DOT Awards $436M for Motor & Generator Manufacturing to Discovery Energy, LLC
Contract Overview
Contract Amount: $4,365,645 ($4.4M)
Contractor: Discovery Energy, LLC
Awarding Agency: Department of Transportation
Start Date: 2022-08-18
End Date: 2027-09-30
Contract Duration: 1,869 days
Daily Burn Rate: $2.3K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: CLOSELY ASSOCIATED TO INHERENTLY GOVERNMENTAL FUNCTIONS
Place of Performance
Location: SALT LAKE CITY, SALT LAKE County, UTAH, 84116
State: Utah Government Spending
Plain-Language Summary
Department of Transportation obligated $4.4 million to DISCOVERY ENERGY, LLC for work described as: CLOSELY ASSOCIATED TO INHERENTLY GOVERNMENTAL FUNCTIONS Key points: 1. Contract awarded to Discovery Energy, LLC for motor and generator manufacturing. 2. The contract has a significant value of $436,564,500. 3. Competition method was 'Full and Open Competition'. 4. The contract duration is 1869 days, ending September 30, 2027. 5. The award is associated with inherently governmental functions.
Value Assessment
Rating: fair
The contract value is substantial. Benchmarking against similar motor and generator manufacturing contracts is difficult without more specific details on the scope of work and technical requirements. The fixed-price nature suggests an attempt to control costs.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally promotes competitive pricing. However, the specific impact on price discovery depends on the number and quality of bids received.
Taxpayer Impact: Taxpayer funds are being used for motor and generator manufacturing. The use of full and open competition aims to ensure the best value for taxpayer money.
Public Impact
Supports critical infrastructure needs within the Federal Aviation Administration. Potential for job creation in the motor and generator manufacturing sector. Ensures availability of essential components for government operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Association with inherently governmental functions requires careful oversight.
- Long contract duration may introduce risks if requirements change.
Positive Signals
- Full and open competition utilized.
- Firm fixed price contract type.
Sector Analysis
This contract falls within the Motor and Generator Manufacturing sector. Spending in this sector can vary widely based on defense, infrastructure, and energy needs. Benchmarking requires comparison to similar large-scale manufacturing contracts.
Small Business Impact
The data indicates this contract was not awarded to a small business (ss: false, sb: false). Therefore, there is no direct small business participation evident from this award alone.
Oversight & Accountability
Oversight will be crucial given the contract's association with inherently governmental functions and its long duration. The Federal Aviation Administration will need robust mechanisms to monitor performance and ensure compliance.
Related Government Programs
- Motor and Generator Manufacturing
- Department of Transportation Contracting
- Federal Aviation Administration Programs
Risk Flags
- Association with inherently governmental functions.
- Long contract duration (over 5 years).
- Lack of specific technical details for benchmarking.
- No small business participation indicated.
Tags
motor-and-generator-manufacturing, department-of-transportation, ut, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $4.4 million to DISCOVERY ENERGY, LLC. CLOSELY ASSOCIATED TO INHERENTLY GOVERNMENTAL FUNCTIONS
Who is the contractor on this award?
The obligated recipient is DISCOVERY ENERGY, LLC.
Which agency awarded this contract?
Awarding agency: Department of Transportation (Federal Aviation Administration).
What is the total obligated amount?
The obligated amount is $4.4 million.
What is the period of performance?
Start: 2022-08-18. End: 2027-09-30.
What specific motor and generator components are being procured, and how do they align with the FAA's mission critical needs?
The specific components are not detailed in the provided data. However, their procurement by the Federal Aviation Administration suggests they are essential for aviation infrastructure, safety systems, or operational equipment. Understanding the exact nature of these components is key to assessing their criticality and ensuring they meet stringent aviation standards.
What were the key factors that led to Discovery Energy, LLC being selected as the awardee under full and open competition?
Under full and open competition, the awardee is typically selected based on a combination of factors including technical capability, past performance, price, and adherence to solicitation requirements. Discovery Energy, LLC likely demonstrated superior qualifications or offered the most advantageous proposal according to the evaluation criteria set forth by the FAA.
How does the $436M contract value compare to typical spending for similar motor and generator manufacturing services by the FAA or other federal agencies?
Without specific details on the scope and technical specifications of the motors and generators, a direct comparison is challenging. However, $436 million represents a significant investment, suggesting either a large quantity of units, highly complex or specialized equipment, or a long-term supply agreement for critical components.
Industry Classification
NAICS: Manufacturing › Electrical Equipment Manufacturing › Motor and Generator Manufacturing
Product/Service Code: INSTRUMENTS AND LABORATORY EQPT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 200 TWIN OAKS RD, KOHLER, WI, 53044
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $4,365,645
Exercised Options: $4,365,645
Current Obligation: $4,365,645
Actual Outlays: $1,475,078
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DTFAWA12D00020
IDV Type: IDC
Timeline
Start Date: 2022-08-18
Current End Date: 2027-09-30
Potential End Date: 2027-09-30 00:00:00
Last Modified: 2026-04-02
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