DoD's $25M Power Generation Contract Awarded via Full and Open Competition

Contract Overview

Contract Amount: $24,975,598 ($25.0M)

Contractor: Miscellaneous Foreign Awardees

Awarding Agency: Department of Defense

Start Date: 2007-08-30

End Date: 2010-10-15

Contract Duration: 1,142 days

Daily Burn Rate: $21.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: {PIIN: W91B4N07C0075} POWER GENERATION

Plain-Language Summary

Department of Defense obligated $25.0 million to MISCELLANEOUS FOREIGN AWARDEES for work described as: {PIIN: W91B4N07C0075} POWER GENERATION Key points: 1. Contract awarded for power generation services, indicating a need for reliable energy infrastructure. 2. The use of Firm Fixed Price contract type suggests a clear scope and predictable costs. 3. A single award indicates a focused approach to fulfilling a specific requirement. 4. The contract duration of over three years points to a significant, ongoing need. 5. Awarded by the Department of the Army, highlighting defense-related infrastructure support. 6. The broad service category of Administrative Management and General Management Consulting Services is noted, though the specific service is power generation.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific performance metrics or comparable power generation contracts. The total value of approximately $25 million over three years suggests a substantial investment. However, without details on the scope of 'power generation' (e.g., capacity, fuel type, location), assessing value for money is difficult. The firm fixed-price nature provides cost certainty, but the ultimate value depends on the efficiency and reliability of the power provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition,' indicating that all responsible sources were permitted to submit bids. This approach generally fosters a competitive environment, encouraging multiple bidders to offer their best pricing and solutions. The fact that it was competed fully suggests the agency sought the widest possible range of options and competitive pricing.

Taxpayer Impact: A full and open competition is generally favorable for taxpayers as it is expected to drive down costs through market forces and encourage innovation from a broad base of potential contractors.

Public Impact

The primary beneficiaries are likely Department of Defense operations requiring reliable power generation. Services delivered include the provision and potentially maintenance of power generation capabilities. The geographic impact is likely tied to specific military installations or operational areas requiring power. Workforce implications could include jobs for technicians, engineers, and support staff involved in power generation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The broad NAICS code 'Administrative Management and General Management Consulting Services' for a power generation contract raises questions about the specific nature of the services procured.
Lack of detailed performance metrics makes it difficult to assess the effectiveness and efficiency of the power generation services.
The contract's duration and value, without clear performance indicators, warrant scrutiny to ensure continued value.

Positive Signals

Awarded through full and open competition, suggesting a robust and fair bidding process.
The firm fixed-price contract type provides cost predictability for the government.
The contract addresses a critical infrastructure need for the Department of Defense.

Sector Analysis

The power generation sector is a critical component of national infrastructure, supporting everything from civilian utilities to military operations. This contract falls within the broader energy and defense infrastructure markets. Comparable spending benchmarks would typically involve analyzing other government contracts for power generation equipment, installation, and maintenance, as well as private sector utility investments, though direct comparisons are difficult without specific technical details.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a small business set-aside. The prime contractor, identified as 'MISCELLANEOUS FOREIGN AWARDEES,' suggests a large, potentially non-US-based entity, which may or may not engage small businesses for support services.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and program management offices. Accountability measures are inherent in the firm fixed-price structure, which obligates the contractor to deliver specified services at an agreed-upon price. Transparency is generally facilitated through contract databases like FPDS, where basic award information is publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of Defense Energy Contracts
Military Base Infrastructure Support
Contingency Operations Support
Foreign Military Sales Support (potential, given awardee type)
Power Infrastructure Modernization

Risk Flags

Potential geopolitical risks associated with foreign awardees.
Ambiguity in service description due to broad NAICS code.
Need for robust oversight to ensure performance and security.
Challenges in benchmarking value without detailed scope.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.0 million to MISCELLANEOUS FOREIGN AWARDEES. {PIIN: W91B4N07C0075} POWER GENERATION

Who is the contractor on this award?

The obligated recipient is MISCELLANEOUS FOREIGN AWARDEES.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.0 million.

What is the period of performance?

Start: 2007-08-30. End: 2010-10-15.

What specific type of power generation services were procured under this contract, and what were the key performance requirements?

The contract PIIN W91B4N07C0075 is broadly categorized under 'POWER GENERATION' with a NAICS code of 541611 (Administrative Management and General Management Consulting Services). This discrepancy suggests the contract may involve management or consulting related to power generation rather than direct provision of equipment or services. Without access to the detailed contract statement of work (SOW), the specific type of services (e.g., generator installation, fuel supply, operational management, consulting on energy strategy) and their performance requirements remain unclear. The total award value of $24,975,598.33 over approximately 1142 days (about 3 years) indicates a significant undertaking, likely supporting a critical operational need for the Department of the Army.

How does the awarded amount of approximately $25 million compare to similar power generation contracts awarded by the Department of Defense or other federal agencies?

Comparing the $25 million award for power generation services is difficult without more specific details on the contract's scope (e.g., capacity, duration, location, type of generation). Federal contracts for power generation can range from small purchases of generators to multi-billion dollar deals for large-scale power plant construction or long-term energy supply agreements. For instance, contracts for renewable energy installations on military bases or for providing electricity to remote installations can vary widely. The firm fixed-price nature and the 'Miscellaneous Foreign Awardees' designation add further complexity to direct benchmarking. A more precise comparison would require identifying contracts with similar service descriptions, geographic locations, and contract durations within the DoD or other agencies.

What are the potential risks associated with a contract awarded to 'Miscellaneous Foreign Awardees' for power generation services?

Awarding power generation services to 'Miscellaneous Foreign Awardees' can introduce several risks. These include potential geopolitical risks, such as instability in the awardee's home country affecting service delivery or supply chains. There may also be challenges related to compliance with US regulations, security standards, and intellectual property rights. Furthermore, logistical complexities in managing a foreign entity, including communication barriers, differing business practices, and currency fluctuations, can arise. Ensuring the reliability and security of critical power infrastructure managed by foreign entities requires robust oversight and clear contractual terms addressing these potential risks.

Given the contract's duration and value, what is the expected impact on the operational readiness and energy security of the supported Department of the Army units?

A contract valued at approximately $25 million over three years for power generation is expected to significantly bolster the operational readiness and energy security of the supported Department of the Army units. Reliable and consistent power is fundamental for command and control systems, troop housing, equipment operation, and logistical support. By outsourcing or managing power generation, the Army can ensure a stable energy supply, potentially reducing reliance on vulnerable or outdated infrastructure. This contract likely aims to provide critical power in operational theaters or domestic installations where consistent energy is paramount for mission success and personnel welfare, thereby enhancing overall force projection and sustainment capabilities.

What is the historical spending pattern for power generation services by the Department of the Army, and how does this contract fit within that trend?

Historical spending by the Department of the Army on power generation services is substantial, reflecting the vast energy needs of global military operations and installations. The Army consistently invests in maintaining and upgrading its power infrastructure, including generators, fuel supply, and sometimes renewable energy solutions. This $25 million contract, awarded in 2007 for a duration of over three years, represents a specific procurement effort within a broader, ongoing trend of ensuring energy resilience and operational capability. Without detailed historical data segmented by service type and location, it's hard to pinpoint its exact place in the trend, but it signifies a continued commitment to securing reliable power sources, likely for a specific base, deployment, or operational requirement.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: MISCELLANEOUS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2011 CRYSTAL DR STE 911, ARLINGTON, VA, 08

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $24,975,598

Exercised Options: $24,975,598

Current Obligation: $24,975,598

Contract Characteristics

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline