Tetra Tech Inc. awarded $21.7M contract by EPA for environmental services in Georgia

Contract Overview

Contract Amount: $21,731,413 ($21.7M)

Contractor: Tetra Tech Inc

Awarding Agency: Environmental Protection Agency

Start Date: 2000-09-15

End Date: 2006-03-17

Contract Duration: 2,009 days

Daily Burn Rate: $10.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Place of Performance

Location: GEORGIA

State: Georgia Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $21.7 million to TETRA TECH INC for work described as: Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can incentivize cost overruns if not closely monitored. 3. The contract duration extended significantly beyond the initial award, indicating potential scope changes or extended needs. 4. The contract was awarded to a single entity, Tetra Tech Inc., for services in Georgia. 5. The contract's value of $21.7 million places it within a significant spending category for environmental services. 6. The contract was awarded under the 'GA' (Georgia) Special Item Number, suggesting a specific regional focus.

Value Assessment

Rating: fair

The contract value of $21.7 million for environmental services over its extended period appears substantial. Benchmarking against similar EPA contracts for environmental consulting and remediation services in the Southeast region would be necessary for a precise value-for-money assessment. The Cost Plus Fixed Fee (CPFF) contract type, while allowing for flexibility, carries inherent risks of cost escalation if not managed with rigorous oversight. Without detailed breakdowns of services rendered and associated costs, it's challenging to definitively assess if the pricing was competitive or if the value delivered was optimal.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'FULL AND OPEN COMPETITION,' indicating that all responsible sources were permitted to submit a bid. The data shows 2 bids were received. A competitive process with multiple bidders generally leads to better price discovery and potentially lower costs for the government. However, with only two bids, the level of competition might have been less robust than in scenarios with a larger number of offers, potentially impacting the ultimate price.

Taxpayer Impact: A competitive award process, even with two bidders, is generally favorable for taxpayers as it aims to secure services at a more market-driven price compared to sole-source procurements.

Public Impact

The primary beneficiaries of this contract are likely the Environmental Protection Agency (EPA) and the state of Georgia, receiving environmental services. Services delivered would have focused on environmental protection, assessment, and potentially remediation within Georgia. The geographic impact is specifically limited to the state of Georgia. Workforce implications would include employment opportunities for environmental scientists, engineers, and technicians employed by Tetra Tech Inc. and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed effectively.
Limited competition (2 bids) may have resulted in a higher price than if more bidders had participated.
The extended duration of the contract beyond its initial award period could indicate scope creep or unforeseen complexities, potentially impacting the original cost-effectiveness.

Positive Signals

Awarded through full and open competition, ensuring a broad range of potential contractors could bid.
The contract was awarded to a single, established entity, Tetra Tech Inc., suggesting a known capability to perform the required services.
The contract was awarded by the Environmental Protection Agency, a key federal agency responsible for environmental stewardship.

Sector Analysis

This contract falls within the Environmental Consulting and Engineering Services sector. This sector is crucial for government agencies like the EPA to manage environmental regulations, conduct site assessments, and oversee remediation projects. The market size for such services is substantial, driven by federal, state, and local environmental mandates. Comparable spending benchmarks would involve analyzing other EPA contracts for similar services, particularly those focused on regional environmental management and compliance.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. Furthermore, the data does not explicitly mention subcontracting plans or performance related to small businesses. Therefore, the direct impact on the small business ecosystem from this specific contract award is not discernible from the available information.

Oversight & Accountability

Oversight for this contract would primarily reside with the Environmental Protection Agency (EPA). As a definitive contract awarded through full and open competition, it would be subject to standard federal procurement regulations and oversight mechanisms. Transparency would be facilitated through contract databases like FPDS. Accountability measures would involve performance reviews and adherence to the terms of the Cost Plus Fixed Fee agreement. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

EPA Environmental Services Contracts
Environmental Consulting Services
Cost-Plus Contracts
Definitive Contracts
Federal Environmental Remediation

Risk Flags

Cost Plus Fixed Fee contract type carries inherent risk of cost overruns.
Limited competition (2 bids) may reduce price negotiation leverage.
Extended contract duration beyond initial award could indicate scope changes or management issues.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $21.7 million to TETRA TECH INC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is TETRA TECH INC.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $21.7 million.

What is the period of performance?

Start: 2000-09-15. End: 2006-03-17.

What was the specific nature of the environmental services provided under this contract?

The provided data does not detail the specific environmental services rendered. However, given the contract was awarded by the Environmental Protection Agency (EPA) to Tetra Tech Inc. for services in Georgia, it likely encompassed a range of activities such as environmental assessments, site investigations, compliance monitoring, permitting assistance, or potentially remediation support for contaminated sites. The 'GA' Special Item Number might indicate a focus on services related to Georgia's specific environmental needs or regulatory landscape. A deeper dive into the contract's statement of work would be required to ascertain the precise services delivered.

How does the $21.7 million award compare to other EPA environmental services contracts in Georgia?

To compare the $21.7 million award to other EPA environmental services contracts in Georgia, one would need to access historical contract data for the EPA within that specific state. This would involve filtering federal procurement databases for contracts awarded by the EPA to companies providing environmental consulting, engineering, or remediation services in Georgia over a similar timeframe or for similar durations. Factors such as the scope of work, contract type (e.g., CPFF, FFP), and the specific environmental challenges addressed would be crucial for a meaningful comparison. Without this comparative data, it's difficult to definitively state whether $21.7 million represents a high, low, or average expenditure for such services in the region.

What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract of this magnitude?

The primary risk with a Cost Plus Fixed Fee (CPFF) contract is the potential for cost overruns. While the 'fixed fee' component provides some predictability for the contractor's profit, the 'cost plus' element means the government reimburses the contractor for allowable costs incurred. If the contractor does not manage costs efficiently, or if the scope of work expands without adequate controls, the total cost to the government can escalate significantly beyond initial estimates. For a $21.7 million contract, rigorous oversight, detailed cost tracking, and clear performance metrics are essential to mitigate these risks and ensure the government receives good value for its investment.

What was Tetra Tech Inc.'s performance record on this contract?

The provided data does not include specific performance metrics or ratings for Tetra Tech Inc. on this particular contract. Federal contract performance information is often available through sources like the Contractor Performance Assessment Reporting System (CPARS), which would detail the contractor's adherence to schedule, cost, technical requirements, and overall management. Without access to such performance data, it is not possible to assess Tetra Tech Inc.'s track record on this specific $21.7 million EPA contract.

How did the limited number of bids (2) impact the final contract price and value?

A limited number of bids, such as the two received for this contract, can potentially lead to less competitive pricing compared to procurements with a larger bidder pool. When fewer companies compete, the government may have less leverage to negotiate the lowest possible price. While the contract was awarded under 'full and open competition,' the actual level of market interest might have been constrained. This could mean that the final price, while accepted by the government, might be higher than what could have been achieved with three or more competing proposals. Assessing the true value would require comparing the awarded price against independent cost estimates or market benchmarks.

What is the historical spending pattern for similar environmental services by the EPA in Georgia?

Analyzing historical spending patterns for similar environmental services by the EPA in Georgia would require accessing and aggregating data from federal procurement databases over multiple fiscal years. This would involve identifying contracts with the EPA for environmental consulting, assessment, remediation, and related services specifically awarded for work within Georgia. By examining the total dollar amounts, contract types, and durations of these past awards, one could identify trends, average contract values, and the typical range of spending for such services. This historical context is crucial for evaluating whether the $21.7 million award to Tetra Tech Inc. aligns with or deviates from established spending patterns.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Parent Company: Tetra Tech, Inc. (UEI: 045224250)

Address: 1881 CAMPUS COMMONS DR STE 200, RESTON, VA, 20191

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

Financial Breakdown

Contract Ceiling: $3,738,005

Exercised Options: $7,169,260

Current Obligation: $21,731,413

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline