DoD's FY25 Water and Wastewater Utilities Contract Awarded to Bay State Utility Services for $5.67M

Contract Overview

Contract Amount: $5,670,455 ($5.7M)

Contractor: BAY State Utility Services, LLC

Awarding Agency: Department of Defense

Start Date: 2025-04-15

End Date: 2026-04-14

Contract Duration: 364 days

Daily Burn Rate: $15.6K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: FISCAL YEAR 2025 ANNUAL WATER AND WASTEWATER UTILITIES

Place of Performance

Location: BUZZARDS BAY, BARNSTABLE County, MASSACHUSETTS, 02542

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $5.7 million to BAY STATE UTILITY SERVICES, LLC for work described as: FISCAL YEAR 2025 ANNUAL WATER AND WASTEWATER UTILITIES Key points: 1. Contract value of $5.67 million for FY25 utilities services. 2. Awarded to Bay State Utility Services, LLC. 3. Services cover water and wastewater utilities. 4. Contract duration is 364 days. 5. Geographic location is Massachusetts. 6. Procurement type is a delivery order. 7. Pricing is fixed with economic price adjustment. 8. No small business set-aside was utilized.

Value Assessment

Rating: fair

The contract value of $5.67 million for a one-year period for water and wastewater utilities appears to be within a reasonable range for a Department of Defense facility. However, without specific details on the scope of services, volume of water/wastewater treated, or the specific facility's needs, a precise value-for-money assessment is challenging. Benchmarking against similar contracts for military installations of comparable size and complexity would be necessary for a more definitive evaluation of pricing and value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as 'NOT AVAILABLE FOR COMPETITION,' indicating a sole-source or limited competition procurement. The specific justification for this approach is not provided in the data. A sole-source award typically means that only one vendor was considered capable of meeting the requirement, or that the circumstances of the procurement did not allow for a competitive process. This limits the opportunity for price discovery and potentially leads to higher costs compared to a fully competed contract.

Taxpayer Impact: For taxpayers, a sole-source award means there is a reduced likelihood of achieving the lowest possible price, as competition is a key driver for cost savings in government contracting.

Public Impact

Military personnel and their families residing at the Department of the Army facility in Massachusetts will benefit from reliable water and wastewater services. Essential utility services, including water supply and wastewater treatment, will be maintained. The geographic impact is localized to the specific Department of the Army installation in Massachusetts. The contract supports jobs within the utility services sector, specifically for Bay State Utility Services, LLC.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition may lead to suboptimal pricing.
  • Economic price adjustment clause could increase final costs beyond initial estimates.
  • Limited data on contractor performance history for this specific service.

Positive Signals

  • Awarded to a specific LLC, indicating a defined contractor.
  • Contract is for essential utility services, ensuring operational continuity.
  • Fixed-price structure with economic adjustment provides some cost predictability.

Sector Analysis

The water and wastewater utilities sector is a critical component of infrastructure, supporting both public and private entities. Federal spending in this area often supports military bases, federal buildings, and other government operations. The market for these services is typically characterized by established utility providers and specialized contractors. This contract fits within the broader category of facility maintenance and operations spending, ensuring the continuous provision of essential services for a government installation.

Small Business Impact

This contract was not awarded as a small business set-aside, and there is no indication of subcontracting requirements for small businesses. This means that opportunities for small businesses to participate in this specific contract are likely limited, unless they are direct subcontractors to Bay State Utility Services, LLC. The absence of a set-aside suggests that the primary contractor was selected without specific goals for small business participation.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and facility management divisions. Accountability measures would be tied to the performance standards outlined in the contract's statement of work. Transparency is facilitated by the public availability of contract awards, though detailed justifications for sole-source awards are not always readily accessible. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

  • Federal Buildings Fund
  • Military Construction, Army
  • Operations and Maintenance, Army
  • Environmental Protection Agency Grants

Risk Flags

  • Sole-source award lacks competitive pricing.
  • Economic price adjustment introduces cost uncertainty.
  • Limited public information on contractor performance.

Tags

defense, department-of-the-army, massachusetts, delivery-order, fixed-price-economic-price-adjustment, sole-source, utilities, water-supply, wastewater-treatment, facility-operations

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.7 million to BAY STATE UTILITY SERVICES, LLC. FISCAL YEAR 2025 ANNUAL WATER AND WASTEWATER UTILITIES

Who is the contractor on this award?

The obligated recipient is BAY STATE UTILITY SERVICES, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $5.7 million.

What is the period of performance?

Start: 2025-04-15. End: 2026-04-14.

What is the specific scope of services covered by this water and wastewater utilities contract?

The provided data indicates the contract is for 'Water Supply and Irrigation Systems' and covers 'Water and Wastewater Utilities.' However, the precise scope of services is not detailed. This would typically include the operation and maintenance of water treatment facilities, distribution systems, wastewater collection and treatment, and potentially storm water management. The specific volume of water processed, the number of users served, and the exact infrastructure maintained are crucial details for a comprehensive understanding of the services delivered and for accurate cost benchmarking.

How does the $5.67 million contract value compare to similar water and wastewater utility contracts for Department of Defense facilities?

A direct comparison of the $5.67 million contract value is difficult without more specific data points. Factors such as the size of the military installation, the population served, the age and condition of the existing infrastructure, and the specific service requirements (e.g., advanced treatment processes, emergency response capabilities) significantly influence contract costs. To benchmark effectively, one would need to identify comparable DoD facilities in similar geographic regions with similar utility needs and analyze their historical contract awards for water and wastewater services over the same or similar timeframes.

What is the justification for awarding this contract on a sole-source basis ('NOT AVAILABLE FOR COMPETITION')?

The data explicitly states the contract was 'NOT AVAILABLE FOR COMPETITION,' implying a sole-source award. The specific justification for this determination is not provided. Common reasons for sole-source awards include the urgency of the requirement, the unavailability of other sources, or a unique capability possessed by only one contractor. Without the official justification document (e.g., a Justification and Approval for Other Than Full and Open Competition), it is impossible to ascertain the precise rationale. This lack of competition raises concerns about potential overpricing and reduced value for taxpayer funds.

What are the potential risks associated with the 'FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT' contract type?

The 'FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT' (FPEPA) contract type aims to provide price stability while acknowledging potential fluctuations in input costs, such as labor, materials, or energy. For the government, the primary risk is that the economic price adjustment clauses could lead to higher final costs than initially anticipated if market prices for key inputs rise significantly. While it offers some protection against unforeseen cost increases for the contractor, it shifts some of that risk to the government, potentially increasing the overall expenditure beyond the initial fixed price.

What is the historical spending pattern for water and wastewater utilities at this specific Department of the Army facility?

The provided data only pertains to the FY25 annual contract. To understand historical spending patterns, one would need to access contract award data for previous fiscal years for this specific Army facility or for the broader command responsible for its operation. Analyzing past contract values, durations, and awarded contractors would reveal trends in spending, identify any significant cost increases or decreases, and highlight any changes in the contracting approach (e.g., shifts from competitive to sole-source awards). This historical context is crucial for assessing whether the current $5.67 million award represents a reasonable continuation of past spending or a significant deviation.

Industry Classification

NAICS: UtilitiesWater, Sewage and Other SystemsWater Supply and Irrigation Systems

Product/Service Code: UTILITIES AND HOUSEKEEPINGUTILITIES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Address: 3250 KITTREDGE ROAD, BUZZARDS BAY, MA, 02542

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

Financial Breakdown

Contract Ceiling: $6,537,672

Exercised Options: $6,537,672

Current Obligation: $5,670,455

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9133L23D6900

IDV Type: IDC

Timeline

Start Date: 2025-04-15

Current End Date: 2026-04-14

Potential End Date: 2026-04-14 00:00:00

Last Modified: 2025-12-11

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