Western Area Power Administration awards $3.66M for technical support, raising questions about competition and value
Contract Overview
Contract Amount: $3,659,618 ($3.7M)
Contractor: Wyandotte Technologies
Awarding Agency: Department of Energy
Start Date: 2021-09-29
End Date: 2022-10-31
Contract Duration: 397 days
Daily Burn Rate: $9.2K/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: THE WESTERN AREA POWER ADMINISTRATION (WAPA), SIERRA NEVADA REGION (SNR) REQUIRES NON-PERSONAL TECHNICAL SUPPORT SERVICES TO SUPPORT FUNCTIONAL AREAS OF MISSION SUPPORT, FACILITY AND PROPERTY MANAGEMENT, ENVIRONMENTAL MANAGEMENT, POWER SYSTEM OPERATI
Place of Performance
Location: FOLSOM, SACRAMENTO County, CALIFORNIA, 95630
Plain-Language Summary
Department of Energy obligated $3.7 million to WYANDOTTE TECHNOLOGIES for work described as: THE WESTERN AREA POWER ADMINISTRATION (WAPA), SIERRA NEVADA REGION (SNR) REQUIRES NON-PERSONAL TECHNICAL SUPPORT SERVICES TO SUPPORT FUNCTIONAL AREAS OF MISSION SUPPORT, FACILITY AND PROPERTY MANAGEMENT, ENVIRONMENTAL MANAGEMENT, POWER SYSTEM OPERATI Key points: 1. Contract awarded without competition, potentially limiting price discovery and value for taxpayers. 2. The firm fixed-price contract structure aims to control costs, but the lack of competition makes benchmarking difficult. 3. Wyandotte Technologies, the sole awardee, has secured this support without a competitive bidding process. 4. The services provided are crucial for mission support and environmental management within WAPA's Sierra Nevada Region. 5. The contract duration of 397 days suggests a need for ongoing, specialized technical expertise. 6. The absence of small business set-aside indicates this contract was not specifically targeted to boost small business participation.
Value Assessment
Rating: questionable
The contract's value is difficult to assess due to the lack of competitive bidding. Without comparison to other offers or market rates for similar services, it's hard to determine if the $3.66 million price represents a fair market value. The firm fixed-price nature provides cost certainty for the government, but the absence of competition means there's no market pressure to ensure the lowest possible price. Further analysis would require benchmarking against similar technical support contracts awarded competitively.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed under the Simplified Acquisition Procedures (SAP) and was awarded as a sole-source purchase order. This means that only one vendor, Wyandotte Technologies, was solicited for these services. The lack of competition limits the government's ability to explore a range of technical solutions and pricing structures that might be available from multiple qualified vendors. This approach can be justified under specific circumstances, such as when only one vendor possesses the required expertise or when urgency dictates a rapid award.
Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as there is no competitive pressure to drive down prices. Without a competitive process, it is harder to ensure that the government is receiving the best possible value for its investment.
Public Impact
The Western Area Power Administration (WAPA), Sierra Nevada Region (SNR) benefits from essential technical support services. Services cover critical functional areas including mission support, facility and property management, environmental management, and power system operations. The contract's geographic impact is focused on the Sierra Nevada Region of California. The contract supports specialized technical roles, potentially impacting the workforce in professional, scientific, and technical services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition raises concerns about potential overpayment and missed opportunities for better value.
- Sole-source award limits transparency and makes it difficult to benchmark pricing against market standards.
- The contract's value proposition is unclear without a competitive bidding process to validate pricing.
- Absence of small business participation may limit opportunities for smaller, specialized firms in this sector.
Positive Signals
- Firm fixed-price contract provides cost certainty for the government.
- Services are critical for the operational efficiency and mission success of WAPA's Sierra Nevada Region.
- Contract duration suggests a stable, ongoing need for specialized technical expertise.
Sector Analysis
This contract falls within the Professional, Scientific, and Technical Services sector, specifically under the 'All Other Professional, Scientific, and Technical Services' category (NAICS 541990). This broad category encompasses a wide range of specialized services. The market for such services is diverse, with many firms offering expertise in areas like engineering, environmental consulting, and operational support. The Western Area Power Administration's need for technical support is typical for large federal agencies managing complex infrastructure and operations, and spending in this category is substantial across government.
Small Business Impact
This contract was not awarded as a small business set-aside, and there is no indication of subcontracting requirements for small businesses. This means that opportunities for small businesses to participate in providing these specific technical support services were not actively pursued through this procurement. While not all contracts are suitable for small business set-asides, the absence here means that the potential economic benefits to the small business ecosystem from this particular award are limited.
Oversight & Accountability
Oversight for this contract would primarily fall under the Department of Energy's contracting and program management officials within the Western Area Power Administration. As a purchase order, it is subject to internal agency review and compliance checks. Transparency is limited due to the sole-source nature of the award. Specific inspector general jurisdiction would depend on the nature of any potential fraud, waste, or abuse identified during the contract's performance or close-out.
Related Government Programs
- Western Area Power Administration Operations
- Department of Energy Technical Services
- Federal Power System Management
- Environmental Management Services
- Mission Support Contracts
Risk Flags
- Lack of competition
- Potential for overpricing
- Limited transparency
- Difficulty in performance benchmarking
Tags
professional-scientific-technical-services, department-of-energy, western-area-power-administration, sierra-nevada-region, california, sole-source, purchase-order, firm-fixed-price, technical-support, mission-support, facility-management, environmental-management
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $3.7 million to WYANDOTTE TECHNOLOGIES. THE WESTERN AREA POWER ADMINISTRATION (WAPA), SIERRA NEVADA REGION (SNR) REQUIRES NON-PERSONAL TECHNICAL SUPPORT SERVICES TO SUPPORT FUNCTIONAL AREAS OF MISSION SUPPORT, FACILITY AND PROPERTY MANAGEMENT, ENVIRONMENTAL MANAGEMENT, POWER SYSTEM OPERATI
Who is the contractor on this award?
The obligated recipient is WYANDOTTE TECHNOLOGIES.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $3.7 million.
What is the period of performance?
Start: 2021-09-29. End: 2022-10-31.
What is the track record of Wyandotte Technologies with the federal government, particularly with the Department of Energy?
Information regarding Wyandotte Technologies' specific track record with the federal government, and particularly the Department of Energy, is not detailed in the provided data. A comprehensive analysis would require accessing federal procurement databases (like FPDS-NG or SAM.gov) to review past awards, performance evaluations, and any reported issues. Understanding their history of performance, contract types, and value of previous awards would help assess their capability and reliability for this specific technical support role. Without this historical data, it's difficult to gauge their established performance level or potential risks associated with their selection.
How does the $3.66 million contract value compare to similar technical support services procured by the Department of Energy or other federal agencies?
Benchmarking the $3.66 million contract value against similar technical support services is challenging without more specific details on the scope of work and the duration of comparable contracts. The provided data indicates a 397-day duration. To perform a robust comparison, one would need to identify other federal contracts for 'All Other Professional, Scientific, and Technical Services' (NAICS 541990) awarded to support power administration, facility management, or environmental services. Analyzing the average cost per day or per service hour for competitively awarded contracts of similar scope and complexity would reveal whether this award represents a fair market price. The sole-source nature of this award makes direct comparison difficult, as competitive pressures are absent.
What are the primary risks associated with awarding a sole-source contract for technical support services?
The primary risks associated with awarding a sole-source contract include a lack of price competition, which can lead to inflated costs for the government and taxpayers. There's also a risk of reduced innovation and service quality, as the awarded contractor faces less pressure to perform at their best or offer novel solutions. Furthermore, sole-source awards can create a perception of favoritism or a lack of transparency, potentially undermining public trust. Without competitive vetting, there's also a heightened risk that the chosen contractor may not be the most qualified or capable, despite being the only one solicited.
How effective are technical support services in ensuring the operational continuity and mission success of the Western Area Power Administration?
Technical support services are generally critical for the operational continuity and mission success of complex organizations like the Western Area Power Administration (WAPA). These services often encompass vital functions such as maintaining IT systems, managing facilities, ensuring environmental compliance, and supporting power system operations. Without adequate technical support, WAPA could face disruptions in energy delivery, compliance failures, or inefficient management of its assets. The specific effectiveness of *this* contract hinges on the quality of services provided by Wyandotte Technologies and how well they align with WAPA's defined needs and performance metrics, which are not detailed in the provided data.
What has been the historical spending trend for technical support services by the Western Area Power Administration or the Department of Energy?
The provided data only details a single contract award of $3.66 million for technical support services to WAPA's Sierra Nevada Region. It does not offer historical spending trends for WAPA or the Department of Energy in this category. To assess historical spending, one would need to analyze procurement data over several fiscal years, looking at the total amount spent on similar services (NAICS 541990 or related codes), the number of contracts awarded, and whether they were competitively or sole-sourced. Such an analysis would reveal patterns, identify potential increases or decreases in spending, and highlight shifts in procurement strategies.
What specific technical expertise is required for WAPA's mission support, facility management, and environmental management functions?
The specific technical expertise required for WAPA's mission support, facility and property management, environmental management, and power system operations would likely include a broad range of skills. For mission support, this could involve project management, IT systems administration, and strategic planning assistance. Facility and property management might require expertise in building systems, maintenance planning, asset tracking, and safety protocols. Environmental management necessitates knowledge of environmental regulations, impact assessments, compliance monitoring, and remediation strategies. Power system operations could involve electrical engineering support, grid analysis, and operational technology (OT) expertise. The exact skill sets would be detailed in the contract's Statement of Work (SOW).
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 89503321QWA000123
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 15 TURTLE DR, WYANDOTTE, OK, 74370
Business Categories: 8(a) Program Participant, Category Business, Government, Native American Tribal Government, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $4,696,578
Exercised Options: $4,353,099
Current Obligation: $3,659,618
Actual Outlays: $3,659,618
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2021-09-29
Current End Date: 2022-10-31
Potential End Date: 2022-10-31 00:00:00
Last Modified: 2026-03-09
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