Army Awards $37.3M for Remediation Services in Maryland, Highlighting Firm Fixed Price Contract
Contract Overview
Contract Amount: $37,346,982 ($37.3M)
Contractor: Hydrogeologic, Inc.
Awarding Agency: Department of Defense
Start Date: 2018-07-06
End Date: 2024-09-30
Contract Duration: 2,278 days
Daily Burn Rate: $16.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: IGF::OT::IGF APG REMEDIATION/DEMOLITION GROUP 1
Place of Performance
Location: GUNPOWDER, HARFORD County, MARYLAND, 21010
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $37.3 million to HYDROGEOLOGIC, INC. for work described as: IGF::OT::IGF APG REMEDIATION/DEMOLITION GROUP 1 Key points: 1. Contract value of $37.3M for remediation services. 2. Awarded under full and open competition, suggesting market availability. 3. Firm Fixed Price contract type aims to control costs. 4. Long duration of 2278 days indicates a significant, ongoing project.
Value Assessment
Rating: good
The contract value of $37.3M for remediation services appears reasonable given the long duration and the nature of environmental remediation projects. Benchmarking against similar large-scale remediation contracts would provide further context.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, indicating that multiple vendors were likely considered. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The use of full and open competition and a firm fixed price contract suggests efforts to maximize taxpayer value and control costs for this significant remediation effort.
Public Impact
Environmental cleanup services are crucial for public health and safety. The long-term nature of the contract implies a sustained need for these services. Geographic location in Maryland may impact local environmental conditions and regulatory oversight.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration could lead to scope creep or cost overruns if not managed effectively.
- Potential for unforeseen environmental conditions impacting project costs and timeline.
- Reliance on a single awardee for an extended period may limit future competitive opportunities.
Positive Signals
- Firm Fixed Price contract provides cost certainty.
- Full and open competition suggests a robust marketplace for these services.
- Awarded by the Department of the Army, indicating a significant federal need.
Sector Analysis
The remediation services sector involves environmental cleanup and restoration. Spending in this sector can fluctuate based on regulatory requirements, infrastructure needs, and historical contamination. This contract aligns with typical federal investments in environmental management.
Small Business Impact
The contract was awarded under full and open competition and does not indicate specific set-asides for small businesses. Further analysis would be needed to determine if small businesses had a meaningful opportunity to participate.
Oversight & Accountability
The long duration and significant value of this contract warrant robust oversight from the Department of the Army to ensure performance, cost control, and adherence to environmental regulations. Regular reviews and performance metrics are essential.
Related Government Programs
- Remediation Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration increases risk of scope creep and cost escalation.
- Potential for unforeseen environmental conditions impacting project scope and cost.
- Firm fixed price contracts can be challenging for complex, long-term environmental projects.
- Lack of specific small business participation noted.
Tags
remediation-services, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $37.3 million to HYDROGEOLOGIC, INC.. IGF::OT::IGF APG REMEDIATION/DEMOLITION GROUP 1
Who is the contractor on this award?
The obligated recipient is HYDROGEOLOGIC, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $37.3 million.
What is the period of performance?
Start: 2018-07-06. End: 2024-09-30.
What specific remediation activities are covered under this contract, and how do they align with environmental priorities?
The contract, 'IGF APG REMEDIATION/DEMOLITION GROUP 1,' likely pertains to environmental cleanup and demolition activities at Aberdeen Proving Ground (APG). Specific activities would include hazardous material removal, soil and groundwater remediation, and demolition of contaminated structures. These align with federal environmental protection mandates and the need to restore potentially impacted federal lands for safe reuse or ecological health.
What are the primary risks associated with a firm fixed price contract for environmental remediation over a 2278-day period?
The primary risks include unforeseen site conditions (e.g., discovering more contamination than initially assessed), changes in environmental regulations, and contractor performance issues. For a firm fixed price contract, the government is protected from cost increases due to contractor inefficiency, but significant unforeseen issues could lead to change orders or disputes if not managed proactively through contract clauses and diligent oversight.
How does the $37.3M award compare to typical spending for similar remediation projects of this scale and duration?
Benchmarking this $37.3M award against similar large-scale, multi-year environmental remediation contracts is crucial for assessing value. Factors like the specific contaminants, geographic location, regulatory environment, and complexity of the site significantly influence costs. Without comparative data, it's difficult to definitively state if this represents excellent or fair value, though the firm fixed price and full competition are positive indicators.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Remediation Services
Product/Service Code: NATURAL RESOURCES MANAGEMENT › ENVIRONMENTAL SYSTEMS PROTECTION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: W912DY14R0068
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11107 SUNSET HILLS RD, RESTON, VA, 20190
Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $37,346,982
Exercised Options: $37,346,982
Current Obligation: $37,346,982
Subaward Activity
Number of Subawards: 8
Total Subaward Amount: $8,180,493
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912DY17D0004
IDV Type: IDC
Timeline
Start Date: 2018-07-06
Current End Date: 2024-09-30
Potential End Date: 2024-09-30 00:00:00
Last Modified: 2024-05-10
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