DOE awards $2M contract for mobile substation to G & RK Consulting Associates LLC

Contract Overview

Contract Amount: $2,000,497 ($2.0M)

Contractor: G & RK Consulting Associates LLC

Awarding Agency: Department of Energy

Start Date: 2021-09-29

End Date: 2022-12-30

Contract Duration: 457 days

Daily Burn Rate: $4.4K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: NDMO MOBILE SUBSTATION 115X69-12.47KV

Place of Performance

Location: LITTLETON, ARAPAHOE County, COLORADO, 80120

State: Colorado Government Spending

Plain-Language Summary

Department of Energy obligated $2.0 million to G & RK CONSULTING ASSOCIATES LLC for work described as: NDMO MOBILE SUBSTATION 115X69-12.47KV Key points: 1. Contract value appears reasonable for specialized equipment, but detailed cost breakdown is unavailable. 2. Sole-source award limits competitive pressure, potentially impacting price efficiency. 3. Short performance period suggests a specific, immediate need. 4. Contract is for a firm-fixed-price definitive contract, indicating clear scope and cost. 5. The contractor, G & RK Consulting Associates LLC, has a limited public track record for similar large-scale projects. 6. The North American Industry Classification System (NAICS) code 335311 points to a specialized manufacturing sector.

Value Assessment

Rating: fair

The contract value of $2,000,497 for a mobile substation is difficult to benchmark without detailed specifications and market comparisons. Given the specialized nature of power distribution equipment, pricing can vary significantly. The absence of competitive bidding makes it challenging to assess if this represents optimal value for money. Further analysis would require understanding the specific technical requirements and comparing it to similar procurements, which are not readily available.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when only one vendor can provide the required goods or services, or in cases of urgent need. The lack of competition means there was no opportunity for price discovery through bidding, which could lead to higher costs for the government compared to a fully competed procurement.

Taxpayer Impact: Sole-source awards limit taxpayer value by removing the downward price pressure that competition provides. This can result in the government paying more than it might otherwise.

Public Impact

The Department of Energy (DOE) is the primary beneficiary, receiving critical infrastructure for power distribution. The service delivered is the provision of a mobile substation, essential for maintaining power grid stability. The geographic impact is likely focused on areas where the DOE operates or manages power infrastructure, specifically Colorado. Workforce implications are minimal for the government, but the contractor will utilize its specialized manufacturing and technical staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition.
Limited public information on contractor's past performance for similar scale projects.
Potential for cost overruns if scope was not fully defined in sole-source justification.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Contract addresses a specific need for power infrastructure.
Awarded to a company within the relevant manufacturing sector.

Sector Analysis

The contract falls within the electrical equipment manufacturing sector, specifically power, distribution, and specialty transformers. This is a niche market often characterized by specialized engineering and manufacturing capabilities. The market size for such specialized mobile substations is not publicly detailed but is tied to the broader electrical infrastructure and grid modernization efforts. This contract represents a specific procurement for critical grid support equipment.

Small Business Impact

This contract was not awarded to a small business, nor does it appear to have a small business set-aside component. There is no information available regarding subcontracting plans for small businesses. The award to G & RK Consulting Associates LLC, a company whose size is not specified but likely not a small business given the contract value, does not directly benefit the small business ecosystem through this specific procurement.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Energy's contracting officers and program managers. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver the specified substation at the agreed-upon price. Transparency is limited due to the sole-source nature of the award and the lack of publicly available detailed cost breakdowns or performance metrics.

Related Government Programs

Power Grid Modernization Programs
Electrical Infrastructure Upgrades
Emergency Power Solutions
Specialty Transformer Manufacturing Contracts

Risk Flags

Sole-source award
Limited public performance data
Lack of competitive benchmarking

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $2.0 million to G & RK CONSULTING ASSOCIATES LLC. NDMO MOBILE SUBSTATION 115X69-12.47KV

Who is the contractor on this award?

The obligated recipient is G & RK CONSULTING ASSOCIATES LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.0 million.

What is the period of performance?

Start: 2021-09-29. End: 2022-12-30.

What is the specific technical capability and past performance record of G & RK Consulting Associates LLC for delivering mobile substations?

Information regarding G & RK Consulting Associates LLC's specific technical capabilities and past performance in delivering mobile substations of this scale is limited in the public domain. While the company is categorized under NAICS code 335311 (Power, Distribution, and Specialty Transformer Manufacturing), detailed project histories, client testimonials, or case studies for similar mobile substation deployments are not readily available. Further investigation into federal procurement databases or industry-specific reports might yield more insights, but based on standard public contract award notices, a comprehensive understanding of their track record for this specific type of equipment is not immediately apparent. This lack of readily accessible performance data is a key consideration when evaluating the risk associated with a sole-source award.

How does the $2,000,497 contract value compare to market rates for similar mobile substations?

Benchmarking the $2,000,497 contract value against market rates for similar mobile substations is challenging due to the specialized nature of the equipment and the sole-source award. Mobile substations vary significantly in voltage ratings, capacity (kVA), features (e.g., switchgear, protection systems), and mobility (trailer-mounted vs. skid-mounted). Without specific technical requirements and a competitive bidding process, it's difficult to ascertain if this price reflects optimal market value. Typically, a competitive process would yield multiple quotes, allowing for direct comparison. Given the lack of competition and detailed specifications in the award notice, a definitive value-for-money assessment based on market rates is not feasible. Further due diligence would involve obtaining quotes for comparable units from other manufacturers or reviewing historical data for similar sole-source procurements.

What are the primary risks associated with this sole-source contract award?

The primary risks associated with this sole-source contract award include potential overpricing due to the absence of competitive bidding, limited assurance of best value, and potential vendor lock-in if the contractor possesses unique capabilities. Without competition, the government lacks the leverage to negotiate the lowest possible price. There's also a risk that the contractor may not be the most innovative or efficient provider available in the market. Furthermore, the limited public information on G & RK Consulting Associates LLC's specific experience with mobile substations introduces performance risk. The government must rely heavily on the justification for the sole-source award and the contractor's representations to mitigate these risks.

What is the expected impact of this mobile substation on the Department of Energy's power grid operations?

This mobile substation is expected to enhance the Department of Energy's (DOE) power grid operational flexibility and resilience. Mobile substations serve as critical temporary or emergency replacements for fixed substations during maintenance, repairs, or unexpected outages. They allow for the continuity of power supply, preventing disruptions to essential services and facilities. For the DOE, this asset likely supports grid stability, facilitates planned infrastructure upgrades without service interruption, and provides rapid response capabilities during grid emergencies. Its deployment in Colorado suggests it will bolster the reliability of power distribution within the DOE's operational areas in that state.

What is the historical spending pattern for mobile substations by the Department of Energy?

Analyzing the historical spending patterns for mobile substations by the Department of Energy (DOE) requires access to comprehensive federal procurement data. While this specific $2 million award is noted, understanding the broader trend involves looking at previous awards for similar equipment, their values, contract types (competitive vs. sole-source), and the contractors involved. Without a detailed historical analysis, it's difficult to establish a pattern. However, the need for mobile substations is generally driven by grid maintenance, modernization, and emergency preparedness requirements. Spending in this area can fluctuate based on infrastructure age, investment in grid upgrades, and the occurrence of natural disasters or other events necessitating temporary power solutions.

Industry Classification

NAICS: Manufacturing › Electrical Equipment Manufacturing › Power, Distribution, and Specialty Transformer Manufacturing

Product/Service Code: ELECTRIC WIRE, POWER DISTRIB EQPT

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 89503421QWA000444

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5575 S SYCAMORE ST STE 312, LITTLETON, CO, 80120

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,000,497

Exercised Options: $2,000,497

Current Obligation: $2,000,497

Actual Outlays: $2,000,497

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline