National Archives awards $3.8M electric power contract to Interstate Power and Light Company for a decade

Contract Overview

Contract Amount: $379,726 ($379.7K)

Contractor: Interstate Power and Light Company

Awarding Agency: National Archives and Records Administration

Start Date: 2023-10-01

End Date: 2033-09-30

Contract Duration: 3,652 days

Daily Burn Rate: $104/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: HOOVER LIBRARY ELECTRIC AND GAS CONTRACT.

Place of Performance

Location: WEST BRANCH, CEDAR County, IOWA, 52358

State: Iowa Government Spending

Plain-Language Summary

National Archives and Records Administration obligated $379,725.63 to INTERSTATE POWER AND LIGHT COMPANY for work described as: HOOVER LIBRARY ELECTRIC AND GAS CONTRACT. Key points: 1. Contract value appears reasonable for a 10-year duration, covering essential utility services. 2. Limited competition due to the nature of utility services in a specific geographic area. 3. Risk indicators include potential for price increases over the long contract term. 4. Performance context is critical for ensuring reliable power supply to the Hoover Library. 5. Sector positioning is within the essential utilities and infrastructure services for government facilities.

Value Assessment

Rating: good

The contract value of approximately $3.8 million over 10 years averages to $380,000 annually. This appears to be a fair price for essential electric power distribution services to a large federal facility like the Hoover Library. Benchmarking against similar utility contracts for government buildings of comparable size and service needs would provide a more precise value assessment, but the duration suggests a stable, predictable cost for a necessary service.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, likely due to the nature of utility services which are often provided by a single franchised provider within a specific geographic area. Interstate Power and Light Company is the designated provider for the Hoover Library's location. The lack of competition means there was no opportunity for price negotiation through a bidding process, relying instead on regulated utility rates.

Taxpayer Impact: Taxpayers are reliant on the regulated rates of the sole provider, with limited ability to benefit from competitive pricing.

Public Impact

The Hoover Library and its operations are the primary beneficiaries, ensuring continuous power supply. Essential services, including electricity for lighting, climate control, and equipment, are delivered. The geographic impact is localized to West Branch, Iowa, where the Hoover Library is situated. Workforce implications are minimal, as this contract primarily covers utility provision rather than direct employment generation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price escalations over the 10-year term.
Dependence on a single provider for a critical service.
Lack of competitive pressure to drive down costs.

Positive Signals

Ensures reliable and continuous power supply for a significant federal facility.
Long-term contract provides budget stability for essential services.
Established provider likely has a deep understanding of the facility's needs.

Sector Analysis

The electric power distribution sector is a mature and essential industry. Government contracts in this area typically involve long-term agreements with utility providers to ensure reliable service for federal facilities. The market is characterized by regulated monopolies in many service areas, leading to sole-source or limited competition awards. Spending benchmarks for utility services can vary widely based on facility size, location, and energy consumption patterns.

Small Business Impact

This contract does not appear to involve small business set-asides. As a sole-source utility contract, the primary provider is likely a large, established utility company. There are no explicit indications of subcontracting opportunities for small businesses within the provided data.

Oversight & Accountability

Oversight for this contract would primarily fall under the National Archives and Records Administration (NARA). Accountability measures would focus on the reliable delivery of electric power as per the contract terms. Transparency is generally maintained through federal contract databases, though the specific details of utility rate structures may be subject to regulatory oversight rather than direct contract transparency.

Related Government Programs

Federal Utility Contracts
Government Facility Operations
Energy Services for Federal Buildings
National Archives and Records Administration Contracts

Risk Flags

Sole-source award
Long contract duration (10 years)
Potential for price escalation

Frequently Asked Questions

What is this federal contract paying for?

National Archives and Records Administration awarded $379,725.63 to INTERSTATE POWER AND LIGHT COMPANY. HOOVER LIBRARY ELECTRIC AND GAS CONTRACT.

Who is the contractor on this award?

The obligated recipient is INTERSTATE POWER AND LIGHT COMPANY.

Which agency awarded this contract?

Awarding agency: National Archives and Records Administration (National Archives and Records Administration).

What is the total obligated amount?

The obligated amount is $379,725.63.

What is the period of performance?

Start: 2023-10-01. End: 2033-09-30.

What is the historical spending pattern for electric power at the Hoover Library?

Historical spending data for electric power at the Hoover Library prior to this 10-year contract is not provided in the current data. However, the award of a definitive contract for a 10-year period suggests a need for stable, long-term utility provision. Understanding past expenditures would offer a baseline for assessing the value proposition of this new contract, particularly if the annual cost is significantly higher or lower than previous periods. Without this historical context, it is difficult to definitively state whether this contract represents an increase or decrease in cost relative to prior service.

How does the annual cost of this contract compare to similar federal facilities in Iowa?

Comparing the annual cost of this contract ($380,000) to similar federal facilities in Iowa requires access to data on the size, energy consumption, and specific utility service agreements of those facilities. Federal buildings vary greatly in their energy needs, from small offices to large research centers or archives. A facility of the Hoover Library's nature, which houses historical records and likely requires significant climate control and security systems, may have higher energy demands than a standard office building. Therefore, a direct comparison without detailed facility profiles and energy usage data would be speculative. However, for a large, specialized facility, this annual cost for essential utilities appears within a reasonable range for the sector.

What are the specific risks associated with a 10-year utility contract?

The primary risks associated with a 10-year utility contract include potential price escalations over the long term, especially if the contract allows for adjustments based on market fluctuations or regulatory changes. There is also the risk of service disruptions, although this is mitigated by the nature of utility providers. Furthermore, a long-term commitment to a single provider, even if regulated, limits the government's ability to benefit from potential future market innovations or more competitive pricing structures that might emerge. Dependence on a sole provider for a critical service also presents a risk if the provider faces financial instability or operational issues.

What oversight mechanisms are in place for this sole-source utility contract?

Oversight for this sole-source utility contract is primarily managed by the National Archives and Records Administration (NARA). NARA's contracting officers and facility managers are responsible for monitoring the contractor's performance to ensure the reliable delivery of electric power as stipulated in the contract. Accountability would be measured against service level agreements and adherence to the terms and conditions. While the contract itself is a public record, the specific details of utility rate structures and regulatory compliance are often overseen by state utility commissions, which indirectly provide a layer of oversight on the pricing and service standards.

What is the track record of Interstate Power and Light Company with federal contracts?

Information regarding Interstate Power and Light Company's specific track record with federal contracts, beyond this award, is not detailed in the provided data. As a utility provider, their primary engagement with government entities is likely through regulated service agreements rather than competitive federal procurements. Their operational history and reliability as a utility provider in their service territory would be the most relevant indicator of their capability to fulfill this contract. A review of their regulatory compliance and service history with other large customers, including any government facilities, would provide further insight into their performance.

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

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Alliant Energy Corporation

Address: 3106 INGERSOLL AVE, DES MOINES, IA, 50312

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

Financial Breakdown

Contract Ceiling: $1,450,726

Exercised Options: $1,450,726

Current Obligation: $379,726

Actual Outlays: $265,343

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline