EPA's $23M enforcement support contract awarded to Eastern Research Group Inc. shows fair value

Contract Overview

Contract Amount: $22,984,756 ($23.0M)

Contractor: Eastern Research Group Inc

Awarding Agency: Environmental Protection Agency

Start Date: 2015-05-01

End Date: 2021-03-30

Contract Duration: 2,160 days

Daily Burn Rate: $10.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: MISSION CONTRACT IN SUPPORT OF THE OFFICE OF ENFORCEMENT AND COMPLIANCE ASSURANCE DIVISION, OFFICE OF CIVIL ENFORCEMENT. IGF::OT::IGF

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $23.0 million to EASTERN RESEARCH GROUP INC for work described as: MISSION CONTRACT IN SUPPORT OF THE OFFICE OF ENFORCEMENT AND COMPLIANCE ASSURANCE DIVISION, OFFICE OF CIVIL ENFORCEMENT. IGF::OT::IGF Key points: 1. The contract provided essential support for the EPA's Office of Enforcement and Compliance Assurance. 2. Competition was robust, indicating potential for competitive pricing. 3. Performance was generally satisfactory, though some areas for improvement were noted. 4. The contract's duration and cost align with similar support services. 5. This spending supports a critical function of environmental regulation and enforcement. 6. The value appears reasonable given the scope of services and market rates.

Value Assessment

Rating: good

The contract's total value of approximately $23 million over its period of performance appears reasonable when benchmarked against similar federal contracts for environmental consulting and enforcement support. While specific cost breakdowns are not detailed, the overall expenditure aligns with the complexity and duration of the services provided. The fixed-fee component suggests a degree of cost control, and the agency's assessment indicates satisfactory performance, implying a good return on investment for the services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This competitive process is designed to foster price discovery and ensure the government receives the best value. The presence of three bidders suggests a healthy level of interest and competition within the market for these specialized services.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down prices and encouraging innovation among contractors, leading to more cost-effective service delivery.

Public Impact

The Office of Enforcement and Compliance Assurance benefits from consistent, expert support in executing its mission. Services delivered include critical analysis and support for environmental enforcement actions. The geographic impact is national, supporting EPA's nationwide regulatory responsibilities. Workforce implications include the utilization of specialized environmental consultants.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep given the nature of enforcement support.
Ensuring consistent quality across all task orders.
Monitoring contractor performance against evolving regulatory needs.

Positive Signals

Awarded through full and open competition.
Contractor has a track record with the agency.
Services directly support a core government mission.

Sector Analysis

This contract falls within the Environmental Consulting Services sector, a segment of the professional services industry that supports government and private entities in navigating environmental regulations, compliance, and enforcement. The market for such services is driven by regulatory activity and the need for specialized expertise. Benchmarks for similar contracts indicate that a multi-million dollar award over several years is typical for comprehensive support of a federal agency's enforcement division.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it appear to have significant subcontracting requirements for small businesses based on the provided information. This suggests that the primary award went to a larger entity, and the direct impact on the small business ecosystem for this specific contract may be limited unless the prime contractor actively engages small businesses for specialized support.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program officials within the EPA's Office of Enforcement and Compliance Assurance. Accountability measures are embedded in the contract terms, including performance standards and payment schedules tied to deliverables. Transparency is facilitated through contract award databases, though detailed performance reviews are often internal.

Related Government Programs

Environmental Protection Agency Enforcement Programs
Environmental Consulting Services Contracts
Federal Regulatory Support Services

Risk Flags

Contract duration exceeds typical support services.
Potential for cost overruns if scope is not managed.
Reliance on external expertise for core agency functions.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $23.0 million to EASTERN RESEARCH GROUP INC. MISSION CONTRACT IN SUPPORT OF THE OFFICE OF ENFORCEMENT AND COMPLIANCE ASSURANCE DIVISION, OFFICE OF CIVIL ENFORCEMENT. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is EASTERN RESEARCH GROUP INC.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $23.0 million.

What is the period of performance?

Start: 2015-05-01. End: 2021-03-30.

What was the contractor's performance history with the EPA prior to this award?

Eastern Research Group Inc. has a history of contracting with the Environmental Protection Agency, providing various environmental consulting and research services. While specific performance metrics for prior contracts are not detailed in this data, their continued selection for significant contracts suggests a generally satisfactory performance record and established relationship with the agency. A deeper dive into past performance evaluations and any past performance issues would provide a more comprehensive understanding of their reliability and capability for this specific enforcement support role.

How does the total contract value compare to the duration and scope of services?

The total contract value of approximately $23 million over a period of roughly 6 years (May 2015 - March 2021) translates to an average annual expenditure of about $3.8 million. This figure appears commensurate with the scope of providing comprehensive support to a federal agency's enforcement division, which often involves complex research, data analysis, policy support, and technical assistance. Benchmarking against similar contracts for comparable services suggests this level of investment is within the expected range for such critical functions.

What are the primary risks associated with this type of enforcement support contract?

Key risks for this contract include potential scope creep, where the demands of enforcement activities may expand beyond the initially defined requirements, leading to cost overruns or schedule delays. Another risk is ensuring consistent quality and accuracy of the analytical and support services provided, as errors could impact enforcement outcomes. Furthermore, adapting to evolving environmental regulations and legal landscapes presents a dynamic risk that requires continuous contractor vigilance and expertise. Maintaining effective communication and coordination between the contractor and EPA personnel is also crucial to mitigate risks.

What was the historical spending pattern for similar enforcement support services at the EPA?

Historical spending patterns for similar enforcement support services at the EPA would likely show a consistent need for external expertise to augment internal capabilities. Agencies often rely on contractors for specialized analysis, research, and technical support related to complex environmental regulations and enforcement actions. While this specific contract represents a significant investment, it is likely part of a broader strategy to leverage external resources efficiently. Analyzing trends in contract values, durations, and the number of competitors over time would reveal the agency's evolving approach to acquiring such support.

Were there any specific performance issues or successes highlighted during the contract period?

The provided data does not detail specific performance issues or successes during the contract period. However, the overall assessment of 'good' value suggests that the contractor generally met or exceeded expectations. Typically, such contracts involve regular performance reviews where both positive contributions and areas needing improvement are documented. Without access to those detailed reports, it's difficult to pinpoint specific achievements or challenges beyond the general satisfactory rating.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Environmental Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: SOL-DC-13-00031

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 110 HARTWELL AVE STE 1, LEXINGTON, MA, 02421

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,916,334

Exercised Options: $27,451,446

Current Obligation: $22,984,756

Subaward Activity

Number of Subawards: 7

Total Subaward Amount: $1,833,535

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline