Cadmus Group LLC contract for environmental services awarded $42.5M by EPA, spanning over 5 years

Contract Overview

Contract Amount: $42,545,043 ($42.5M)

Contractor: THE Cadmus Group LLC

Awarding Agency: Environmental Protection Agency

Start Date: 2000-09-15

End Date: 2005-12-24

Contract Duration: 1,926 days

Daily Burn Rate: $22.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Place of Performance

Location: WATERTOWN, MIDDLESEX County, MASSACHUSETTS, 02472

State: Massachusetts Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $42.5 million to THE CADMUS GROUP LLC for work described as: Key points: 1. Contract value appears reasonable given the duration and scope of environmental services. 2. Full and open competition suggests a healthy market for these services. 3. Contract type (Cost Plus Fixed Fee) can incentivize cost overruns if not closely monitored. 4. Performance period of over 5 years indicates a long-term need for these services. 5. Awarded by the Environmental Protection Agency, aligning with its core mission. 6. The contract was awarded under the GSA Federal Supply Schedule, a common procurement vehicle.

Value Assessment

Rating: good

The contract value of $42.5 million over approximately five years averages to roughly $8.5 million annually. This figure seems within a reasonable range for comprehensive environmental consulting and support services provided to a federal agency like the EPA. Benchmarking against similar large-scale environmental contracts awarded by federal agencies would provide a more precise value-for-money assessment, but the initial figure does not immediately raise significant concerns.

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 vendors had the opportunity to bid. This process typically leads to a more competitive pricing environment and a wider selection of potential contractors. The fact that it was competed openly suggests that the EPA sought the best value and technical solution available in the market for its environmental needs.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and improve the quality of services received.

Public Impact

The primary beneficiary is the Environmental Protection Agency, which receives essential support for its environmental programs. Services likely include technical assistance, research, data analysis, and program support related to environmental protection. The geographic impact is likely national, supporting EPA's nationwide environmental mandates. Workforce implications include employment for environmental scientists, engineers, analysts, and support staff within The Cadmus Group LLC and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can sometimes lead to less incentive for the contractor to control costs aggressively compared to fixed-price contracts.
The long duration of the contract (over 5 years) requires sustained oversight to ensure continued relevance and performance.
Reliance on a single awardee for a significant period necessitates robust performance management.

Positive Signals

Awarded under full and open competition, suggesting a competitive process that likely yielded a strong offer.
The contract was awarded by the EPA, a primary agency for environmental services, indicating alignment with agency needs.
The use of the GSA Federal Supply Schedule suggests adherence to established procurement best practices.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on environmental consulting and support. The market for such services is substantial, driven by regulatory requirements and the need for specialized expertise within government agencies. The EPA is a major consumer of these services, and contracts of this magnitude are typical for supporting its broad mission. Benchmarks for similar environmental support contracts often range in the tens of millions of dollars annually, depending on the scope and duration.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses. The award to The Cadmus Group LLC, a larger entity, suggests it was competed broadly. Subcontracting opportunities for small businesses may exist, but this would depend on the specific requirements of the contract and The Cadmus Group's subcontracting plan, which is not detailed here.

Oversight & Accountability

Oversight for this contract would primarily reside with the Environmental Protection Agency's contracting officers and program managers. They are responsible for monitoring performance, approving invoices, and ensuring compliance with contract terms. The contract's duration necessitates ongoing review. Transparency is generally facilitated through contract award databases, though detailed performance metrics may not always be publicly available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

EPA Environmental Consulting Services
GSA Federal Supply Schedule Contracts
Cost-Plus-Fixed-Fee Contracts
Environmental Impact Assessments
Scientific and Technical Support Services

Risk Flags

Cost Plus Fixed Fee contract type requires diligent oversight to manage costs.
Long contract duration necessitates sustained performance monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $42.5 million to THE CADMUS GROUP LLC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is THE CADMUS GROUP LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $42.5 million.

What is the period of performance?

Start: 2000-09-15. End: 2005-12-24.

What specific environmental services were rendered under this contract?

While the specific details of services rendered are not provided in the abbreviated data, contracts of this nature typically encompass a broad range of environmental support. This could include technical assistance for regulatory compliance, environmental data analysis and management, scientific research, development of environmental policies and strategies, support for environmental impact assessments, remediation planning, and public outreach related to environmental issues. The 'Cost Plus Fixed Fee' structure suggests that the contractor was reimbursed for allowable costs plus a predetermined fixed fee, indicating a scope that might involve evolving requirements or significant research and development components.

How does the $42.5 million award compare to typical EPA environmental service contracts?

The $42.5 million award over approximately five years represents an average annual value of around $8.5 million. This is a substantial contract but falls within the expected range for major environmental consulting and support services awarded by federal agencies like the EPA. The EPA frequently awards contracts in the tens of millions of dollars for comprehensive environmental programs, research initiatives, and technical assistance. Without specific details on the scope and deliverables, a precise comparison is difficult, but the magnitude is consistent with the agency's mission and operational needs.

What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract structure for environmental services?

The primary risk with a Cost Plus Fixed Fee (CPFF) contract is that the contractor may have less incentive to control costs rigorously compared to fixed-price contracts, as their allowable costs are reimbursed. While the fixed fee provides a profit ceiling, the potential for cost overruns still exists. For environmental services, which can involve unforeseen scientific challenges or regulatory changes, CPFF can offer flexibility. However, it necessitates robust oversight from the government to ensure that costs are reasonable, allocable, and allowable, and that the contractor is diligently managing project expenses to stay within the anticipated overall cost.

What was the competitive landscape for this contract, and what does it imply?

The contract was awarded under 'FULL AND OPEN COMPETITION,' signifying that the EPA solicited bids from all responsible sources and allowed all eligible contractors to compete. This implies a robust market for the environmental services required, with multiple firms capable of meeting the agency's needs. A competitive process generally leads to better pricing, higher quality services, and innovative solutions as contractors vie for the award. The fact that it was competed openly suggests that the EPA was able to identify a strong pool of bidders and select the best value offer, rather than being limited to a sole source or restricted competition.

What is the track record of The Cadmus Group LLC in performing federal contracts?

The Cadmus Group LLC has a significant history of performing federal contracts across various agencies, including the EPA, Department of Energy, and others. Their portfolio often includes work in energy efficiency, environmental science, climate change, and sustainable infrastructure. While specific performance ratings for this particular contract are not detailed in the provided data, Cadmus is generally recognized as an experienced contractor in the environmental and energy sectors. Federal contract databases would provide more granular performance information and past performance reviews for this specific award and others held by the company.

How does this contract fit within the broader context of federal environmental spending?

This $42.5 million contract represents a component of the broader federal spending on environmental protection and related scientific and technical services. The EPA's budget consistently includes significant allocations for research, regulatory enforcement, program management, and technical assistance, much of which is executed through contracts. Spending in this area is driven by legislative mandates, environmental regulations, and national priorities related to conservation, pollution control, and climate change. Contracts like this enable the agency to leverage external expertise and resources to achieve its mission effectively.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Address: 57 WATER ST, WATERTOWN, MA, 05

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $3,097,509

Exercised Options: $10,802,394

Current Obligation: $42,545,043

Timeline