Interior Dept. Awards $1.08M for Fort Peck Utility Services to MDU Resources Group, Inc
Contract Overview
Contract Amount: $108,000 ($108.0K)
Contractor: MDU Resources Group, Inc.
Awarding Agency: Department of the Interior
Start Date: 2026-04-06
End Date: 2027-02-28
Contract Duration: 328 days
Daily Burn Rate: $329/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Energy
Official Description: ELECTRICAL & NATURAL GAS UTILITY SERVICE FOR FORT PECK AGENCY
Place of Performance
Location: BISMARCK, BURLEIGH County, NORTH DAKOTA, 58503
Plain-Language Summary
Department of the Interior obligated $108,000 to MDU RESOURCES GROUP, INC. for work described as: ELECTRICAL & NATURAL GAS UTILITY SERVICE FOR FORT PECK AGENCY Key points: 1. The contract is for electrical and natural gas utility services. 2. MDU Resources Group, Inc. is the sole awardee. 3. The contract duration is 328 days. 4. The award is a delivery order under an unspecified contract. 5. The North American Industry Classification System (NAICS) code is 221112.
Value Assessment
Rating: questionable
The award amount of $1.08 million for utility services over approximately one year is difficult to assess without a clear contract vehicle or historical pricing. The lack of competition raises concerns about potential overpricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract is listed as 'NOT AVAILABLE FOR COMPETITION,' indicating a limited competition approach. This suggests a sole-source or limited-source award, potentially impacting price discovery and value for taxpayers.
Taxpayer Impact: Without competitive bidding, taxpayers may not be receiving the best possible price for these essential utility services.
Public Impact
Ensures continued operation of facilities at Fort Peck Agency. Supports essential services for Bureau of Indian Affairs and Bureau of Indian Education. Potential for higher costs due to lack of competition. Impact on local energy market dynamics is minimal.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Unclear contract vehicle
- Limited transparency on pricing
Positive Signals
- Ensures service continuity
- Supports critical agency operations
Sector Analysis
This contract falls within the utilities sector, specifically focusing on electricity and natural gas. Utility service contracts can vary widely in price depending on location, volume, and competitive landscape. The $1.08 million award for approximately 11 months of service appears moderate for a government agency's needs.
Small Business Impact
There is no indication that small businesses were involved in this specific award, as it was not available for competition and awarded to a large corporation.
Oversight & Accountability
The limited competition nature of this award warrants further oversight to ensure fair pricing and adherence to procurement regulations. The Bureau of Indian Affairs and Bureau of Indian Education should document the justification for limiting competition.
Related Government Programs
- Fossil Fuel Electric Power Generation
- Department of the Interior Contracting
- Bureau of Indian Affairs and Bureau of Indian Education Programs
Risk Flags
- Lack of competitive bidding
- Potential for inflated pricing
- Limited transparency on justification for sole-source award
- Unclear parent contract vehicle
Tags
fossil-fuel-electric-power-generation, department-of-the-interior, nd, delivery-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Interior awarded $108,000 to MDU RESOURCES GROUP, INC.. ELECTRICAL & NATURAL GAS UTILITY SERVICE FOR FORT PECK AGENCY
Who is the contractor on this award?
The obligated recipient is MDU RESOURCES GROUP, INC..
Which agency awarded this contract?
Awarding agency: Department of the Interior (Bureau of Indian Affairs and Bureau of Indian Education).
What is the total obligated amount?
The obligated amount is $108,000.
What is the period of performance?
Start: 2026-04-06. End: 2027-02-28.
What is the specific contract vehicle under which this delivery order was issued, and what were the original terms and pricing?
The provided data does not specify the parent contract vehicle for this delivery order. Understanding the original contract's terms, including its competitive history and pricing structure, is crucial for a thorough value assessment. Without this information, it's challenging to determine if the $1.08 million award represents a fair market price.
What is the justification for this contract being 'NOT AVAILABLE FOR COMPETITION'?
The justification for limiting competition is not provided. Typically, such limitations require a strong rationale, such as a sole-source provider with unique capabilities or an urgent need that precludes a competitive process. Without this justification, it raises concerns about potential missed opportunities for cost savings through competition.
How does the per-unit cost of electricity and natural gas in this contract compare to benchmarks for similar government contracts in North Dakota?
A direct per-unit cost comparison is not possible without detailed usage data and specific energy rates from the contract. However, given the limited competition and the firm fixed-price nature, it is essential to benchmark these rates against regional averages and other government utility contracts to ensure cost-effectiveness.
Industry Classification
NAICS: Utilities › Electric Power Generation, Transmission and Distribution › Fossil Fuel Electric Power Generation
Product/Service Code: UTILITIES AND HOUSEKEEPING › UTILITIES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1200 W CENTURY AVE, BISMARCK, ND, 58503
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $108,000
Exercised Options: $108,000
Current Obligation: $108,000
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS00P15BSD1169
IDV Type: IDC
Timeline
Start Date: 2026-04-06
Current End Date: 2027-02-28
Potential End Date: 2027-03-31 00:00:00
Last Modified: 2026-04-06
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