Interior Department awards $2.25M for Arizona utility services, ensuring reliable power distribution

Contract Overview

Contract Amount: $225,140 ($225.1K)

Contractor: Navajo Tribal Utility Authority

Awarding Agency: Department of the Interior

Start Date: 2025-03-26

End Date: 2027-03-30

Contract Duration: 734 days

Daily Burn Rate: $307/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: UTILITY SERVICES FOR JES

Place of Performance

Location: PINON, NAVAJO County, ARIZONA, 86510

State: Arizona Government Spending

Plain-Language Summary

Department of the Interior obligated $225,140 to NAVAJO TRIBAL UTILITY AUTHORITY for work described as: UTILITY SERVICES FOR JES Key points: 1. Contract ensures essential utility services for Bureau of Indian Affairs and Education. 2. Long-term contract provides stability for critical infrastructure maintenance. 3. Fixed-price contract limits cost overruns for the government. 4. Delivery order structure allows for phased execution and payment. 5. Geographic focus on Arizona addresses specific regional needs. 6. Contractor has a history of providing utility services.

Value Assessment

Rating: good

The contract value of $2.25 million over approximately two years appears reasonable for utility services in a specific geographic region. Benchmarking against similar contracts for electric power distribution to federal facilities in Arizona or comparable tribal utility authorities would provide a more precise value-for-money assessment. The firm fixed-price structure is generally favorable for cost control, assuming the scope of work is well-defined and stable.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process is expected to drive favorable pricing and ensure the government receives the best value. The specific number of bidders is not provided, but the 'full and open' designation suggests a robust competition.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to lower prices and higher quality services, maximizing the return on public funds.

Public Impact

Provides reliable electric power distribution to Bureau of Indian Affairs and Bureau of Indian Education facilities in Arizona. Supports the operational continuity of educational and governmental services for tribal communities. Ensures essential infrastructure maintenance and service delivery within the state of Arizona. Potentially supports local employment through the contractor's operations in Arizona.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial requirements are not precisely defined.
Dependence on a single contractor for essential utility services could pose a risk if performance issues arise.

Positive Signals

Firm fixed-price contract provides cost certainty.
Full and open competition suggests a competitive market for these services.
Long-term nature of the contract allows for planning and consistent service delivery.
Contractor's specialization in utility services indicates relevant expertise.

Sector Analysis

This contract falls within the Utilities sector, specifically focusing on electric power distribution. The market for utility services, particularly to government entities and tribal organizations, is often characterized by established providers with specialized expertise. The contract value is modest, suggesting it serves a specific geographic area or a limited number of facilities, rather than a large-scale utility operation.

Small Business Impact

The provided data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While this contract was competed full and open, there is no explicit information on subcontracting opportunities for small businesses. Further analysis would be needed to determine if small businesses were involved as subcontractors or if the prime contractor has a history of engaging them.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer and program managers within the Bureau of Indian Affairs and Bureau of Indian Education. The firm fixed-price nature of the contract provides a degree of accountability by linking payment to deliverables. Transparency is facilitated by the contract award being publicly available, but detailed performance metrics and oversight reports would require further inquiry.

Related Government Programs

Bureau of Indian Affairs Operations
Bureau of Indian Education Facilities Management
Federal Utility Contracts
Tribal Government Services

Risk Flags

Potential for service disruption if contractor faces operational issues.
Lack of specific performance metrics in provided data.
Limited insight into contractor's past performance with federal agencies.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $225,140 to NAVAJO TRIBAL UTILITY AUTHORITY. UTILITY SERVICES FOR JES

Who is the contractor on this award?

The obligated recipient is NAVAJO TRIBAL UTILITY AUTHORITY.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Bureau of Indian Affairs and Bureau of Indian Education).

What is the total obligated amount?

The obligated amount is $225,140.

What is the period of performance?

Start: 2025-03-26. End: 2027-03-30.

What is the contractor's track record with the Department of the Interior or similar federal agencies?

The provided data does not include specific details about the contractor's (NAVAJO TRIBAL UTILITY AUTHORITY) past performance or track record with the Department of the Interior or other federal agencies. A comprehensive review would require accessing past performance evaluations, contract histories, and any documented issues or commendations. However, as a tribal utility authority, it is likely to have experience serving its community and potentially other government entities within its operational scope. Further investigation into their federal contract history and performance ratings would be necessary for a complete assessment.

How does the per-unit cost of electric power distribution under this contract compare to market rates or similar federal contracts?

The provided data does not include specific per-unit cost breakdowns (e.g., cost per kilowatt-hour, cost per mile of distribution line) for this contract. Therefore, a direct comparison to market rates or similar federal contracts is not possible with the given information. To perform this analysis, one would need detailed pricing information from the contract and comparable data from other utility service contracts awarded by the government or from public utility rate filings. The 'N/A' for CPU in the schema reflects this data limitation.

What are the key performance indicators (KPIs) for this utility services contract, and how is performance being monitored?

The provided data does not specify the key performance indicators (KPIs) or the detailed monitoring mechanisms for this contract. Typically, utility service contracts include metrics related to reliability (e.g., outage frequency and duration), response times for service calls, adherence to safety standards, and compliance with service level agreements. Oversight would likely involve regular reporting from the contractor and periodic reviews by the contracting officer's representative (COR) or designated government personnel to ensure compliance with the contract terms and performance expectations.

What is the historical spending pattern for utility services by the Bureau of Indian Affairs and Bureau of Indian Education in Arizona?

The provided data focuses on a single contract award and does not offer historical spending patterns for utility services by the Bureau of Indian Affairs (BIA) and Bureau of Indian Education (BIE) in Arizona. To analyze historical spending, one would need access to historical contract databases or budget reports from these agencies covering previous fiscal years. This would allow for tracking of spending trends, identification of major utility service providers, and assessment of contract values over time to understand budget allocation and potential fluctuations.

What are the potential risks associated with relying on a single contractor for essential utility services in this region?

Relying on a single contractor for essential utility services presents several risks. Firstly, there's a risk of service disruption due to contractor performance issues, financial instability, or unforeseen events like natural disasters affecting the contractor's operations. Secondly, a lack of competition for future contract renewals could lead to price increases or reduced service quality. Thirdly, if the contractor experiences a significant labor dispute or supply chain issue, it could directly impact the continuity of essential services. Mitigation strategies often include robust performance monitoring, clear contract terms, and contingency planning.

Industry Classification

NAICS: Utilities › Electric Power Generation, Transmission and Distribution › Electric Power Distribution

Product/Service Code: UTILITIES AND HOUSEKEEPING › UTILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: TWO STEP

Solicitation ID: 140A2325F0041

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: HIGHWAY 12 N, FORT DEFIANCE, AZ, 86504

Business Categories: American Indian Owned Business, Category Business, Government, Native American Tribal Government, Minority Owned Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $425,140

Exercised Options: $225,140

Current Obligation: $225,140

Actual Outlays: $92,251

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47PA0425D0008

IDV Type: IDC

Timeline