Interior's NPS Awards $21.4M for Electric Line Extension to Lower Valley Energy, Inc

Contract Overview

Contract Amount: $21,359 ($21.4K)

Contractor: Lower Valley Energy, Inc.

Awarding Agency: Department of the Interior

Start Date: 2026-04-09

End Date: 2026-05-08

Contract Duration: 29 days

Daily Burn Rate: $737/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Energy

Official Description: GRTE MWR PHASE II ELECTRIC LINEEXTENSION

Place of Performance

Location: AFTON, LINCOLN County, WYOMING, 83110

State: Wyoming Government Spending

Plain-Language Summary

Department of the Interior obligated $21,358.97 to LOWER VALLEY ENERGY, INC. for work described as: GRTE MWR PHASE II ELECTRIC LINEEXTENSION Key points: 1. Contract awarded for electric power distribution services. 2. Lower Valley Energy, Inc. is the sole awardee. 3. The contract has a firm fixed price. 4. The duration is 29 days.

Value Assessment

Rating: fair

The contract value of $21.4 million for a 29-day electric line extension appears high. Benchmarking against similar projects is difficult without more detailed scope information.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not available for competition, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The sole-source nature of this award raises concerns about whether the government secured the best possible price for this significant expenditure.

Public Impact

Essential infrastructure upgrade for the National Park Service. Ensures reliable electricity supply for park operations. Potential for localized disruption during construction. Supports economic activity in Wyoming.

Waste & Efficiency Indicators

Waste Risk Score: 73 / 10

Warning Flags

Sole-source award limits competition.
High contract value for a short duration.
Lack of detailed scope for cost validation.

Positive Signals

Essential service for National Park.
Firm fixed price contract provides cost certainty.

Sector Analysis

This contract falls under electric power distribution, a critical utility service. Spending in this sector can vary widely based on project scope and location, but large-scale infrastructure projects often involve significant investment.

Small Business Impact

The awardee, Lower Valley Energy, Inc., is not identified as a small business. There is no indication of small business participation in this contract.

Oversight & Accountability

The award was made via a purchase order by the National Park Service. Oversight will be crucial to ensure the project is completed on time and within budget, especially given the sole-source nature.

Related Government Programs

Electric Power Distribution
Department of the Interior Contracting
National Park Service Programs

Risk Flags

Sole-source award
High contract value
Short performance period
Lack of competition
Limited scope detail

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $21,358.97 to LOWER VALLEY ENERGY, INC.. GRTE MWR PHASE II ELECTRIC LINEEXTENSION

Who is the contractor on this award?

The obligated recipient is LOWER VALLEY ENERGY, INC..

Which agency awarded this contract?

Awarding agency: Department of the Interior (National Park Service).

What is the total obligated amount?

The obligated amount is $21,358.97.

What is the period of performance?

Start: 2026-04-09. End: 2026-05-08.

What specific electric line extension work is included in this $21.4 million contract, and how does this scope justify the cost for a 29-day period?

The provided data lacks specific details on the scope of work for the electric line extension. A comprehensive breakdown of the project's technical requirements, materials, labor, and geographical challenges is needed to validate the $21.4 million cost for the 29-day duration. Without this, it's difficult to assess value for money.

Given the sole-source award, what measures were taken to ensure fair and reasonable pricing, and what are the potential risks of cost overruns?

When a contract is sole-source, robust price analysis and negotiation are critical to mitigate risks. The government should have independently estimated costs or obtained market research to ensure the price was fair and reasonable. Potential risks include paying a premium due to lack of competition, which could lead to cost overruns if the initial estimate was not sufficiently scrutinized.

How will the effectiveness of this electric line extension be measured, and what are the long-term implications for the National Park Service's operational efficiency?

Effectiveness will likely be measured by the successful completion of the line extension according to technical specifications and by the subsequent reliable delivery of electricity to the designated area. Long-term implications include improved operational efficiency for the park, potentially enabling new services or enhancing existing ones, and ensuring the resilience of critical infrastructure against power outages.

Industry Classification

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

Product/Service Code: UTILITIES AND HOUSEKEEPING › UTILITIES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 236 N WASHINGTON, AFTON, WY, 83110

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,359

Exercised Options: $21,359

Current Obligation: $21,359

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline