EPA awards $4.1M contract for Wappinger Creek remedial investigation and feasibility study to CDM Federal Programs Corp

Contract Overview

Contract Amount: $4,126,373 ($4.1M)

Contractor: CDM Federal Programs Corporation

Awarding Agency: Environmental Protection Agency

Start Date: 2020-09-25

End Date: 2026-11-30

Contract Duration: 2,257 days

Daily Burn Rate: $1.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: DES WAPPINGER CREEK REMEDIAL INVESTIGATION AND FEASIBILITY STUDY

Place of Performance

Location: WAPPINGERS FALLS, DUTCHESS County, NEW YORK, 12590

State: New York Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $4.1 million to CDM FEDERAL PROGRAMS CORPORATION for work described as: DES WAPPINGER CREEK REMEDIAL INVESTIGATION AND FEASIBILITY STUDY Key points: 1. Contract focuses on environmental remediation services, a critical area for public health and ecological preservation. 2. The contract duration of over 6 years suggests a complex and long-term environmental challenge. 3. Competition was full and open, indicating a potentially robust market for these specialized services. 4. The cost-plus-fixed-fee pricing structure allows for flexibility but requires careful oversight to manage costs. 5. Geographic focus on New York highlights regional environmental concerns addressed by this contract. 6. The award to a single entity, CDM Federal Programs Corp., suggests specialized expertise is required.

Value Assessment

Rating: fair

The contract value of $4.1 million for a remedial investigation and feasibility study over more than six years appears moderate for the scope of work. Without specific benchmarks for similar complex Superfund site investigations, a direct value-for-money assessment is challenging. The cost-plus-fixed-fee (CPFF) structure, while common for studies where scope can evolve, necessitates diligent oversight to ensure costs remain reasonable and do not escalate unnecessarily. The fixed fee component provides some cost certainty for the contractor's effort.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple qualified firms were likely invited to bid. The specific number of bidders is not provided, but this method generally fosters a competitive environment, which can lead to better pricing and service offerings. The EPA's use of full and open competition indicates confidence in the market's ability to provide suitable contractors for complex environmental studies.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining competitive pricing and ensures that the government explores a wide range of potential solutions and expertise.

Public Impact

The primary beneficiaries are the residents and environment of Wappinger Creek, New York, through the assessment and planning for remediation of potential environmental hazards. The contract will deliver crucial data and analysis to inform decisions on cleaning up contaminated sites. The geographic impact is localized to the Wappinger Creek area in New York, addressing specific regional environmental issues. The contract supports specialized jobs in environmental science, engineering, and consulting within the environmental services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus-fixed-fee contracts require robust oversight to prevent cost overruns.
The long duration of the contract (over 6 years) increases the risk of scope creep or unforeseen challenges.
Limited information on the number of bidders makes it difficult to fully assess the competitive landscape.

Positive Signals

Awarded under full and open competition, suggesting a healthy market for these services.
Focus on a critical environmental remediation task addresses significant public health and ecological concerns.
The contract is with a known entity, CDM Federal Programs Corporation, which may indicate a track record in similar projects.

Sector Analysis

The environmental remediation services sector is a significant part of the broader professional, scientific, and technical services industry. This contract falls under remediation services, which are essential for addressing legacy contamination and ensuring environmental compliance. The market for these services is driven by regulatory requirements (like EPA Superfund programs), industrial cleanup needs, and infrastructure development projects. Spending in this sector can fluctuate based on government funding priorities and the identification of new environmental challenges. Comparable contracts often involve extensive site investigations, risk assessments, and the development of remediation plans.

Small Business Impact

There is no indication that this contract included a small business set-aside. The nature of remedial investigation and feasibility studies often requires specialized expertise and resources that may favor larger, established firms. It is possible that small businesses could be involved as subcontractors to CDM Federal Programs Corporation, but this is not explicitly stated. Further analysis would be needed to determine subcontracting opportunities and their impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Environmental Protection Agency (EPA) contracting officers and technical monitors. Given the CPFF structure and the long duration, regular reviews of contractor progress, costs, and adherence to the statement of work will be critical. Transparency is facilitated through contract award databases and public reporting requirements. The EPA's Office of Inspector General (OIG) would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Superfund Program
Environmental Consulting Services
Site Remediation Contracts
Feasibility Studies
Environmental Protection Agency Contracts

Risk Flags

Cost-plus-fixed-fee contract type requires diligent oversight to manage potential cost escalations.
Long contract duration increases the potential for scope creep and unforeseen challenges.
Limited information on the number of bidders makes it difficult to fully assess the competitive landscape and potential for price optimization.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $4.1 million to CDM FEDERAL PROGRAMS CORPORATION. DES WAPPINGER CREEK REMEDIAL INVESTIGATION AND FEASIBILITY STUDY

Who is the contractor on this award?

The obligated recipient is CDM FEDERAL PROGRAMS CORPORATION.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $4.1 million.

What is the period of performance?

Start: 2020-09-25. End: 2026-11-30.

What is the track record of CDM Federal Programs Corporation in performing similar remedial investigation and feasibility studies for the EPA?

CDM Federal Programs Corporation, now part of AECOM, has a substantial track record with the EPA and other federal agencies in environmental consulting and remediation services. They have been involved in numerous Superfund site investigations, feasibility studies, and remedial design projects across the United States. Their experience typically includes complex site characterization, risk assessment, and the development of cost-effective cleanup strategies. Specific project details and performance evaluations would be available through EPA's contract databases and performance management systems, but their long-standing presence in the industry suggests a capacity to handle projects of this nature. Their involvement in the Wappinger Creek project likely stems from a demonstrated ability to meet the technical and management requirements of such critical environmental undertakings.

How does the awarded amount of $4.1 million compare to similar remedial investigation and feasibility studies conducted by the EPA?

Benchmarking the $4.1 million award for the Wappinger Creek Remedial Investigation and Feasibility Study (RI/FS) against similar EPA contracts requires detailed comparison of scope, complexity, site conditions, and duration. RI/FS contracts can vary significantly in cost. Factors influencing cost include the size and type of contamination, the number of media (soil, groundwater, air), the extent of historical data available, and the required level of detail in the investigation and analysis. A contract spanning over six years suggests a complex site requiring extensive field work and detailed modeling. While $4.1 million is a substantial sum, it may be within the expected range for a multi-year, complex RI/FS, particularly if the site presents significant technical challenges or requires extensive stakeholder engagement. Without specific comparable contract data, a definitive value-for-money judgment is difficult, but the full and open competition suggests the EPA sought competitive proposals for this scope.

What are the primary risks associated with this cost-plus-fixed-fee contract, and how are they being managed?

The primary risk with a Cost-Plus-Fixed-Fee (CPFF) contract is the potential for cost overruns, as the contractor is reimbursed for allowable costs plus a fixed fee. If costs exceed initial estimates, the government bears the burden. Risks include scope creep, inefficient contractor performance, and unforeseen site conditions that increase the cost of investigation. To manage these risks, the EPA employs several mechanisms. Robust contract oversight by contracting officers and technical representatives is crucial to monitor costs, review progress, and ensure adherence to the scope of work. Regular reporting requirements, performance metrics, and milestone reviews help track progress and identify potential issues early. The fixed fee provides an incentive for the contractor to manage costs efficiently, as their profit is capped. Clear definition of the statement of work and change control processes are also vital to prevent unauthorized scope expansion.

What is the expected effectiveness of the remedial investigation and feasibility study in addressing the environmental concerns at Wappinger Creek?

The effectiveness of the RI/FS is measured by its ability to thoroughly characterize the nature and extent of contamination at Wappinger Creek, assess the associated risks to human health and the environment, and identify and evaluate potential cleanup alternatives. A well-executed RI/FS provides the scientific and technical foundation for informed decision-making regarding the most appropriate and cost-effective remediation strategy. If the study is comprehensive, uses sound scientific methodologies, and accurately assesses risks, it will be highly effective in guiding the EPA towards a protective and sustainable cleanup. Conversely, an ineffective study, perhaps due to inadequate investigation or flawed analysis, could lead to suboptimal cleanup decisions, increased long-term costs, or failure to fully address the environmental hazards. The EPA's oversight aims to ensure the study meets high standards of scientific rigor and regulatory compliance.

How has federal spending on environmental remediation services, particularly for the EPA, trended in recent years?

Federal spending on environmental remediation services, particularly by the EPA, has historically been significant, driven by programs like Superfund and mandates under the Resource Conservation and Recovery Act (RCRA). While specific annual figures fluctuate based on budget appropriations and program priorities, there has been a consistent need for these services to address legacy contamination and emerging environmental issues. Funding levels for the Superfund program, a major driver of remediation contracts, are subject to congressional appropriations and administration priorities. In recent years, there has been a renewed focus on accelerating cleanups and addressing environmental justice concerns, which could influence spending patterns. The demand for services like RI/FS, remedial design, and construction remains robust, reflecting the ongoing commitment to environmental protection and site cleanup across the nation.

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 › ENVIRONMENTAL SYSTEMS PROTECTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 68HE0220R0021

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 10560 ARROWHEAD DR STE 500, FAIRFAX, VA, 22030

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

Financial Breakdown

Contract Ceiling: $4,161,003

Exercised Options: $4,161,003

Current Obligation: $4,126,373

Actual Outlays: $2,940,238

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $383,121

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 68HE0318D0003

IDV Type: IDC

Timeline