DoD awards $10.45M contract for motor control centers, with 2 bidders competing

Contract Overview

Contract Amount: $10,454,952 ($10.5M)

Contractor: Pick Electric, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-12-01

End Date: 2026-10-07

Contract Duration: 1,406 days

Daily Burn Rate: $7.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: MOTOR CONTROL CENTER SU1-SU4

Place of Performance

Location: BRIDGEPORT, DOUGLAS County, WASHINGTON, 98813

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $10.5 million to PICK ELECTRIC, INC. for work described as: MOTOR CONTROL CENTER SU1-SU4 Key points: 1. Value for money appears reasonable given the firm-fixed-price structure and competitive award. 2. Competition dynamics indicate a healthy market for this specialized construction service. 3. Risk indicators are moderate, with a long performance period and definitive contract type. 4. Performance context suggests a need for reliable power infrastructure within the Army. 5. Sector positioning places this contract within the broader Defense construction and infrastructure domain.

Value Assessment

Rating: good

The contract's firm-fixed-price nature provides cost certainty for the government. Benchmarking against similar contracts for power and communication line construction is challenging without more specific details on the scope of work for the motor control centers. However, the presence of two bidders suggests a competitive environment that likely drove a reasonable price. The total award amount of $10.45 million over approximately 3.8 years indicates a significant investment in critical infrastructure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while competition was sought, certain sources were excluded. The presence of two bidders suggests that the market for this specific type of work may be limited, or that the exclusion criteria narrowed the field. The level of competition, while not fully open, likely still provided some price discovery.

Taxpayer Impact: With two bidders, taxpayers benefit from a degree of price competition, which is generally preferable to a sole-source award. However, the exclusion of other potential sources means the full benefit of open competition may not have been realized.

Public Impact

The Department of Defense, specifically the Department of the Army, is the primary beneficiary, receiving essential infrastructure upgrades. The contract delivers critical motor control centers, likely for power distribution and management within military facilities. The geographic impact is centered in Washington state, where the contract is being performed. Workforce implications include the creation of jobs for skilled construction and electrical workers involved in the project.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long performance period (over 3.8 years) increases the risk of cost overruns or scope creep if not managed tightly.
The 'Exclusion of Sources' clause warrants scrutiny to ensure it was justified and did not unduly limit competition.
Definitive contract type can sometimes offer less flexibility than other contract types, potentially leading to issues if unforeseen circumstances arise.

Positive Signals

Firm-fixed-price contract type locks in costs, providing budget certainty for the government.
Award to a single contractor (PICK ELECTRIC, INC.) suggests established capability and potentially a streamlined management process.
The contract is being performed in Washington state, potentially supporting local economic activity and workforce.

Sector Analysis

This contract falls within the construction and infrastructure sector, specifically related to electrical systems and power management. The North American Industry Classification System (NAICS) code 237130, 'Power and Communication Line and Related Structures Construction,' categorizes this work. Spending in this area is crucial for maintaining and upgrading essential facilities for government operations, particularly within the defense sector where reliable power is paramount.

Small Business Impact

The data indicates that small business participation was not a primary focus for this contract, as the 'small business set-aside' flag is false. There is no explicit mention of subcontracting requirements for small businesses. This suggests that the prime contractor, PICK ELECTRIC, INC., is likely a larger entity, and the contract's value and scope may not have been structured to facilitate significant small business involvement.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant Department of the Army contracting command. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver specified goods or services at an agreed-upon price. Transparency is facilitated through contract award databases, though detailed performance reports may not be publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Military Construction
Base Operations Support
Electrical Infrastructure Modernization
Department of Defense Facilities Management

Risk Flags

Potential for limited competition due to source exclusion.
Long contract duration increases performance risk.
Lack of detailed scope of work in summary data hinders full analysis.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.5 million to PICK ELECTRIC, INC.. MOTOR CONTROL CENTER SU1-SU4

Who is the contractor on this award?

The obligated recipient is PICK ELECTRIC, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $10.5 million.

What is the period of performance?

Start: 2022-12-01. End: 2026-10-07.

What is the specific scope of work for these motor control centers and how do they integrate into existing Army infrastructure?

The provided data does not detail the specific technical requirements or integration plans for the motor control centers (MCCs). Motor control centers are typically assemblies of motor starters, controllers, and associated components used to control and protect electric motors. For the Department of the Army, these MCCs could be critical for managing power distribution to various operational systems, HVAC, or other essential equipment within barracks, maintenance facilities, or command centers. Understanding their precise function and integration points would require reviewing the contract's Statement of Work (SOW) or Performance Work Statement (PWS). Without this, it's difficult to fully assess the necessity and complexity of the awarded work.

How does the $10.45 million award compare to historical spending on similar motor control center projects by the Department of Defense?

Direct comparison of the $10.45 million award for these specific motor control centers to historical spending is challenging without more granular data on the scope, quantity, and complexity of previously awarded contracts. The NAICS code 237130 covers a broad range of power and communication line construction. To perform a meaningful comparison, one would need to identify prior contracts for similar MCC systems, potentially within the Department of the Army or other DoD branches, specifying the number of units, their capacity, and the extent of installation and integration required. The current award is for a definitive contract with a long performance period, suggesting a substantial project, but its relative cost-effectiveness against past procurements requires a deeper dive into contract line item details and market research reports.

What are the key performance indicators (KPIs) for this contract, and how will the Army measure contractor success?

The provided data does not explicitly list the Key Performance Indicators (KPIs) for this contract. However, for a firm-fixed-price contract involving construction of critical infrastructure like motor control centers, typical KPIs would likely revolve around schedule adherence (on-time completion), quality of work (meeting technical specifications and industry standards), safety compliance (zero or minimal accidents), and successful system integration and testing. The Army would likely measure success through regular progress reviews, site inspections, acceptance testing of the installed MCCs, and final project closeout documentation. The contract's long duration suggests phased milestones and performance evaluations throughout its term.

What is the track record of PICK ELECTRIC, INC. with the Department of Defense, particularly on similar infrastructure projects?

Information regarding the specific track record of PICK ELECTRIC, INC. on similar Department of Defense infrastructure projects is not detailed in the provided data. To assess their past performance, one would typically consult the Contractor Performance Assessment Reporting System (CPARS) or similar government databases. These systems often contain ratings and feedback on previous contracts, including aspects like technical performance, cost control, schedule adherence, and management. Without access to CPARS data or other performance histories, it is difficult to definitively evaluate PICK ELECTRIC, INC.'s suitability and reliability for this $10.45 million contract.

Given the 'Full and Open Competition After Exclusion of Sources' award type, what was the justification for excluding other potential bidders?

The justification for excluding certain sources under 'Full and Open Competition After Exclusion of Sources' is not provided in the summary data. This award type implies that a broad solicitation was initially considered, but specific criteria or circumstances led to the limitation of the bidding pool. Potential justifications could include specific technical requirements that only a limited number of firms could meet, national security concerns, or prior relationships/investments in specific technologies. A thorough review of the contract file, specifically the Justification and Approval (J&A) document, would be necessary to understand the rationale behind the source exclusion and to assess whether it was appropriate and in the government's best interest.

Industry Classification

NAICS: Construction › Utility System Construction › Power and Communication Line and Related Structures Construction

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912DW22R0006

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4805 N FLORIDA ST, SPOKANE, WA, 99217

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

Financial Breakdown

Contract Ceiling: $10,454,952

Exercised Options: $10,454,952

Current Obligation: $10,454,952

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline