DoD Awards $231M Remediation Services Contract to Amentum Technology, Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $231,054,773 ($231.1M)

Contractor: Amentum Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-07-28

End Date: 2026-01-31

Contract Duration: 1,648 days

Daily Burn Rate: $140.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: PRE-EXCAVATION REMEDIATION ACTIVITIES

Place of Performance

Location: FORD CITY, ARMSTRONG County, PENNSYLVANIA, 16226

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $231.1 million to AMENTUM TECHNOLOGY, INC. for work described as: PRE-EXCAVATION REMEDIATION ACTIVITIES Key points: 1. Significant contract value for pre-excavation remediation activities. 2. Amentum Technology, Inc. is the sole awardee. 3. Contract duration extends to January 2026. 4. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type allows for cost reimbursement plus a fixed fee, which can incentivize contractors to increase costs to achieve a higher fee. Benchmarking against similar remediation contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific pricing discovery mechanisms within the Cost Plus Fixed Fee structure warrant scrutiny to ensure fair pricing.

Taxpayer Impact: Taxpayer funds are being used for essential environmental remediation services. The competitive award aims to secure reasonable pricing, but the CPFF structure requires diligent oversight to prevent excessive costs.

Public Impact

Environmental cleanup services are crucial for public health and safety. The contract supports the Department of Defense's environmental stewardship responsibilities. Job creation may occur in Pennsylvania, the contract's performance location.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically remediation services. Spending benchmarks for similar large-scale environmental remediation contracts vary widely based on scope and location, but $231 million represents a substantial investment.

Small Business Impact

The data does not indicate any subcontracting goals or awards to small businesses for this contract. Further analysis would be needed to determine if small businesses are participating in this significant remediation effort.

Oversight & Accountability

The Cost Plus Fixed Fee structure necessitates robust oversight from the Department of the Army to monitor costs, ensure performance, and prevent potential contractor overreach. Regular audits and performance reviews are critical.

Related Government Programs

Risk Flags

Tags

remediation-services, department-of-defense, pa, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $231.1 million to AMENTUM TECHNOLOGY, INC.. PRE-EXCAVATION REMEDIATION ACTIVITIES

Who is the contractor on this award?

The obligated recipient is AMENTUM TECHNOLOGY, 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 $231.1 million.

What is the period of performance?

Start: 2021-07-28. End: 2026-01-31.

What specific remediation activities are covered under this contract, and how are they prioritized?

The contract covers 'PRE-EXCAVATION REMEDIATION ACTIVITIES.' Without further detail, it's unclear if this includes site assessment, soil or groundwater contamination removal, or other preparatory environmental work. Prioritization would likely be driven by regulatory requirements, environmental impact assessments, and the overall project timeline for subsequent construction or development.

How will the government ensure cost control and prevent overruns with a Cost Plus Fixed Fee contract?

The Department of the Army must implement stringent oversight mechanisms. This includes detailed review of all incurred costs, regular audits, clear performance metrics, and potentially establishing cost ceilings or incentive structures within the fixed fee to manage expenditures effectively and ensure value for taxpayer money.

What is the expected long-term environmental benefit and taxpayer value of this remediation effort?

The long-term environmental benefit is the mitigation of potential contamination, protecting ecosystems and public health. Taxpayer value is realized through fulfilling environmental obligations, preventing future liabilities, and potentially enabling the reuse of land. However, the true value is contingent on the effectiveness and efficiency of the remediation process.

Industry Classification

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

Product/Service Code: NATURAL RESOURCES MANAGEMENTENVIRONMENTAL SYSTEMS PROTECTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912P415R0001

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pae-Parsons Global Logistics Services, LLC

Address: 604 WILLIAM NORTHERN BLVD., TULLAHOMA, TN, 37388

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

Financial Breakdown

Contract Ceiling: $231,054,773

Exercised Options: $231,054,773

Current Obligation: $231,054,773

Actual Outlays: $56,129,907

Subaward Activity

Number of Subawards: 84

Total Subaward Amount: $154,249,539

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912P417D0001

IDV Type: IDC

Timeline

Start Date: 2021-07-28

Current End Date: 2026-01-31

Potential End Date: 2026-01-31 00:00:00

Last Modified: 2025-10-20

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