Interior's $90K Electric Power Contract with Public Service Co. of Colorado for San Luis Valley

Contract Overview

Contract Amount: $90,000 ($90.0K)

Contractor: Public Service Company of Colorado

Awarding Agency: Department of the Interior

Start Date: 2026-05-01

End Date: 2027-04-30

Contract Duration: 364 days

Daily Burn Rate: $247/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Energy

Official Description: SAN LUIS VALLEY-CLOSED BASIN XCEL ENERGY

Place of Performance

Location: ALAMOSA, ALAMOSA County, COLORADO, 81101

State: Colorado Government Spending

Plain-Language Summary

Department of the Interior obligated $90,000 to PUBLIC SERVICE COMPANY OF COLORADO for work described as: SAN LUIS VALLEY-CLOSED BASIN XCEL ENERGY Key points: 1. Contract awarded to Public Service Company of Colorado, a major utility provider. 2. The contract is for electric power distribution in the San Luis Valley. 3. No competition was available for this award. 4. The contract value is $90,000 over a 1-year period.

Value Assessment

Rating: fair

The contract value of $90,000 for one year of electric power distribution is relatively small. Without specific usage data or comparable contracts for similar services in the region, a precise pricing assessment is difficult. However, it appears to be a standard utility service cost.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was not available for competition, likely due to the nature of utility services where a single provider often serves a specific geographic area. This limits price discovery and negotiation opportunities.

Taxpayer Impact: The taxpayer impact is minimal given the small contract value of $90,000 for essential utility services.

Public Impact

Ensures reliable electricity for federal operations in the San Luis Valley. Supports critical infrastructure needs for the Bureau of Reclamation. Maintains continuity of essential services for government facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition limits potential cost savings.
Reliance on a single utility provider.

Positive Signals

Ensures essential service delivery.
Clear contract duration and pricing.

Sector Analysis

This contract falls within the Energy sector, specifically electric power distribution. Utility contracts are common across federal agencies, with pricing typically benchmarked against regional rates set by public utility commissions.

Small Business Impact

This contract does not appear to involve small businesses, as it is awarded to a large utility provider, Public Service Company of Colorado.

Oversight & Accountability

The Bureau of Reclamation is responsible for oversight. Given the limited competition and standard nature of the service, oversight likely focuses on service delivery and adherence to terms.

Related Government Programs

Electric Power Distribution
Department of the Interior Contracting
Bureau of Reclamation Programs

Risk Flags

Limited competition
Potential for price increases over contract term
Dependence on single provider's infrastructure

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $90,000 to PUBLIC SERVICE COMPANY OF COLORADO. SAN LUIS VALLEY-CLOSED BASIN XCEL ENERGY

Who is the contractor on this award?

The obligated recipient is PUBLIC SERVICE COMPANY OF COLORADO.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Bureau of Reclamation).

What is the total obligated amount?

The obligated amount is $90,000.

What is the period of performance?

Start: 2026-05-01. End: 2027-04-30.

What is the historical pricing for this specific service in the San Luis Valley?

Historical pricing data for this specific electric power distribution service in the San Luis Valley is not readily available in the provided information. However, utility rates are typically regulated and adjusted periodically based on operational costs, fuel prices, and infrastructure investments. Understanding these factors would be key to assessing if the current $90,000 price point is competitive within its regulated framework.

What are the risks associated with relying on a sole-source utility provider for federal operations?

The primary risk of relying on a sole-source utility provider is the potential for service disruptions due to the provider's infrastructure issues, labor disputes, or natural disasters. Additionally, the lack of competition can lead to higher prices over time compared to a competitive market. The government has limited leverage to negotiate better terms or switch providers if dissatisfaction arises.

How does this contract ensure the effectiveness of federal operations in the region?

This contract ensures the effectiveness of federal operations by guaranteeing a consistent and reliable supply of electricity, which is fundamental for powering facilities, equipment, and communication systems. The firm fixed price contract provides budget certainty, allowing agencies to plan their operations without unexpected utility cost fluctuations. This reliability is crucial for maintaining mission readiness and operational continuity.

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

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1800 LARIMER ST 1100, DENVER, CO, 80202

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

Financial Breakdown

Contract Ceiling: $90,000

Exercised Options: $90,000

Current Obligation: $90,000

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00P16BSD1203

IDV Type: IDC

Timeline