DoD Awards $23.4M Remediation Contract to Kemron Environmental Services for Zinc Facility Area

Contract Overview

Contract Amount: $23,371,563 ($23.4M)

Contractor: Kemron Environmental Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-11-30

End Date: 2028-03-19

Contract Duration: 1,571 days

Daily Burn Rate: $14.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OLD AMERICAN ZINC FACILITY AREA

Place of Performance

Location: EAST SAINT LOUIS, SAINT CLAIR County, ILLINOIS, 62201

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $23.4 million to KEMRON ENVIRONMENTAL SERVICES, INC. for work described as: OLD AMERICAN ZINC FACILITY AREA Key points: 1. Contract awarded to Kemron Environmental Services, Inc. for remediation services. 2. The contract value is $23,371,562.84. 3. Competition was 'Full and Open Competition After Exclusion of Sources'. 4. The contract duration is 1571 days, ending March 19, 2028. 5. The NAICS code is 562910 (Remediation Services).

Value Assessment

Rating: fair

The contract value of $23.4M for remediation services appears within a reasonable range for large-scale environmental cleanup projects. Benchmarking against similar Department of Defense remediation contracts would provide a more precise assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'Full and Open Competition After Exclusion of Sources' suggests that while the competition was intended to be open, specific criteria or circumstances led to the exclusion of some potential bidders. This could impact price discovery and potentially lead to higher costs compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being utilized for environmental remediation, which is a necessary but potentially costly undertaking. The effectiveness of the competition method in securing competitive pricing will directly influence the overall taxpayer impact.

Public Impact

Environmental cleanup of a zinc facility area ensures public health and safety. The contract supports jobs in the environmental services sector. Long-term environmental stewardship is a key public benefit. Potential for future environmental monitoring and maintenance needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The environmental remediation sector is critical for addressing legacy industrial pollution. Spending in this area by agencies like the Department of Defense is often driven by regulatory requirements and long-term environmental stewardship goals. Benchmarks for similar remediation projects vary widely based on site complexity and scope.

Small Business Impact

The data indicates that small business participation was not a stated requirement or outcome for this contract (ss: false, sb: false). This suggests that the primary contractor, Kemron Environmental Services, Inc., is likely a larger entity, and opportunities for small businesses may be limited to subcontracting roles, if any.

Oversight & Accountability

The contract is managed by the Department of the Army, a component of the Department of Defense. Oversight will be crucial to ensure the remediation is conducted effectively, on schedule, and within budget, particularly given the long duration and the specific nature of the environmental work.

Related Government Programs

Risk Flags

Tags

remediation-services, department-of-defense, il, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.4 million to KEMRON ENVIRONMENTAL SERVICES, INC.. OLD AMERICAN ZINC FACILITY AREA

Who is the contractor on this award?

The obligated recipient is KEMRON ENVIRONMENTAL SERVICES, 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 $23.4 million.

What is the period of performance?

Start: 2023-11-30. End: 2028-03-19.

What specific environmental hazards are being addressed at the Old American Zinc Facility Area, and what is the expected long-term environmental benefit of this remediation?

The specific environmental hazards are not detailed in the provided data but are implied to be related to zinc contamination from historical industrial activity. The long-term benefit is the mitigation of potential soil and groundwater contamination, reducing risks to human health and ecosystems, and restoring the land for potential future use. This aligns with federal environmental protection mandates.

How does the 'Full and Open Competition After Exclusion of Sources' method impact the risk of cost overruns or suboptimal performance compared to unrestricted full and open competition?

This competition method introduces a moderate risk. While it aims for openness, the exclusion of sources suggests specific criteria were applied, potentially limiting the pool of qualified bidders. This could reduce competitive pressure, increasing the risk of higher costs or less innovative solutions compared to a scenario where all capable firms could compete without prior exclusion.

What are the key performance indicators (KPIs) for this remediation contract, and how will their achievement be measured to ensure effectiveness and value for taxpayer money?

Key performance indicators would typically include metrics related to contaminant reduction levels, soil and water quality improvements, adherence to environmental regulations, project completion timelines, and safety incident rates. Effectiveness will be measured through regular site inspections, environmental sampling and analysis, and progress reports submitted by the contractor, verified by government quality assurance personnel.

Industry Classification

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

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&DSPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912P920R0002

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1359-A ELLSWORTH INDUSTRIAL BLVD, ATLANTA, GA, 30318

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

Financial Breakdown

Contract Ceiling: $23,371,563

Exercised Options: $23,371,563

Current Obligation: $23,371,563

Actual Outlays: $2,577,486

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912P922D0018

IDV Type: IDC

Timeline

Start Date: 2023-11-30

Current End Date: 2028-03-19

Potential End Date: 2028-03-19 00:00:00

Last Modified: 2025-12-22

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