NRC's $65M contract for nuclear waste regulatory analysis awarded to Southwest Research Institute shows long-term engagement
Contract Overview
Contract Amount: $65,170,542 ($65.2M)
Contractor: Southwest Research Institute
Awarding Agency: Nuclear Regulatory Commission
Start Date: 2007-09-29
End Date: 2013-03-31
Contract Duration: 2,010 days
Daily Burn Rate: $32.4K/day
Competition Type: FOLLOW ON TO COMPETED ACTION
Number of Offers Received: 1
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: OPERATION OF THE CENTER FOR NUCLEAR WASTE REGULATORY ANALYSES
Place of Performance
Location: SAN ANTONIO, BEXAR County, TEXAS, 78228
State: Texas Government Spending
Plain-Language Summary
Nuclear Regulatory Commission obligated $65.2 million to SOUTHWEST RESEARCH INSTITUTE for work described as: OPERATION OF THE CENTER FOR NUCLEAR WASTE REGULATORY ANALYSES Key points: 1. Contract value of $65.17 million over its period of performance. 2. Awarded to Southwest Research Institute, a long-standing entity in research. 3. Focuses on the critical area of nuclear waste regulatory analysis. 4. Contract duration spanned over five years, indicating sustained need. 5. Follow-on to a competed action, suggesting prior competitive evaluation. 6. Operated under a Cost Plus Award Fee (CPAF) structure.
Value Assessment
Rating: good
The contract value of $65.17 million over approximately 5.5 years suggests a significant but potentially reasonable investment for specialized nuclear waste regulatory analysis. Benchmarking against similar long-term, highly specialized scientific support contracts is difficult without more granular data on the scope of work and specific deliverables. The CPAF structure incentivizes performance, but the final cost is dependent on actual expenses and award fees, making direct price comparisons challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract is described as a 'FOLLOW ON TO COMPETED ACTION,' which implies that the initial award was competed. However, the specific details of the competition for this particular follow-on action are not fully clear from the provided data. If it was a sole-source follow-on or competed among a very limited pool of bidders, it could impact price discovery. Without more information on the number of bidders for this specific award, a definitive assessment of competition dynamics is difficult.
Taxpayer Impact: A limited competition for a follow-on action may result in less aggressive pricing for taxpayers compared to a full and open competition. However, if the follow-on is based on demonstrated performance and specialized expertise, it can ensure continuity and quality of service.
Public Impact
The primary beneficiary is the Nuclear Regulatory Commission (NRC), which receives essential analytical support for its regulatory functions. Services delivered include expert analysis and technical assistance related to nuclear waste management and regulation. The geographic impact is national, as the NRC's regulatory purview covers the entire United States. The contract supports specialized scientific and technical workforce expertise in the nuclear sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns inherent in Cost Plus Award Fee contracts if not closely managed.
- Limited competition in follow-on actions could reduce pressure on pricing.
- Dependence on a single contractor for specialized, long-term analysis may pose continuity risks if not managed proactively.
Positive Signals
- Follow-on to a competed action suggests a history of competitive evaluation.
- Award to a research institute like Southwest Research Institute indicates access to specialized expertise.
- Long contract duration implies a sustained and critical need for the services provided.
- Cost Plus Award Fee structure can incentivize high performance and quality.
Sector Analysis
The nuclear waste regulatory analysis sector is highly specialized and dominated by a few key research institutions and consulting firms with deep technical expertise. The market size is relatively small and directly tied to government funding for nuclear regulation and oversight. This contract fits within the broader 'Nuclear Energy' and 'Environmental Services' sectors, requiring deep scientific knowledge and adherence to stringent regulatory standards.
Small Business Impact
There is no indication that this contract involved small business set-asides. Given the specialized nature of nuclear waste regulatory analysis, it is likely that the prime contractor, Southwest Research Institute, possesses unique capabilities. Subcontracting opportunities for small businesses would depend on the specific technical needs of the project and the prime contractor's strategy, but are not explicitly detailed.
Oversight & Accountability
The Nuclear Regulatory Commission (NRC) is responsible for the oversight of this contract. As a Cost Plus Award Fee (CPAF) contract, oversight would focus on monitoring costs, evaluating performance against award fee criteria, and ensuring compliance with the contract terms. Transparency would be facilitated through regular reporting requirements and potential audits by the NRC's Office of Inspector General, although specific IG involvement is not detailed.
Related Government Programs
- Nuclear Energy Regulation
- Hazardous Waste Management
- Scientific and Technical Consulting Services
- Federal Research and Development Support
Risk Flags
- Cost Plus Award Fee structure requires diligent oversight to manage costs.
- Follow-on actions may have reduced competitive pressure compared to initial procurements.
- Specialized nature of work could limit the pool of qualified contractors.
Tags
nuclear-waste, regulatory-analysis, nuclear-regulatory-commission, southwest-research-institute, cost-plus-award-fee, follow-on-contract, hazardous-waste-treatment-and-disposal, scientific-research, technical-support, texas, federal-contract
Frequently Asked Questions
What is this federal contract paying for?
Nuclear Regulatory Commission awarded $65.2 million to SOUTHWEST RESEARCH INSTITUTE. OPERATION OF THE CENTER FOR NUCLEAR WASTE REGULATORY ANALYSES
Who is the contractor on this award?
The obligated recipient is SOUTHWEST RESEARCH INSTITUTE.
Which agency awarded this contract?
Awarding agency: Nuclear Regulatory Commission (Nuclear Regulatory Commission).
What is the total obligated amount?
The obligated amount is $65.2 million.
What is the period of performance?
Start: 2007-09-29. End: 2013-03-31.
What was the specific scope of work for the Center for Nuclear Waste Regulatory Analyses under this contract?
The contract focused on the 'OPERATION OF THE CENTER FOR NUCLEAR WASTE REGULATORY ANALYSES.' This implies providing ongoing technical and analytical support to the Nuclear Regulatory Commission (NRC) concerning the regulation of nuclear waste. Specific tasks likely included reviewing and analyzing scientific and technical data related to waste disposal, assessing the safety and environmental impacts of proposed waste management strategies, developing regulatory guidance, and providing expert testimony or consultation on nuclear waste issues. The Center acts as an independent technical advisor to the NRC, ensuring that regulatory decisions are based on sound scientific principles and comprehensive analysis.
How does the $65.17 million contract value compare to similar NRC contracts for regulatory analysis?
Direct comparison of the $65.17 million value is challenging without knowing the precise scope and duration of comparable contracts. However, for a contract spanning over five years and involving highly specialized scientific and technical expertise for a critical regulatory function like nuclear waste management, this figure appears substantial but potentially aligned with the complexity and long-term nature of the work. The NRC relies on such specialized support to maintain its regulatory oversight, and the cost reflects the need for deep domain knowledge and continuous analytical capacity. Benchmarking would require analyzing contracts with similar objectives, technical requirements, and contract types (e.g., CPAF).
What are the key risks associated with a Cost Plus Award Fee (CPAF) contract for nuclear waste regulatory analysis?
The primary risk with a CPAF contract is the potential for cost overruns if the 'cost plus' component is not rigorously controlled and if the 'award fee' structure does not sufficiently incentivize efficiency. For nuclear waste regulatory analysis, risks include the contractor potentially incurring higher-than-expected costs due to unforeseen technical challenges or scope creep, which the government then reimburses. Additionally, the award fee mechanism requires clear, objective performance metrics to ensure that the government is paying for high-quality work and not just reimbursing costs. Inadequate oversight could lead to inflated costs without a commensurate increase in value or performance, impacting the overall value for taxpayers.
What is the track record of Southwest Research Institute in supporting the NRC or similar agencies?
Southwest Research Institute (SwRI) has a long-standing reputation as a leading independent, nonprofit applied research and development organization. They have extensive experience in various scientific and engineering disciplines, including those relevant to nuclear energy and environmental safety. SwRI has a history of supporting government agencies, including the NRC, on complex technical challenges. Their involvement in operating the Center for Nuclear Waste Regulatory Analyses suggests a proven track record of providing the specialized expertise and analytical capabilities required by the NRC for critical regulatory functions. Their broad technical base allows them to address diverse aspects of nuclear waste management.
How does the 'FOLLOW ON TO COMPETED ACTION' status impact the perceived value and competition for this contract?
The 'FOLLOW ON TO COMPETED ACTION' status indicates that the initial contract award was subject to competition. This suggests that the government likely received multiple proposals and selected the best value at that time. For a follow-on action, this status can imply that the incumbent contractor (Southwest Research Institute in this case) demonstrated strong performance, making them a preferred choice for continuing the work. However, the degree of competition for the follow-on itself is crucial. If the follow-on was also competed, it would further enhance value. If it was a sole-source follow-on based on the initial competition, it might limit new competitive pressures on pricing and innovation, though it ensures continuity and leverages established expertise.
What are the implications of the contract ending in March 2013 for ongoing nuclear waste regulatory analysis needs?
The contract ending in March 2013 signifies the completion of a specific period of support for the Center for Nuclear Waste Regulatory Analyses. It implies that the NRC either transitioned the function to a new contract, brought it in-house, or modified its approach to nuclear waste regulatory analysis. For ongoing needs, this contract's conclusion highlights the dynamic nature of federal support for critical functions. It necessitates continuous planning by the NRC to ensure uninterrupted analytical capacity. The transition from this contract would have involved procurement processes to secure future support, potentially leading to new contractors or continued engagement with established ones like SwRI, depending on competitive outcomes and evolving agency requirements.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Treatment and Disposal › Hazardous Waste Treatment and Disposal
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FOLLOW ON TO COMPETED ACTION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: RS-02-07-006
Offers Received: 1
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Address: 6220 CULEBRA RD, SAN ANTONIO, TX, 90
Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $123,376,281
Exercised Options: $123,376,281
Current Obligation: $65,170,542
Timeline
Start Date: 2007-09-29
Current End Date: 2013-03-31
Potential End Date: 2013-03-31 00:00:00
Last Modified: 2014-12-08
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