DOJ awards $243K for battery inverters, with 4 bids received for this firm-fixed-price purchase order

Contract Overview

Contract Amount: $243,020 ($243.0K)

Contractor: Alpine Power Systems Inc

Awarding Agency: Department of Justice

Start Date: 2026-04-08

End Date: 2026-06-10

Contract Duration: 63 days

Daily Burn Rate: $3.9K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: REPLACEMENT 10 BATTERY INVERTERS AT THE FCI 1 AND 1 BATTERY INVERTER AT THE FCI 2.

Place of Performance

Location: REDFORD, WAYNE County, MICHIGAN, 48239

State: Michigan Government Spending

Plain-Language Summary

Department of Justice obligated $243,020 to ALPINE POWER SYSTEMS INC for work described as: REPLACEMENT 10 BATTERY INVERTERS AT THE FCI 1 AND 1 BATTERY INVERTER AT THE FCI 2. Key points: 1. Value for money appears reasonable given the firm-fixed-price structure and competitive bidding. 2. Competition dynamics show a moderate level of interest with four bids submitted. 3. Risk indicators are low, with a short performance period and clear product requirements. 4. Performance context is straightforward, focusing on equipment replacement for critical infrastructure. 5. Sector positioning is within the miscellaneous electrical equipment manufacturing sub-sector.

Value Assessment

Rating: good

The contract value of $243,020 for 11 battery inverters (10 for FCI 1, 1 for FCI 2) suggests a per-unit cost of approximately $22,093. This price point needs to be benchmarked against similar procurements for industrial-grade battery inverters. Given that this was competed under SAP (Simplified Acquisition Procedures) with four bids, the pricing is likely competitive. The firm-fixed-price nature of the award provides cost certainty for the government.

Cost Per Unit: Approximately $22,093 per inverter (based on 11 units).

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), indicating an expectation of broad competition for procurements under a certain dollar threshold. Four bids were received, suggesting a healthy level of interest from potential suppliers. This level of competition is generally sufficient to drive competitive pricing and ensure the government receives fair market value.

Taxpayer Impact: The receipt of four bids indicates that taxpayers benefited from a competitive process, likely resulting in a lower price than a sole-source or limited-competition award.

Public Impact

The Federal Bureau of Prisons (Department of Justice) benefits from this contract by ensuring the continued operation of critical power infrastructure at two correctional facilities. The services delivered involve the supply and installation of replacement battery inverters, essential for maintaining uninterrupted power. The geographic impact is localized to Michigan, specifically at the Federal Correctional Institutions (FCI) 1 and 2. Workforce implications are minimal, primarily involving the installation and testing of the equipment by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions affecting delivery timelines, though the performance period is short.
Ensuring the selected inverters meet all technical specifications and are compatible with existing systems.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Competitive bidding process suggests a fair market price was achieved.
Short performance period minimizes long-term contractor performance risk.

Sector Analysis

This contract falls within the electrical equipment manufacturing sector, specifically focusing on power conversion and storage components. The market for industrial battery inverters is driven by demand for reliable backup power solutions in critical infrastructure, including government facilities, data centers, and utilities. Comparable spending benchmarks would involve analyzing other federal or state procurements for similar inverter systems, considering factors like capacity, brand, and warranty.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). While the prime contractor, ALPINE POWER SYSTEMS INC, is not explicitly identified as small or large, the procurement method (SAP) allows for participation by eligible small businesses. There is no information provided regarding subcontracting plans, so the direct impact on the small business ecosystem is unclear, but opportunities may exist if the prime contractor utilizes them.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and the relevant program managers within the Federal Bureau of Prisons. Accountability is ensured through the firm-fixed-price contract terms, requiring delivery of specified equipment by a certain date. Transparency is facilitated by the public availability of contract data, allowing for review of the award and its details. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Prison System / Bureau of Prisons
Department of Justice - Facilities Management
Electrical Equipment Procurement
Critical Infrastructure Maintenance

Risk Flags

Potential for supply chain delays
Ensuring technical specification compliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $243,020 to ALPINE POWER SYSTEMS INC. REPLACEMENT 10 BATTERY INVERTERS AT THE FCI 1 AND 1 BATTERY INVERTER AT THE FCI 2.

Who is the contractor on this award?

The obligated recipient is ALPINE POWER SYSTEMS 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 $243,020.

What is the period of performance?

Start: 2026-04-08. End: 2026-06-10.

What is the track record of ALPINE POWER SYSTEMS INC with the federal government?

A review of federal procurement data indicates that ALPINE POWER SYSTEMS INC has received multiple awards from various government agencies. While specific details on past performance quality for this contractor require deeper investigation into contract close-out reports and past performance evaluations, the consistent awarding of contracts suggests a level of established capability. Further analysis would involve examining the types and values of previous awards, the agencies involved, and any reported issues or commendations. For this specific contract, the short duration and clear deliverable (battery inverters) suggest a lower risk profile compared to complex service contracts.

How does the per-unit cost of these inverters compare to market rates?

The estimated per-unit cost of approximately $22,093 for each battery inverter is a significant figure that warrants comparison with current market rates for similar industrial-grade equipment. Factors influencing this price include the specific technical specifications (e.g., power output, voltage, battery chemistry compatibility), brand reputation, warranty terms, and any included installation or support services. Benchmarking against recent procurements by other federal agencies, state governments, or large commercial entities for comparable inverter systems would provide a clearer picture of whether this price represents good value. Without specific technical details of the inverters procured, a precise comparison is difficult, but the competitive bidding process suggests the price is likely within a reasonable range.

What are the primary risks associated with this contract?

The primary risks associated with this contract are relatively low due to its nature. Potential risks include delays in delivery or installation due to supply chain issues or logistical challenges, although the short performance period (approximately two months) mitigates this concern. There's also a risk that the procured inverters may not perfectly meet all nuanced technical specifications or integrate seamlessly with existing power systems, potentially leading to performance issues. Ensuring the contractor's adherence to installation protocols and final testing procedures is crucial for mitigating operational risks. The firm-fixed-price nature, however, caps the financial risk for the government.

How effective is the Bureau of Prisons in managing its electrical infrastructure procurements?

Assessing the overall effectiveness of the Bureau of Prisons (BOP) in managing its electrical infrastructure procurements requires a broader analysis of their contracting history, budget execution, and facility maintenance records. This specific contract for battery inverters represents a small component of their overall infrastructure management. The use of competitive bidding under SAP and a firm-fixed-price award for this particular procurement suggests adherence to standard, generally effective procurement practices. However, evaluating the BOP's effectiveness would necessitate examining trends in equipment failures, maintenance costs, project completion rates, and user satisfaction across multiple facilities and contract types over time.

What are the historical spending patterns for battery inverters by the Department of Justice?

Analyzing historical spending patterns for battery inverters by the Department of Justice (DOJ) would involve querying federal procurement databases for similar items procured by the DOJ and its various components, including the Federal Bureau of Prisons. This would reveal the frequency of such purchases, the average contract values, the types of contractors utilized, and the prevailing contract types (e.g., firm-fixed-price, cost-plus). Understanding these patterns can help identify trends in technology adoption, potential cost savings through bulk purchasing or longer-term agreements, and areas where spending may have increased or decreased. This specific $243,020 award provides a data point for the FCI facilities in Michigan.

What is the significance of the NAICS code 335999 for this contract?

The North American Industry Classification System (NAICS) code 335999, 'All Other Miscellaneous Electrical Equipment and Component Manufacturing,' indicates that the primary business activity of the contractor or the nature of the goods/services procured falls into a broad category for electrical manufacturing not specified elsewhere. For this contract, it signifies that the battery inverters are considered miscellaneous electrical components. This classification helps in understanding the specific industry segment involved and allows for comparisons with other procurements under the same or related NAICS codes to benchmark pricing and identify market trends within this diverse manufacturing sector.

Industry Classification

NAICS: Manufacturing › Other Electrical Equipment and Component Manufacturing › All Other Miscellaneous Electrical Equipment and Component Manufacturing

Product/Service Code: ALARM, SIGNAL, SECURITY DETECTION

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 15B61626Q00000006

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 24355 CAPITOL, REDFORD, MI, 48239

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

Financial Breakdown

Contract Ceiling: $243,020

Exercised Options: $243,020

Current Obligation: $243,020

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline