Mississippi Phosphate Site Water Treatment System Awarded to KEMRON for $41.9M, Addressing Environmental Remediation Needs
Contract Overview
Contract Amount: $41,972,440 ($42.0M)
Contractor: Kemron Environmental Services, Inc.
Awarding Agency: Environmental Protection Agency
Start Date: 2021-12-17
End Date: 2026-09-30
Contract Duration: 1,748 days
Daily Burn Rate: $24.0K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: MISSISSIPPI PHOSPHATE SITE WATER TREATMENT SYSTEM. SSID: B45U
Place of Performance
Location: PASCAGOULA, JACKSON County, MISSISSIPPI, 39581
Plain-Language Summary
Environmental Protection Agency obligated $42.0 million to KEMRON ENVIRONMENTAL SERVICES, INC. for work described as: MISSISSIPPI PHOSPHATE SITE WATER TREATMENT SYSTEM. SSID: B45U Key points: 1. Significant investment in environmental remediation for the Mississippi Phosphate Site. 2. KEMRON ENVIRONMENTAL SERVICES, INC. secured the contract, indicating potential specialization in this area. 3. The contract duration of nearly 5 years suggests a complex and long-term remediation effort. 4. Focus on water treatment highlights critical environmental protection measures.
Value Assessment
Rating: fair
The total award amount is $41.9M. Without specific unit cost data or benchmarks for similar large-scale water treatment systems at Superfund sites, a precise value assessment is difficult. The Time and Materials pricing structure can lead to cost overruns if not managed tightly.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This suggests that while competition was sought, certain sources were excluded, potentially limiting the breadth of competition and impacting price discovery. The specific reasons for exclusion are not detailed.
Taxpayer Impact: Taxpayer funds are being utilized for a critical environmental cleanup. The effectiveness of the remediation and the final cost will determine the ultimate value for taxpayers.
Public Impact
Protects local water resources from potential contamination. Addresses long-standing environmental concerns at the Mississippi Phosphate Site. Supports job creation in environmental services and related fields. Demonstrates federal commitment to Superfund site cleanup.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns due to Time and Materials contract.
- Limited competition may have impacted optimal pricing.
- Long contract duration increases risk of scope creep or unforeseen issues.
Positive Signals
- Addresses a critical environmental need.
- Long-term commitment to site remediation.
- Award to an established environmental services company.
Sector Analysis
This contract falls under environmental remediation services, a sector focused on cleaning up contaminated sites. Spending in this sector is driven by regulatory requirements and historical industrial activity. Benchmarks for similar large-scale water treatment systems at Superfund sites are highly variable due to site-specific conditions.
Small Business Impact
The data indicates that neither small business set-aside nor small business participation was explicitly noted for this contract. Larger environmental remediation projects often involve prime contractors who may subcontract, potentially offering opportunities for small businesses, but this is not guaranteed.
Oversight & Accountability
The Environmental Protection Agency (EPA) is both the contracting agency and the awarding agency, suggesting direct oversight. However, the 'limited competition' aspect warrants scrutiny to ensure fair pricing and effective execution, requiring robust oversight mechanisms.
Related Government Programs
- Remediation Services
- Environmental Protection Agency Contracting
- Environmental Protection Agency Programs
Risk Flags
- Time and Materials pricing structure.
- Limited competition after exclusion of sources.
- Long contract duration (1748 days).
- Lack of detailed cost breakdown or unit pricing.
- No explicit mention of small business participation.
Tags
remediation-services, environmental-protection-agency, ms, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Environmental Protection Agency awarded $42.0 million to KEMRON ENVIRONMENTAL SERVICES, INC.. MISSISSIPPI PHOSPHATE SITE WATER TREATMENT SYSTEM. SSID: B45U
Who is the contractor on this award?
The obligated recipient is KEMRON ENVIRONMENTAL SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Environmental Protection Agency (Environmental Protection Agency).
What is the total obligated amount?
The obligated amount is $42.0 million.
What is the period of performance?
Start: 2021-12-17. End: 2026-09-30.
What specific remediation technologies will be employed, and how do their projected costs compare to alternative methods for this site?
The specific remediation technologies are not detailed in the provided data. A thorough analysis would require examining the contract's statement of work and technical proposals. Comparing projected costs against alternative methods is crucial for ensuring cost-effectiveness and value for taxpayer money. This information is essential for validating the $41.9M award.
What were the specific reasons for excluding other potential sources, and did this exclusion demonstrably increase the contract's cost?
The rationale behind excluding other sources is not provided. Understanding these reasons is critical for assessing the fairness of the competition. If exclusions were not justified by technical requirements or unique capabilities, it could indicate a lack of optimal price discovery and potentially higher costs for taxpayers. Further investigation into the justification is warranted.
How will the EPA ensure accountability and effective performance under a Time and Materials contract over its nearly five-year duration?
Effective oversight of Time and Materials contracts is paramount to prevent cost overruns. The EPA must implement rigorous monitoring of labor hours, material costs, and task completion. Clear performance metrics, regular progress reviews, and strong contract management practices are essential to ensure accountability and the successful, cost-effective remediation of the Mississippi Phosphate Site.
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: 3
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 1359-A ELLSWORTH INDUSTRIAL BLVD, ATLANTA, GA, 30318
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $41,972,440
Exercised Options: $41,972,440
Current Obligation: $41,972,440
Actual Outlays: $35,574,551
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NOT OBTAINED - WAIVED
Parent Contract
Parent Award PIID: 68HE0421D0016
IDV Type: IDC
Timeline
Start Date: 2021-12-17
Current End Date: 2026-09-30
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2025-08-05
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