DoD's Maxwell AFB ESPC contract awarded to Brewer-Garrett for $12.2M, spanning over 15 years

Contract Overview

Contract Amount: $12,235,000 ($12.2M)

Contractor: THE Brewer-Garrett Company

Awarding Agency: Department of Defense

Start Date: 2025-09-29

End Date: 2049-03-25

Contract Duration: 8,578 days

Daily Burn Rate: $1.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Energy

Official Description: ENERGY SAVINGS PERFORMANCE CONTRACT (ESPC) FOR MAXWELL AIR FORCE BASE (MAFB)

Place of Performance

Location: MONTGOMERY, MONTGOMERY County, ALABAMA, 36112

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $12.2 million to THE BREWER-GARRETT COMPANY for work described as: ENERGY SAVINGS PERFORMANCE CONTRACT (ESPC) FOR MAXWELL AIR FORCE BASE (MAFB) Key points: 1. The contract aims to achieve energy efficiency and cost savings through performance contracting. 2. The long duration suggests a significant, multi-faceted energy upgrade project. 3. The fixed-price nature provides cost certainty for the government. 4. The award was made under full and open competition, indicating a robust bidding process. 5. The contract's success hinges on the contractor's ability to deliver projected energy savings. 6. The project is situated in Alabama, potentially impacting local energy infrastructure and workforce.

Value Assessment

Rating: good

The contract value of $12.2 million over approximately 15 years represents a substantial investment in energy infrastructure. Benchmarking against similar ESPC projects is challenging without specific details on the scope of work and energy conservation measures. However, the fixed-price structure suggests that the government has negotiated a defined cost for the services, which is a positive indicator for value. The ultimate value will be realized through verified energy savings.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, meaning that all responsible sources were permitted to submit bids. This typically leads to a more competitive environment, potentially driving down prices and encouraging innovation. The presence of 10 bids (no) suggests a healthy level of interest and competition for this ESPC project.

Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring that the government receives the best possible value through a competitive bidding process, leading to potentially lower costs and higher quality services.

Public Impact

Maxwell Air Force Base will benefit from improved energy efficiency and potentially reduced utility costs. The contract will deliver energy conservation measures and infrastructure upgrades. The geographic impact is primarily within Alabama, specifically at Maxwell AFB. The project may create or sustain jobs in the energy services and construction sectors in the local area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if energy savings projections are not met.
Reliance on contractor performance for achieving financial benefits.
Long contract duration may require ongoing monitoring and adaptation to changing energy technologies.

Positive Signals

Awarded through full and open competition, indicating a competitive process.
Fixed-price contract provides cost certainty.
Focus on energy savings aligns with federal sustainability goals.

Sector Analysis

Energy savings performance contracts (ESPCs) are a key mechanism for federal agencies to improve energy efficiency and reduce operational costs without upfront capital investment. These contracts leverage private sector expertise and financing to implement energy conservation measures. The market for ESPCs is significant, driven by federal mandates for sustainability and cost reduction. This contract fits within the broader energy services sector, specifically focusing on government facilities.

Small Business Impact

The provided data does not indicate whether this contract included small business set-asides or subcontracting goals. However, given the nature of large-scale energy performance contracts, there is often an opportunity for small businesses to participate as subcontractors, particularly in specialized areas of construction, installation, or maintenance.

Oversight & Accountability

Oversight for this contract will likely be managed by the Defense Logistics Agency (DLA) and Maxwell Air Force Base personnel. Performance will be monitored against the agreed-upon energy savings and project milestones. The fixed-price nature of the contract provides a degree of accountability, and the long-term nature may involve periodic reviews and adjustments. Transparency would be enhanced through public reporting of energy savings achieved.

Related Government Programs

Energy Efficiency and Conservation Block Grants
Federal Energy Management Program (FEMP)
Department of Defense Energy Initiatives

Risk Flags

Long contract duration may increase risk of technological obsolescence.
Success is dependent on accurate energy savings projections and contractor performance.
Potential for scope creep if not managed tightly.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.2 million to THE BREWER-GARRETT COMPANY. ENERGY SAVINGS PERFORMANCE CONTRACT (ESPC) FOR MAXWELL AIR FORCE BASE (MAFB)

Who is the contractor on this award?

The obligated recipient is THE BREWER-GARRETT COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $12.2 million.

What is the period of performance?

Start: 2025-09-29. End: 2049-03-25.

What specific energy conservation measures are included in this ESPC?

The provided data does not detail the specific energy conservation measures (ECMs) to be implemented under this Energy Savings Performance Contract (ESPC) for Maxwell Air Force Base. Typically, ESPCs can encompass a wide range of upgrades such as lighting retrofits, HVAC system modernizations, building envelope improvements (insulation, windows), renewable energy installations (solar), water conservation measures, and smart building controls. The exact scope would be defined in the contract's technical exhibits and would be tailored to the specific energy usage patterns and infrastructure of Maxwell AFB. The success of the contract is directly tied to the effectiveness and implementation of these chosen ECMs in generating the projected energy savings.

How does the $12.2 million contract value compare to similar ESPC projects at other military bases?

Directly comparing the $12.2 million contract value to similar ESPC projects at other military bases is challenging without detailed information on the scope of work, the size and age of the facilities being upgraded, and the specific energy conservation measures (ECMs) included. ESPC projects can vary significantly in cost based on these factors. For instance, a contract focused solely on lighting upgrades would likely be less expensive than one involving comprehensive HVAC replacements, building envelope improvements, and renewable energy installations. However, $12.2 million represents a substantial investment, suggesting a significant scope of work aimed at achieving considerable energy savings over the contract's 15-year duration. It is within the typical range for large-scale ESPCs at major federal facilities.

What are the key performance indicators (KPIs) for this contract, and how will energy savings be verified?

Key performance indicators (KPIs) for this Energy Savings Performance Contract (ESPC) would primarily revolve around the achievement and verification of guaranteed energy savings. The contract likely specifies a baseline energy consumption for Maxwell Air Force Base, against which post-implementation consumption will be measured. Verification methods typically follow established protocols, such as the International Performance Measurement and Verification Protocol (IPMVP). This involves ongoing monitoring of energy usage, adjustments for variables like weather and occupancy, and regular reporting by the contractor. The government will likely have a designated point of contact to review these reports and conduct independent verification. Failure to meet guaranteed savings could result in financial penalties or require the contractor to implement additional measures.

What is the track record of The Brewer-Garrett Company in delivering ESPC projects for the federal government?

The Brewer-Garrett Company has a history of working on energy performance contracts, including for federal agencies. Information regarding their specific track record with the Department of Defense or other federal entities would require a deeper dive into contract databases and performance reviews. Generally, companies that secure ESPC contracts with the government have demonstrated technical expertise in energy efficiency, project financing, and performance measurement. Potential concerns or positive signals regarding their track record could be assessed by examining past project outcomes, client satisfaction, and any history of disputes or contract modifications. A thorough review would involve looking at the scale and complexity of their previous ESPC projects and their success in meeting guaranteed savings.

How does the duration of this contract (over 15 years) impact risk and potential for technological obsolescence?

The long duration of this Energy Savings Performance Contract (ESPC), exceeding 15 years, presents both opportunities and risks. On the positive side, it allows for the amortization of significant upfront investments in energy conservation measures (ECMs) and provides a sustained period for realizing energy cost savings, which is crucial for the financial viability of ESPCs. However, a long duration also increases the risk of technological obsolescence. Energy technologies evolve rapidly, and measures installed early in the contract might become outdated before its completion. To mitigate this, ESPC contracts often include provisions for technology refreshes or performance adjustments. The government should ensure that the contract allows for incorporating newer, more efficient technologies if they become available and cost-effective during the contract term, and that the contractor's proposed solutions have a reasonable lifespan.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: SP060424R0401

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6800 EASTLAND RD, MIDDLEBURG HEIGHTS, OH, 44130

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

Financial Breakdown

Contract Ceiling: $144,035,470

Exercised Options: $107,913,474

Current Obligation: $12,235,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 89243423DEE000015

IDV Type: IDC

Timeline