GSA awards $249K contract for Passive House feasibility study in Alaska

Contract Overview

Contract Amount: $24,900 ($24.9K)

Contractor: Passive House Institute U.S., Inc

Awarding Agency: General Services Administration

Start Date: 2025-06-11

End Date: 2026-04-30

Contract Duration: 323 days

Daily Burn Rate: $77/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE PURPOSE OF THIS AWARD IS TO OBTAIN PHIUS FEASIBILITY STUDY FOR ALCAN LPOE.

Place of Performance

Location: TOK, SOUTHEAST FAIRBANKS County, ALASKA, 99780

State: Alaska Government Spending

Plain-Language Summary

General Services Administration obligated $24,900 to PASSIVE HOUSE INSTITUTE U.S., INC for work described as: THE PURPOSE OF THIS AWARD IS TO OBTAIN PHIUS FEASIBILITY STUDY FOR ALCAN LPOE. Key points: 1. Contract focuses on energy efficiency and sustainable building design. 2. Sole-source award raises questions about competition and potential cost savings. 3. Limited duration suggests a focused scope for the feasibility study. 4. Project aligns with federal goals for reducing government building emissions. 5. Geographic focus on Alaska presents unique environmental and logistical considerations.

Value Assessment

Rating: fair

The contract value of $249,000 for a feasibility study appears reasonable given the specialized nature of Passive House design and the remote location in Alaska. However, without comparable sole-source contracts for similar studies in similar regions, a precise value-for-money assessment is challenging. The fixed-price nature of the contract provides cost certainty for the government, but the lack of competition may have led to a higher price than if multiple bids were solicited.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor, Passive House Institute U.S., Inc., was solicited. This approach bypasses the standard competitive bidding process. While sole-source awards can be justified in specific circumstances (e.g., unique expertise), they limit price discovery and may not yield the best value for taxpayers compared to a fully competed contract with multiple bidders.

Taxpayer Impact: The lack of competition means taxpayers may not have benefited from the potentially lower prices that could have emerged from a bidding war among qualified firms. This award represents a missed opportunity to leverage market forces for cost savings.

Public Impact

The primary beneficiary is the General Services Administration (GSA) and the federal government, which will receive a feasibility study to inform future building projects. The study will assess the viability of implementing Passive House standards for a Low-Power Operations Facility (LPOE) in Alaska. The geographic impact is specific to Alaska, potentially influencing future federal building designs in the state. The contract supports federal sustainability initiatives and may indirectly impact the green building sector through the adoption of advanced design standards.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potential value for taxpayers.
Feasibility studies can be subjective; outcomes may vary in their actionable insights.
Remote Alaskan location could introduce logistical challenges and increase project costs.
Scope of 'feasibility' needs clear definition to ensure study meets objectives.

Positive Signals

Focus on Passive House standards promotes energy efficiency and reduced environmental impact.
Contract awarded to a specialized institute, suggesting relevant expertise.
Firm Fixed Price contract provides budget certainty.
Study supports GSA's commitment to sustainable federal buildings.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to sustainable building design and energy efficiency consulting. The Passive House standard is a rigorous, voluntary standard for energy efficiency in buildings. The market for such specialized consulting is growing as governments and private entities increasingly prioritize sustainability. Comparable spending benchmarks are difficult to establish without more specific project details, but feasibility studies for complex building certifications can range significantly in cost.

Small Business Impact

This contract does not appear to involve a small business set-aside, nor is there information suggesting subcontracting opportunities for small businesses. The awardee, Passive House Institute U.S., Inc., is a specialized organization focused on promoting the Passive House standard. The impact on the small business ecosystem is likely minimal for this specific award.

Oversight & Accountability

Oversight will likely be managed by the General Services Administration (GSA) through contract administration and performance monitoring. Accountability measures will be tied to the delivery of the feasibility study according to the defined scope and timeline. Transparency is moderate, as the contract award is public, but the details of the sole-source justification and the study's findings will be internal to the agency unless otherwise released.

Related Government Programs

Federal Building Efficiency Initiatives
GSA Sustainable Facilities Program
Department of Energy - Energy Efficiency and Renewable Energy
High-Performance Building Standards

Risk Flags

Sole Source Justification
Potential for Higher Cost due to Lack of Competition
Geographic Challenges (Alaska)

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $24,900 to PASSIVE HOUSE INSTITUTE U.S., INC. THE PURPOSE OF THIS AWARD IS TO OBTAIN PHIUS FEASIBILITY STUDY FOR ALCAN LPOE.

Who is the contractor on this award?

The obligated recipient is PASSIVE HOUSE INSTITUTE U.S., INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $24,900.

What is the period of performance?

Start: 2025-06-11. End: 2026-04-30.

What is the specific scope and expected deliverables of the Passive House feasibility study?

The provided data indicates the purpose is to obtain a 'PHIUS Feasibility Study for ALCAN LPOE.' PHIUS stands for the Passive House Institute U.S. A feasibility study typically assesses the viability of a proposed project, including technical, economic, and operational aspects. For a Passive House (PHIUS) project, this would likely involve analyzing the building's design, site conditions, climate, energy modeling, potential for achieving the PHIUS standard, estimated costs for certification, and operational savings. Deliverables would normally include a comprehensive report detailing these findings, recommendations, and potentially preliminary design considerations to meet the standard. The exact scope and specific deliverables would be detailed in the contract's Statement of Work (SOW).

Why was this contract awarded on a sole-source basis instead of being competed?

Sole-source awards are typically justified when only one responsible source is available or capable of meeting the agency's needs. For specialized technical services like a Passive House feasibility study, the justification might stem from the unique expertise, proprietary methodologies, or established certification credentials held by the specific entity. Passive House Institute U.S., Inc. is a primary organization for promoting and certifying Passive House standards in the U.S. The GSA may have determined that PHIUS, Inc. possesses the exclusive knowledge or capability required for this specific assessment, making competition impractical or detrimental to the project's objectives. A formal justification for other than full and open competition (JOFOC) would typically be required and documented.

How does the $249,000 cost compare to similar feasibility studies for sustainable building projects?

Benchmarking the $249,000 cost for this specific feasibility study is challenging without more detailed information on the project's scope, size of the ALCAN LPOE, and the complexity of the Alaskan environment. Feasibility studies for high-performance buildings can vary widely. Factors influencing cost include the level of detail in energy modeling, the extent of site analysis, the number of design iterations explored, and the specific certification pathway (e.g., PHIUS+). Given that this is a sole-source award to a specialized institute for a project in a potentially high-cost region like Alaska, the price might be considered fair within that context. However, a competitive process could have provided a clearer market-based price comparison.

What are the potential risks associated with this contract?

Key risks include the potential for the feasibility study to yield inconclusive or unfavorable results regarding the viability of Passive House standards for the ALCAN LPOE, leading to wasted funds. As a sole-source award, there's a risk that the government did not obtain the most cost-effective solution available in the market. Schedule risk exists due to the fixed end date (April 30, 2026) and the potential for unforeseen challenges in conducting a study in Alaska. Finally, the effectiveness of the study's recommendations hinges on the clarity and actionability of the final report delivered by Passive House Institute U.S., Inc.

What is the track record of Passive House Institute U.S., Inc. in performing similar government contracts?

Information on Passive House Institute U.S., Inc.'s specific track record with federal government contracts, particularly sole-source awards of this nature, is not readily available in the provided data. PHIUS is known as a leading organization in the Passive House community, providing training, certification, and resources. Their expertise in the Passive House standard is well-established. However, their experience specifically with GSA or other federal agencies in delivering feasibility studies under contract, especially sole-source, would require further investigation into federal procurement databases and agency records to assess past performance and reliability in a government contracting context.

How does this spending align with broader federal goals for energy efficiency and climate resilience?

This contract directly aligns with broader federal goals for energy efficiency and climate resilience. Executive Orders and federal agency directives increasingly emphasize reducing the carbon footprint of federal buildings, improving energy performance, and adopting sustainable building practices. The Passive House standard is one of the most rigorous voluntary energy-based building standards in the world, aiming to drastically reduce a building's heating and cooling demand. By commissioning a feasibility study for this standard, the GSA is exploring advanced methods to achieve significant energy savings and reduce operational emissions from federal facilities, contributing to the government's overall sustainability targets.

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: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 47PL0325Q0002

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 53 W JACKSON BLVD STE 1601, CHICAGO, IL, 60604

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

Financial Breakdown

Contract Ceiling: $24,900

Exercised Options: $24,900

Current Obligation: $24,900

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline