DOJ's $300K electric services contract for Federal Prison System awarded to Eversource Energy

Contract Overview

Contract Amount: $300,000 ($300.0K)

Contractor: Eversource Energy Service Company

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-03-31

Contract Duration: 181 days

Daily Burn Rate: $1.7K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ELECTRIC SERVICES FY26 GS-00P-16-BSD-1211

Place of Performance

Location: MANCHESTER, HILLSBOROUGH County, NEW HAMPSHIRE, 03101

State: New Hampshire Government Spending

Plain-Language Summary

Department of Justice obligated $300,000 to EVERSOURCE ENERGY SERVICE COMPANY for work described as: ELECTRIC SERVICES FY26 GS-00P-16-BSD-1211 Key points: 1. Contract awarded for electric power distribution services, indicating essential utility provision. 2. The contract duration is 181 days, suggesting a short-term or interim need. 3. Awarded as a Delivery Order, implying it's part of a larger indefinite delivery contract. 4. The contract is firm-fixed-price, providing cost certainty for the government. 5. The contract is not subject to small business set-asides. 6. The contract is for electric power distribution, a critical infrastructure service.

Value Assessment

Rating: fair

The contract value of $300,000 for 181 days of electric power distribution services appears reasonable for a federal prison facility. Without specific details on the facility's energy consumption or the scope of services included (e.g., maintenance, emergency response), a direct comparison to similar contracts is challenging. However, the firm-fixed-price structure offers predictability. The absence of detailed cost breakdowns or performance metrics makes a thorough value assessment difficult, but the amount is not excessively high for essential utility services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a sole-source justification, indicating that competition was not sought. This could be due to the nature of the service, the specific location of the facility, or existing utility infrastructure arrangements. The lack of competition means that the government did not benefit from potential price reductions or service enhancements that might arise from a competitive bidding process. This approach limits the government's ability to explore alternative providers or negotiate more favorable terms.

Taxpayer Impact: For taxpayers, a sole-source award means there is a reduced likelihood of achieving the lowest possible price for these essential services. The absence of competitive pressure could lead to higher costs than might be realized in an open market scenario.

Public Impact

The primary beneficiaries are the inmates and staff of the Federal Prison System facility in New Hampshire, who will receive reliable electric power. The service delivered is essential electric power distribution, ensuring the basic functioning of the correctional facility. The geographic impact is localized to the specific federal prison facility in New Hampshire. There are no direct workforce implications as this contract is for utility services, not direct labor provision.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Limited transparency into the justification for sole-source award.
Potential for price increases in future contract renewals if competition is not introduced.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Ensures essential utility services for a federal facility.
Awarded to a known energy provider, likely with established infrastructure.

Sector Analysis

The electric power distribution sector is a critical utility service, essential for the operation of all government facilities. This contract falls within the broader utilities and infrastructure services category. While specific market size data for federal prison electricity is not readily available, the overall U.S. electric power industry is vast, with significant investments in distribution networks. Federal agencies are major consumers of energy, and contracts for utility services are common across various sectors, often involving established regional providers.

Small Business Impact

This contract does not include a small business set-aside. Eversource Energy Service Company is a large utility provider. There are no indications of subcontracting opportunities for small businesses within this specific award, as the service is directly provided by the utility company.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Justice's Bureau of Prisons. Accountability measures would involve ensuring the continuous and reliable delivery of electric power as per the contract terms. Transparency is limited due to the sole-source nature of the award and the lack of public detail regarding the justification. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Prison System Utilities
Department of Justice Energy Contracts
Electric Power Distribution Services
Government Facility Operations

Risk Flags

Sole-source award limits competition.
Lack of detailed performance metrics.
Short contract duration may indicate interim need or part of a larger framework.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $300,000 to EVERSOURCE ENERGY SERVICE COMPANY. ELECTRIC SERVICES FY26 GS-00P-16-BSD-1211

Who is the contractor on this award?

The obligated recipient is EVERSOURCE ENERGY SERVICE COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $300,000.

What is the period of performance?

Start: 2025-10-01. End: 2026-03-31.

What is the specific justification for awarding this electric services contract on a sole-source basis to Eversource Energy Service Company?

The provided data indicates the contract was awarded as 'NOT AVAILABLE FOR COMPETITION,' which is synonymous with a sole-source justification. While the specific rationale is not detailed, common reasons for sole-source awards in utility services include situations where only one provider can supply the necessary service due to geographic exclusivity (e.g., only one power company serves the area), existing infrastructure integration, or unique technical requirements that only one vendor can meet. For a federal prison, ensuring uninterrupted service is paramount, and if Eversource is the sole provider with the necessary infrastructure and reliability, a sole-source award might be deemed necessary to maintain operational continuity. Further details would require accessing the contract's justification documentation.

How does the $300,000 contract value compare to typical electric service costs for similar federal facilities?

Benchmarking this $300,000 contract value for 181 days of electric services for a federal prison is challenging without more specific data on the facility's size, energy consumption profile, and the exact scope of services (e.g., basic power delivery vs. comprehensive maintenance and emergency response). However, for a facility of this nature, $300,000 for approximately six months of essential utility services does not appear excessively high, especially considering the critical need for reliability in a correctional environment. Larger facilities or those with higher energy demands would naturally incur greater costs. Without comparative data on per-kilowatt-hour rates or total energy expenditure for comparable Bureau of Prisons facilities, a definitive value-for-money assessment remains difficult.

What are the potential risks associated with a sole-source award for essential utility services like electric power?

The primary risk associated with a sole-source award for essential utility services is the potential for inflated costs due to the lack of competitive pressure. Taxpayers may end up paying more than they would if multiple vendors had competed for the contract. Another risk is a potential decline in service quality or innovation over time, as the incumbent provider may have less incentive to improve offerings when there is no threat of losing the contract to a competitor. Furthermore, sole-source awards can reduce transparency and make it harder to ensure the government is receiving the best possible value. Dependence on a single provider can also pose a risk if that provider experiences financial difficulties or operational disruptions.

What is the expected performance standard for electric power distribution services under this contract?

While the specific performance standards are not detailed in the provided data, contracts for essential utility services like electric power distribution typically include requirements for reliability, availability, and timely response to outages or issues. For a federal prison, these standards are likely to be stringent, emphasizing continuous power supply and minimal downtime. The firm-fixed-price nature of the contract suggests that Eversource Energy Service Company is responsible for delivering the service at the agreed-upon price, regardless of fluctuations in their own costs, provided the scope of work is met. Performance would likely be monitored by the Bureau of Prisons contracting officer's representative (COR) to ensure compliance with service level agreements, which may be detailed in the full contract.

How does this contract fit into the broader spending patterns for federal prison operations and utilities?

This $300,000 contract represents a relatively small portion of the overall budget for federal prison operations, which encompass staffing, inmate services, maintenance, food, and security. Utility costs, including electricity, are a necessary operational expense. Spending on electricity can vary significantly based on the size, age, and location of the facility, as well as climate control needs. While this specific award is for a limited duration (181 days), it reflects the ongoing need for reliable power. Federal agencies, including the Bureau of Prisons, often have multi-year contracts or indefinite-delivery/indefinite-quantity (IDIQ) vehicles for essential services like utilities, with individual delivery orders like this one being placed as needed. This contract appears to be a delivery order under such an arrangement.

Industry Classification

NAICS: Utilities › Electric Power Generation, Transmission and Distribution › Electric Power Distribution

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: 107 SELDEN ST, BERLIN, CT, 06037

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

Financial Breakdown

Contract Ceiling: $300,000

Exercised Options: $300,000

Current Obligation: $300,000

Actual Outlays: $144,899

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00P16BSD1211

IDV Type: IDC

Timeline