EPA awards $5.7M task order to Environmental Quality Management for Exide Corporation site remediation in Indiana

Contract Overview

Contract Amount: $5,746,597 ($5.7M)

Contractor: Environmental Quality Management, Inc

Awarding Agency: Environmental Protection Agency

Start Date: 2023-07-28

End Date: 2027-01-31

Contract Duration: 1,283 days

Daily Burn Rate: $4.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: ERRS V, REGION 5, TASK ORDER FOR EXIDE CORPORATION SITE C5UG

Place of Performance

Location: LOGANSPORT, CASS County, INDIANA, 46947

State: Indiana Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $5.7 million to ENVIRONMENTAL QUALITY MANAGEMENT, INC for work described as: ERRS V, REGION 5, TASK ORDER FOR EXIDE CORPORATION SITE C5UG Key points: 1. Contract focuses on critical environmental remediation services, addressing potential public health and ecological risks. 2. The task order is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, suggesting a pre-established relationship and vetting process. 3. The contract type, 'Full and Open Competition After Exclusion of Sources,' indicates a competitive process but with specific criteria for eligible bidders. 4. The remediation services are essential for environmental cleanup and compliance with federal regulations. 5. The duration of the contract (over 3 years) suggests a complex and ongoing remediation effort. 6. The use of Time and Materials pricing may require close monitoring to ensure cost efficiency.

Value Assessment

Rating: good

The award amount of $5.7 million for a multi-year remediation project appears reasonable given the scope of environmental cleanup. Benchmarking against similar EPA Superfund site remediation contracts would provide a more precise value assessment. The Time and Materials (T&M) pricing structure, while common for complex services, necessitates diligent oversight to prevent cost overruns and ensure efficient resource utilization. Without specific performance metrics or historical cost data for this particular site, a definitive value-for-money judgment is challenging, but the competitive award process offers some assurance.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This implies that while the competition was open, there were specific criteria or exclusions applied to potential bidders, likely related to specialized capabilities or prior performance. The exact number of bidders is not specified, but the 'full and open' nature suggests multiple entities were considered, which generally promotes competitive pricing and innovation. The exclusion of sources, however, warrants further investigation to understand its impact on the breadth of competition.

Taxpayer Impact: The competitive nature of the award, even with exclusions, is beneficial for taxpayers as it likely led to a more favorable price than a sole-source award. However, understanding the rationale behind the source exclusions is key to ensuring maximum value was achieved.

Public Impact

The primary beneficiaries are the residents and environment of Indiana, particularly in the vicinity of the Exide Corporation site, through the cleanup of hazardous materials. The services delivered include critical environmental remediation, likely involving soil and groundwater cleanup, waste disposal, and site restoration. The geographic impact is localized to the specific Exide Corporation site in Indiana, addressing environmental contamination. The contract supports specialized jobs in environmental engineering, hazardous waste management, and site remediation, contributing to the skilled workforce in the environmental sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost escalation under the Time and Materials pricing model if not closely managed.
The 'Exclusion of Sources' in the competition type could limit the pool of qualified bidders and potentially impact price competitiveness.
Ensuring long-term effectiveness of remediation activities requires robust monitoring and validation.

Positive Signals

Awarded to a single contractor, Environmental Quality Management, Inc., suggesting specialized expertise for this complex task.
The task order is part of a larger IDIQ contract, indicating a pre-existing relationship and potentially streamlined procurement.
The contract duration of over three years allows for sustained effort on a complex environmental challenge.

Sector Analysis

This contract falls within the Environmental Services sector, a critical area for government spending focused on regulatory compliance, pollution control, and site cleanup. The market for environmental remediation is specialized, requiring firms with expertise in hazardous waste management, engineering, and regulatory affairs. The EPA's Superfund program, which often involves similar remediation efforts, represents significant federal investment in addressing contaminated sites. This task order aligns with the EPA's mission to protect human health and the environment.

Small Business Impact

The provided data indicates that small business participation (ss and sb fields) is false for this specific award. This suggests that the prime contractor is not a small business, and there is no explicit small business set-aside. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within this contract, which is common in larger federal contracts, especially in specialized fields like environmental remediation.

Oversight & Accountability

Oversight for this contract will primarily reside with the Environmental Protection Agency (EPA), the awarding agency. As a task order under an IDIQ contract, there are likely established performance standards and 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. Transparency is generally maintained through contract award databases and public reporting, though specific details of ongoing remediation efforts may be sensitive.

Related Government Programs

EPA Superfund Program
Hazardous Waste Management Contracts
Environmental Remediation Services
Defense Environmental Restoration Program (DERP)
Brownfields Program

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Limited competition due to 'Exclusion of Sources' criteria.
Complexity of environmental remediation projects can lead to unforeseen challenges.
Ensuring long-term effectiveness and monitoring of remediation outcomes.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $5.7 million to ENVIRONMENTAL QUALITY MANAGEMENT, INC. ERRS V, REGION 5, TASK ORDER FOR EXIDE CORPORATION SITE C5UG

Who is the contractor on this award?

The obligated recipient is ENVIRONMENTAL QUALITY MANAGEMENT, INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $5.7 million.

What is the period of performance?

Start: 2023-07-28. End: 2027-01-31.

What is the historical performance record of Environmental Quality Management, Inc. with the EPA or similar agencies for remediation projects?

A review of federal procurement data (e.g., FPDS-NG, SAM.gov) would be necessary to detail Environmental Quality Management, Inc.'s (EQM) past performance. This would include examining the number and value of previous contracts awarded to EQM by the EPA and other agencies, the types of services rendered (specifically remediation), and any documented performance evaluations or past performance questionnaires. Understanding their track record with similar complex site cleanups, adherence to schedules, and budget management on prior projects would provide significant insight into their capability to successfully execute this task order. Any history of contract disputes, terminations, or significant performance issues would be critical risk indicators.

How does the awarded amount compare to the estimated cost or benchmark for similar site remediation projects of this scale?

Benchmarking this $5.7 million task order against similar EPA Superfund or RCRA (Resource Conservation and Recovery Act) site remediation projects requires access to detailed cost data from comparable contracts. Factors influencing cost include the type and extent of contamination (e.g., soil, groundwater, hazardous waste), the remediation technologies employed, site accessibility, and regulatory requirements. Without specific details on the Exide site's contamination profile and the chosen remediation methods, a precise comparison is difficult. However, multi-year remediation projects of this nature often range from several million to tens of millions of dollars, depending on complexity. The Time and Materials (T&M) pricing structure means the final cost could vary, making a fixed-price benchmark less applicable.

What are the specific risks associated with the 'Full and Open Competition After Exclusion of Sources' procurement method for this contract?

The 'Full and Open Competition After Exclusion of Sources' method presents a unique risk profile. While it aims for competition, the 'exclusion of sources' implies that certain potential bidders were deemed ineligible based on predefined criteria. The primary risk is that this exclusion may have inadvertently narrowed the competitive field, potentially leading to a less optimal price or solution than if all capable sources had been considered. Understanding the justification for these exclusions is crucial. If the exclusions were based on overly restrictive or subjective criteria, it could limit innovation and drive up costs. Conversely, if the exclusions were necessary due to highly specialized requirements or security concerns, the competition might still be robust among the eligible firms.

What are the key performance indicators (KPIs) or metrics used to measure the success and effectiveness of this remediation task order?

The success of this environmental remediation task order will likely be measured against a set of Key Performance Indicators (KPIs) defined in the contract Statement of Work (SOW). These typically include achieving specific cleanup standards for soil and groundwater, meeting regulatory milestones set by the EPA and state environmental agencies, timely completion of remediation phases, and effective management of hazardous waste. Environmental monitoring data (e.g., contaminant levels) before, during, and after remediation activities will be critical. Furthermore, adherence to safety protocols, proper waste disposal documentation, and budget management are also key indicators of performance. The EPA will likely conduct regular reviews and site inspections to ensure compliance and effectiveness.

How has federal spending on environmental remediation services, particularly by the EPA, trended over the last 5-10 years?

Federal spending on environmental remediation services, primarily driven by agencies like the EPA (through programs such as Superfund) and the Department of Defense (DoD), has remained a significant budget item over the last decade. While specific appropriations can fluctuate based on legislative priorities, emerging environmental challenges, and the lifecycle of cleanup projects, there has been a consistent need for these services. The EPA's Superfund program, in particular, faces ongoing demands for cleanup of legacy contamination sites. Spending trends are influenced by factors such as the number of sites requiring remediation, the complexity of contamination, advancements in cleanup technologies, and available funding. Overall, while perhaps not dramatically increasing, federal commitment to environmental remediation remains substantial, reflecting long-term environmental stewardship responsibilities.

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: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1800 CARILLON BLVD, CINCINNATI, OH, 45240

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $5,746,597

Exercised Options: $5,746,597

Current Obligation: $5,746,597

Actual Outlays: $4,736,638

Subaward Activity

Number of Subawards: 23

Total Subaward Amount: $1,031,423

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 68HE0422D0005

IDV Type: IDC

Timeline