Trends and Tips for Environmental Work in the Federal Marketplace
Presented by:Robert M. Beinstein, P.E.
Presented to:
Board of Directors Annual RetreatEnvironmental Business Council of New England
September 11, 2005
Our Topics Today:
IntroductionTrends in Federal Business Opportunities
What does this mean in New England?Sources of Additional InformationQuestions and Discussion
Introduction to CH2M HILL
Founded in Oregon, finally got to the East Coast
Full-service program management, engineering, construction, and operations
59 years in business100 percent employee owned 200 offices worldwide15,000+ professional staff$3.1 billion in revenue (2004)I love to talk about the firm. See me after…
Introduction to Bob
Prime example of a life lived backwardCollege dropout in 1976, took job in local nuclear power
plant15 year career, ending with environmental radiological
workHit the ceiling, returned to school in 1996
Graduated from UCONN in 1999
PM and Program Manager with 8(a) radiological engineering shop, serving Federal Market
Came to CH2M HILL in 2004 Federal Client Service Manager and Business Development Lead
for the Northeast Region
Ardent Community Volunteer (Habitat, Odyssey of the Mind, Soccer Coach, etc.) Never happy unless I’m overcommitted!
Market Outlook: DOD
Global War on Terror (GWOT): changing the face of DOD marketplaceFunding diverted from environmental
Army and Marines gaining funding at expense of Navy and Air Force
Base Realignment and Closure (BRAC) Increased joint basing and operations consolidation
Redeployment in Europe and the Pacific rim and back to CONUSRapid deployment teams (BCTs) are the objective
Increase of multiple award competitive Task Order contractsThey want your price to be competed and accountable
DoD Outlook (cont’d)
Trending towards performance based or fixed price contracts
Customer flexibility in selecting acquisition agentsCross-service is common
Continued and increasing pressure for small business set asidesThis is BIG
Shift to D/BStill has resistance internally
Continued focus on sustainabilityBy Executive Order
Market Outlook: Department of Energy
Environmental Management (EM) Cleanup budget declining over next five years
Target Cost/Incentive Fee is the contracting model
National Nuclear Security Agency (NNSA) Weapons programs, infrastructure, D&D budgets increasing
Office of Science (SC) Budget stable over next five years
Others (Nuclear Energy, Office of Legacy Management, OCRWM, etc.) Budgets uncertain
May be some opportunities for technological innovation and political engineering
Market Outlook: Department of Homeland Security Established in 2002
Hasn’t finished absorbing or coordinating the 22 agencies/groups that were combined
Umbrella agency includes
Many sub-agencies are without permanent appointees in decision-making roles
High number of staff on TDY from other agencies
Largest single buyer of security services in the world $8 billion contracted in 2005 – $20 billion projected in 2010
Largest areas of contracting are services and technologies
Greatest contracting opportunities are in: Systems development/deployment/integration
Emergency preparedness
National exercise implementation
Funding tends to go through states
US Coast Guard
FEMA
TSA
Customs and Border Protection
US Secret Service
Immigration and Customs Enforcement
Federal Law Enforcement Training Center
DHS Directorates
Intelligence
Law enforcement
Emergency response
Aviation/port security
Borders and immigration
Communications
Trends in Federal BusinessIncreased emphasis on technology
Increasing SB contracting goals with new requirements (i.e. SDVOSB, etc.)
PRICE and cost competitiveness are BIG driversRequires greater focus on lower costs and best-value
practices
Clients expect flexibility and speedSometimes will trade risk sharing for reward
Agency dependent
Shift in federal funding overseas means an increased emphasis on security, safety, and life support
Transformation to keep up with the world
Issues Facing Federal Clients
GWOT/emerging threats drive DoD’s plans for realignment, base closure and force re-stationing Also draws down enormous amount of funding
Disaster relief funding sure to impact other budgets
Focusing on core missions; outsourcing non-core missions (i.e. base closure remediation, etc.)
Declining environmental budgets, while tackling complex challenges
Increasing investment in facilities and homeland security; decreasing investment in environmental programs
Restructuring and consolidating within DoD (Transformation), DHS Post-Katrina “lessons learned” changes at DHS
Confusion surrounding BRAC and implementation plans
Federal Outlook in New England
Ongoing programs dominate for nowNew Bedford Harbor (USACE)
MMR (AFCEE, AEC, USACE)
Superfund (EPA, USACE)
BRAC?President has sent BRAC Commission’s recommendations
to Congress
New England dodged the bullet, but lost environmental work
Agencies planning how to implement now
Look at growth bases and associated environmental work
Support new facilities work with NEPA, Sustainability
Follow the closures, realignments, and new missions
New England Outlook (cont’d)
DoD TransformationBCT concept: lighter and faster military
Restationing from Europe and Pacific Rim
Brings new facility requirements, with associated environmental work
USACE: Corps 2012
Navy: NAVFAC multi-year transformation
Homeland SecurityMoney funnels through the state
Help clients get grants to support projects
What’s It All Mean?
Look for opportunities in new emerging areas, i.e., Homeland Security, DoD Transformation
Seek out complementary business partnersProvide overall solutions in your teamBe able to address SB requirements
Provide value-added services, fast turn-around, flexibility
Pay attention to price, value in competitionAttend Federal briefings where spending plans are discussed
Know your clients; do your homework. Study the need, develop relationships to succeed.
Sources of Information
FedBizOps: Federal Contracting Opportunities (for all agencies) www.fbo.gov
Army Corps of Engineers Portal to HQ, Division, District websites: www.usace.army.mil
Naval Facilities Engineering Command Portal https://portal.navfac.navy.mil
Air Force Center for Environmental Excellence (AFCEE) www.afcee.brooks.af.mil
BRAC Status, Reports www.defenselink.mil/brac, also www.brac.gov
Army Environmental Center http://AEC.army.mil/usaec
Army Contracting Agency http://aca.saalt.army.mil/ACA
Department of Homeland Security www.dhs.gov/dhspublic/display?theme=37
Upcoming ConferencesFederal Contracting Opportunities (FedConOps):
Sponsored by NJ & NY SAME Posts
Thursday, November 17, 2005
Doubletree Hotel, Elizabeth, NJ (at Newark Airport)
www.same.org/newjersey (not posted yet)
USACE Annual SB Conference Sponsored by USACE and very well attended
December 5-7, 2005
http://posts.same.org/USACE/
Military Construction Transformation Forums Many are already complete
www.hq.usace.army.mil/cepa/releases/milconforum.htm
SAME Regional Training Conference + USACE SB Conference June 26-28, 2006, Boston, MA
www.bostonsame2006.org
My Contact Info:
Robert M. Beinstein
CH2M HILL
25 New Chardon Street
Suite 300
Boston, MA 02114-4770
Direct Phone: (860) 651-0525