DoD's $10.4M Remediation Services Contract Awarded to URS Group, Inc. in 2007

Contract Overview

Contract Amount: $10,448,702 ($10.4M)

Contractor: URS Group, Inc.

Awarding Agency: Department of Defense

Start Date: 2007-09-21

End Date: 2013-09-30

Contract Duration: 2,201 days

Daily Burn Rate: $4.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 16

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INVESTIGATION AND DESIGN

Place of Performance

Location: BARKSDALE AFB, BOSSIER County, LOUISIANA, 71110

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $10.4 million to URS GROUP, INC. for work described as: INVESTIGATION AND DESIGN Key points: 1. Contract awarded under firm-fixed-price terms, indicating predictable costs for the government. 2. The contract was competed fully and openly, suggesting a competitive bidding process. 3. With 16 bids received, the competition level appears robust, potentially driving favorable pricing. 4. The duration of the contract (2201 days) suggests a significant, long-term remediation effort. 5. The North American Industry Classification System (NAICS) code 562910 points to a focus on environmental remediation services. 6. The contract was awarded by the Department of the Air Force, a major component of the DoD. 7. The contract's value of over $10 million signifies a substantial investment in environmental cleanup.

Value Assessment

Rating: good

The contract's firm-fixed-price structure is generally favorable for cost control. While specific benchmark data for this exact remediation service in 2007 is not provided, the presence of 16 bids suggests a competitive market that likely resulted in a fair price. The total award amount of $10.4 million for a multi-year environmental remediation project appears reasonable within the context of large-scale government contracts for such services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, meaning all responsible sources were permitted to submit bids. The receipt of 16 bids indicates a healthy level of interest and participation from potential contractors in the environmental remediation sector. This broad competition is generally expected to lead to more competitive pricing and a wider range of technical solutions being considered by the agency.

Taxpayer Impact: A high number of bidders in a full and open competition typically benefits taxpayers by driving down costs through competitive pressure and ensuring the government receives the best value proposition.

Public Impact

The primary beneficiaries are the Department of Defense and the Department of the Air Force, receiving essential environmental remediation services. The services delivered likely involve the cleanup of hazardous substances or contaminants at military installations. The geographic impact is centered in Louisiana (SN: LOUISIANA), where the remediation activities took place. The contract supported a workforce involved in environmental engineering, site assessment, and remediation technologies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen environmental conditions arise, despite the firm-fixed-price structure.
Ensuring long-term effectiveness of remediation efforts requires ongoing monitoring and potential follow-up actions.
Contractor performance risks related to meeting stringent environmental standards and timelines.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Robust competition with 16 bids suggests a competitive market and potential for good value.
Long contract duration allows for comprehensive and sustained remediation efforts.

Sector Analysis

This contract falls within the environmental consulting and remediation services sector, a critical area for government agencies managing legacy environmental liabilities. The market for these services is substantial, driven by regulatory requirements and the need to address contamination at industrial and government sites. Comparable spending benchmarks would typically involve other large-scale environmental cleanup contracts awarded by federal agencies for similar types of contamination and site complexities.

Small Business Impact

The data indicates that small business participation was not a primary focus, as the contract was awarded to URS Group, Inc., a large entity, and there is no explicit mention of small business set-asides or subcontracting goals. This suggests that the primary competition was likely among larger firms capable of undertaking extensive remediation projects. Further analysis would be needed to determine if any subcontracting opportunities were extended to small businesses by the prime contractor.

Oversight & Accountability

Oversight for this contract would have been managed by the contracting officers and program managers within the Department of the Air Force. Accountability measures would include adherence to the firm-fixed-price terms, delivery of specified remediation services, and compliance with environmental regulations. Transparency is generally facilitated through contract award databases, though detailed performance reports may be less publicly accessible.

Related Government Programs

Environmental Remediation Services
Department of Defense Contracts
Air Force Procurement
Hazardous Waste Management
Site Remediation

Risk Flags

Potential for unforeseen environmental conditions impacting cost and schedule.
Long-term effectiveness of remediation requires ongoing monitoring.
Ensuring compliance with evolving environmental regulations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.4 million to URS GROUP, INC.. INVESTIGATION AND DESIGN

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 $10.4 million.

What is the period of performance?

Start: 2007-09-21. End: 2013-09-30.

What was the specific nature of the environmental remediation services provided under this contract?

The contract, identified by NAICS code 562910, pertains to Remediation Services. While the specific contaminants or sites are not detailed in the provided data, this category typically encompasses activities such as the cleanup of hazardous substances, pollutants, or contaminants from soil, groundwater, or surface water. This could include site investigation, feasibility studies, design of remediation systems, construction and operation of treatment facilities, and long-term monitoring to ensure environmental compliance and safety at military installations or related facilities.

How does the $10.4 million award compare to similar environmental remediation contracts awarded by the DoD around 2007?

Without access to a comprehensive database of comparable contracts from 2007, a direct comparison is challenging. However, $10.4 million for a multi-year (2201 days) environmental remediation project awarded through full and open competition with 16 bids suggests a significant undertaking. Large-scale environmental cleanup projects for federal agencies can range from a few million to tens or even hundreds of millions of dollars, depending on the complexity, scale of contamination, and duration. The number of bids indicates a competitive market for such services at the time.

What were the key performance indicators (KPIs) or success metrics for this contract?

The provided data does not specify the key performance indicators (KPIs) or success metrics for this contract. However, for environmental remediation contracts, typical KPIs often include meeting regulatory cleanup standards (e.g., EPA or state environmental agency requirements), achieving specific reduction targets for contaminants in soil or water, completing remediation activities within scheduled timelines, adhering to budget constraints (especially critical for firm-fixed-price contracts), and ensuring the health and safety of workers and the surrounding community throughout the project lifecycle.

What is the track record of URS Group, Inc. in handling large federal environmental remediation contracts?

URS Group, Inc. (which later became part of AECOM) has a long and extensive history of performing large-scale engineering, construction, and environmental services for federal agencies, including the Department of Defense. They have been involved in numerous complex remediation projects, infrastructure development, and environmental management contracts across various government sectors. Their track record generally includes experience with a wide range of environmental challenges, regulatory compliance, and project management for significant federal programs, indicating a capacity to handle contracts of this magnitude.

What are the potential long-term environmental risks or liabilities associated with this type of contract?

The primary long-term risk associated with environmental remediation contracts is the potential for unforeseen conditions or the discovery of additional contamination that was not identified during the initial site assessments. This could lead to scope changes, cost increases (even under fixed-price contracts, if contract modifications are necessary), and extended project timelines. Another risk is the long-term effectiveness of the chosen remediation technologies; if they fail to perform as expected over time, further intervention or monitoring may be required, potentially extending liability beyond the contract period. Ensuring complete and permanent cleanup is the goal, but residual risks can remain.

How has spending on environmental remediation services by the Department of the Air Force evolved since this contract was awarded in 2007?

Spending on environmental remediation services by the Department of the Air Force, and the DoD more broadly, has likely remained a significant and consistent expenditure area since 2007. While specific year-over-year figures fluctuate based on identified needs, regulatory changes, and budget allocations, the Air Force continues to manage a vast inventory of installations requiring ongoing environmental stewardship and cleanup. Trends may include increased focus on emerging contaminants (like PFAS), greater emphasis on sustainable remediation techniques, and the application of advanced technologies for site characterization and treatment. Overall, the need for these services persists due to the legacy of past activities and ongoing operational requirements.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 16

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

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

Address: 12120 SHAMROCK PLAZA, SUIT, OMAHA, NE, 02

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $10,448,702

Exercised Options: $10,448,702

Current Obligation: $10,448,702

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA489006D0006

IDV Type: IDC

Timeline