Interior's Bureau of Reclamation Awards $175K for Natural Gas Distribution in New Mexico

Contract Overview

Contract Amount: $175,152 ($175.2K)

Contractor: Navajo Tribal Utility Authority

Awarding Agency: Department of the Interior

Start Date: 2024-04-01

End Date: 2027-03-31

Contract Duration: 1,094 days

Daily Burn Rate: $160/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WATER FROM TWIN LAKES

Place of Performance

Location: GALLUP, MCKINLEY County, NEW MEXICO, 87301

State: New Mexico Government Spending

Plain-Language Summary

Department of the Interior obligated $175,152.36 to NAVAJO TRIBAL UTILITY AUTHORITY for work described as: WATER FROM TWIN LAKES Key points: 1. Contract awarded to Navajo Tribal Utility Authority for water services. 2. Full and open competition was utilized. 3. Risk appears low given the contract type and duration. 4. Sector is primarily utility services within the Department of the Interior.

Value Assessment

Rating: good

The contract value of $175,152.36 over approximately three years suggests a reasonable price for natural gas distribution services. Benchmarking against similar contracts for utility services in New Mexico would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating a robust price discovery process. This method generally leads to competitive pricing as multiple vendors had the opportunity to bid.

Taxpayer Impact: The taxpayer impact is minimal given the relatively small contract value and the essential nature of the service provided.

Public Impact

Ensures reliable water supply for the Navajo Nation through natural gas distribution. Supports critical infrastructure maintenance and operation in New Mexico. Promotes economic stability by securing essential utility services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Full and open competition
Firm fixed price contract
Essential utility service

Sector Analysis

This contract falls within the utility services sector, specifically natural gas distribution. Spending benchmarks for similar utility contracts can vary significantly based on geographic location, service volume, and infrastructure complexity.

Small Business Impact

The contract was awarded to the Navajo Tribal Utility Authority, a tribal entity. Analysis of its small business status and capacity is not directly provided but is relevant for understanding broader economic impacts.

Oversight & Accountability

The Bureau of Reclamation, under the Department of the Interior, is responsible for this contract. Standard oversight procedures for delivery orders under a larger contract would apply, focusing on performance and adherence to terms.

Related Government Programs

Natural Gas Distribution
Department of the Interior Contracting
Bureau of Reclamation Programs

Risk Flags

Contract value is relatively low.
Service location is specific to New Mexico.
Vendor is a tribal utility authority, requiring specific considerations.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $175,152.36 to NAVAJO TRIBAL UTILITY AUTHORITY. WATER FROM TWIN LAKES

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 Reclamation).

What is the total obligated amount?

The obligated amount is $175,152.36.

What is the period of performance?

Start: 2024-04-01. End: 2027-03-31.

What is the specific service provided under 'Natural Gas Distribution' for water?

While the data specifies 'Natural Gas Distribution' and 'WATER FROM TWIN LAKES', the exact nature of the service isn't detailed. It likely involves using natural gas to power pumps or systems that distribute water from Twin Lakes, potentially for irrigation, potable water, or other operational needs of the Bureau of Reclamation or associated facilities.

What are the potential risks associated with this contract?

Given the firm fixed price and full and open competition, major financial risks are mitigated. Potential risks could include service disruptions due to weather, equipment failure, or unforeseen operational challenges. However, the contract duration and value suggest these are manageable.

How does this spending contribute to the effectiveness of the Bureau of Reclamation's mission?

This spending directly supports the operational effectiveness of the Bureau of Reclamation by ensuring the reliable distribution of water resources. Access to natural gas is crucial for powering the necessary infrastructure, thereby enabling the Bureau to fulfill its mandate of managing water and related resources.

Industry Classification

NAICS: Utilities › Natural Gas Distribution › Natural Gas Distribution

Product/Service Code: UTILITIES AND HOUSEKEEPING › UTILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: TWO STEP

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

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

Business Categories: Category Business, Government, Native American Tribal Government, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $175,152

Exercised Options: $175,152

Current Obligation: $175,152

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00P14BSD1060

IDV Type: IDC

Timeline