DOJ's Bureau of Prisons awards $6.2M for natural gas to Columbia Gas of PA for FCI McKean Training Center

Contract Overview

Contract Amount: $6,208 ($6.2K)

Contractor: Columbia GAS of Pennsylvania Inc

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $17/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Energy

Official Description: NATURAL GAS SUPPLY- FCI MCKEAN TRAINING CENTER PERIOD OF SERVICE FROM 10/1/2025 THROUGH 09/30/2026

Place of Performance

Location: COLUMBUS, FRANKLIN County, OHIO, 43215

State: Ohio Government Spending

Plain-Language Summary

Department of Justice obligated $6,208.15 to COLUMBIA GAS OF PENNSYLVANIA INC for work described as: NATURAL GAS SUPPLY- FCI MCKEAN TRAINING CENTER PERIOD OF SERVICE FROM 10/1/2025 THROUGH 09/30/2026 Key points: 1. The contract is for natural gas distribution services. 2. The period of performance is one year, from October 2025 to September 2026. 3. The award amount is $6,208.15. 4. The contract was not available for competition.

Value Assessment

Rating: questionable

The award amount is very low, making a direct pricing comparison difficult. The firm fixed price contract suggests a predictable cost, but the lack of competitive bidding raises questions about whether the best possible price was secured.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not available for competition, indicating a sole-source or limited competition scenario. This limits price discovery and may result in higher costs for taxpayers compared to a fully competitive process.

Taxpayer Impact: The low award amount suggests a minimal direct taxpayer impact for this specific contract, but the lack of competition sets a precedent.

Public Impact

Ensures essential utility service for a federal correctional facility. Supports operational continuity at FCI McKean Training Center. Provides a stable energy source for training and facility functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for unoptimized pricing

Positive Signals

Ensures service delivery
Firm fixed price contract

Sector Analysis

This contract falls under the Natural Gas Distribution sector. Spending in this sector is generally stable, driven by essential utility needs. Benchmarks are difficult to establish due to the unique nature and low value of this specific award.

Small Business Impact

There is no indication that small businesses were involved in this contract award, as it was not competitively solicited.

Oversight & Accountability

The award was made via a purchase order, which is a standard procurement instrument. Oversight would focus on contract performance and adherence to terms.

Related Government Programs

Natural Gas Distribution
Department of Justice Contracting
Federal Prison System / Bureau of Prisons Programs

Risk Flags

Lack of competitive bidding
Potential for non-optimal pricing
Limited transparency on award justification

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $6,208.15 to COLUMBIA GAS OF PENNSYLVANIA INC. NATURAL GAS SUPPLY- FCI MCKEAN TRAINING CENTER PERIOD OF SERVICE FROM 10/1/2025 THROUGH 09/30/2026

Who is the contractor on this award?

The obligated recipient is COLUMBIA GAS OF PENNSYLVANIA INC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $6,208.15.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the justification for not competing this contract, given the potential for cost savings?

The provided data does not specify the reason for the lack of competition. Typically, sole-source awards are justified by factors such as unique capabilities, urgent needs, or the unavailability of other sources. Without this information, it's impossible to assess if taxpayer funds were used efficiently or if alternative competitive strategies could have been employed.

How does the firm fixed price impact risk for both the government and the contractor in this low-value contract?

For this low-value contract, a firm fixed price offers the government price certainty, meaning the cost will not exceed $6,208.15. The contractor assumes the risk of cost overruns. Given the small contract value, the contractor's risk is likely minimal, and the government benefits from predictable budgeting without significant exposure to price fluctuations.

What is the expected effectiveness of this contract in ensuring reliable natural gas supply for the training center?

The contract is expected to be effective in ensuring a reliable natural gas supply, as it is awarded to a known utility provider (Columbia Gas of Pennsylvania Inc.) for a defined period. The firm fixed price structure further supports predictable service delivery. The primary concern regarding effectiveness stems from the lack of competition, which could imply other factors influenced the award beyond pure service reliability.

Industry Classification

NAICS: Utilities › Natural Gas Distribution › Natural Gas 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

Parent Company: Nisource Inc.

Address: 121 CHAMPION WAY STE 100, CANONSBURG, PA, 15317

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

Financial Breakdown

Contract Ceiling: $6,208

Exercised Options: $6,208

Current Obligation: $6,208

Actual Outlays: $2,472

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline