EPA Awards $2.6M Task Order to CH2M HILL for Triple Superfund Site Remediation

Contract Overview

Contract Amount: $2,619,416 ($2.6M)

Contractor: CH2M Hill, Inc

Awarding Agency: Environmental Protection Agency

Start Date: 2024-02-13

End Date: 2027-01-14

Contract Duration: 1,066 days

Daily Burn Rate: $2.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: DES - NEW TASK ORDER - TRIPLE SUPERFUND SITE; CO - MENA MEDEIROS PO - MARIA VELEZ TASK ORDER HAS 4 LINES OF ACCOUNTING TO BE TRACKED SEPARATELY - THE FOUR OPERABLE UNITS FOR THE TRIPLE SITE ARE AS FOLLOWS: (1) THE AMD 901/902 THOMPSON PLACE S

Place of Performance

Location: SAN FRANCISCO, SAN FRANCISCO County, CALIFORNIA, 94105

State: California Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $2.6 million to CH2M HILL, INC for work described as: DES - NEW TASK ORDER - TRIPLE SUPERFUND SITE; CO - MENA MEDEIROS PO - MARIA VELEZ TASK ORDER HAS 4 LINES OF ACCOUNTING TO BE TRACKED SEPARATELY - THE FOUR OPERABLE UNITS FOR THE TRIPLE SITE ARE AS FOLLOWS: (1) THE AMD 901/902 THOMPSON PLACE S Key points: 1. The task order focuses on remediation services for the Triple Superfund Site in California. 2. CH2M HILL, Inc. is the awarded contractor, with the Environmental Protection Agency (EPA) as the agency. 3. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 4. This award falls under Remediation Services within the Environmental Protection Agency's sector.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type can lead to higher costs than fixed-price contracts if not managed carefully. Benchmarking against similar superfund site remediation contracts is needed to assess true value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the Cost Plus Fixed Fee structure may impact price discovery and could lead to costs exceeding initial estimates.

Taxpayer Impact: Taxpayer funds are being used for environmental cleanup, with the potential for costs to fluctuate based on the fixed fee and actual costs incurred.

Public Impact

Environmental cleanup of a Superfund site, addressing potential public health and environmental risks. Long-term remediation efforts impacting local communities and ecosystems. Government spending on environmental protection and hazardous waste management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type
Potential for cost overruns
Long duration of the task order

Positive Signals

Full and open competition
Addressing a critical environmental issue

Sector Analysis

This contract falls within the Environmental Protection Agency's broad mandate for environmental remediation. Spending on Superfund sites is a significant component of the agency's budget, aimed at addressing legacy pollution.

Small Business Impact

The data indicates that small businesses were not directly awarded this task order, as CH2M HILL, Inc. is a large business. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The EPA is responsible for overseeing this task order. Robust oversight will be crucial to manage costs under the Cost Plus Fixed Fee structure and ensure effective remediation.

Related Government Programs

Remediation Services
Environmental Protection Agency Contracting
Environmental Protection Agency Programs

Risk Flags

Cost Plus Fixed Fee contract type may lead to higher costs.
Potential for cost overruns due to the nature of superfund site remediation.
Long contract duration increases exposure to changing economic conditions.
Lack of direct small business award.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $2.6 million to CH2M HILL, INC. DES - NEW TASK ORDER - TRIPLE SUPERFUND SITE; CO - MENA MEDEIROS PO - MARIA VELEZ TASK ORDER HAS 4 LINES OF ACCOUNTING TO BE TRACKED SEPARATELY - THE FOUR OPERABLE UNITS FOR THE TRIPLE SITE ARE AS FOLLOWS: (1) THE AMD 901/902 THOMPSON PLACE S

Who is the contractor on this award?

The obligated recipient is CH2M HILL, INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.6 million.

What is the period of performance?

Start: 2024-02-13. End: 2027-01-14.

What is the historical cost performance of CH2M HILL, Inc. on similar EPA remediation contracts?

Analyzing CH2M HILL's past performance on comparable EPA remediation contracts is essential for evaluating the value proposition of this task order. Understanding their track record with Cost Plus Fixed Fee agreements, adherence to budgets, and efficiency in project completion will provide critical insights into potential cost overruns and overall project success.

What are the specific remediation challenges at the Triple Superfund Site that justify the Cost Plus Fixed Fee structure?

The complexity and uncertainty inherent in remediating hazardous waste sites often necessitate flexible contract types like Cost Plus Fixed Fee. Understanding the specific contaminants, geological conditions, and the scale of the contamination at the Triple Superfund Site will clarify why a fixed-price contract might be unsuitable and how this structure aims to manage associated risks.

How will the EPA ensure accountability and cost control given the Cost Plus Fixed Fee contract type?

The EPA must implement stringent oversight mechanisms, including regular progress reviews, detailed cost audits, and performance metrics, to ensure accountability and control costs. Clear communication channels with CH2M HILL, Inc. and a well-defined scope of work with change order protocols are vital to prevent scope creep and manage expenditures effectively.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 68HE0923R0016

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 9191 S JAMAICA ST, ENGLEWOOD, CO, 80112

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

Financial Breakdown

Contract Ceiling: $5,638,260

Exercised Options: $2,619,416

Current Obligation: $2,619,416

Actual Outlays: $880,578

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 68HE0318D0004

IDV Type: IDC

Timeline