DOE's Savannah River Site acquisition contract awarded to Parsons Government Services Inc. for $8.27M

Contract Overview

Contract Amount: $8,271,148 ($8.3M)

Contractor: Parsons Government Services Inc.

Awarding Agency: Department of Energy

Start Date: 2023-04-01

End Date: 2026-03-31

Contract Duration: 1,095 days

Daily Burn Rate: $7.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE SAVANNAH RIVER SITE ACQUISITION AND PROJECT MANAGEMENT OFFICE (NA-94) WILL BE RESPONSIBLE FOR ALL THE LINE ITEM PROJECTS FOR NNSA AT SAVANNAH RIVER SITE (SRS). CURRENTLY NA-94 IS RESPONSIBLE FOR THREE (3) LINE-ITEM PROJECTS, EACH WITH ITS OWN ASS

Place of Performance

Location: CENTREVILLE, FAIRFAX County, VIRGINIA, 20120

State: Virginia Government Spending

Plain-Language Summary

Department of Energy obligated $8.3 million to PARSONS GOVERNMENT SERVICES INC. for work described as: THE SAVANNAH RIVER SITE ACQUISITION AND PROJECT MANAGEMENT OFFICE (NA-94) WILL BE RESPONSIBLE FOR ALL THE LINE ITEM PROJECTS FOR NNSA AT SAVANNAH RIVER SITE (SRS). CURRENTLY NA-94 IS RESPONSIBLE FOR THREE (3) LINE-ITEM PROJECTS, EACH WITH ITS OWN ASS Key points: 1. Contract focuses on engineering services for NNSA projects at Savannah River Site. 2. Awarded via a BPA Call, indicating a pre-negotiated framework agreement. 3. Firm Fixed Price contract type suggests predictable costs for the government. 4. Duration of 1095 days (3 years) provides a stable period for project execution. 5. No small business set-aside, indicating a focus on larger prime contractors. 6. The contract is managed by the Department of Energy's acquisition office.

Value Assessment

Rating: good

The contract value of $8.27 million for three years of engineering services appears reasonable given the scope of supporting NNSA projects at a major federal site like Savannah River. Benchmarking against similar large-scale engineering support contracts for federal facilities would provide a more precise value-for-money assessment. The firm fixed-price structure helps mitigate cost overrun risks for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple qualified bidders had the opportunity to submit proposals. The specific number of bidders is not provided, but this approach generally fosters competitive pricing and allows the government to select the best value offer. The use of a BPA Call implies that a broader competition may have occurred to establish the BPA itself.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down prices through market forces and ensures the government receives the most advantageous terms.

Public Impact

Benefits the National Nuclear Security Administration (NNSA) by ensuring project management and engineering support at the Savannah River Site. Delivers essential engineering services for line-item projects critical to the site's mission. Geographic impact is concentrated at the Savannah River Site, a key federal facility. Workforce implications include potential employment for engineers and project managers associated with Parsons Government Services Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), which is a significant part of the federal contracting landscape, particularly for agencies managing complex infrastructure and research facilities. The Department of Energy, through its various programs like the NNSA, frequently procures these types of services to maintain and upgrade its operational sites. Spending in this sector is driven by national security, scientific research, and infrastructure modernization needs.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses in the provided data. This suggests that the prime contractor, Parsons Government Services Inc., will likely handle the majority of the work directly or through larger partners. The absence of set-asides means that opportunities for small businesses may be limited unless they are part of the prime contractor's supply chain.

Oversight & Accountability

Oversight is primarily the responsibility of the Department of Energy's acquisition and project management offices, specifically NA-94. The firm fixed-price nature of the contract provides a degree of financial oversight by capping the government's liability. Transparency would depend on the reporting mechanisms within the BPA Call and the contract's statement of work. Inspector General jurisdiction would apply if any fraud or mismanagement were suspected.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-energy, national-nuclear-security-administration, savannah-river-site, firm-fixed-price, bpa-call, full-and-open-competition, project-management, federal-contract, virginia

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $8.3 million to PARSONS GOVERNMENT SERVICES INC.. THE SAVANNAH RIVER SITE ACQUISITION AND PROJECT MANAGEMENT OFFICE (NA-94) WILL BE RESPONSIBLE FOR ALL THE LINE ITEM PROJECTS FOR NNSA AT SAVANNAH RIVER SITE (SRS). CURRENTLY NA-94 IS RESPONSIBLE FOR THREE (3) LINE-ITEM PROJECTS, EACH WITH ITS OWN ASS

Who is the contractor on this award?

The obligated recipient is PARSONS GOVERNMENT SERVICES INC..

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $8.3 million.

What is the period of performance?

Start: 2023-04-01. End: 2026-03-31.

What is the track record of Parsons Government Services Inc. in performing similar engineering and project management services for the Department of Energy or NNSA?

Parsons Government Services Inc. has a substantial history of contracting with federal agencies, including the Department of Energy and the National Nuclear Security Administration. They have been involved in various large-scale projects related to infrastructure, environmental management, and national security. Their experience often includes complex engineering, construction management, and operational support for federal facilities. A detailed review of their past performance on similar contracts, including client feedback and any past performance issues or awards, would be necessary to fully assess their suitability and reliability for this specific role at the Savannah River Site. This contract's success will likely depend on their ability to leverage this existing expertise effectively within the specific context of SRS requirements.

How does the awarded value of $8.27 million compare to similar engineering support contracts for federal sites of comparable size and complexity?

The awarded value of $8.27 million over three years for engineering services at the Savannah River Site appears to be within a reasonable range for supporting multiple line-item projects for the NNSA. However, a precise comparison requires detailed benchmarking against contracts for similar federal facilities, considering factors like the specific types of projects (e.g., nuclear, environmental, infrastructure), the level of security clearance required, and the overall scale of operations. Contracts for managing complex research and development or production sites often involve significant engineering and project management costs. Without access to a database of comparable contract values and scopes, it's difficult to definitively state if this represents exceptional value, but the firm fixed-price nature and full competition suggest an effort to achieve competitive pricing.

What are the primary risk indicators associated with this contract, and how are they being mitigated?

Key risk indicators for this contract include the inherent complexity of managing multiple line-item projects at a large federal site like Savannah River, potential for scope creep if project requirements are not clearly defined, and reliance on the contractor's technical expertise and performance. Mitigation strategies likely include the firm fixed-price contract type, which shifts some cost risk to the contractor, and the full and open competition process, which aims to select a highly capable provider. The Department of Energy's oversight through NA-94 is crucial for monitoring progress, managing changes, and ensuring adherence to project goals. Clear communication channels and robust project management practices by both the government and the contractor are essential to address these risks.

What is the expected effectiveness of this contract in achieving the NNSA's project goals at the Savannah River Site?

The effectiveness of this contract hinges on the successful execution of engineering and project management tasks by Parsons Government Services Inc. The NNSA's goals at the Savannah River Site involve various line-item projects that are critical for national security, environmental stewardship, and site operations. By awarding this contract under full and open competition with a firm fixed-price structure, the NNSA aims to secure reliable support that contributes to the timely and cost-effective completion of these projects. The contractor's ability to manage resources, adhere to schedules, maintain quality standards, and adapt to any unforeseen challenges will determine the overall effectiveness in meeting the NNSA's objectives for the site.

How does current spending on engineering services for the Savannah River Site compare to historical spending patterns for similar support functions?

The provided data focuses on a single contract award of $8.27 million. To assess historical spending patterns, one would need to analyze the Department of Energy's budget allocations and contract awards for engineering and project management services at the Savannah River Site over several fiscal years. This would involve examining trends in contract values, the number and types of contracts awarded, and the primary service providers. Comparing the current award to these historical trends would reveal whether spending is increasing, decreasing, or remaining stable, and whether this specific contract represents a significant deviation from past procurement practices. Such an analysis would provide context on the long-term investment in support services for the site.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Parsons Corporation

Address: 5875 TRINITY PKWY STE 230, CENTREVILLE, VA, 20120

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: $8,952,341

Exercised Options: $8,952,341

Current Obligation: $8,271,148

Actual Outlays: $6,935,172

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 89233222ANA000004

IDV Type: BPA

Timeline

Start Date: 2023-04-01

Current End Date: 2026-03-31

Potential End Date: 2026-03-31 00:00:00

Last Modified: 2026-03-03

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