DHS Awards $52.1M Utility Contract to Atlanta Gas Light for Energy Savings at FLETC

Contract Overview

Contract Amount: $52,115,714 ($52.1M)

Contractor: Atlanta GAS Light Company

Awarding Agency: Department of Homeland Security

Start Date: 2026-03-16

End Date: 2028-11-25

Contract Duration: 985 days

Daily Burn Rate: $52.9K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Energy

Official Description: UTILITY ENERGY SAVING CONTRACT, FLETC, GLYNCO, GEORGIA. IMPLEMENTATION OF THIS PROJECT WILL ALLOW THE FLETC GLYNCO, GEORGIA TO IMPROVE THE FACILITIES BY INSTALLING ENERGY AND WATER CONSERVATION MEASURES AND REDUCE ITS ELECTRICITY, GAS, AND WATER DEMA

Place of Performance

Location: BRUNSWICK, GLYNN County, GEORGIA, 31524

State: Georgia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $52.1 million to ATLANTA GAS LIGHT COMPANY for work described as: UTILITY ENERGY SAVING CONTRACT, FLETC, GLYNCO, GEORGIA. IMPLEMENTATION OF THIS PROJECT WILL ALLOW THE FLETC GLYNCO, GEORGIA TO IMPROVE THE FACILITIES BY INSTALLING ENERGY AND WATER CONSERVATION MEASURES AND REDUCE ITS ELECTRICITY, GAS, AND WATER DEMA Key points: 1. Contract aims to improve facilities through energy and water conservation measures. 2. Significant reduction in electricity, gas, and water demand is anticipated. 3. Limited competition raises questions about price discovery and potential value. 4. The energy sector sees ongoing investment in efficiency and conservation projects.

Value Assessment

Rating: questionable

The contract value of $52.1M for a 985-day duration is substantial. Without a competitive bidding process, it's difficult to assess if this price represents fair market value compared to similar energy-saving projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract is not available for competition, suggesting a sole-source or limited-source award. This lack of competition may hinder the government's ability to secure the most cost-effective solutions and potentially lead to higher prices.

Taxpayer Impact: The absence of competition could result in taxpayers paying more than necessary for the energy and water conservation measures implemented.

Public Impact

Federal facilities are increasingly focused on sustainability and reducing operational costs through energy efficiency. This project at FLETC Glynnco is expected to yield long-term savings in utility consumption. The contract duration of nearly three years allows for significant implementation and impact. The specific measures to be installed are not detailed, impacting a full understanding of the project's scope.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for overpayment due to limited price discovery

Positive Signals

Focus on energy and water conservation
Long-term operational cost reduction

Sector Analysis

This contract falls within the energy sector, specifically focusing on utility and energy conservation measures for a federal facility. Spending benchmarks for similar energy efficiency projects vary widely based on scope and scale, but large-scale facility upgrades often involve multi-million dollar investments.

Small Business Impact

There is no indication that small businesses were involved in this contract, as it appears to be awarded to a single, large utility provider. Opportunities for small business participation in such large-scale utility projects are often limited unless subcontracting is explicitly mandated.

Oversight & Accountability

Oversight will be crucial to ensure that the implemented energy and water conservation measures achieve the projected savings and that the contractor adheres to the terms of the firm fixed-price contract. The Department of Homeland Security and the Federal Law Enforcement Training Center are responsible for monitoring performance.

Related Government Programs

Natural Gas Distribution
Department of Homeland Security Contracting
Federal Law Enforcement Training Center Programs

Risk Flags

Lack of competitive bidding
Potential for inflated pricing
Limited transparency on specific project scope
No clear indication of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $52.1 million to ATLANTA GAS LIGHT COMPANY. UTILITY ENERGY SAVING CONTRACT, FLETC, GLYNCO, GEORGIA. IMPLEMENTATION OF THIS PROJECT WILL ALLOW THE FLETC GLYNCO, GEORGIA TO IMPROVE THE FACILITIES BY INSTALLING ENERGY AND WATER CONSERVATION MEASURES AND REDUCE ITS ELECTRICITY, GAS, AND WATER DEMA

Who is the contractor on this award?

The obligated recipient is ATLANTA GAS LIGHT COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Federal Law Enforcement Training Center).

What is the total obligated amount?

The obligated amount is $52.1 million.

What is the period of performance?

Start: 2026-03-16. End: 2028-11-25.

What specific energy and water conservation measures will be implemented under this contract, and how were they selected?

The provided data does not specify the exact conservation measures to be installed. A detailed breakdown is necessary to fully assess the project's value and ensure it aligns with best practices in energy efficiency. Understanding the selection process would also shed light on whether the most impactful and cost-effective solutions were prioritized.

Given the limited competition, what steps were taken to ensure the $52.1M price is reasonable and offers good value for taxpayers?

Without a competitive bidding process, it is challenging to ascertain the reasonableness of the price. Agencies typically rely on historical data, independent cost estimates, or sole-source justifications based on unique capabilities. Further documentation on the price negotiation and justification process is needed to confirm taxpayer value.

How will the effectiveness of the energy and water savings be measured and verified throughout the contract period?

The contract should include clear metrics and a robust verification process to track the actual energy and water savings achieved. Regular reporting by the contractor and independent audits by the government are essential to confirm that the project delivers the promised environmental and financial benefits. This ensures accountability for the substantial investment.

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

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Southern CO Services Inc

Address: 10 PEACHTREE PL NE, ATLANTA, GA, 30309

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

Financial Breakdown

Contract Ceiling: $52,115,714

Exercised Options: $52,115,714

Current Obligation: $52,115,714

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47PA0425D0030

IDV Type: IDC

Timeline