DoD awards $62.5M environmental remediation contract to Jacobs Project Management Co. for New Bedford Superfund Site
Contract Overview
Contract Amount: $62,489,842 ($62.5M)
Contractor: Jacobs Project Management CO.
Awarding Agency: Department of Defense
Start Date: 2017-08-21
End Date: 2022-06-23
Contract Duration: 1,767 days
Daily Burn Rate: $35.4K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST PLUS FIXED FEE
Sector: Construction
Official Description: IGF::OT::IGF REQUIREMENT TO PROVIDE ENVIRONMENTAL REMEDIATION SERVICES FOR THE NEW BEDFORD SUPERFUND SITE, LOCATED IN NEW BEDFORD HARBOR.
Place of Performance
Location: NEW BEDFORD, BRISTOL County, MASSACHUSETTS, 02740
Plain-Language Summary
Department of Defense obligated $62.5 million to JACOBS PROJECT MANAGEMENT CO. for work described as: IGF::OT::IGF REQUIREMENT TO PROVIDE ENVIRONMENTAL REMEDIATION SERVICES FOR THE NEW BEDFORD SUPERFUND SITE, LOCATED IN NEW BEDFORD HARBOR. Key points: 1. Contract value represents a significant investment in environmental cleanup efforts. 2. Full and open competition suggests a robust bidding process. 3. Contract duration of nearly 5 years indicates a long-term commitment to the project. 4. The nature of Superfund site remediation implies complex environmental challenges and potential risks. 5. This contract positions Jacobs Project Management Co. as a key player in federal environmental services. 6. The cost-plus-fixed-fee structure allows for flexibility but requires careful cost management. 7. Geographic focus on Massachusetts highlights regional environmental priorities.
Value Assessment
Rating: good
The contract value of $62.5 million over approximately five years for environmental remediation services appears reasonable given the scope of a Superfund site. While direct comparisons are difficult without specific project details, the cost-plus-fixed-fee (CPFF) structure is common for complex, evolving projects where exact costs are hard to predict. The agency's ability to manage costs under this structure will be crucial for ensuring value for money. Benchmarking against similar large-scale Superfund cleanups would provide further insight into the pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. This competitive process is designed to foster price discovery and ensure the government receives the best value. The number of bidders is not specified, but the open competition suggests a healthy market for these specialized environmental services.
Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the most cost-effective solution for a critical environmental cleanup.
Public Impact
The primary beneficiaries are the residents and environment of New Bedford, Massachusetts, through the cleanup of a Superfund site. Services delivered include environmental remediation, likely involving hazardous waste removal, site stabilization, and monitoring. The geographic impact is concentrated in New Bedford Harbor, addressing long-standing environmental contamination. Workforce implications may include the creation of specialized jobs in environmental engineering, construction, and project management.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost overruns are a risk in CPFF contracts if not managed diligently.
- Environmental unforeseen conditions at Superfund sites can lead to scope creep and increased costs.
- Contractor performance on complex remediation projects requires rigorous oversight.
Positive Signals
- Awarded under full and open competition, suggesting a competitive market and potential for good value.
- Long contract duration allows for sustained focus and completion of complex remediation tasks.
- Jacobs Project Management Co. likely has relevant experience in large-scale environmental projects.
Sector Analysis
Environmental remediation services, particularly for Superfund sites, represent a specialized segment within the broader heavy and civil engineering construction sector. This contract falls under the 'Other Heavy and Civil Engineering Construction' NAICS code. The market for environmental cleanup is driven by regulatory requirements (like CERCLA/Superfund) and involves a limited number of highly qualified firms capable of handling complex hazardous waste management and site restoration. Spending in this area is often project-specific and tied to government mandates.
Small Business Impact
The data indicates this contract was awarded under full and open competition and does not specify any small business set-aside. It is unlikely that a contract of this magnitude and complexity would be fully set aside for small businesses. However, the prime contractor, Jacobs Project Management Co., may engage small businesses as subcontractors for specific tasks, contributing to the small business ecosystem. Further analysis of subcontracting plans would be needed to assess the direct impact on small businesses.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and technical representatives within the Department of the Army. The cost-plus-fixed-fee structure necessitates robust financial oversight to monitor expenditures and ensure compliance with the fixed fee. Transparency is generally maintained through contract reporting mechanisms. Depending on the specific agency and the nature of the work, an Inspector General might also have jurisdiction for audits and investigations into fraud, waste, or abuse.
Related Government Programs
- Superfund Program (CERCLA)
- Environmental Remediation Services
- Hazardous Waste Management
- Department of the Army Contracts
- Heavy and Civil Engineering Construction
Risk Flags
- Potential for cost overruns due to CPFF structure and site complexities.
- Environmental risks and unforeseen conditions at Superfund sites.
- Need for rigorous oversight of contractor performance and cost management.
Tags
department-of-defense, department-of-the-army, environmental-remediation, superfund-site, construction, full-and-open-competition, cost-plus-fixed-fee, massachusetts, large-contract, hazardous-waste
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $62.5 million to JACOBS PROJECT MANAGEMENT CO.. IGF::OT::IGF REQUIREMENT TO PROVIDE ENVIRONMENTAL REMEDIATION SERVICES FOR THE NEW BEDFORD SUPERFUND SITE, LOCATED IN NEW BEDFORD HARBOR.
Who is the contractor on this award?
The obligated recipient is JACOBS PROJECT MANAGEMENT CO..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $62.5 million.
What is the period of performance?
Start: 2017-08-21. End: 2022-06-23.
What is the track record of Jacobs Project Management Co. in handling similar large-scale environmental remediation projects for the federal government?
Jacobs Project Management Co. is a well-established entity with significant experience in engineering, procurement, and construction, including extensive work in environmental services and remediation. They have a history of managing complex projects for various government agencies, including the Department of Defense and the Environmental Protection Agency. Their portfolio often includes hazardous waste cleanup, site restoration, and infrastructure development. While specific details on past Superfund site management would require deeper research into their contract history, their general capabilities suggest they are well-equipped for this type of work. Performance metrics from previous federal contracts would offer further insight into their reliability and effectiveness in delivering similar projects on time and within budget.
How does the awarded amount of $62.5 million compare to the estimated costs for similar Superfund site remediation projects?
Comparing the $62.5 million award to similar Superfund site remediation projects is challenging without detailed project scope and site-specific conditions. Superfund cleanups vary dramatically in complexity, the type and volume of contaminants, and the required remediation technologies, all of which significantly impact cost. However, large-scale remediation efforts at complex industrial or harbor sites can easily run into tens or hundreds of millions of dollars over several years. The cost-plus-fixed-fee (CPFF) structure suggests that initial cost estimates may have been subject to change as the project progresses. Benchmarking against publicly available data from EPA or DoD for comparable sites, considering factors like acreage, contaminant levels, and remediation duration, would be necessary for a more precise value assessment.
What are the primary environmental risks associated with the New Bedford Superfund Site that this contract aims to address?
The New Bedford Superfund Site, located in New Bedford Harbor, is known to be contaminated with polychlorinated biphenyls (PCBs), heavy metals, and other hazardous substances stemming from historical industrial activities. The primary environmental risks include the potential for these contaminants to leach into the harbor's sediment and water column, harming aquatic life and posing risks to human health through seafood consumption and direct contact. The remediation efforts funded by this contract are likely focused on dredging contaminated sediments, capping affected areas, and implementing long-term monitoring to prevent further environmental degradation and ecological damage. Addressing these risks is crucial for restoring the health of the harbor ecosystem and ensuring public safety.
What is the significance of the 'Cost Plus Fixed Fee' (CPFF) contract type for this environmental remediation project?
The Cost Plus Fixed Fee (CPFF) contract type is often used for research and development or complex services where the scope of work is not precisely defined at the outset, or where unforeseen circumstances are likely. For environmental remediation at a Superfund site, this structure allows the contractor to be reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. This is advantageous when dealing with the uncertainties inherent in hazardous waste cleanup, where the extent of contamination or the most effective remediation methods might evolve. However, it places a significant burden on the government to meticulously audit costs to ensure they are reasonable and allocable. The fixed fee incentivizes the contractor to control costs to maximize their profit margin relative to the fee.
How has federal spending on environmental remediation services, particularly for Superfund sites, trended over the past decade?
Federal spending on environmental remediation, including Superfund sites, has generally remained a significant but fluctuating area of government expenditure over the past decade. Funding levels are often influenced by congressional appropriations, administration priorities, and the number of active Superfund sites requiring cleanup. While the EPA's Superfund program is the primary driver for civilian environmental cleanup, agencies like the Department of Defense also manage extensive remediation efforts on former military installations. Overall trends show consistent investment, though specific annual outlays can vary based on the initiation of new large-scale projects and the completion of existing ones. Recent infrastructure initiatives may also impact future funding allocations for environmental restoration.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912WJ14R0003
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Jacobs Engineering Group Inc (UEI: 074103508)
Address: 1999 BRYAN ST, DALLAS, TX, 75201
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $62,489,842
Exercised Options: $62,489,842
Current Obligation: $62,489,842
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912WJ15D0001
IDV Type: IDC
Timeline
Start Date: 2017-08-21
Current End Date: 2022-06-23
Potential End Date: 2022-06-23 00:00:00
Last Modified: 2021-06-25
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