DoD Awards $17M for Electric Distribution Utility Services at March ARB, CA to City Light & Power, Inc

Contract Overview

Contract Amount: $16,982,490 ($17.0M)

Contractor: City Light & Power, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-09-21

End Date: 2027-01-22

Contract Duration: 6,332 days

Daily Burn Rate: $2.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Energy

Official Description: UTILITY SERVICES FOR ELECTRIC DISTRIBUTION SYSTEM AT MARCH ARB, CA

Place of Performance

Location: MARCH ARB, RIVERSIDE County, CALIFORNIA, 92518

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $17.0 million to CITY LIGHT & POWER, INC. for work described as: UTILITY SERVICES FOR ELECTRIC DISTRIBUTION SYSTEM AT MARCH ARB, CA Key points: 1. Contract awarded to City Light & Power, Inc. for utility services. 2. The contract has a total value of $16,982,489.92. 3. Competition method was 'Full and Open Competition'. 4. The contract duration is 6332 days, ending January 22, 2027. 5. This falls under the Electric Power Distribution (ND) product service code.

Value Assessment

Rating: good

The contract value of $16.98M over approximately 17 years suggests a reasonable annual cost for utility services. Benchmarking against similar long-term utility contracts would provide a more precise assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. This method typically leads to more competitive pricing as multiple vendors have the opportunity to bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring the government receives the best possible price for goods and services.

Public Impact

Ensures reliable electric power distribution for March Air Reserve Base. Supports critical military operations and infrastructure at the base. Long-term contract provides stability for service provider and government planning. Potential for energy efficiency improvements over the contract term.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long contract duration (17 years) may limit flexibility for future technology adoption or price renegotiation.
  • No indication of small business participation.

Positive Signals

  • Awarded under full and open competition.
  • Long-term contract provides service continuity.
  • Fixed-price contract provides cost certainty.

Sector Analysis

This contract falls within the utilities sector, specifically electric power distribution. Long-term contracts are common for essential infrastructure services to ensure reliability and operational continuity for government facilities.

Small Business Impact

The data indicates that this contract was not awarded to a small business (ss: false, sb: false). Further analysis would be needed to determine if small business subcontracting opportunities were pursued or required.

Oversight & Accountability

The contract was awarded by the Department of the Air Force, a component of the Department of Defense. Standard oversight mechanisms for federal contracts would apply, including performance monitoring and financial accountability.

Related Government Programs

  • Electric Power Distribution
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Long contract duration.
  • No indication of small business participation.
  • Potential for price volatility in energy markets over 17 years.
  • Lack of specific performance metrics or service level agreements in provided data.

Tags

electric-power-distribution, department-of-defense, ca, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.0 million to CITY LIGHT & POWER, INC.. UTILITY SERVICES FOR ELECTRIC DISTRIBUTION SYSTEM AT MARCH ARB, CA

Who is the contractor on this award?

The obligated recipient is CITY LIGHT & POWER, INC..

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 $17.0 million.

What is the period of performance?

Start: 2009-09-21. End: 2027-01-22.

What is the average annual cost for these utility services, and how does it compare to similar contracts at other military installations?

The total contract value is $16,982,489.92 over approximately 6332 days (about 17.3 years). This averages to roughly $978,000 per year. A comparative analysis with similar utility service contracts at other Air Force bases or DoD installations of comparable size and operational needs would be necessary to determine if this represents a competitive or benchmarked price.

What are the specific risks associated with a 17-year fixed-price contract for electric utility services?

A significant risk is the potential for unforeseen technological advancements or changes in energy market prices that could make the fixed price disadvantageous to either the government or the contractor over the long term. Inflationary pressures could also erode the value for the contractor, potentially impacting service quality if not managed proactively. Conversely, the government might miss out on potential cost savings if market prices decrease significantly.

How does this contract contribute to the overall energy resilience and operational effectiveness of March ARB?

This contract is crucial for ensuring a consistent and reliable supply of electricity, which is fundamental for all operations at March ARB. By outsourcing these services to a specialized provider under a long-term agreement, the base can focus on its core mission, assured of essential utility support. The fixed-price nature provides budget predictability, contributing to effective resource management and operational planning.

Industry Classification

NAICS: UtilitiesElectric Power Generation, Transmission and DistributionElectric Power Distribution

Product/Service Code: UTILITIES AND HOUSEKEEPINGUTILITIES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Amber Infrastructure LLC

Address: 2961 REDONDO AVE, LONG BEACH, CA, 90806

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $38,642,305

Exercised Options: $38,642,305

Current Obligation: $16,982,490

Actual Outlays: $957,936

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2009-09-21

Current End Date: 2027-01-22

Potential End Date: 2027-01-22 00:00:00

Last Modified: 2025-01-17

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