DoD's $3.6M Wastewater Treatment Contract with Lowndes County Raises Value and Competition Questions

Contract Overview

Contract Amount: $3,625,445 ($3.6M)

Contractor: Lowndes County Board of Commissioners

Awarding Agency: Department of Defense

Start Date: 2021-10-01

End Date: 2026-09-30

Contract Duration: 1,825 days

Daily Burn Rate: $2.0K/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGSA WATER WASTEWATER TREATMENT PLANT SERVICES

Place of Performance

Location: MOODY AFB, LOWNDES County, GEORGIA, 31699

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $3.6 million to LOWNDES COUNTY BOARD OF COMMISSIONERS for work described as: IGSA WATER WASTEWATER TREATMENT PLANT SERVICES Key points: 1. The contract's value proposition is unclear due to a lack of competitive bidding and limited performance data. 2. Sole-source procurement raises concerns about potential overpricing and reduced market responsiveness. 3. The absence of a competitive process limits transparency and taxpayer assurance of a fair price. 4. Performance context is minimal, making it difficult to assess the effectiveness of services rendered. 5. This contract falls within the Defense sector, specifically supporting essential infrastructure at an Air Force installation. 6. The fixed-price nature of the contract shifts some risk to the contractor, but the lack of competition obscures true cost efficiency.

Value Assessment

Rating: questionable

Benchmarking this contract's value is challenging due to its sole-source nature and limited public performance data. The $3.6 million award over five years for wastewater treatment services lacks a clear comparison to similar contracts or market rates. Without competitive bidding, it's difficult to ascertain if the price reflects fair market value or if taxpayers received optimal value for money. The fixed-price structure provides some cost certainty, but the absence of competition prevents a robust assessment of cost-effectiveness.

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 on a sole-source basis. This means that only one vendor was solicited or considered for the award. The lack of competition limits the opportunity for multiple companies to bid, potentially leading to higher prices and reduced innovation. It also raises questions about why a competitive process was not pursued for these essential services.

Taxpayer Impact: Sole-source awards can result in taxpayers paying a premium for goods and services, as there is no market pressure to drive down costs. This limits the government's ability to secure the best possible pricing and value.

Public Impact

The primary beneficiary is the Department of the Air Force, ensuring essential wastewater treatment services at its installation. Services delivered include the operation and maintenance of a wastewater treatment plant. The geographic impact is localized to Lowndes County, Georgia, where the Air Force facility is located. Workforce implications are likely limited to the contractor's employees providing the treatment services, with no direct public employment impact.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition may lead to inflated costs for taxpayers.
  • Limited transparency in the procurement process hinders accountability.
  • Absence of performance metrics makes it difficult to gauge service effectiveness.
  • Sole-source award raises questions about the justification for not seeking competitive bids.

Positive Signals

  • The contract ensures the continuity of essential wastewater treatment services for a military installation.
  • The fixed-price contract structure provides some level of cost predictability.
  • The contractor is responsible for delivering the specified services within the agreed-upon timeframe.

Sector Analysis

Wastewater treatment services represent a critical component of public and industrial infrastructure, often falling under the broader 'Utilities' or 'Environmental Services' sectors. Government contracts in this area are essential for maintaining public health and environmental standards. While specific market size data for federal wastewater treatment contracts is not readily available, it is a significant area of government spending, particularly for military bases and federal facilities. This contract fits within the Defense sector's need for operational support services.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. The sole-source nature of the award further limits opportunities for small businesses to participate in providing these essential services.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve the contracting officer's representative (COR) at the Department of the Air Force, responsible for monitoring performance and ensuring compliance with contract terms. Accountability measures are tied to the fixed-price contract, where the contractor is obligated to deliver services. Transparency is limited due to the sole-source procurement, but contract award data is publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

  • Department of Defense Facilities Maintenance Contracts
  • Environmental Services Contracts
  • Public Utilities Contracts
  • Sewage Treatment Facility Operations

Risk Flags

  • Sole-source procurement
  • Lack of competitive bidding
  • Limited performance data available
  • Unclear value for money assessment

Tags

defense, department-of-defense, department-of-the-air-force, wastewater-treatment, utilities, sole-source, definitive-contract, firm-fixed-price, georgia, lowndes-county, infrastructure, environmental-services

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $3.6 million to LOWNDES COUNTY BOARD OF COMMISSIONERS. IGSA WATER WASTEWATER TREATMENT PLANT SERVICES

Who is the contractor on this award?

The obligated recipient is LOWNDES COUNTY BOARD OF COMMISSIONERS.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2021-10-01. End: 2026-09-30.

What is the track record of Lowndes County Board of Commissioners in managing federal contracts, particularly in wastewater treatment?

Information regarding the specific track record of Lowndes County Board of Commissioners in managing federal contracts, especially in wastewater treatment, is not readily available in the provided data. Federal contract databases typically track performance and past performance ratings for individual contractors. Without access to such detailed historical data or specific performance reviews for this entity on federal contracts, it is difficult to assess their experience and reliability in this domain. Further investigation into federal procurement records and contractor performance databases would be necessary to provide a comprehensive answer on their track record.

How does the per-unit cost of this wastewater treatment service compare to similar contracts awarded by the Department of Defense or other federal agencies?

A direct per-unit cost comparison is not feasible with the provided data. The contract is for 'WATER WASTEWATER TREATMENT PLANT SERVICES' with a total award of $3,625,445.05 over 1825 days (5 years). Without specific metrics on the volume of wastewater treated (e.g., gallons per day, cubic meters per month), the complexity of the treatment required, or the specific services included (e.g., maintenance, repairs, chemical supply), a meaningful per-unit cost benchmark cannot be established. Furthermore, the sole-source nature of this award makes it difficult to compare pricing against competitive market rates.

What are the primary risks associated with this sole-source contract for wastewater treatment services?

The primary risks associated with this sole-source contract include potential cost overruns due to a lack of competitive pressure, which could lead to taxpayers paying more than necessary. There is also a risk of reduced service quality or innovation, as the contractor may have less incentive to improve efficiency or adopt new technologies without competition. Another risk is the potential for vendor lock-in, making it difficult and costly to switch providers in the future. Finally, the lack of transparency inherent in sole-source procurements can obscure potential conflicts of interest or inefficiencies.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract, and how is performance being measured?

The provided data does not specify the key performance indicators (KPIs) or service level agreements (SLAs) for this contract. Typically, contracts for wastewater treatment services would include metrics related to water quality compliance, operational efficiency, response times for maintenance, and adherence to environmental regulations. The absence of this information in the summary data makes it impossible to assess how the contractor's performance is being measured or what standards they are expected to meet. A review of the full contract document would be necessary to identify these specific performance metrics.

What is the historical spending pattern for wastewater treatment services at this specific Air Force installation or within the Department of the Air Force?

The provided data does not include historical spending patterns for wastewater treatment services at this specific Air Force installation or within the Department of the Air Force. To analyze historical spending, one would need access to past contract awards for similar services at this location or across the agency. This would involve querying federal procurement databases for previous contracts, their values, durations, and the contractors involved. Without this historical context, it's challenging to determine if the current $3.6 million award represents an increase, decrease, or stable level of spending for these services.

Why was this contract awarded on a sole-source basis instead of being competed?

The provided data indicates the contract was 'NOT COMPETED UNDER SAP' and awarded as a 'SOLE SOURCE'. However, it does not specify the justification for this sole-source award. Federal regulations allow for sole-source procurements under specific circumstances, such as when only one responsible source can satisfy the agency's needs, or in cases of urgent and compelling need. Without further information from the awarding agency (Department of the Air Force), the specific reason for bypassing a competitive bidding process remains unclear. This lack of transparency is a common concern with sole-source awards.

Industry Classification

NAICS: UtilitiesWater, Sewage and Other SystemsSewage Treatment Facilities

Product/Service Code: OPERATION OF GOVT OWNED FACILITYOPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: FA483021QS009

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 327 N ASHLEY ST, VALDOSTA, GA, 31601

Business Categories: Category Business, Council of Governments, Government, U.S. Local Government, U.S. National Government, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $7,223,159

Exercised Options: $4,538,406

Current Obligation: $3,625,445

Actual Outlays: $163,644

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2021-10-01

Current End Date: 2026-09-30

Potential End Date: 2031-09-30 00:00:00

Last Modified: 2026-01-09

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending