DOT's FAA awards $37.7M environmental services contract to Amentum, spanning over 15 years

Contract Overview

Contract Amount: $37,746,340 ($37.7M)

Contractor: Amentum Environment & Energy, Inc.

Awarding Agency: Department of Transportation

Start Date: 2009-08-07

End Date: 2025-06-30

Contract Duration: 5,806 days

Daily Burn Rate: $6.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ENVIRONMENTAL TASK ORDER CONTRACT TAS::69 8107::TAS

Place of Performance

Location: AIKEN, AIKEN County, SOUTH CAROLINA, 29801

State: South Carolina Government Spending

Plain-Language Summary

Department of Transportation obligated $37.7 million to AMENTUM ENVIRONMENT & ENERGY, INC. for work described as: ENVIRONMENTAL TASK ORDER CONTRACT TAS::69 8107::TAS Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 3. Long duration of over 15 years may indicate a need for sustained environmental services. 4. The North American Industry Classification System (NAICS) code 541330 points to engineering services. 5. The contract is a delivery order under a larger task order structure. 6. The contractor, Amentum, is a significant player in the government contracting space.

Value Assessment

Rating: good

The contract's total value of $37.7 million over its extended period suggests a substantial investment in environmental services. Benchmarking this against similar long-term environmental support contracts for federal agencies would provide a clearer picture of value for money. The firm-fixed-price structure is generally favorable for the government in managing cost certainty, provided the initial pricing was competitive. Without specific cost breakdowns or comparisons to market rates for similar engineering services, a definitive value assessment is challenging, but the competitive award process is a positive indicator.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a 'full and open competition' solicitation, indicating that all responsible sources were permitted to submit a bid. The specific number of bidders is not provided, but this method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The open nature of the competition suggests that the FAA sought the best possible solution from the widest range of qualified contractors.

Taxpayer Impact: A full and open competition typically benefits taxpayers by driving down prices through market forces and ensuring that the government receives a competitive rate for the services rendered. This approach minimizes the risk of overpayment and promotes efficiency.

Public Impact

The Federal Aviation Administration (FAA) is the primary beneficiary, receiving essential environmental engineering services. Services likely include environmental assessments, compliance monitoring, and remediation support for FAA facilities and projects. The contract's duration suggests a long-term commitment to environmental stewardship and regulatory compliance. The geographic impact is likely nationwide, supporting FAA operations across various locations. Workforce implications may include employment opportunities for environmental engineers and specialists within Amentum and its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (over 15 years) could lead to potential cost escalations if not managed proactively.
Firm Fixed Price contracts can sometimes lead to scope creep if not clearly defined, increasing contractor risk.
Reliance on a single large contractor for critical environmental services might pose a risk if contractor performance falters.

Positive Signals

Awarded through full and open competition, indicating a competitive process that should yield fair pricing.
Firm Fixed Price contract structure provides cost certainty for the government.
The contractor, Amentum, has a significant presence and experience in government contracting, suggesting capability.
The contract supports critical environmental compliance and infrastructure needs for the FAA.

Sector Analysis

The environmental consulting and engineering services sector is a significant part of the broader professional services market supporting government operations. Federal agencies like the FAA require these services to comply with environmental regulations, manage infrastructure projects, and address potential environmental liabilities. Spending in this sector is driven by regulatory requirements, infrastructure development, and ongoing operational needs. Comparable spending benchmarks would involve analyzing other large, long-term environmental support contracts awarded by agencies such as the EPA, DoD, or DOE.

Small Business Impact

The provided data indicates that small business participation (sb) is false and there is no small business set-aside (ss) for this contract. This suggests that the primary award was not specifically targeted towards small businesses. However, the prime contractor, Amentum, may engage small businesses as subcontractors to fulfill portions of the contract requirements. Further analysis would be needed to determine the extent of small business subcontracting and its impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Federal Aviation Administration. Performance monitoring, adherence to contract terms, and quality control are key aspects of oversight. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract's performance. Regular reporting requirements from the contractor would also contribute to accountability.

Related Government Programs

Environmental Consulting Services
Engineering Services
Federal Aviation Administration Contracts
Department of Transportation Contracts
Task Order Contracts
Environmental Compliance

Risk Flags

Long contract duration may increase risk of cost escalation or scope creep.
Potential for unforeseen environmental conditions impacting fixed-price cost certainty.
Need for robust oversight to ensure contractor performance and compliance over 15+ years.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $37.7 million to AMENTUM ENVIRONMENT & ENERGY, INC.. ENVIRONMENTAL TASK ORDER CONTRACT TAS::69 8107::TAS

Who is the contractor on this award?

The obligated recipient is AMENTUM ENVIRONMENT & ENERGY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $37.7 million.

What is the period of performance?

Start: 2009-08-07. End: 2025-06-30.

What is Amentum's track record with the Federal Aviation Administration and other federal agencies for similar environmental services?

Amentum, and its predecessor companies, have a substantial history of performing environmental and engineering services for various federal agencies, including the FAA and Department of Defense. Their track record often includes large-scale remediation projects, environmental assessments, and compliance support. Analyzing past performance reviews, contract awards, and any reported issues or successes with the FAA specifically would provide insight into their reliability and capability for this particular contract. A review of their contract history would likely reveal extensive experience in managing complex, long-term environmental tasks, suggesting a strong foundation for this award. However, specific details on past performance metrics for this exact type of service with the FAA would require deeper database analysis.

How does the $37.7 million total contract value compare to similar long-term environmental engineering support contracts awarded by the FAA or other transportation agencies?

The $37.7 million total contract value, spread over approximately 15 years (August 2009 to June 2025), translates to an average annual value of roughly $2.5 million. This figure appears moderate for a long-term, comprehensive environmental services contract supporting a major federal agency like the FAA. To benchmark effectively, one would compare this to other indefinite-delivery/indefinite-quantity (IDIQ) or task order contracts for similar engineering and environmental services awarded by the FAA, Department of Transportation, or other large federal entities. Contracts for environmental remediation, compliance monitoring, and infrastructure support can range significantly, but this value suggests a focused scope or a specific set of facilities/projects rather than agency-wide, all-encompassing support. A detailed comparison would involve identifying contracts with similar NAICS codes and service descriptions.

What are the primary risks associated with a Firm Fixed Price (FFP) contract of this duration for environmental services?

The primary risks associated with a Firm Fixed Price (FFP) contract of this duration for environmental services revolve around scope definition and potential unforeseen conditions. For environmental contracts, the scope can be particularly challenging to define precisely due to the inherent uncertainties in subsurface conditions, historical contamination, and evolving regulatory landscapes. If the initial scope is not meticulously defined, the contractor bears the risk of cost overruns if unexpected issues arise, potentially leading to claims or reduced quality. Conversely, if the government's needs evolve significantly beyond the original scope, modifications may be necessary, which can be complex under an FFP structure. Contractor performance risk is also present; a less capable contractor might struggle to deliver quality services within the fixed price over such a long period, potentially impacting environmental compliance and safety.

How effective are task order contracts, like this one, in ensuring efficient delivery of environmental services for the FAA?

Task order contracts, such as the one awarded to Amentum, are designed to provide flexibility and efficiency for agencies like the FAA that have recurring or evolving needs for specific services. By establishing a pre-competed contract vehicle, the FAA can issue task orders for specific projects or periods without needing to conduct a full, separate procurement each time. This streamlines the acquisition process, reduces administrative burden, and can lead to faster service delivery. The effectiveness hinges on the initial competition for the base contract and the clarity of the task order process. For environmental services, this structure allows the FAA to procure specialized support as needed, adapting to changing project requirements or regulatory mandates efficiently. The 'full and open competition' for the base contract suggests a strong foundation for effective task order issuance.

What is the historical spending pattern for environmental services by the Federal Aviation Administration over the last decade?

Historical spending by the Federal Aviation Administration (FAA) on environmental services has likely fluctuated based on infrastructure projects, regulatory changes, and operational needs. While specific aggregate data for 'environmental services' can be complex to isolate due to categorization, the FAA consistently invests in areas such as environmental impact assessments for airport development, compliance with EPA regulations, hazardous materials management, and potentially remediation activities at its facilities. Spending trends would likely show peaks during periods of significant airport construction or upgrades, or in response to new environmental legislation. Analyzing FAA's overall contracting data, particularly within NAICS codes related to engineering, environmental consulting, and construction support, would reveal patterns. The long duration of this specific contract suggests a sustained need and consistent, albeit potentially variable, budget allocation for such services over time.

What are the implications of the 'SC' status code (Source Selection) on this contract's award and potential future modifications?

The 'SC' status code in federal procurement typically signifies 'Source Selection,' indicating that the contract award was based on a formal evaluation of proposals against defined criteria. This implies a structured and competitive process where factors beyond just price (like technical approach, past performance, and management capability) were considered. For this contract, it suggests the FAA conducted a thorough evaluation to select Amentum Environment & Energy, Inc. as the best value. Regarding future modifications, the 'SC' designation doesn't inherently restrict them but underscores the importance of ensuring any modifications are within the scope of the original competition or are justified through proper procurement procedures. Significant changes might require re-competition or a formal justification for a sole-source modification, depending on the nature and extent of the change.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pae-Parsons Global Logistics Services, LLC

Address: 106 NEWBERRY ST SW, AIKEN, SC, 29801

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $63,617,485

Exercised Options: $37,746,340

Current Obligation: $37,746,340

Actual Outlays: $2,396,629

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTFACT09D00015

IDV Type: IDC

Timeline