DOE's $34M contract for general support services awarded to RSI Entech, LLC, with 1317 days duration
Contract Overview
Contract Amount: $34,085,977 ($34.1M)
Contractor: RSI Entech, LLC
Awarding Agency: Department of Energy
Start Date: 2022-04-01
End Date: 2025-11-08
Contract Duration: 1,317 days
Daily Burn Rate: $25.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: YEAR 2, TASK ORDER 4, GENERAL SUPPORT
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585
Plain-Language Summary
Department of Energy obligated $34.1 million to RSI ENTECH, LLC for work described as: YEAR 2, TASK ORDER 4, GENERAL SUPPORT Key points: 1. Contract awarded for general support services, indicating a need for ongoing operational assistance. 2. The contract duration of 1317 days suggests a long-term requirement for these services. 3. Awarded to RSI Entech, LLC, highlighting a specific vendor's role in fulfilling this need. 4. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 5. The North American Industry Classification System (NAICS) code 562910 points to Remediation Services. 6. The contract was awarded under 'Full and Open Competition After Exclusion of Sources', suggesting a competitive process with specific justifications. 7. The base contract value is $25,882, with a total award of $34,085,976.68, indicating significant potential for task orders. 8. The contract is a Delivery Order, a common mechanism for procuring services under a larger contract vehicle.
Value Assessment
Rating: good
The total award value of over $34 million for general support services over a period of approximately 3.6 years appears reasonable given the scope. Benchmarking against similar remediation and general support contracts would provide a more precise value-for-money assessment. The firm fixed-price structure is generally favorable for the government when scope is well-defined, as it caps potential cost overruns.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'Full and Open Competition After Exclusion of Sources'. This indicates that while competition was sought, there were specific reasons for excluding certain sources, which warrants further investigation into the justification. The number of bidders is not explicitly stated, but the 'exclusion of sources' suggests a potentially narrower competitive pool than pure full and open competition.
Taxpayer Impact: While competition was present, the exclusion of sources may have limited the potential for the most aggressive pricing. Taxpayers benefit from competition, but the specific nature of this award requires scrutiny to ensure maximum value was achieved.
Public Impact
The Department of Energy benefits from the provision of essential general support services, enabling its core mission functions. RSI Entech, LLC, as the contractor, will be responsible for delivering these services, potentially impacting its workforce and operational capacity. The services are likely to be performed in the District of Columbia, as indicated by the 'ST' and 'SN' fields. The remediation services aspect suggests potential environmental or facility management support critical to DOE operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- The 'Full and Open Competition After Exclusion of Sources' requires careful review to ensure the exclusion criteria were justified and did not unduly limit competition.
- The significant difference between the base contract value and the total award value suggests substantial future task orders, necessitating ongoing monitoring of scope and pricing.
- The long contract duration (1317 days) requires robust performance management to ensure continued quality and adherence to evolving needs.
Positive Signals
- The use of a Firm Fixed Price contract type helps control costs and provides budget certainty for the government.
- The award to a single contractor, RSI Entech, LLC, suggests they possess the specific capabilities required for these general support and remediation services.
- The contract falls under a competitive award process, indicating an effort to leverage market forces for service acquisition.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically related to remediation and general support. The remediation services aspect aligns with environmental consulting and cleanup industries. The overall market for such services supporting federal agencies is substantial, with numerous firms competing for government contracts. Comparable spending benchmarks would depend on the specific nature of the 'general support' and remediation tasks.
Small Business Impact
The data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this specific award. Therefore, the direct impact on small businesses through set-asides is likely minimal. However, RSI Entech, LLC, as the prime contractor, may engage small businesses as subcontractors, depending on the scope of work and subcontracting plans, which are not detailed here.
Oversight & Accountability
Oversight will likely be managed by the contracting officer and program managers within the Department of Energy. Performance monitoring, regular reporting, and adherence to contract terms are standard accountability measures. Transparency is generally facilitated through contract databases like FPDS, where this award is recorded. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.
Related Government Programs
- Department of Energy - General Services
- Environmental Remediation Services
- Federal Support Contracts
- Task Order Contracts
- Firm Fixed Price Contracts
Risk Flags
- Competition Limitation: 'Full and Open Competition After Exclusion of Sources' requires careful review of justification.
- Long Duration: Extended contract period increases potential for performance degradation or changing requirements.
- Potential for Cost Overruns: Despite FFP, unforeseen issues in remediation or support could strain contractor resources.
- Performance Monitoring: Ensuring consistent quality and adherence to scope over 1317 days is critical.
Tags
department-of-energy, remediation-services, general-support, firm-fixed-price, delivery-order, full-and-open-competition-after-exclusion-of-sources, rsi-entech-llc, district-of-columbia, professional-scientific-and-technical-services, long-term-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $34.1 million to RSI ENTECH, LLC. YEAR 2, TASK ORDER 4, GENERAL SUPPORT
Who is the contractor on this award?
The obligated recipient is RSI ENTECH, LLC.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $34.1 million.
What is the period of performance?
Start: 2022-04-01. End: 2025-11-08.
What specific remediation services are included under this contract, and what is the justification for excluding other potential sources?
The provided data indicates the NAICS code is 562910, which corresponds to Remediation Services. However, the specific types of remediation (e.g., hazardous waste, environmental cleanup, site restoration) are not detailed. The contract type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' implies that a competitive process occurred, but certain potential offerors were intentionally excluded. The justification for such exclusions typically involves factors like unique capabilities, proprietary technology, or specific past performance requirements that only a limited number of contractors could meet. A thorough review of the contract's Justification for Other than Full and Open Competition (JOFOC) document would be necessary to understand the precise remediation tasks and the rationale behind source exclusion, which is critical for assessing the fairness and competitiveness of the award.
How does the total award value of $34,085,976.68 compare to similar general support and remediation contracts awarded by the Department of Energy or other federal agencies?
Benchmarking this contract's total award value requires comparing it to similar services procured by the Department of Energy (DOE) and other federal agencies. General support services can encompass a wide range of activities, from administrative functions to facility operations, while remediation services are often specialized and can vary significantly in cost based on the nature and scale of the environmental work. A preliminary assessment suggests that $34 million over approximately 3.6 years is a substantial award, indicating a significant scope of work. To provide a precise comparison, one would need to analyze contracts with similar NAICS codes (e.g., 562910, 541620 - Environmental Consulting Services) and contract types (Firm Fixed Price) awarded within the last few fiscal years. Factors such as geographic location, specific service requirements, and the number of bidders in comparable procurements would also be essential for a meaningful value-for-money assessment.
What are the key performance indicators (KPIs) or metrics used to evaluate RSI Entech, LLC's performance under this contract?
The provided data does not specify the Key Performance Indicators (KPIs) or metrics used to evaluate RSI Entech, LLC's performance. However, for a contract of this nature, typical KPIs would likely focus on the timely and effective delivery of general support and remediation services. This could include metrics related to response times for service requests, adherence to safety protocols during remediation activities, quality of work performed (e.g., meeting environmental standards), budget management within task orders, and overall client satisfaction as reported by the Department of Energy. Robust performance management frameworks usually involve regular progress reviews, service level agreements (SLAs), and potentially award-fee provisions tied to achieving specific performance targets. The contract's terms and conditions, including the Performance Work Statement (PWS), would detail these evaluation criteria.
What is the historical spending pattern for general support and remediation services by the Department of Energy, and how does this contract fit within that pattern?
Analyzing historical spending patterns for general support and remediation services by the Department of Energy (DOE) is crucial for contextualizing this $34 million contract. The DOE, with its extensive infrastructure and environmental responsibilities, historically allocates significant funds to these areas. Remediation services, in particular, are a long-standing requirement due to the legacy of nuclear materials production and energy research. Without access to historical DOE spending data, it's difficult to definitively state how this contract fits. However, given the DOE's mission, it's plausible that such contracts are recurring needs. The duration and value suggest this is a significant, but potentially typical, component of the DOE's operational and environmental management budget. Understanding past spending levels, the number and value of similar contracts awarded annually, and trends in remediation efforts would provide a clearer picture of this contract's place within the DOE's overall financial landscape.
What are the potential risks associated with a Firm Fixed Price contract of this magnitude and duration, particularly concerning scope creep or unforeseen challenges?
Firm Fixed Price (FFP) contracts are designed to provide cost certainty, but they carry inherent risks, especially for large, long-duration contracts like this one ($34M over ~3.6 years). A primary risk is scope creep, where the government's needs evolve beyond the initially defined scope, potentially leading to disputes if not managed through formal contract modifications. For RSI Entech, LLC, unforeseen technical challenges during remediation or unexpected complexities in general support could erode profit margins if the FFP price doesn't adequately account for contingencies. Conversely, if the initial price was set too high due to overly conservative estimates by the contractor, taxpayers may have overpaid. Effective risk mitigation involves a clearly defined Performance Work Statement (PWS), robust change management processes, and proactive communication between the contractor and the contracting officer to address issues before they escalate.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 203 VICTORIUS BLVD, OAK RIDGE, TN, 37830
Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $34,085,977
Exercised Options: $34,085,977
Current Obligation: $34,085,977
Actual Outlays: $34,085,869
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 89303020DLM000001
IDV Type: IDC
Timeline
Start Date: 2022-04-01
Current End Date: 2025-11-08
Potential End Date: 2025-11-08 00:00:00
Last Modified: 2025-10-24
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