EPA awards $11.9M environmental consulting contract to Eastern Research Group Inc. for services in Massachusetts

Contract Overview

Contract Amount: $11,957,924 ($12.0M)

Contractor: Eastern Research Group Inc

Awarding Agency: Environmental Protection Agency

Start Date: 2002-02-15

End Date: 2007-02-17

Contract Duration: 1,828 days

Daily Burn Rate: $6.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Place of Performance

Location: LEXINGTON, MIDDLESEX County, MASSACHUSETTS, 02421

State: Massachusetts Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $12.0 million to EASTERN RESEARCH GROUP 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 control but requires careful oversight. 3. The duration of 1828 days (approximately 5 years) indicates a long-term need for these services. 4. The North American Industry Classification System (NAICS) code 541620 points to specialized environmental consulting. 5. The award was made by the Environmental Protection Agency (EPA) to Eastern Research Group Inc. 6. The contract was awarded under the MAS solicitation, indicating it was likely part of a larger government-wide contract vehicle.

Value Assessment

Rating: fair

Benchmarking the value of this $11.9 million contract is challenging without specific performance metrics or comparable contract data. The Cost Plus Fixed Fee (CPFF) structure means the final cost could fluctuate based on actual expenses, plus a predetermined fee. While CPFF can be appropriate for research and development or when costs are uncertain, it carries a higher risk of cost overruns compared to fixed-price contracts. Without details on the scope of work and the fixed fee percentage, a definitive value-for-money assessment is difficult. However, the duration suggests a sustained need, and the competitive award process may have helped secure a reasonable price.

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 specific number of bidders is not provided, but this method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The EPA utilized this approach, suggesting they sought the best possible solution through a broad solicitation.

Taxpayer Impact: A full and open competition typically benefits taxpayers by promoting a marketplace where contractors vie for the best price and quality, potentially leading to cost savings and improved service delivery.

Public Impact

The primary beneficiaries are likely the Environmental Protection Agency (EPA) and its mission to protect human health and the environment. Services delivered include environmental consulting, which could encompass a wide range of activities such as research, policy analysis, technical assistance, and program support. The geographic impact is specified as Massachusetts, indicating the services are focused within this state. Workforce implications could include employment opportunities for environmental scientists, consultants, and support staff within Eastern Research Group Inc. and potentially subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can lead to cost overruns if not managed diligently.
Lack of specific performance metrics makes it difficult to assess the true value and effectiveness of the services rendered.
The duration of the contract (approx. 5 years) requires ongoing monitoring to ensure continued relevance and efficiency.

Positive Signals

Awarded through full and open competition, suggesting a robust and fair bidding process.
The contractor, Eastern Research Group Inc., has secured a significant contract, indicating a level of trust and capability.
The contract supports the critical mission of the Environmental Protection Agency.

Sector Analysis

Environmental consulting services fall under the broader professional, scientific, and technical services sector. This sector is characterized by specialized expertise and often involves supporting government agencies in complex regulatory, research, and operational functions. The market size for environmental consulting is substantial, driven by increasing environmental regulations, sustainability initiatives, and the need for scientific expertise. This contract fits within the government's need for specialized support in environmental protection and compliance.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, the primary focus was likely on larger, established firms capable of handling the scope and duration of the work. There is no explicit information on subcontracting plans for small businesses, which would be a key area to monitor for potential opportunities within the broader ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the Environmental Protection Agency (EPA) contracting officers and program managers. As a Cost Plus Fixed Fee contract, rigorous financial oversight is crucial to monitor expenditures against the approved cost base and the fixed fee. Transparency would be enhanced through regular reporting requirements from the contractor and potentially through public contract databases. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Environmental Consulting Services
Environmental Protection Agency Contracts
Federal Professional Services Contracts
Cost Plus Fixed Fee Contracts
Massachusetts State Contracts

Risk Flags

Cost Overrun Risk (CPFF)
Scope Creep Potential
Performance Monitoring Challenges

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $12.0 million to EASTERN RESEARCH GROUP INC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is EASTERN RESEARCH GROUP INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $12.0 million.

What is the period of performance?

Start: 2002-02-15. End: 2007-02-17.

What specific environmental consulting services were provided under this contract?

The provided data indicates the NAICS code 541620, which corresponds to Environmental Consulting Services. However, the specific nature of these services is not detailed. Typically, such services can encompass a broad spectrum including environmental impact assessments, regulatory compliance support, hazardous waste management consulting, air and water quality analysis, ecological restoration planning, and policy development. The scope would have been defined in the contract's Statement of Work (SOW), which is not available in the provided data. The duration of the contract (nearly 5 years) suggests a sustained need for ongoing or multifaceted consulting support rather than a single, short-term project.

How does the $11.9 million award compare to other EPA environmental consulting contracts?

Comparing this $11.9 million contract to other EPA environmental consulting contracts requires access to a broader dataset of historical EPA awards. Without that comparative data, it's difficult to definitively state whether this award is large, small, or average. However, $11.9 million over approximately five years suggests a significant engagement, potentially covering substantial projects or a broad range of services. The EPA frequently procures environmental consulting services across various domains, and contract values can range from tens of thousands to tens of millions of dollars depending on the complexity, duration, and scope of work. This award appears to be a mid-to-large size engagement within the EPA's typical procurement landscape for such services.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract like this one?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract is the potential for cost overruns. In a CPFF structure, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. While the fee is fixed, the total cost can escalate if the contractor's actual expenses exceed initial estimates. This can incentivize less cost-consciousness compared to fixed-price contracts. For the government, effective oversight is critical to ensure that all costs claimed are reasonable, allocable, and allowable. Additionally, defining the scope of work clearly is paramount to prevent scope creep, which can further drive up costs. The government also bears the risk if the contractor's performance is subpar, despite cost reimbursement.

What does the 'MAS' solicitation mean in the context of this contract award?

The 'MAS' solicitation likely refers to the General Services Administration's (GSA) Multiple Award Schedule (MAS) program. GSA MAS is a long-term, government-wide contract vehicle that provides federal agencies with access to millions of commercial products and services. When a contract is awarded under MAS, it means the contractor has already been vetted and awarded a position on a specific MAS schedule. Agencies can then issue task orders or delivery orders against these schedules, often through streamlined processes. For this EPA contract, it suggests that Eastern Research Group Inc. was already on a relevant GSA MAS schedule for environmental consulting services, and the EPA issued an order against that schedule. This approach can expedite the procurement process and leverage pre-negotiated pricing.

What is the significance of the contract being awarded in Massachusetts?

The designation 'sn: MASSACHUSETTS' indicates that the services procured under this contract were intended for use or delivery within the state of Massachusetts. This could mean the contractor is expected to perform work on-site in Massachusetts, support EPA operations related to Massachusetts' environmental issues, or provide consulting services that have a direct impact on the state's environment or regulatory landscape. For the EPA, specifying a geographic focus like Massachusetts often relates to regional environmental priorities, specific Superfund sites, state-level environmental challenges, or compliance efforts within that jurisdiction.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Environmental Consulting Services

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCES - OTHER SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Address: 110 HARTWELL AVE, LEXINGTON, MA, 05

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $691,064

Exercised Options: $7,830,670

Current Obligation: $11,957,924

Timeline