DoD Awards $31.2M for Water Conservation Systems to Johnson Controls, Ending in 2038
Contract Overview
Contract Amount: $31,204,784 ($31.2M)
Contractor: Johnson Controls Government Systems, LLC
Awarding Agency: Department of Defense
Start Date: 2013-09-30
End Date: 2038-12-01
Contract Duration: 9,193 days
Daily Burn Rate: $3.4K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: WATER AND SEWER CONSERVATION SYSTEMS
Place of Performance
Location: FORT BLISS, EL PASO County, TEXAS, 79916
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $31.2 million to JOHNSON CONTROLS GOVERNMENT SYSTEMS, LLC for work described as: WATER AND SEWER CONSERVATION SYSTEMS Key points: 1. Significant long-term contract ($31.2M) for water and sewer conservation systems. 2. Awarded to Johnson Controls Government Systems, LLC, a known entity in the sector. 3. Full and open competition suggests potential for competitive pricing. 4. Long duration (2038) raises questions about adaptability to future technologies and potential price escalation.
Value Assessment
Rating: good
The total award value of $31.2M over a long period suggests a substantial project. Benchmarking against similar large-scale infrastructure or conservation system contracts would be necessary for a precise value assessment, but the duration implies phased funding and potential for cost efficiencies.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method is generally expected to drive competitive pricing and ensure the government receives fair market value.
Taxpayer Impact: Full and open competition is the most favorable method for taxpayers, as it maximizes the potential for cost savings through a competitive bidding process.
Public Impact
Ensures critical infrastructure upgrades for water and sewer conservation. Supports environmental sustainability goals through advanced conservation technologies. Long-term commitment provides stability for the contractor and ensures ongoing system support. Potential for job creation in the Texas region where the contract is managed.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (15+ years) may lead to outdated technology or inflated costs over time.
- Lack of specific performance metrics or KPIs in the provided data.
- Potential for scope creep given the extended period.
Positive Signals
- Awarded through full and open competition, suggesting competitive pricing.
- Focus on water conservation aligns with environmental priorities.
- Experienced contractor likely to deliver reliable solutions.
Sector Analysis
This contract falls under Engineering Services (NAICS 541330), a broad category encompassing design and consulting for various infrastructure projects. Spending in this sector is often driven by modernization needs, regulatory compliance, and sustainability initiatives.
Small Business Impact
The provided data does not indicate any specific set-asides for small businesses. While the prime contractor is Johnson Controls, a large entity, subcontracting opportunities for small businesses may exist within the project's execution.
Oversight & Accountability
The long duration of the contract necessitates robust oversight from the Department of the Army to ensure performance, manage costs, and adapt to any necessary changes over the contract's lifespan.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration (over 15 years) increases risk of technology obsolescence.
- Potential for cost overruns due to extended period and inflation.
- Lack of detailed performance metrics in the award data.
- Scope creep risk over the multi-year performance period.
- Dependence on a single large contractor for a critical, long-term system.
Tags
engineering-services, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $31.2 million to JOHNSON CONTROLS GOVERNMENT SYSTEMS, LLC. WATER AND SEWER CONSERVATION SYSTEMS
Who is the contractor on this award?
The obligated recipient is JOHNSON CONTROLS GOVERNMENT SYSTEMS, 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 $31.2 million.
What is the period of performance?
Start: 2013-09-30. End: 2038-12-01.
What specific technologies or services are included in the 'Water and Sewer Conservation Systems' to justify the $31.2M award over 15 years?
The provided data lacks specifics on the exact technologies or services. However, such systems typically involve advanced monitoring, leak detection, efficient pumping, water treatment, and potentially smart grid integration for water management. The substantial value suggests a comprehensive, long-term solution for significant infrastructure.
How will the Department of Defense ensure the technology remains current and cost-effective given the contract extends to 2038?
Effective contract management will be crucial. This includes incorporating periodic reviews, performance-based incentives, and potentially options for technology refresh or upgrades within the contract terms. Clear milestones and performance metrics tied to modern standards will help mitigate obsolescence risk.
What are the key performance indicators (KPIs) for this contract, and how will they be measured to ensure successful conservation outcomes?
Specific KPIs are not detailed in the provided data. However, typical metrics for such contracts would include percentage reduction in water loss, energy savings from efficient pumping, compliance with environmental regulations, and system uptime/reliability. Regular reporting and independent verification would be essential for tracking these KPIs.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W912DY08R0019
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 507 E. MICHIGAN ST., MILWAUKEE, WI, 53202
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $31,204,784
Exercised Options: $31,204,784
Current Obligation: $31,204,784
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912DY09D0017
IDV Type: IDC
Timeline
Start Date: 2013-09-30
Current End Date: 2038-12-01
Potential End Date: 2038-12-01 00:00:00
Last Modified: 2025-07-16
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