DOE Awards $5.2M for Puerto Rico Energy Resilience Program Management to GEM Technologies

Contract Overview

Contract Amount: $5,222,969 ($5.2M)

Contractor: GEM Technologies, Inc.

Awarding Agency: Department of Energy

Start Date: 2023-09-15

End Date: 2026-03-14

Contract Duration: 911 days

Daily Burn Rate: $5.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Energy

Official Description: PROGRAM MANAGEMENT AND OPERATIONAL SUPPORT FOR THE GRID DEPLOYMENT OFFICES (GDO) PUERTO RICO ENERGY RESILIENCE PROGRAM UTILIZING TECHNICAL, ENGINEERING, AND PROGRAMMATIC SERVICES III (TEPS III) BPA

Place of Performance

Location: OAK RIDGE, ANDERSON County, TENNESSEE, 37830

State: Tennessee Government Spending

Plain-Language Summary

Department of Energy obligated $5.2 million to GEM TECHNOLOGIES, INC. for work described as: PROGRAM MANAGEMENT AND OPERATIONAL SUPPORT FOR THE GRID DEPLOYMENT OFFICES (GDO) PUERTO RICO ENERGY RESILIENCE PROGRAM UTILIZING TECHNICAL, ENGINEERING, AND PROGRAMMATIC SERVICES III (TEPS III) BPA Key points: 1. The contract focuses on program management and operational support for the Grid Deployment Office's Puerto Rico Energy Resilience Program. 2. GEM Technologies, Inc. is the sole awardee under this Delivery Order. 3. The contract utilizes the TEPS III BPA, suggesting a pre-competed framework. 4. The NAICS code 562910 indicates Remediation Services, which may involve environmental or infrastructure cleanup aspects.

Value Assessment

Rating: fair

The contract value of $5.2M is for a period of approximately 2.5 years. Without specific benchmarks for similar program management contracts in disaster-prone regions, a precise pricing assessment is difficult. However, the Time and Materials pricing structure warrants scrutiny for potential cost overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under a full and open competition, likely leveraging the TEPS III BPA. This suggests that multiple vendors had the opportunity to bid, potentially leading to competitive pricing. However, as a Delivery Order under a BPA, the initial competition occurred at the BPA level.

Taxpayer Impact: The use of full and open competition is generally favorable for taxpayers, as it promotes market competition and can lead to better pricing. The specific value of this contract is relatively modest in the context of federal spending.

Public Impact

Enhances energy resilience in Puerto Rico, a region vulnerable to natural disasters. Supports critical infrastructure development and modernization efforts. Provides essential program management and technical expertise. Potential for job creation and economic activity in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Time and Materials pricing can lead to cost uncertainty.
  • Lack of specific performance metrics for program management.
  • Potential for scope creep without robust oversight.

Positive Signals

  • Addresses a critical need for energy resilience in Puerto Rico.
  • Leverages an existing BPA for efficient procurement.
  • Full and open competition at the BPA level.

Sector Analysis

The energy sector, particularly in regions prone to natural disasters like Puerto Rico, requires significant investment in grid modernization and resilience. Federal spending in this area aims to secure critical infrastructure and ensure reliable power supply. Benchmarks for program management support services vary widely based on scope and complexity.

Small Business Impact

The contract was not awarded to small businesses, as indicated by 'sb': false. This suggests that the prime contractor is a large business, and there is no explicit mention of subcontracting goals for small businesses within this specific award.

Oversight & Accountability

Oversight will be crucial to ensure that GEM Technologies effectively manages the program and stays within budget. The Department of Energy's contracting office is responsible for monitoring performance and ensuring compliance with contract terms. The Time and Materials contract type necessitates close monitoring of labor hours and costs.

Related Government Programs

  • Remediation Services
  • Department of Energy Contracting
  • Department of Energy Programs

Risk Flags

  • Time and Materials pricing structure.
  • Potential for cost overruns.
  • Limited visibility into specific performance metrics.
  • No explicit small business subcontracting requirements mentioned.

Tags

remediation-services, department-of-energy, tn, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $5.2 million to GEM TECHNOLOGIES, INC.. PROGRAM MANAGEMENT AND OPERATIONAL SUPPORT FOR THE GRID DEPLOYMENT OFFICES (GDO) PUERTO RICO ENERGY RESILIENCE PROGRAM UTILIZING TECHNICAL, ENGINEERING, AND PROGRAMMATIC SERVICES III (TEPS III) BPA

Who is the contractor on this award?

The obligated recipient is GEM TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $5.2 million.

What is the period of performance?

Start: 2023-09-15. End: 2026-03-14.

What specific metrics will be used to evaluate the success of the program management and operational support provided by GEM Technologies?

The success of the program management will likely be evaluated based on key performance indicators (KPIs) related to project timelines, budget adherence, quality of deliverables, and stakeholder satisfaction. Specific metrics should be clearly defined in the contract's Statement of Work (SOW) and regularly reviewed by the Department of Energy's contracting officer's representative (COR). These could include milestones met, cost variance, and successful implementation of resilience strategies.

Given the Time and Materials contract type, what measures are in place to mitigate the risk of cost overruns and ensure efficient resource utilization?

To mitigate cost overruns with a Time and Materials contract, robust oversight is essential. This includes detailed tracking of labor hours, verification of work performed, and regular budget reviews. The COR must actively manage the contract, ensuring that only necessary hours are billed and that the contractor is efficient. Establishing clear ceilings and requiring regular progress reports with cost breakdowns can also help control spending.

How will the effectiveness of the program management contribute to the overall goal of enhancing energy resilience in Puerto Rico?

Effective program management is critical for translating strategic goals into tangible outcomes. For Puerto Rico's energy resilience, this means ensuring that projects are completed on time and within budget, that resources are allocated efficiently, and that risks are proactively identified and managed. Strong management will facilitate the coordination of various stakeholders, streamline procurement of necessary technologies, and ensure the successful implementation of grid modernization and hardening efforts, ultimately leading to a more reliable and resilient energy infrastructure.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesRemediation and Other Waste Management ServicesRemediation Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 89303023QGD000004

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 2033 CASTAIC LANE, KNOXVILLE, TN, 37932

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,728,594

Exercised Options: $5,734,541

Current Obligation: $5,222,969

Actual Outlays: $3,858,860

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QRAA20D007W

IDV Type: FSS

Timeline

Start Date: 2023-09-15

Current End Date: 2026-03-14

Potential End Date: 2027-03-14 00:00:00

Last Modified: 2026-03-06

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