DOE awards $26M non-competitive order to Leidos for West Valley environmental services

Contract Overview

Contract Amount: $26,048,953 ($26.0M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Energy

Start Date: 2005-02-18

End Date: 2010-07-16

Contract Duration: 1,974 days

Daily Burn Rate: $13.2K/day

Competition Type: NON-COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Other

Official Description: INTEGRATIONAND EXECUTION OF ENVIRONMENTAL IMPACT STATEMENT AND DECOMMISSIONING PLAN FOR THE WEST VALLEY DEMONSTRATION PROJECT

Place of Performance

Location: WEST VALLEY, CATTARAUGUS County, NEW YORK, 14171

State: New York Government Spending

Plain-Language Summary

Department of Energy obligated $26.0 million to LEIDOS, INC. for work described as: INTEGRATIONAND EXECUTION OF ENVIRONMENTAL IMPACT STATEMENT AND DECOMMISSIONING PLAN FOR THE WEST VALLEY DEMONSTRATION PROJECT Key points: 1. Leidos secured a significant $26M contract for environmental impact and decommissioning planning. 2. The award was non-competitive, raising questions about price discovery and market alternatives. 3. This contract addresses critical environmental remediation needs at the West Valley Demonstration Project. 4. The duration of the contract (1974 days) suggests a complex, long-term project.

Value Assessment

Rating: questionable

The contract value of $26M for environmental consulting services is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to market rates for similar complex environmental planning and decommissioning projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This was a non-competitive delivery order, meaning Leidos was selected without a bidding process. This limits price discovery and potentially leads to higher costs for taxpayers as market competition was bypassed.

Taxpayer Impact: The lack of competition may result in the government paying more than necessary for these specialized environmental services.

Public Impact

Environmental cleanup and decommissioning are crucial for public safety and ecological health. The West Valley site has a history of nuclear waste management challenges. Transparency in contracting for such sensitive projects is vital for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Environmental consulting services, particularly those involving nuclear decommissioning, are highly specialized and often involve complex regulatory frameworks. Spending in this niche can vary significantly based on project scope and site-specific challenges.

Small Business Impact

There is no indication that small businesses were involved in this specific contract award, as it was a non-competitive delivery order to a large prime contractor.

Oversight & Accountability

The Department of Energy's oversight is critical for ensuring the effective and responsible execution of this environmental plan, especially given the non-competitive nature of the award.

Related Government Programs

Risk Flags

Tags

environmental-consulting-services, department-of-energy, ny, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $26.0 million to LEIDOS, INC.. INTEGRATIONAND EXECUTION OF ENVIRONMENTAL IMPACT STATEMENT AND DECOMMISSIONING PLAN FOR THE WEST VALLEY DEMONSTRATION PROJECT

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $26.0 million.

What is the period of performance?

Start: 2005-02-18. End: 2010-07-16.

What specific factors justified the non-competitive award to Leidos for this environmental planning and decommissioning work?

The justification for a non-competitive award typically stems from unique capabilities, urgent needs, or situations where only one source can fulfill the requirement. For complex projects like nuclear site decommissioning, specialized expertise and prior involvement might be cited. However, without detailed documentation, it's difficult to ascertain the precise rationale and whether alternatives were thoroughly explored.

How will the Department of Energy ensure cost-effectiveness and value for money given the absence of a competitive bidding process?

The agency can implement robust oversight mechanisms, including detailed cost analysis, performance monitoring, and milestone-based payments. Regular reviews of contractor performance against established benchmarks and independent cost estimations can help mitigate risks associated with sole-source contracts. Strong contract management is essential to ensure taxpayer funds are used efficiently.

What are the long-term environmental risks if the decommissioning plan and execution are not managed effectively under this contract?

Ineffective management could lead to prolonged environmental contamination, posing risks to groundwater, soil, and local ecosystems. Delayed cleanup increases the potential for radioactive material spread and worker exposure. Furthermore, inadequate planning could result in cost overruns and extended project timelines, increasing the overall financial burden and delaying the site's safe closure.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesEnvironmental Consulting Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&DSPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: NON-COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DERQ24OH30299

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

Address: 1710 SAIC DRIVE, ROOM #8031, MCLEAN, VA, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $26,048,953

Exercised Options: $26,048,953

Current Obligation: $26,048,953

Parent Contract

Parent Award PIID: GS10F0076J

IDV Type: FSS

Timeline

Start Date: 2005-02-18

Current End Date: 2010-07-16

Potential End Date: 2010-07-16 00:00:00

Last Modified: 2014-01-09

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