DoD's $193M Remediation Services Contract with APTIM Federal Services Faces Scrutiny Over Long Duration

Contract Overview

Contract Amount: $19,345,133 ($19.3M)

Contractor: Aptim Federal Services, LLC

Awarding Agency: Department of Defense

Start Date: 2008-03-26

End Date: 2020-08-25

Contract Duration: 4,535 days

Daily Burn Rate: $4.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SOUTH PBC

Place of Performance

Location: BATON ROUGE, EAST BATON ROUGE County, LOUISIANA, 70809

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $19.3 million to APTIM FEDERAL SERVICES, LLC for work described as: SOUTH PBC Key points: 1. The contract, awarded in 2008 and ending in 2020, represents a significant investment in environmental remediation. 2. APTIM Federal Services, the sole awardee, highlights potential limitations in competition or specialized capabilities. 3. The lengthy contract duration (over 12 years) raises questions about flexibility and potential cost overruns. 4. The 'Remediation Services' sector often involves complex, long-term projects with varying cost drivers.

Value Assessment

Rating: questionable

The contract's value of $193.45 million over 12 years suggests a substantial commitment. Benchmarking requires detailed analysis of specific remediation tasks and market rates for similar long-term environmental services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Despite being awarded under full and open competition, the single award to APTIM Federal Services suggests either a highly specialized requirement or a lack of sustained competitive interest over the contract's lifespan. This could impact price discovery and potentially lead to less favorable pricing over time.

Taxpayer Impact: The substantial value of this contract means taxpayers are funding extensive environmental cleanup efforts. The long duration and single award raise concerns about whether the most cost-effective solutions were consistently pursued.

Public Impact

Taxpayers funded over $193 million for environmental remediation services over a 12-year period. The long contract term may have limited opportunities for newer, potentially more innovative or cost-effective remediation technologies to be introduced. Environmental cleanup projects can have significant long-term impacts on local communities and ecosystems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Extended contract duration
Single awardee over a long period
Potential for cost creep in long-term remediation

Positive Signals

Contract addressed critical environmental remediation needs
Awarded under full and open competition initially

Sector Analysis

The Department of Defense frequently engages in remediation services to address environmental contamination at military installations. Spending in this sector can be substantial due to the complexity and long-term nature of cleanup projects, often requiring specialized expertise.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors. The primary awardee, APTIM FEDERAL SERVICES, LLC, is a large business, suggesting limited direct opportunities for small businesses on this specific contract.

Oversight & Accountability

The lengthy duration of this contract warrants oversight to ensure continued cost-effectiveness and adherence to environmental standards. Regular reviews would be crucial to assess performance and identify any potential issues.

Related Government Programs

Remediation Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Extended contract duration (over 12 years)
Single awardee for the entire contract period
Lack of apparent re-competition or new vendor integration
Potential for cost escalation over a long-term service contract
Limited transparency on specific remediation tasks and their evolving costs

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.3 million to APTIM FEDERAL SERVICES, LLC. SOUTH PBC

Who is the contractor on this award?

The obligated recipient is APTIM FEDERAL SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $19.3 million.

What is the period of performance?

Start: 2008-03-26. End: 2020-08-25.

What specific remediation activities were performed under this contract, and how did their scope evolve over the 12-year period?

The contract covered 'Remediation Services' for the Department of the Air Force. Without further details, it's difficult to ascertain the exact activities. These could range from hazardous waste cleanup to soil and groundwater remediation. The evolution of scope would depend on the specific environmental challenges identified at the sites and the progress of cleanup efforts over the contract's extensive timeline.

Were there opportunities to re-compete or introduce new vendors for specialized remediation tasks during the contract's 12-year span?

While awarded under 'full and open competition,' the single award to APTIM FEDERAL SERVICES, LLC for such a long duration raises questions. Agencies can use contract vehicles like indefinite-delivery/indefinite-quantity (IDIQ) or task orders to introduce competition for specific needs. The lack of apparent re-competition or new vendor involvement suggests either a highly specialized, continuous need or a potential missed opportunity for competitive pricing.

How does the final cost of $193.45 million compare to industry benchmarks for similar long-term environmental remediation projects of comparable scale and complexity?

Benchmarking this contract's cost requires detailed analysis of the specific remediation technologies used, the environmental conditions addressed, and the duration of the project. However, a $193 million expenditure over 12 years for remediation services is substantial. Without specific task breakdowns and market data for similar long-term, complex environmental projects, a definitive comparison is challenging, but the scale warrants scrutiny.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Aptim Holdings LLC (UEI: 080821711)

Address: 4171 ESSEN LN, BATON ROUGE, LA, 70809

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

Financial Breakdown

Contract Ceiling: $19,345,133

Exercised Options: $19,345,133

Current Obligation: $19,345,133

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline