EPA awards $27.9M contract for engineering services to NORESCO, LLC under full and open competition
Contract Overview
Contract Amount: $27,933,483 ($27.9M)
Contractor: Noresco, LLC
Awarding Agency: Environmental Protection Agency
Start Date: 2000-06-15
End Date: 2023-02-28
Contract Duration: 8,293 days
Daily Burn Rate: $3.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Other
Place of Performance
Location: ANN ARBOR, WASHTENAW County, MICHIGAN, 48105
State: Michigan Government Spending
Plain-Language Summary
Environmental Protection Agency obligated $27.9 million to NORESCO, LLC for work described as: Key points: 1. Contract Value: $27.9 million over 23 years. 2. Competition: Awarded via full and open competition. 3. Risk: Long duration (23 years) may present performance and cost risks. 4. Sector: Engineering services, supporting environmental initiatives.
Value Assessment
Rating: fair
The contract value is substantial, spanning over two decades. Benchmarking is difficult without specific service details and comparable contracts, but the long duration suggests potential for cost escalation or savings depending on performance.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a broad search for qualified contractors. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The use of full and open competition is positive for taxpayers, as it aims to secure competitive pricing and efficient service delivery.
Public Impact
Supports EPA's environmental engineering needs. Long-term commitment could ensure continuity of services. Potential for innovation and cost savings over the contract life.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (23 years)
- No small business participation noted
Positive Signals
- Full and open competition
- Firm fixed price contract type
Sector Analysis
This contract falls within the engineering services sector, which is crucial for government infrastructure and environmental projects. Spending in this sector can vary widely based on project scope and duration.
Small Business Impact
The data indicates that small business participation was not a factor in this award (sb: false). Further analysis would be needed to determine if opportunities were missed or if the scope was not suitable for small businesses.
Oversight & Accountability
The long duration of the contract necessitates robust oversight to ensure performance standards are met and costs remain controlled. Regular reviews and performance evaluations are critical.
Related Government Programs
- Engineering Services
- Environmental Protection Agency Contracting
- Environmental Protection Agency Programs
Risk Flags
- Long contract duration may lead to cost overruns or performance degradation.
- Lack of small business participation.
- Potential for scope creep or misalignment with evolving environmental needs over 23 years.
- Need for strong, continuous oversight to ensure accountability.
Tags
engineering-services, environmental-protection-agency, mi, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Environmental Protection Agency awarded $27.9 million to NORESCO, LLC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is NORESCO, LLC.
Which agency awarded this contract?
Awarding agency: Environmental Protection Agency (Environmental Protection Agency).
What is the total obligated amount?
The obligated amount is $27.9 million.
What is the period of performance?
Start: 2000-06-15. End: 2023-02-28.
What specific engineering services are being procured, and how do they align with EPA's strategic goals?
The provided data lacks specifics on the engineering services. Understanding the exact nature of these services, such as design, consulting, or project management, is crucial for assessing their alignment with the EPA's mission and environmental objectives. This detail would also inform value assessments and risk evaluations.
What are the key performance indicators (KPIs) and how is performance being measured over the 23-year period?
With a contract duration of 23 years, clearly defined and measurable KPIs are essential for effective oversight and ensuring value for money. The government must have mechanisms to track progress, identify deviations, and implement corrective actions to manage risks associated with long-term service delivery and evolving environmental regulations.
Are there provisions for contract modification or termination if environmental needs or technological advancements change significantly?
The extensive 23-year term raises questions about flexibility. Contracts of this length should ideally include clauses for review, modification, or even termination based on changing environmental priorities, technological advancements, or unforeseen circumstances. This ensures the contract remains relevant and cost-effective for the taxpayer.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: RTX Corp
Address: ONE RESEARCH DRIVE, WESTBOROUGH, MA, 01581
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $30,768,549
Exercised Options: $30,768,549
Current Obligation: $27,933,483
Actual Outlays: $1,570,962
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Timeline
Start Date: 2000-06-15
Current End Date: 2023-02-28
Potential End Date: 2023-02-28 00:00:00
Last Modified: 2024-01-17
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