VA awards $6.87M for hazardous waste removal, highlighting a competitive procurement for essential environmental services

Contract Overview

Contract Amount: $68,734 ($68.7K)

Contractor: Clean Harbors Environmental Services Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-08-22

End Date: 2025-08-14

Contract Duration: 357 days

Daily Burn Rate: $193/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: HAZARDOUS WASTE REMOVAL - NWI

Place of Performance

Location: OMAHA, DOUGLAS County, NEBRASKA, 68105

State: Nebraska Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $68,734.01 to CLEAN HARBORS ENVIRONMENTAL SERVICES INC for work described as: HAZARDOUS WASTE REMOVAL - NWI Key points: 1. The contract was competed under Simplified Acquisition Procedures (SAP), suggesting a focus on efficiency for smaller dollar values. 2. A single award was made, indicating Clean Harbors Environmental Services Inc. was the selected provider. 3. The contract type is Firm Fixed Price, which transfers risk to the contractor and provides cost certainty. 4. The duration of 357 days is typical for service contracts of this nature. 5. The NAICS code 562211 points to a specialized service within the hazardous waste treatment and disposal sector. 6. The contract is not set aside for small businesses, implying a broader competition pool.

Value Assessment

Rating: good

While specific benchmark data for hazardous waste removal in Nebraska is not provided, the $6.87 million award for a one-year period appears reasonable for specialized environmental services. The firm fixed-price structure offers cost predictability. Further analysis would require comparing pricing against similar contracts awarded by other federal agencies or state governments for comparable services and volumes of waste.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders compared to full and open competition. The data indicates one award was made to Clean Harbors Environmental Services Inc. The specific number of bids received is not detailed, but SAP aims for efficient procurement for purchases under the federal micro-purchase threshold and simplified acquisition threshold.

Taxpayer Impact: Limited competition under SAP can sometimes lead to less aggressive pricing than a broader competition, but it also ensures timely delivery of essential services. Taxpayers benefit from the efficiency of the SAP process for this contract size.

Public Impact

The Department of Veterans Affairs (VA) is the primary beneficiary, ensuring safe and compliant disposal of hazardous waste at its facilities. This contract directly supports the operational needs of VA medical centers and other facilities in Nebraska. It contributes to environmental protection by ensuring hazardous materials are managed according to regulations. The service supports a specialized segment of the environmental services workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited price competition due to SAP procurement method.
Lack of detailed bid information makes it difficult to assess the full extent of competition.
Reliance on a single vendor for a critical service.

Positive Signals

Firm Fixed Price contract provides cost certainty.
Specialized service ensures compliance with environmental regulations.
Contract awarded to a known entity in the environmental services sector.

Sector Analysis

The hazardous waste treatment and disposal sector is a critical component of environmental services, encompassing the management of waste materials that pose a threat to human health or the environment. This contract falls under the broader environmental consulting and remediation services industry. Spending in this sector is driven by regulatory compliance, industrial activity, and government facility maintenance. Comparable spending benchmarks would involve analyzing other federal, state, and local government contracts for similar hazardous waste management services.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. This means the primary award went to a large business, and opportunities for small businesses to participate in this specific contract are likely limited unless they are part of the supply chain for the prime contractor.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Veterans Affairs contracting officers and program managers. As a purchase order under SAP, it likely falls within standard procurement oversight procedures. Transparency is facilitated by contract databases, but detailed operational oversight specifics are not publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Environmental Remediation Services
Hazardous Material Management
Federal Facility Cleanup Programs
Department of Veterans Affairs Operations Support

Risk Flags

Procurement under Simplified Acquisition Procedures (SAP) may limit competition.
Lack of detailed bid information hinders full competitive analysis.
Firm Fixed Price contract transfers risk but requires accurate initial scope definition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $68,734.01 to CLEAN HARBORS ENVIRONMENTAL SERVICES INC. HAZARDOUS WASTE REMOVAL - NWI

Who is the contractor on this award?

The obligated recipient is CLEAN HARBORS ENVIRONMENTAL SERVICES INC.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $68,734.01.

What is the period of performance?

Start: 2024-08-22. End: 2025-08-14.

What is the track record of Clean Harbors Environmental Services Inc. with the Department of Veterans Affairs and other federal agencies?

Clean Harbors Environmental Services Inc. is a well-established provider of hazardous waste management services. A review of federal procurement data indicates they have a significant history of receiving contracts from various federal agencies, including the Department of Defense, Environmental Protection Agency, and the Department of Veterans Affairs. Their experience typically spans a wide range of services such as hazardous waste transportation, treatment, disposal, and emergency response. While specific performance metrics for past VA contracts are not detailed here, their consistent award of federal contracts suggests a generally satisfactory performance history and capability to meet federal requirements. Further due diligence would involve examining past performance evaluations and any reported issues on specific contracts.

How does the pricing of this contract compare to similar hazardous waste removal contracts?

Direct comparison of pricing for this specific $6.87 million contract is challenging without access to detailed pricing structures and the specific types and volumes of hazardous waste being managed. However, the contract's firm fixed-price nature provides cost certainty for the VA. To benchmark, one would typically compare the per-unit costs (e.g., per ton, per gallon, per cubic yard) for specific waste streams against other federal or state contracts awarded around the same time and in similar geographic regions. Given that this was competed under SAP, it's possible the pricing reflects an efficient procurement for a service valued below the threshold for full and open competition, but it may not represent the absolute lowest possible price achievable through a more extensive bidding process.

What are the primary risks associated with this hazardous waste removal contract?

Key risks include potential cost overruns if the volume or type of hazardous waste is underestimated, although the firm fixed-price structure mitigates this for the government. There's also a risk of non-compliance with environmental regulations if the contractor's processes are inadequate, leading to potential fines and environmental damage. Operational risks include potential delays in service delivery or unforeseen disposal challenges. Reputational risk for the VA exists if the contractor fails to perform adequately or causes an environmental incident. Finally, the risk of contractor default, though less likely with established firms, always exists.

How effective is the VA in managing hazardous waste disposal through contracts like this?

The VA's use of contracts for hazardous waste disposal is a standard and generally effective practice for managing complex environmental compliance requirements. By outsourcing these specialized services to experienced contractors like Clean Harbors, the VA can ensure adherence to stringent federal and state regulations (e.g., RCRA). The effectiveness is largely dependent on the contractor's performance, the clarity of contract requirements, and the VA's oversight. The firm fixed-price nature of this contract incentivizes the contractor to manage costs efficiently. The VA's consistent need for such services suggests an ongoing commitment to environmental stewardship and operational safety.

What are the historical spending patterns for hazardous waste removal by the Department of Veterans Affairs?

The Department of Veterans Affairs consistently spends significant amounts on hazardous waste removal and environmental services across its network of medical centers and facilities nationwide. Annual spending can fluctuate based on facility upgrades, specific cleanup projects, and regulatory changes. Historically, the VA has awarded numerous contracts, ranging from small purchase orders to larger, multi-year agreements, for services including hazardous waste disposal, medical waste management, and site remediation. This $6.87 million award is within the typical range for such specialized services supporting a large agency like the VA, reflecting an ongoing need for compliant and safe waste management.

What is the significance of the NAICS code 562211 for this contract?

The North American Industry Classification System (NAICS) code 562211 specifically identifies establishments primarily engaged in treating and disposing of hazardous waste. This includes operations such as incineration, chemical treatment, stabilization, and secure landfilling of hazardous materials. For this contract, it signifies that the services procured are highly specialized and regulated, requiring specific expertise, equipment, and permits to handle and dispose of waste that poses a substantial or potential threat to public health or the environment. This classification helps ensure that the selected contractor possesses the necessary qualifications and licenses for such critical environmental services.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Treatment and Disposal › Hazardous Waste Treatment and Disposal

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C26324Q0844

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Clean Harbors, Inc.

Address: 42 LONGWATER DR, NORWELL, MA, 02061

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

Financial Breakdown

Contract Ceiling: $176,471

Exercised Options: $68,734

Current Obligation: $68,734

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline