DOT's FAA awards $40K+ water treatment contract to ChemTreat, Inc. for Ohio air traffic control center

Contract Overview

Contract Amount: $40,156 ($40.2K)

Contractor: Chemtreat, Inc.

Awarding Agency: Department of Transportation

Start Date: 2023-07-05

End Date: 2026-09-30

Contract Duration: 1,183 days

Daily Burn Rate: $34/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WATER TREATMENT SERVICES FOR AIR ROUTE TRAFFIC CONTROL CENTER WORK LOCATION: 326 E LORAIN ST, OBERLIN, OH 44074 PERIOD OF PERFORMANCE 10/01/2023 TO 09/30/2024 BASE YEAR WITH 4 OPTION YEARS ESTIMATED COST OF BASE YEAR: $1,300.00 X 12 MONTHS =

Place of Performance

Location: OBERLIN, LORAIN County, OHIO, 44074

State: Ohio Government Spending

Plain-Language Summary

Department of Transportation obligated $40,156.26 to CHEMTREAT, INC. for work described as: WATER TREATMENT SERVICES FOR AIR ROUTE TRAFFIC CONTROL CENTER WORK LOCATION: 326 E LORAIN ST, OBERLIN, OH 44074 PERIOD OF PERFORMANCE 10/01/2023 TO 09/30/2024 BASE YEAR WITH 4 OPTION YEARS ESTIMATED COST OF BASE YEAR: $1,300.00 X 12 MONTHS = Key points: 1. Contract value appears low for a year of services, suggesting a potential focus on a specific, limited scope. 2. The definitive contract type indicates a straightforward agreement for services. 3. The firm-fixed-price structure shifts cost risk to the contractor. 4. Performance is localized to a single facility in Ohio. 5. The contract is not set aside for small businesses. 6. The contractor, ChemTreat, Inc., is a known entity in water treatment.

Value Assessment

Rating: fair

The estimated cost of $40,156.26 for a full year of water treatment services at an air traffic control center seems low when compared to typical facility maintenance contracts. This suggests the scope of work might be limited to essential services or a specific component of water treatment. Without more detailed service descriptions, a precise value-for-money assessment is difficult. However, the fixed-price nature provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of 3 bidders suggests a reasonable level of competition for this specialized service. This competitive process is expected to drive a fair market price.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure services at the best possible price, preventing potential overcharges.

Public Impact

The primary beneficiary is the Federal Aviation Administration (FAA), ensuring the operational integrity of the air traffic control center. Services delivered include essential water treatment to maintain facility infrastructure and prevent potential issues. The geographic impact is localized to Oberlin, Ohio, supporting a critical piece of national infrastructure. Workforce implications are minimal, likely involving a small team from ChemTreat, Inc. for service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial service estimates were too narrow.
Reliance on a single vendor for a critical facility function.
Limited transparency into the specific water treatment protocols being used.

Positive Signals

Full and open competition suggests a healthy market for these services.
Firm-fixed-price contract provides budget certainty.
Contractor has a track record in the water treatment industry.

Sector Analysis

The water treatment services sector is a critical component of facility maintenance across various industries, including government operations. This contract falls under the broader category of facility support services, which are essential for maintaining the operational readiness of critical infrastructure like air traffic control centers. While the specific dollar amount is modest, it represents a necessary expenditure to ensure the longevity and functionality of the facility's water systems.

Small Business Impact

This contract was not set aside for small businesses, as indicated by the 'ss' and 'sb' fields being false. The award to ChemTreat, Inc., a presumably larger entity, means that subcontracting opportunities for small businesses within this specific contract are unlikely unless initiated by the prime contractor. The overall impact on the small business ecosystem for water treatment services in this region is minimal for this particular award.

Oversight & Accountability

Oversight for this contract would primarily fall under the Federal Aviation Administration (FAA), a division of the Department of Transportation. Accountability measures are inherent in the definitive contract structure and firm-fixed-price terms. Transparency is facilitated by the contract award data being publicly available, though detailed service reports may be internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

FAA Facility Maintenance Contracts
Department of Transportation Operations Support
Federal Building Water Systems Management
Air Traffic Control Center Infrastructure

Risk Flags

Potential for inadequate scope given the low annual cost.
Limited historical performance data provided for contractor.
Geographic concentration of service delivery.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $40,156.26 to CHEMTREAT, INC.. WATER TREATMENT SERVICES FOR AIR ROUTE TRAFFIC CONTROL CENTER WORK LOCATION: 326 E LORAIN ST, OBERLIN, OH 44074 PERIOD OF PERFORMANCE 10/01/2023 TO 09/30/2024 BASE YEAR WITH 4 OPTION YEARS ESTIMATED COST OF BASE YEAR: $1,300.00 X 12 MONTHS =

Who is the contractor on this award?

The obligated recipient is CHEMTREAT, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $40,156.26.

What is the period of performance?

Start: 2023-07-05. End: 2026-09-30.

What is the specific scope of water treatment services covered by this contract?

The provided data does not detail the specific scope of water treatment services. However, given the low annual cost of approximately $40,156, it is likely focused on essential maintenance such as boiler water treatment, cooling tower water treatment, or potable water system maintenance for a single facility. Comprehensive services like Legionella risk management, advanced filtration, or extensive chemical analysis might be excluded or handled under separate agreements. Further clarification would require reviewing the contract's Statement of Work (SOW).

How does the $40,156 annual cost compare to similar water treatment contracts for FAA facilities?

Benchmarking this $40,156 annual cost against similar FAA facility water treatment contracts is challenging without access to a comprehensive database of comparable awards. However, for a single air traffic control center, this figure appears on the lower end, suggesting a potentially limited scope or a facility with a smaller footprint or less complex water systems. Larger facilities or those with more stringent regulatory requirements often incur significantly higher annual costs for comprehensive water treatment programs, potentially ranging from $50,000 to over $100,000 annually, depending on the services included.

What are the potential risks associated with a low-cost water treatment contract?

A primary risk with a low-cost contract is the potential for a reduced scope of services, which could lead to inadequate water treatment and subsequent infrastructure damage or health hazards. There's also a risk that the contractor may cut corners on chemical usage, monitoring, or personnel expertise to maintain profitability. This could result in system inefficiencies, premature equipment failure, or non-compliance with environmental and health regulations. Furthermore, if the scope is too narrowly defined, additional costs may arise later for unforeseen issues or expanded service needs.

What is ChemTreat, Inc.'s track record with the federal government, specifically the FAA?

Chemtrade, Inc. is a known provider of industrial water treatment solutions. While this specific contract is with the Department of Transportation's Federal Aviation Administration (FAA), ChemTreat has a history of serving various federal agencies. Information on their specific performance history with the FAA or other agencies, including past performance evaluations and any documented issues, would typically be available through federal procurement databases like SAM.gov or through agency-specific performance records, though such detailed historical data is not provided in the initial data snippet.

What does the 'definitive contract' type imply for this award?

A 'definitive contract' is a standard, long-form contract that clearly outlines the rights and responsibilities of both the government and the contractor. Unlike basic ordering agreements or other preliminary contract types, a definitive contract is a binding agreement for a specific period and scope of work. For this water treatment service, it means all terms, conditions, pricing, and performance expectations are formally established and agreed upon, providing a clear framework for the service delivery and payment.

Industry Classification

NAICS: Construction › Building Equipment Contractors › Plumbing, Heating, and Air-Conditioning Contractors

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: 697DCK-23-R-00435

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5640 COX RD, GLEN ALLEN, VA, 23060

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

Financial Breakdown

Contract Ceiling: $68,627

Exercised Options: $40,156

Current Obligation: $40,156

Actual Outlays: $29,868

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline