EPA awards $10.6M contract for environmental consulting services to Tetra Tech, Inc. in Arizona

Contract Overview

Contract Amount: $10,655,361 ($10.7M)

Contractor: Tetra Tech, Inc.

Awarding Agency: Environmental Protection Agency

Start Date: 2023-09-29

End Date: 2026-09-30

Contract Duration: 1,097 days

Daily Burn Rate: $9.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: THE CONTRACTOR SHALL PROVIDE THE SUPPORT NEEDED FOR TECHNICAL DESIGN SERVICES,& PLANNING AND CONDUCTING CLEANUP VERIFICATION OF TCRAS, PILOT STUDIES, OR OTHER INTERIM ACTIONS AT TRONOX AUMS UNDER THE RAES II CONTRACT #68HE0923D0002 FOR EPA FOR RE

Place of Performance

Location: LUKACHUKAI, APACHE County, ARIZONA, 86507

State: Arizona Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $10.7 million to TETRA TECH, INC. for work described as: THE CONTRACTOR SHALL PROVIDE THE SUPPORT NEEDED FOR TECHNICAL DESIGN SERVICES,& PLANNING AND CONDUCTING CLEANUP VERIFICATION OF TCRAS, PILOT STUDIES, OR OTHER INTERIM ACTIONS AT TRONOX AUMS UNDER THE RAES II CONTRACT #68HE0923D0002 FOR EPA FOR RE Key points: 1. Contract focuses on technical design, planning, and cleanup verification for environmental remediation. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract type is Time and Materials, which can pose cost control challenges. 4. Performance period spans over three years, indicating a long-term need for these services. 5. The contractor, Tetra Tech, Inc., is a significant player in the environmental consulting sector. 6. Geographic focus is Arizona, specifically related to Tronox AUMS site remediation.

Value Assessment

Rating: fair

The contract value of $10.6 million for three years of environmental consulting services appears moderate for the scope of work. Benchmarking against similar EPA contracts for technical design and cleanup verification is necessary for a precise value assessment. The Time and Materials pricing structure, while flexible, carries inherent risks for cost overruns if not closely managed. Without specific performance metrics or detailed cost breakdowns, it's challenging to definitively assess value for money, but the open competition suggests a baseline for fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. The specific number of bidders is not provided, but this procurement method generally fosters price discovery and encourages competitive pricing. The agency likely sought the best value through a structured evaluation process, which should lead to a more favorable outcome for the government compared to limited or sole-source awards.

Taxpayer Impact: A full and open competition is beneficial for taxpayers as it increases the likelihood of obtaining services at a competitive market rate, preventing potential overpricing that could occur with less competitive solicitations.

Public Impact

The Environmental Protection Agency (EPA) benefits from specialized technical expertise for environmental cleanup verification. Services delivered include technical design, planning, and verification of interim actions at contaminated sites. The geographic impact is concentrated in Arizona, addressing specific environmental concerns at the Tronox AUMS site. The contract supports a workforce of environmental scientists, engineers, and technicians involved in remediation efforts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost overruns if not diligently managed and monitored.
Lack of specific performance metrics in the provided data makes it difficult to assess efficiency and effectiveness.
The long duration of the contract (over three years) requires ongoing oversight to ensure continued value and adherence to scope.

Positive Signals

Awarded through full and open competition, suggesting a competitive pricing environment.
Contractor, Tetra Tech, Inc., has established expertise in environmental consulting and remediation.
Clear definition of services related to technical design and cleanup verification provides focus.

Sector Analysis

The environmental consulting services sector is a significant market driven by regulatory compliance, remediation needs, and infrastructure development. This contract falls within the broader environmental services industry, which includes areas like hazardous waste management, site assessment, and engineering consulting. The EPA is a major client in this sector, awarding numerous contracts for environmental protection and cleanup initiatives. Spending in this area is often influenced by legislative mandates and the identification of contaminated sites requiring attention. Comparable contracts often involve detailed technical scopes and long-term project management.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside requirement. However, the prime contractor, Tetra Tech, Inc., may engage small businesses as subcontractors depending on their own procurement strategies and the specific needs of the project. Analysis of their subcontracting plans would be necessary to determine the extent of small business participation.

Oversight & Accountability

Oversight for this contract will primarily reside with the Environmental Protection Agency (EPA), which is the contracting agency. The contract is a Delivery Order under a larger IDIQ contract (RAES II Contract #68HE0923D0002), suggesting that the parent contract likely has established oversight mechanisms. Accountability will be managed through performance reviews, adherence to the Time and Materials terms, and delivery of specified technical design and cleanup verification services. Transparency is generally maintained through federal contract databases, though detailed performance data may be less accessible.

Related Government Programs

Superfund Remedial Program
RCRA Corrective Action
Environmental Remediation Services
EPA Technical Assistance and Services

Risk Flags

Potential for cost overruns due to Time and Materials pricing structure.
Scope definition clarity for 'interim actions' and 'cleanup verification' needs careful monitoring.
Long-term contract duration requires sustained oversight.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $10.7 million to TETRA TECH, INC.. THE CONTRACTOR SHALL PROVIDE THE SUPPORT NEEDED FOR TECHNICAL DESIGN SERVICES,& PLANNING AND CONDUCTING CLEANUP VERIFICATION OF TCRAS, PILOT STUDIES, OR OTHER INTERIM ACTIONS AT TRONOX AUMS UNDER THE RAES II CONTRACT #68HE0923D0002 FOR EPA FOR RE

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 $10.7 million.

What is the period of performance?

Start: 2023-09-29. End: 2026-09-30.

What is Tetra Tech's track record with the EPA on similar environmental consulting contracts?

Tetra Tech, Inc. has a substantial history of working with the Environmental Protection Agency (EPA) on a wide array of environmental projects. They frequently secure contracts related to site assessment, remediation design, environmental planning, and technical support across various EPA programs, including Superfund and RCRA. Their performance history with the EPA generally indicates a strong capability in delivering complex environmental services. However, a detailed review of past performance evaluations, any past performance issues, and the specific value and scope of prior EPA contracts would be necessary for a comprehensive assessment. This includes examining if they have successfully managed similar Time and Materials contracts and met all technical and schedule requirements.

How does the $10.6 million value compare to similar EPA environmental consulting contracts?

The $10.6 million contract value for three years of technical design and cleanup verification services is within a typical range for EPA environmental consulting contracts of this nature. However, 'similar' is a broad term. Contracts for large-scale Superfund site cleanups or complex multi-year remediation planning can easily exceed this amount, while smaller, more focused technical assistance tasks might be valued lower. The specific complexity of the Tronox AUMS site, the scope of 'interim actions,' and the required level of technical design will heavily influence whether this value represents a good benchmark. Without more granular data on comparable contract scopes and durations, it's difficult to definitively state if this represents excellent or merely fair value.

What are the primary risks associated with this Time and Materials contract?

The primary risk associated with this Time and Materials (T&M) contract is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements pay the contractor for the actual time and materials used. If the scope of work is not precisely defined, if inefficiencies arise, or if unforeseen technical challenges significantly increase labor hours or material needs, the total cost can escalate beyond initial expectations. Effective risk mitigation requires rigorous oversight from the EPA, including detailed tracking of labor hours, validation of material costs, and proactive management of any scope creep. Regular progress reviews and clear communication channels are crucial to ensure the project stays within budget and delivers the intended value.

How effective is the 'full and open competition' in ensuring value for this specific contract?

The 'full and open competition' method is designed to maximize value by allowing any responsible source to submit a bid, thereby fostering a competitive environment. For this $10.6 million EPA contract, this approach likely resulted in multiple proposals being evaluated, pushing bidders to offer competitive pricing and technical solutions. The effectiveness in ensuring value depends on the clarity of the solicitation's requirements, the evaluation criteria used by the EPA, and the actual number of bidders. If the competition was robust (i.e., several highly qualified bidders competed), it increases the probability that the EPA secured a fair price and the best technical approach. However, the T&M nature of the contract still necessitates strong oversight to realize the full value.

What are the historical spending patterns for environmental consulting services by the EPA?

The EPA consistently allocates significant funding towards environmental consulting services, reflecting its broad mandate for environmental protection, regulation, and remediation. Historical spending patterns show a substantial and ongoing investment in areas such as site assessment, cleanup oversight, regulatory compliance support, technical studies, and policy development. Contracts range from small, specialized technical assistance tasks to large, multi-year remediation projects. The agency utilizes various contract vehicles, including IDIQs (Indefinite Delivery/Indefinite Quantity) like RAES II, to procure these services efficiently. Spending levels can fluctuate based on congressional appropriations, new environmental challenges, and administration priorities, but environmental consulting remains a core expenditure category for the EPA.

Industry Classification

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

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1999 HARRISON ST STE 500, OAKLAND, CA, 94612

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

Financial Breakdown

Contract Ceiling: $10,655,361

Exercised Options: $10,655,361

Current Obligation: $10,655,361

Actual Outlays: $5,172,761

Subaward Activity

Number of Subawards: 18

Total Subaward Amount: $2,429,790

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 68HE0923D0002

IDV Type: IDC

Timeline