Department of Defense awarded $18.8M for remediation services, with Weston Solutions Inc. securing the contract

Contract Overview

Contract Amount: $18,831,494 ($18.8M)

Contractor: Weston Solutions Inc

Awarding Agency: Department of Defense

Start Date: 2005-01-14

End Date: 2006-03-31

Contract Duration: 441 days

Daily Burn Rate: $42.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Construction

Official Description: TAS::57 3400::TAS 200505!000236!5700!FA8903!HSW/PKV !FA890304D8681 !A!N! !N!0149 ! !20050114!20050801!044519429!044519429!044519429!N!WESTON SOLUTIONS, INC !1400 WESTON WAY !WEST CHESTER !PA!19380!00000! !IZ!* !* !IRAQ !+000004021845!N!N!000000000000!Z111!MAINT/OFFICE BUILDINGS !C2 !CONSTRUCTION !000 !* !562910!E! !5!B!M! !A! !20200930!B! ! !B! !A!U!U!2!003!B! !Z!Y!Z! ! !N!M!N! ! ! ! ! !A!A!000!A!B!N! ! ! !Y! ! !0001! !

Place of Performance

Location: WEST CHESTER, CHESTER County, PENNSYLVANIA, 19380

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $18.8 million to WESTON SOLUTIONS INC for work described as: TAS::57 3400::TAS 200505!000236!5700!FA8903!HSW/PKV !FA890304D8681 !A!N! !N!0149 ! !20050114!20050801!044519429!044519429!044519429!N!WESTON SOLUTIONS, INC !1400 WESTON WAY !WEST CHESTER !PA!19380!00000! !IZ!* … Key points: 1. The contract value of $18.8M represents a significant investment in remediation services. 2. Competition dynamics for this contract are complex, involving full and open competition after exclusion of sources. 3. Risk indicators are moderate, given the nature of remediation projects and the contract type. 4. Performance context suggests a need for specialized services in a challenging environment. 5. The contract positions Weston Solutions Inc. as a key provider in the defense sector's infrastructure support. 6. The duration of 441 days indicates a substantial scope of work.

Value Assessment

Rating: good

The total award of $18.8M for remediation services appears reasonable given the contract duration of 441 days and the nature of the work, which likely involves complex environmental cleanup or facility restoration. Benchmarking against similar large-scale remediation contracts within the Department of Defense would provide a clearer picture of value for money. The cost-plus-fixed-fee structure suggests that while direct costs are reimbursed, a fixed fee is applied, which can incentivize efficiency but also requires careful oversight to manage potential cost overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'full and open competition after exclusion of sources.' This specific procurement method implies that while the competition was intended to be broad, certain sources were excluded for reasons not detailed in the provided data. The number of bidders is not specified, but the exclusion of sources suggests a potentially narrower competitive field than a purely full and open process. This could impact price discovery and potentially lead to higher costs compared to a scenario with maximum bidder participation.

Taxpayer Impact: Taxpayers may have faced slightly higher costs due to the exclusion of certain potential bidders, limiting the full benefit of open competition.

Public Impact

The primary beneficiaries are the Department of Defense and potentially military personnel or civilian staff who rely on safe and functional facilities. The services delivered involve remediation, likely addressing environmental hazards or restoring damaged office buildings. The geographic impact is specified as Iraq, indicating a deployed operational environment. Workforce implications include the employment of skilled labor for remediation and construction tasks, both by the prime contractor and potentially subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns inherent in cost-plus-fixed-fee contracts, especially in complex environments like Iraq.
The 'exclusion of sources' in the competition raises questions about the breadth of market engagement and potential impact on pricing.
Geopolitical instability in Iraq could pose risks to project timelines and execution.
The specific nature of 'remediation' can be broad; clarity on the exact scope is crucial for performance assessment.

Positive Signals

Weston Solutions Inc. has secured a significant contract, indicating a level of trust and capability recognized by the agency.
The contract's duration suggests a commitment to addressing a substantial need.
The award is for essential facility maintenance and remediation, contributing to operational readiness.
The use of a fixed-fee component in the contract type aims to provide some cost control.

Sector Analysis

The contract falls within the Construction (NAICS 562910 - Remediation Services) and broader Defense sector. The market for remediation services, particularly in support of military operations abroad, is specialized and often involves navigating complex logistical and security challenges. Spending in this area is driven by the need to maintain operational infrastructure, address environmental compliance, and manage legacy issues. Comparable spending benchmarks would typically be found within the Department of Defense's facilities maintenance and environmental services budgets.

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 specifically mandated for small businesses through a set-aside program. However, as a large prime contractor, Weston Solutions Inc. may engage small businesses as subcontractors for various aspects of the remediation and construction work, contributing to the small business ecosystem indirectly.

Oversight & Accountability

Oversight for this contract would primarily fall under the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractors meet performance, cost, and schedule requirements. Accountability measures are embedded within the contract terms, including reporting requirements and performance standards. Transparency is facilitated through contract databases like FPDS, although detailed operational reports may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Defense Base Realignment and Closure (BRAC) Program
Environmental Restoration, Superfund Sites
Military Construction (MILCON)
Operations and Maintenance, Defense-Wide
Foreign Military Sales (FMS) Support Services

Risk Flags

Potential for cost overruns due to contract type and operating environment.
Limited competition due to source exclusion may impact price.
Geopolitical risks in Iraq could affect project execution.
Scope definition for 'remediation' needs clear definition to ensure performance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.8 million to WESTON SOLUTIONS INC. TAS::57 3400::TAS 200505!000236!5700!FA8903!HSW/PKV !FA890304D8681 !A!N! !N!0149 ! !20050114!20050801!044519429!044519429!044519429!N!WESTON SOLUTIONS, INC !1400 WESTON WAY !WEST CHESTER !PA!19380!00000! !IZ!* !* !IRAQ !+000004021845!N!N!000000000000!Z111!MAINT/OFFICE BUILDINGS !C2 !CONSTRUCTION !000 !* !562910!E

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 $18.8 million.

What is the period of performance?

Start: 2005-01-14. End: 2006-03-31.

What is the specific nature of the 'remediation' services required under this contract?

The provided data indicates the service type as 'Remediation Services' with a Product Service Code (PSC) of '562910'. While the contract title mentions 'MAINT/OFFICE BUILDINGS', the term 'remediation' typically refers to the process of cleaning up contaminated environments or restoring damaged structures. This could encompass a wide range of activities, such as hazardous material abatement (e.g., asbestos, lead), soil or groundwater cleanup, demolition and disposal of contaminated materials, or structural repair and restoration of buildings affected by environmental factors, conflict, or neglect. Without further documentation, the precise scope remains broad but likely involves addressing environmental hazards or significant structural issues within office buildings in Iraq.

How does the 'cost plus fixed fee' contract type typically function in a deployed environment like Iraq?

A Cost Plus Fixed Fee (CPFF) contract, like the one awarded to Weston Solutions Inc., reimburses the contractor for all allowable costs incurred during performance, plus a predetermined fixed fee representing profit. In a deployed environment such as Iraq, this structure is often used when the scope of work is not precisely defined or when unforeseen circumstances are highly probable, as is common in contingency operations. The fixed fee provides the contractor with an incentive to control costs, as it does not increase with actual costs incurred. However, it necessitates robust oversight from the contracting agency (in this case, likely DCMA) to scrutinize allowable costs, prevent overruns, and ensure the contractor acts in the government's best interest to manage the project efficiently within the estimated cost parameters.

What are the implications of 'full and open competition after exclusion of sources' for this contract?

The procurement method 'full and open competition after exclusion of sources' suggests a complex bidding process. It implies that the solicitation was made available to all responsible prospective contractors, but specific sources were intentionally excluded before the solicitation was issued. The reasons for exclusion are not provided but could range from past performance issues, security concerns, or specific technical qualifications not met by certain firms. While aiming for broad competition, the exclusion of sources inherently narrows the field of potential bidders compared to a standard 'full and open' competition. This could potentially limit price competition and may indicate that the agency had specific requirements or prior knowledge that led them to exclude certain entities, possibly impacting the final price achieved for taxpayers.

What is the historical spending pattern for remediation services by the Department of Defense in similar geographic regions?

Historical spending data for remediation services by the Department of Defense in regions like Iraq is often substantial, driven by the need to maintain infrastructure, address environmental legacies, and comply with regulations in operational theaters. While specific figures for this contract ($18.8M over 441 days) are provided, a broader analysis would require examining annual defense budgets allocated to facilities maintenance, environmental remediation, and base operations support in the Middle East. Such spending is typically influenced by the level of military activity, the age and condition of existing facilities, and evolving environmental standards. Trends might show increased spending during periods of significant construction or deactivation of bases, and consistent investment in ongoing environmental compliance and hazard mitigation.

What is Weston Solutions Inc.'s track record with similar government contracts, particularly in deployed environments?

Weston Solutions Inc. has a history of performing government contracts, including those involving environmental services and construction. Their track record with the Department of Defense and other federal agencies would need to be assessed through contract databases (like FPDS) and performance reports (like Contractor Performance Assessment Reporting System - CPARS). For contracts in deployed environments like Iraq, factors such as successful project completion, adherence to budget and schedule, safety record, and ability to navigate logistical and security challenges are critical indicators. A review of their past performance on similar large-scale remediation or construction projects, especially those in high-risk or complex overseas locations, would provide insight into their capabilities and reliability for this specific award.

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, 19380

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: FA890304D8681

IDV Type: IDC

Timeline