GSA Awards $7M Energy Savings Contract to Ameresco Inc. for 8 Buildings Across Three States

Contract Overview

Contract Amount: $6,997,995 ($7.0M)

Contractor: Ameresco Inc

Awarding Agency: General Services Administration

Start Date: 2018-10-01

End Date: 2042-12-31

Contract Duration: 8,857 days

Daily Burn Rate: $790/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Energy

Official Description: IGF::OT::IGF ENERGY SAVINGS PERFORMANCE CONTRACT INVOLVES THE INSTALLATION AND LONG TERM MEASUREMENT AND VERIFICATION OF ENERGY CONSERVATION MEASURES IN 8 GSA BUILDINGS IN SOUTH CAROLINA, GEORGIA, AND TENNESSEE.

Place of Performance

Location: COLUMBIA, RICHLAND County, SOUTH CAROLINA, 29201

State: South Carolina Government Spending

Plain-Language Summary

General Services Administration obligated $7.0 million to AMERESCO INC for work described as: IGF::OT::IGF ENERGY SAVINGS PERFORMANCE CONTRACT INVOLVES THE INSTALLATION AND LONG TERM MEASUREMENT AND VERIFICATION OF ENERGY CONSERVATION MEASURES IN 8 GSA BUILDINGS IN SOUTH CAROLINA, GEORGIA, AND TENNESSEE. Key points: 1. Ameresco Inc. secured a significant contract for energy efficiency upgrades across multiple GSA facilities. 2. The contract spans 14 years, indicating a long-term commitment to energy conservation. 3. Competition was full and open, suggesting a potentially competitive pricing environment. 4. The sector focuses on engineering services for energy savings, a critical area for government sustainability.

Value Assessment

Rating: good

The contract value of $6,997,994.67 for 8 buildings over 14 years appears reasonable given the scope of energy conservation measures and long-term measurement and verification. Benchmarking against similar ESPCs would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing. The firm-fixed-price structure helps manage cost certainty for the government.

Taxpayer Impact: This contract aims to reduce energy consumption and costs for the government, leading to long-term taxpayer savings through improved building efficiency.

Public Impact

Taxpayers benefit from reduced energy expenditures in federal buildings. Improved energy efficiency contributes to environmental sustainability goals. The project supports modernization of federal infrastructure. Long-term performance guarantees ensure sustained energy savings.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (14 years) may require ongoing monitoring for sustained performance.
Potential for scope creep or unforeseen technical challenges in older buildings.

Positive Signals

Focus on energy savings aligns with federal sustainability mandates.
Full and open competition suggests potential for cost-effectiveness.
Performance-based contract structure incentivizes Ameresco to deliver results.

Sector Analysis

This contract falls within the Engineering Services sector, specifically focusing on energy savings performance contracts (ESPCs). ESPCs are a key mechanism for federal agencies to improve energy efficiency and reduce utility costs without upfront capital investment, often benchmarked against established energy reduction targets.

Small Business Impact

The provided data does not indicate any specific subcontracting goals for small businesses on this contract. Further investigation would be needed to determine the extent of small business participation.

Oversight & Accountability

The General Services Administration (GSA) is responsible for overseeing this contract. The long-term nature of the contract necessitates robust oversight to ensure performance standards are met and taxpayer funds are used efficiently.

Related Government Programs

Engineering Services
General Services Administration Contracting
Public Buildings Service Programs

Risk Flags

Long contract duration
Performance-based contract
Energy conservation focus
Firm-fixed-price
Full and open competition

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $7.0 million to AMERESCO INC. IGF::OT::IGF ENERGY SAVINGS PERFORMANCE CONTRACT INVOLVES THE INSTALLATION AND LONG TERM MEASUREMENT AND VERIFICATION OF ENERGY CONSERVATION MEASURES IN 8 GSA BUILDINGS IN SOUTH CAROLINA, GEORGIA, AND TENNESSEE.

Who is the contractor on this award?

The obligated recipient is AMERESCO INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $7.0 million.

What is the period of performance?

Start: 2018-10-01. End: 2042-12-31.

What is the projected return on investment for this energy savings contract?

The projected return on investment is directly tied to the realized energy savings over the 14-year contract period. While the contract value is approximately $7 million, the actual savings will depend on the effectiveness of the installed conservation measures and accurate measurement and verification. GSA's performance-based approach aims to ensure savings exceed costs, but a detailed ROI calculation would require specific energy usage data and projected savings figures.

What are the primary risks associated with the long-term performance of this contract?

Key risks include the potential for degradation of installed equipment over the 14-year term, inaccurate energy savings measurement, and changes in building occupancy or usage that affect energy consumption. Additionally, shifts in energy prices could impact the perceived value of savings. Robust M&V protocols and contingency planning are crucial to mitigate these risks.

How effectively does this contract leverage competition to ensure value for taxpayers?

The contract was awarded through full and open competition, which is a strong indicator of efforts to secure competitive pricing. The firm-fixed-price structure further enhances value by transferring cost risk to the contractor. However, the ultimate effectiveness in ensuring taxpayer value depends on the contractor's ability to deliver projected savings and the rigor of the GSA's oversight.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 111 SPEEN ST STE 410, FRAMINGHAM, MA, 01701

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

Financial Breakdown

Contract Ceiling: $21,157,236

Exercised Options: $6,997,995

Current Obligation: $6,997,995

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DEAM3609GO29029

IDV Type: IDC

Timeline