DOE's $10.9M Grid Deployment Office support contract awarded to Allegheny Science & Technology Corp
Contract Overview
Contract Amount: $10,954,395 ($11.0M)
Contractor: Allegheny Science & Technology Corporation
Awarding Agency: Department of Energy
Start Date: 2024-06-14
End Date: 2026-06-13
Contract Duration: 729 days
Daily Burn Rate: $15.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: OPERATIONAL AND TECHNICAL SUPPORT SERVICES (OTSS) FOR THE DEPARTMENT OF ENERGY'S (DOE) GRID DEPLOYMENT OFFICE (GDO) UTILIZING THE TECHNICAL, ENGINEERING, AND PROGRAMMATIC SERVICES III (TEPS III) BLANKET PURCHASE AGREEMENT (BPA).
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585
Plain-Language Summary
Department of Energy obligated $11.0 million to ALLEGHENY SCIENCE & TECHNOLOGY CORPORATION for work described as: OPERATIONAL AND TECHNICAL SUPPORT SERVICES (OTSS) FOR THE DEPARTMENT OF ENERGY'S (DOE) GRID DEPLOYMENT OFFICE (GDO) UTILIZING THE TECHNICAL, ENGINEERING, AND PROGRAMMATIC SERVICES III (TEPS III) BLANKET PURCHASE AGREEMENT (BPA). Key points: 1. Contract provides essential operational and technical support for the Grid Deployment Office. 2. Utilizes the TEPS III Blanket Purchase Agreement, suggesting a pre-vetted procurement vehicle. 3. Awarded via full and open competition, indicating broad market access. 4. Time and Materials pricing structure requires careful monitoring of labor hours and rates. 5. Contract duration of 729 days allows for sustained support. 6. Small business participation is not explicitly mandated by this award. 7. Geographic focus on Washington D.C. area for service delivery.
Value Assessment
Rating: good
The contract's value of $10.9 million over approximately two years appears reasonable for specialized engineering and technical support services. Benchmarking against similar support contracts within the Department of Energy or other federal agencies for grid modernization initiatives would provide a more precise value-for-money assessment. The use of a BPA (TEPS III) suggests that pricing may have been pre-negotiated, potentially offering some cost efficiencies. However, the Time and Materials (T&M) pricing model necessitates diligent oversight to ensure labor hours and rates remain competitive and aligned with project needs.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit offers. The solicitation likely involved a competitive bidding process through the TEPS III BPA. While the exact number of bidders is not specified, full and open competition generally fosters a competitive environment, encouraging multiple vendors to propose their best pricing and technical solutions. This approach aims to maximize value and innovation for the government.
Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down prices through market forces and encourages a wider range of innovative solutions, leading to better overall value for public funds.
Public Impact
The primary beneficiary is the Department of Energy's Grid Deployment Office, receiving critical support for its mission. Services delivered include operational and technical support, likely encompassing project management, engineering analysis, and programmatic assistance. The geographic impact is concentrated in Washington D.C., where the Grid Deployment Office is presumably located. Workforce implications may involve specialized engineers, technical analysts, and project managers, potentially drawing from the local D.C. talent pool.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- The Time and Materials (T&M) contract type can lead to cost overruns if not closely managed, as the government pays for actual labor hours and materials used.
- Lack of explicit small business set-aside or subcontracting requirements could limit opportunities for small businesses in this contract.
- The specific scope of 'operational and technical support' is broad and requires clear performance metrics to ensure effective service delivery.
Positive Signals
- Leveraging the TEPS III BPA indicates a streamlined procurement process and potentially pre-qualified vendors.
- Awarding via full and open competition suggests a robust selection process that considered multiple qualified offerors.
- The contract duration of nearly two years allows for continuity of essential services to the Grid Deployment Office.
Sector Analysis
This contract falls within the Engineering Services sector, specifically supporting government initiatives related to energy infrastructure and grid modernization. The Grid Deployment Office (GDO) within the Department of Energy (DOE) is responsible for significant investments and programs aimed at enhancing the nation's electric grid. The market for such specialized technical and programmatic support services is competitive, with numerous firms possessing the requisite expertise in energy systems, engineering, and project management. Comparable spending benchmarks would involve analyzing other DOE contracts or similar agency procurements for grid modernization support, which can range from tens to hundreds of millions of dollars depending on scope and duration.
Small Business Impact
This contract was not awarded as a small business set-aside, nor does it appear to have specific subcontracting requirements for small businesses mandated in the award details provided. This means that while Allegheny Science & Technology Corporation may choose to subcontract portions of the work to small businesses, there is no explicit government requirement for them to do so. The absence of set-asides or subcontracting goals could limit the direct impact on the small business ecosystem for this particular award, though the prime contractor's own subcontracting practices would determine the extent of small business involvement.
Oversight & Accountability
Oversight for this contract will likely be managed by the Department of Energy's contracting officers and program managers responsible for the Grid Deployment Office. Performance will be monitored against the terms and conditions of the Time and Materials contract, with a focus on delivered services, labor hours, and material costs. Transparency is facilitated through contract award databases and reporting requirements. While specific Inspector General (IG) jurisdiction is not detailed here, the DOE IG typically has oversight over all departmental spending and contracts to ensure efficiency and prevent fraud, waste, and abuse.
Related Government Programs
- Department of Energy - Grid Deployment Office Programs
- Technical, Engineering, and Programmatic Services III (TEPS III) BPA
- Energy Infrastructure Modernization Contracts
- Federal Engineering Services Contracts
Risk Flags
- Potential for cost overruns due to T&M pricing structure.
- Need for robust performance monitoring and oversight.
- Limited visibility into small business subcontracting opportunities.
- Scope definition clarity for 'operational and technical support'.
Tags
engineering-services, department-of-energy, grid-deployment-office, blanket-purchase-agreement, time-and-materials, full-and-open-competition, operational-support, technical-support, district-of-columbia, federal-contract, energy-sector
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $11.0 million to ALLEGHENY SCIENCE & TECHNOLOGY CORPORATION. OPERATIONAL AND TECHNICAL SUPPORT SERVICES (OTSS) FOR THE DEPARTMENT OF ENERGY'S (DOE) GRID DEPLOYMENT OFFICE (GDO) UTILIZING THE TECHNICAL, ENGINEERING, AND PROGRAMMATIC SERVICES III (TEPS III) BLANKET PURCHASE AGREEMENT (BPA).
Who is the contractor on this award?
The obligated recipient is ALLEGHENY SCIENCE & TECHNOLOGY CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $11.0 million.
What is the period of performance?
Start: 2024-06-14. End: 2026-06-13.
What is the specific breakdown of services provided under this contract?
The contract is for 'OPERATIONAL AND TECHNICAL SUPPORT SERVICES (OTSS)' for the Department of Energy's (DOE) Grid Deployment Office (GDO). While the data provided does not detail the specific tasks, OTSS typically encompasses a range of activities crucial for program execution. This can include project management, technical analysis, engineering support, data management, administrative support, policy analysis, and stakeholder engagement. Given the GDO's mission, these services likely support the planning, implementation, and oversight of grid modernization projects, energy resilience initiatives, and other programs funded or managed by the GDO. A detailed statement of work (SOW) within the contract would further delineate these specific services and deliverables.
How does the $10.9 million value compare to similar support contracts for grid modernization efforts?
The $10.9 million value for approximately two years of operational and technical support for the DOE's Grid Deployment Office appears to be within a reasonable range for specialized federal contracting. However, a precise comparison requires benchmarking against contracts with similar scopes of work, durations, and agencies. For instance, other federal agencies involved in energy infrastructure, such as the Federal Energy Regulatory Commission (FERC) or the Bonneville Power Administration (BPA), may have comparable contracts. The use of the TEPS III BPA suggests that pricing may have been pre-negotiated, potentially offering some cost efficiencies compared to a standalone competitive procurement. Without access to detailed pricing structures and specific service deliverables, a definitive value-for-money assessment relative to market rates is challenging.
What are the potential risks associated with the Time and Materials (T&M) contract type for this service?
The primary risk with a Time and Materials (T&M) contract, such as this one, is the potential for cost overruns if not rigorously managed. Unlike fixed-price contracts, the government pays for the actual hours worked by contractor personnel and the cost of materials used. This can lead to higher-than-anticipated costs if project timelines extend, if labor hours are not efficiently utilized, or if material costs escalate. To mitigate these risks, the government must implement strong oversight, including detailed tracking of labor hours, verification of material costs, and regular performance reviews to ensure the contractor is meeting objectives within projected resource allocations. Clear ceilings and task order limitations are also crucial.
What is the significance of using the TEPS III Blanket Purchase Agreement (BPA)?
Utilizing the Technical, Engineering, and Programmatic Services III (TEPS III) Blanket Purchase Agreement (BPA) signifies a streamlined and potentially more efficient procurement process for the Department of Energy. BPAs are established with pre-vetted vendors, often through prior competitive processes, allowing agencies to issue task orders or delivery orders against the agreement more rapidly than initiating a new full-and-open competition for each requirement. This suggests that Allegheny Science & Technology Corporation has already met certain qualifications under the TEPS III umbrella. The use of a BPA can lead to faster award times, reduced administrative burden, and potentially better pricing due to pre-negotiated terms and conditions.
What does the 'full and open competition' designation imply for the contractor selection and pricing?
The 'full and open competition' designation indicates that the Department of Energy solicited offers from all eligible responsible sources and did not restrict the competition. This implies that Allegheny Science & Technology Corporation was selected from a pool of potentially multiple bidders who responded to the solicitation, likely issued under the TEPS III BPA. Full and open competition is generally considered the gold standard for federal procurement as it maximizes the opportunity for the government to receive the best value, including competitive pricing, innovative solutions, and high-quality services. It suggests that the government sought to leverage market forces to its advantage in selecting the contractor for these critical support services.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering 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: 89303024QGD000007
Offers Received: 4
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 125 PROFESSIONAL PL, BRIDGEPORT, WV, 26330
Business Categories: Category Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $53,571,235
Exercised Options: $14,746,367
Current Obligation: $10,954,395
Actual Outlays: $6,939,369
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $4,651,294
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: GS10F053AA
IDV Type: FSS
Timeline
Start Date: 2024-06-14
Current End Date: 2026-06-13
Potential End Date: 2029-12-13 00:00:00
Last Modified: 2026-03-23
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