk Flags
- Limited Competition
- Cost Plus Fixed Fee Contract Type
- Potential for Cost Overruns
- Exclusion of Sources in Competition
Tags
defense, department-of-defense, weston-solutions-inc, remediation-services, environmental-services, cost-plus-fixed-fee, limited-competition, pennsylvania, long-term-contract, federal-contract, environmental-cleanup, defense-contract-management-agency
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $12.5 million to WESTON SOLUTIONS INC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is WESTON SOLUTIONS INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $12.5 million.
What is the period of performance?
Start: 2005-05-17. End: 2010-03-31.
What were the specific reasons for excluding certain sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' process?
The designation 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' implies that while the competition was intended to be open to all responsible sources, specific entities were deemed ineligible or were not solicited. The precise reasons for exclusion are not detailed in the provided data but could stem from factors such as prior performance issues, lack of specific certifications or capabilities required for the project, or a determination that only a limited number of contractors possessed the necessary expertise. Understanding these exclusions is critical for assessing whether the competition was truly robust and if the government obtained the best possible value. Without this information, it's difficult to definitively state if taxpayer funds were used optimally.
How did the final cost of this Cost Plus Fixed Fee (CPFF) contract compare to the initial estimated cost?
The provided data indicates an award amount ('a') of $12,479,596.01, but it does not specify whether this represents the final cost or an estimated cost ceiling. For CPFF contracts, the final cost can often exceed the initial estimate, especially for complex projects with evolving scopes. To assess value for money, a comparison between the final incurred costs and the initial target cost, along with the fixed fee, is essential. If the final cost significantly deviated from projections without clear justification, it could indicate potential inefficiencies or scope creep that warrant further scrutiny. Benchmarking against similar remediation projects would also provide context.
What was the nature of the remediation services provided under this contract?
The contract's NAICS code (562910) and description ('Remediation Services') indicate that the services involved addressing environmental contamination or hazardous conditions. This could encompass a wide range of activities such as soil and groundwater cleanup, hazardous waste removal, site restoration, and compliance with environmental regulations. The specific nature of the contamination (e.g., chemical spills, unexploded ordnance, asbestos) and the methods employed would determine the complexity and cost of the project. Detailed project reports or environmental impact statements would offer more granular information on the services rendered.
What is the track record of Weston Solutions Inc. in performing similar federal remediation contracts?
Weston Solutions Inc. has a history of performing federal contracts, particularly within the environmental services sector. Their involvement in remediation projects for agencies like the Department of Defense is not uncommon. To assess their track record specifically for this contract, one would need to examine past performance evaluations, any documented disputes or claims, and the successful completion of similar projects. A review of their contract history, including the types of remediation performed, contract values, and client agencies, would provide a comprehensive understanding of their capabilities and reliability in executing complex environmental tasks.
How does the duration of this contract (1779 days) compare to typical federal remediation contracts of similar scope?
A contract duration of 1779 days, approximately 4.87 years, suggests a substantial and potentially complex remediation project. Typical federal remediation contracts can vary significantly in duration depending on the scale of contamination, the methods required for cleanup, regulatory requirements, and the specific site conditions. For large-scale environmental restoration or long-term monitoring projects, durations of several years are not unusual. However, comparing this specific duration would require analyzing benchmarks for similar types of environmental hazards (e.g., superfund sites, military base cleanup) and the associated remediation strategies employed by the government.
What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract for environmental remediation?
CPFF contracts, while suitable for projects with uncertain scopes, carry inherent risks. For environmental remediation, these risks include potential cost overruns if the extent of contamination or the required cleanup methods are underestimated or change significantly during the project. The contractor has less incentive to control costs compared to fixed-price contracts, as costs are reimbursed plus a fixed fee. This necessitates robust government oversight to monitor expenditures, validate costs, and ensure that the work performed is efficient and necessary. Without stringent management, CPFF contracts can become more expensive for the government than initially anticipated.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services
Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Weston Solutions Holdings, Inc. (UEI: 118341234)
Address: 1400 WESTON WAY, WEST CHESTER, PA, 06
Business Categories: Category Business, Not Designated a Small Business
Parent Contract
Parent Award PIID: FA890304D8681
IDV Type: IDC
Timeline
Start Date: 2005-05-17
Current End Date: 2010-03-31
Potential End Date: 2010-03-31 00:00:00
Last Modified: 2014-01-13
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