EPA awards $4.97M contract to Environmental Restoration LLC for textile site cleanup in Paterson, NJ

Contract Overview

Contract Amount: $4,965,000 ($5.0M)

Contractor: Environmental Restoration LLC

Awarding Agency: Environmental Protection Agency

Start Date: 2024-06-12

End Date: 2027-01-26

Contract Duration: 958 days

Daily Burn Rate: $5.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: CONDUCT MITIGATION CONTRACTING ACTIVITIES AT THE ALLIED TEXTILE PRINTING RV3 SITE, IN PATERSON, NJ UNDER SITE ID A23F IN ACCORDANCE WITH THE ATTACHED STATEMENT OF WORK TO MITIGATE THREATS POSED BY ASBESTOS AND CONTAMINATED ASH FROM SEVERELY COMPROMI

Place of Performance

Location: PATERSON, PASSAIC County, NEW JERSEY, 07505

State: New Jersey Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $5.0 million to ENVIRONMENTAL RESTORATION LLC for work described as: CONDUCT MITIGATION CONTRACTING ACTIVITIES AT THE ALLIED TEXTILE PRINTING RV3 SITE, IN PATERSON, NJ UNDER SITE ID A23F IN ACCORDANCE WITH THE ATTACHED STATEMENT OF WORK TO MITIGATE THREATS POSED BY ASBESTOS AND CONTAMINATED ASH FROM SEVERELY COMPROMI Key points: 1. Contract focuses on mitigating asbestos and ash threats at a former textile printing site. 2. The award utilizes a Time and Materials pricing structure. 3. Competition was conducted under a 'Full and Open Competition after Exclusion of Sources' basis. 4. The contract duration extends over 958 days, ending in January 2027. 5. This award represents a specific action within the EPA's broader environmental remediation efforts.

Value Assessment

Rating: fair

The contract value of $4.97 million for remediation services appears within a reasonable range for environmental cleanup projects of this nature, though specific benchmarks for asbestos and ash mitigation at former industrial sites are not readily available. The Time and Materials pricing structure introduces some cost uncertainty compared to fixed-price contracts. Further analysis would require detailed cost breakdowns and comparison with similar EPA-funded remediation efforts in New Jersey or other states with comparable industrial legacies.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition after Exclusion of Sources,' indicating that while the competition was intended to be open, certain sources were excluded. This suggests a specific justification for excluding some potential bidders, which could limit the overall competitive landscape. With only two bids received, the level of competition may not have been sufficient to drive the lowest possible prices.

Taxpayer Impact: The limited competition and exclusion of sources may have resulted in a higher price for taxpayers than if a broader, unrestricted full and open competition had been conducted.

Public Impact

The primary beneficiaries are residents of Paterson, New Jersey, who will experience reduced environmental health risks. The services delivered include the mitigation of hazardous materials like asbestos and contaminated ash. The geographic impact is localized to the Allied Textile Printing RV3 site in Paterson, NJ. This contract supports jobs in the environmental remediation sector, particularly for specialized hazardous material handling.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to suboptimal pricing.
Time and Materials contract type can lead to cost overruns if not closely managed.
Exclusion of sources requires clear justification to ensure fairness and maximize competition.

Positive Signals

Addresses critical environmental hazards (asbestos, ash).
Specific site remediation is crucial for local public health.
Contract awarded to a company with experience in environmental restoration.

Sector Analysis

This contract falls within the Environmental Remediation services sector, a critical component of the broader environmental services industry. This sector involves cleaning up contaminated sites, managing hazardous waste, and restoring ecosystems. The market size for environmental remediation is substantial, driven by regulatory requirements, historical industrial activity, and ongoing environmental concerns. This specific contract addresses a niche within remediation focused on industrial site cleanup, particularly involving legacy pollutants like asbestos.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside (ss: false, sb: false). This means there is no explicit requirement for a portion of the work to be subcontracted to small businesses. The prime contractor, Environmental Restoration LLC, will determine its subcontracting strategy. Without specific set-aside goals, the direct impact on the small business ecosystem for this particular contract is likely minimal, though the prime contractor may engage small businesses as subcontractors.

Oversight & Accountability

The Environmental Protection Agency (EPA) is responsible for overseeing this contract. Oversight mechanisms would typically include regular progress reports from the contractor, site inspections, and review of invoices against the Time and Materials basis. Accountability is ensured through the contract terms and the potential for penalties or corrective actions if performance standards are not met. Transparency is facilitated by public contract databases, though detailed cost breakdowns and specific oversight activities may not be fully public.

Related Government Programs

EPA Superfund Program
RCRA Corrective Action
Brownfields Program
Hazardous Waste Management
Environmental Consulting Services

Risk Flags

Limited competition may impact price.
Time and Materials contract type carries cost overrun risk.
Exclusion of sources requires careful justification.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $5.0 million to ENVIRONMENTAL RESTORATION LLC. CONDUCT MITIGATION CONTRACTING ACTIVITIES AT THE ALLIED TEXTILE PRINTING RV3 SITE, IN PATERSON, NJ UNDER SITE ID A23F IN ACCORDANCE WITH THE ATTACHED STATEMENT OF WORK TO MITIGATE THREATS POSED BY ASBESTOS AND CONTAMINATED ASH FROM SEVERELY COMPROMI

Who is the contractor on this award?

The obligated recipient is ENVIRONMENTAL RESTORATION LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $5.0 million.

What is the period of performance?

Start: 2024-06-12. End: 2027-01-26.

What is the track record of Environmental Restoration LLC in handling similar asbestos and ash mitigation projects?

Environmental Restoration LLC is a company specializing in environmental remediation services. While specific project details and performance metrics for past asbestos and ash mitigation at former textile printing sites are not provided in the summary data, their core business involves managing hazardous materials and site cleanup. A thorough review would involve examining their past performance evaluations, any debriefings from previous federal contracts, and their experience with similar contaminants and industrial settings. The EPA's selection of this contractor suggests they met the required qualifications for this specific task, but a deeper dive into their project history would offer more insight into their capabilities and potential risks.

How does the $4.97 million cost compare to similar environmental remediation contracts for asbestos and ash?

Benchmarking the $4.97 million cost requires comparing it to contracts with similar scope, scale, and complexity, specifically involving asbestos and contaminated ash mitigation at former industrial sites. Without access to a detailed cost breakdown or a database of comparable remediation projects, a precise value-for-money assessment is difficult. However, environmental remediation, especially involving hazardous materials like asbestos, is inherently costly due to specialized labor, equipment, disposal requirements, and regulatory compliance. The Time and Materials pricing structure also adds a layer of variability. A more robust comparison would involve analyzing the square footage of the affected area, the type and concentration of contaminants, and the duration of the remediation effort.

What are the primary risks associated with this Time and Materials contract, and how are they being managed?

The primary risk with a Time and Materials (T&M) contract is the potential for cost overruns, as the contractor is reimbursed for actual labor hours and material costs incurred, plus a fixed fee or percentage. This can lead to higher-than-anticipated expenses for the government if work is inefficiently performed or if the scope expands without adequate controls. To manage these risks, the EPA likely employs strict oversight, including detailed review of timesheets and invoices, monitoring of work progress, and potentially establishing not-to-exceed (NTE) limits within the contract. Clear definition of work tasks and performance standards in the Statement of Work (SOW) is also crucial for controlling costs and ensuring efficient execution.

What does 'Full and Open Competition after Exclusion of Sources' imply for the effectiveness of the bidding process?

This contracting method, 'Full and Open Competition after Exclusion of Sources,' suggests that while the competition was intended to be open to all responsible sources, specific categories or individual sources were intentionally excluded based on a documented justification. This could be due to specialized requirements, national security concerns, or other factors deemed necessary by the agency. The effectiveness of the bidding process is therefore contingent on the validity and necessity of these exclusions. If the exclusions were justified and a sufficient number of qualified bidders remained, it could still lead to competitive pricing. However, if the exclusions significantly limited the pool of potential bidders, it might reduce price competition and potentially increase costs for the government compared to an unrestricted full and open competition.

What are the potential long-term environmental and health benefits of this remediation contract?

The long-term environmental and health benefits of this remediation contract are significant. By mitigating threats posed by asbestos and contaminated ash, the project directly addresses potential sources of environmental pollution and public health hazards. Asbestos exposure is linked to serious respiratory diseases, including mesothelioma and asbestosis. Contaminated ash can leach harmful substances into soil and groundwater, impacting local ecosystems and potentially contaminating drinking water sources. Successful remediation will reduce these risks, leading to a safer environment for the local community, preventing further ecological damage, and potentially enabling future redevelopment of the site without ongoing environmental liabilities.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1666 FABICK DR, FENTON, MO, 63026

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,965,000

Exercised Options: $4,965,000

Current Obligation: $4,965,000

Actual Outlays: $2,182,471

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 68HE0220D0001

IDV Type: IDC

Timeline