EPA awards $18.5M contract for environmental consulting services to Tetra Tech, Inc

Contract Overview

Contract Amount: $18,498,663 ($18.5M)

Contractor: Tetra Tech, Inc.

Awarding Agency: Environmental Protection Agency

Start Date: 2020-07-01

End Date: 2026-06-30

Contract Duration: 2,190 days

Daily Burn Rate: $8.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TASK ORDER #01 - REMOVAL SUPPORT AND PREPAREDNESS/PREVENTION ACTIVITIES

Place of Performance

Location: PHILADELPHIA, PHILADELPHIA County, PENNSYLVANIA, 19103

State: Pennsylvania Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $18.5 million to TETRA TECH, INC. for work described as: TASK ORDER #01 - REMOVAL SUPPORT AND PREPAREDNESS/PREVENTION ACTIVITIES Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 2190 days indicates a long-term need for these services. 3. Firm-fixed-price contract type helps manage cost certainty for the agency. 4. The base award amount is $8.45 million, with potential for task orders to increase the total value. 5. Services include removal support and preparedness/prevention activities, critical for environmental protection. 6. The contract is managed by the Environmental Protection Agency (EPA) itself.

Value Assessment

Rating: good

The base award of $8.45 million for environmental consulting services appears reasonable given the contract's scope and duration. While a direct comparison to similar contracts is difficult without more specific service details, the firm-fixed-price structure provides cost control. The total potential value of $18.5 million over six years suggests a benchmark of approximately $3 million per year, which is within the expected range for comprehensive environmental support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a 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 for the government. The agency's choice of full and open competition suggests confidence in the market's ability to provide qualified contractors.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it maximizes the pool of potential offerors, driving down prices through market forces and ensuring the government receives the best value.

Public Impact

The Environmental Protection Agency (EPA) benefits from this contract by securing essential environmental consulting services. Services delivered include removal support and preparedness/prevention activities, crucial for mitigating environmental hazards and ensuring regulatory compliance. The contract has a national scope, managed by the EPA, implying potential impact across various regions requiring environmental intervention. The contract supports a specialized workforce in environmental consulting, contributing to the professional services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders limits a full assessment of competitive intensity.
The total potential value of $18.5 million requires careful monitoring through task orders to ensure cost efficiency.
Performance metrics and specific deliverables are not detailed, making it challenging to assess the effectiveness of services rendered.
The long contract duration could lead to potential scope creep if not managed diligently.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm-fixed-price contract type provides cost predictability for the agency.
The contract addresses critical environmental needs, including preparedness and prevention.
The EPA, as the contracting agency, has direct oversight and expertise in managing these services.

Sector Analysis

Environmental consulting services represent a significant segment within the professional services industry, supporting government agencies in regulatory compliance, remediation, and environmental management. The market is characterized by specialized firms with expertise in areas like hazardous waste, site assessment, and emergency response. This contract fits within the broader category of environmental services, where government spending is driven by regulatory mandates and the need for technical expertise. Comparable spending benchmarks would typically be assessed against the scale and complexity of the environmental challenges addressed.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. This suggests that the primary focus was on securing the most qualified large contractor for the specialized services required. The absence of small business set-asides means that direct opportunities for small businesses through this specific contract are unlikely, though they may participate as subcontractors if required by the prime contractor.

Oversight & Accountability

The Environmental Protection Agency (EPA) is responsible for the oversight of this contract. As the contracting agency, the EPA will manage task orders, monitor performance, and ensure compliance with contract terms. Transparency is facilitated through federal contract databases. Inspector General jurisdiction would typically apply to investigations of fraud, waste, or abuse related to the contract.

Related Government Programs

Superfund Program
Brownfields Program
Emergency Response and Preparedness
Environmental Remediation Services
Environmental Consulting Contracts

Risk Flags

Potential for cost overruns if scope is not well-defined.
Need for robust performance monitoring to ensure value for money.
Contract duration requires sustained oversight.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $18.5 million to TETRA TECH, INC.. TASK ORDER #01 - REMOVAL SUPPORT AND PREPAREDNESS/PREVENTION ACTIVITIES

Who is the contractor on this award?

The obligated recipient is TETRA TECH, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $18.5 million.

What is the period of performance?

Start: 2020-07-01. End: 2026-06-30.

What is the historical spending pattern of the EPA on environmental consulting services, and how does this contract compare?

The Environmental Protection Agency (EPA) consistently allocates significant funds towards environmental consulting services to fulfill its mission of protecting human health and the environment. Historical spending data reveals a steady demand for services related to site remediation, regulatory compliance, research, and emergency response. While specific figures fluctuate annually based on program needs and appropriations, the EPA's budget typically includes substantial line items for contracted professional services. This $18.5 million contract, awarded over a six-year period, represents a notable investment in removal support and preparedness activities. Its scale aligns with major environmental initiatives managed by the agency, such as Superfund site cleanups or national preparedness planning. Benchmarking against previous large-scale environmental consulting contracts awarded by the EPA would provide further context on its relative size and scope within the agency's overall spending on such services.

What specific environmental risks does this contract aim to mitigate?

This contract, "TASK ORDER #01 - REMOVAL SUPPORT AND PREPAREDNESS/PREVENTION ACTIVITIES," is designed to address a range of environmental risks. 'Removal support' typically refers to activities associated with cleaning up contaminated sites, which could involve hazardous waste removal, soil or water remediation, and site restoration. This directly mitigates risks associated with pollution, ecological damage, and public health threats stemming from existing contamination. 'Preparedness/Prevention activities' are proactive measures aimed at averting future environmental incidents or minimizing their impact. This could include developing emergency response plans, conducting risk assessments for potential environmental hazards (e.g., chemical spills, natural disasters impacting industrial sites), training personnel, and implementing preventative controls. By engaging Tetra Tech, Inc., the EPA is bolstering its capacity to respond to environmental emergencies and to proactively reduce the likelihood and severity of future environmental harm.

How does the firm-fixed-price contract type influence cost management for this environmental consulting service?

The firm-fixed-price (FFP) contract type is generally considered advantageous for cost management when the scope of work is well-defined and the risks of cost overruns are manageable. For environmental consulting services like those outlined, an FFP contract means that Tetra Tech, Inc. is obligated to complete the specified work for a predetermined price, regardless of the actual costs incurred. This shifts the cost risk from the government to the contractor. It incentivizes the contractor to perform efficiently and control their own costs to maximize profit. For the EPA, this provides a high degree of cost certainty, making budgeting more predictable. However, if unforeseen complexities arise that significantly alter the scope, the FFP structure can sometimes lead to contractor requests for equitable adjustments or potential disputes if not managed carefully. The success of an FFP contract often hinges on the clarity and completeness of the initial statement of work.

What is Tetra Tech, Inc.'s track record with the EPA and similar federal agencies?

Tetra Tech, Inc. is a well-established government contractor with a significant history of performing environmental services for various federal agencies, including the Environmental Protection Agency (EPA). A review of federal procurement data typically shows Tetra Tech holding numerous contracts across different agencies for work related to environmental engineering, consulting, remediation, and infrastructure support. Their experience often spans complex projects, including those under the EPA's Superfund program and other environmental management initiatives. While specific performance ratings for individual contracts are not always publicly detailed, the company's consistent award of contracts by agencies like the EPA suggests a generally positive track record and perceived capability to meet federal requirements. Further due diligence might involve examining past performance evaluations if available through official channels.

What are the potential implications of the $18.5 million total potential value over six years for taxpayers?

The total potential value of $18.5 million over a six-year period for environmental consulting services implies an average annual expenditure of approximately $3.08 million. For taxpayers, this represents a significant investment in environmental protection and regulatory compliance. The firm-fixed-price nature of the contract provides budget certainty, meaning taxpayers are aware of the maximum potential cost. However, the actual amount spent will depend on the specific task orders issued and the work performed. Taxpayers benefit if these services effectively mitigate environmental hazards, prevent future pollution, and ensure compliance with environmental laws, thereby avoiding potentially larger costs associated with environmental damage or regulatory penalties. Conversely, taxpayers expect rigorous oversight to ensure that the funds are used efficiently and that the services delivered provide tangible environmental benefits commensurate with the investment.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Environmental Consulting Services

Product/Service Code: NATURAL RESOURCES MANAGEMENT › ENVIRONMENTAL SYSTEMS PROTECTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 S WACKER DR STE 3700, CHICAGO, IL, 60606

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

Financial Breakdown

Contract Ceiling: $18,498,663

Exercised Options: $18,498,663

Current Obligation: $18,498,663

Actual Outlays: $8,934,029

Subaward Activity

Number of Subawards: 22

Total Subaward Amount: $7,819,436

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 68HE0320D0003

IDV Type: IDC

Timeline