DoD's $41M Energy Resilience Contract Awarded to Concurrent Technologies Corp. for Engineering Services
Contract Overview
Contract Amount: $41,092,564 ($41.1M)
Contractor: Concurrent Technologies Corp
Awarding Agency: Department of Defense
Start Date: 2018-09-04
End Date: 2023-09-29
Contract Duration: 1,851 days
Daily Burn Rate: $22.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: GF ENERGY RESILIENCE AND RELIABILITY SUPPORT
Place of Performance
Location: JOHNSTOWN, CAMBRIA County, PENNSYLVANIA, 15904
Plain-Language Summary
Department of Defense obligated $41.1 million to CONCURRENT TECHNOLOGIES CORP for work described as: GF ENERGY RESILIENCE AND RELIABILITY SUPPORT Key points: 1. Contract focuses on enhancing energy resilience and reliability within the Department of Defense. 2. Awarded through full and open competition, suggesting a competitive bidding process. 3. The contract duration of 1851 days indicates a significant, long-term engagement. 4. Engineering services are critical for infrastructure modernization and operational efficiency. 5. The firm-fixed-price structure aims to control costs and provide predictable spending. 6. The contract's value places it within a substantial spending category for defense infrastructure.
Value Assessment
Rating: good
The contract value of approximately $41 million over five years for engineering services appears reasonable given the scope of enhancing energy resilience and reliability for the Department of the Navy. Benchmarking against similar large-scale defense engineering contracts suggests that the pricing is competitive, especially considering the specialized nature of energy resilience solutions. The firm-fixed-price contract type further supports value for money by shifting cost risk to the contractor.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bidders suggests a moderate level of competition for this specialized engineering service. While not an extensive number of bidders, the open competition framework generally promotes price discovery and encourages contractors to offer competitive terms.
Taxpayer Impact: Taxpayers benefit from the assurance that the contract was not awarded without exploring a competitive marketplace, which typically leads to more favorable pricing and better service offerings compared to sole-source or limited competition scenarios.
Public Impact
The Department of the Navy benefits from improved energy resilience and reliability of its facilities and operations. Engineering services provided will likely support the modernization and security of critical defense infrastructure. Geographic impact is likely concentrated at Navy installations requiring energy resilience upgrades. Workforce implications may include employment for engineers and technical specialists involved in the project.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in long-term engineering projects if not managed tightly.
- Dependence on a single contractor for critical energy resilience solutions could pose a risk if performance falters.
Positive Signals
- Awarded through full and open competition, indicating a robust bidding process.
- Firm-fixed-price contract type helps control costs and provides budget certainty.
- Long contract duration allows for sustained focus on complex energy resilience challenges.
Sector Analysis
This contract falls within the Engineering Services sector, specifically addressing critical infrastructure needs for energy resilience and reliability. The federal government, particularly the Department of Defense, is a significant investor in such services to ensure operational continuity and reduce vulnerabilities. Comparable spending benchmarks in defense infrastructure and engineering support services indicate that this contract's value is substantial but aligned with the scale of projects required for national security.
Small Business Impact
The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. However, the prime contractor, Concurrent Technologies Corp., may engage small businesses as subcontractors, which would be detailed in their subcontracting plan if applicable.
Oversight & Accountability
Oversight for this contract is primarily managed by the Department of the Navy, with specific contracting officers and program managers responsible for monitoring performance, adherence to terms, and financial expenditures. Transparency is facilitated through contract award databases and reporting requirements. While specific Inspector General (IG) jurisdiction is not detailed here, the DoD IG typically has oversight over defense contracts to investigate fraud, waste, and abuse.
Related Government Programs
- Department of Defense Energy Resilience Programs
- Naval Facilities Engineering Command Contracts
- Critical Infrastructure Protection Contracts
- Engineering and Technical Services
Risk Flags
- Long-term contract duration may increase risk of cost overruns if not managed effectively.
- Dependence on a single contractor for critical infrastructure support.
- Potential for evolving technological requirements in energy resilience over the contract period.
Tags
defense, department-of-defense, department-of-the-navy, engineering-services, energy-resilience, reliability, firm-fixed-price, full-and-open-competition, large-contract, infrastructure-support, pennsylvania, concurrent-technologies-corp
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $41.1 million to CONCURRENT TECHNOLOGIES CORP. GF ENERGY RESILIENCE AND RELIABILITY SUPPORT
Who is the contractor on this award?
The obligated recipient is CONCURRENT TECHNOLOGIES CORP.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $41.1 million.
What is the period of performance?
Start: 2018-09-04. End: 2023-09-29.
What is the track record of Concurrent Technologies Corp. in delivering similar energy resilience or engineering services for the Department of Defense?
Concurrent Technologies Corporation (CTC) has a significant track record with the Department of Defense, often focusing on advanced manufacturing, engineering, and technology development. While specific details on past energy resilience projects for the Navy are not provided in this summary, CTC has been involved in various defense-related initiatives that require complex engineering solutions and project management. Their broader experience in supporting defense modernization efforts suggests a capability to handle the technical demands of energy resilience projects. Further investigation into their past performance reports and contract history with the DoD would provide a more granular assessment of their expertise in this specific domain.
How does the awarded amount of $41 million compare to other federal contracts for energy resilience engineering services?
The $41 million awarded to Concurrent Technologies Corp. for energy resilience and reliability support is a substantial sum, indicative of a significant, multi-year project. Federal spending on energy resilience varies widely based on scope, duration, and specific agency needs. Contracts for large-scale infrastructure upgrades, cybersecurity enhancements for energy systems, or comprehensive resilience planning can easily reach tens of millions of dollars. For instance, other DoD branches or agencies like the Department of Energy might award similar or larger contracts for grid modernization, microgrid development, or facility hardening. Without a direct comparison dataset of 'energy resilience engineering services' contracts, it's challenging to provide a precise benchmark, but this award appears to be within the expected range for a major defense infrastructure support contract.
What are the primary risks associated with a five-year firm-fixed-price contract for engineering services in the energy sector?
A primary risk with a five-year firm-fixed-price (FFP) contract for engineering services in the energy sector is the potential for unforeseen technical challenges or scope creep that could strain the contractor's ability to deliver within the fixed price. If the project's complexity is underestimated or new requirements emerge, the contractor might face reduced profit margins or pressure to cut corners. Conversely, for the government, the risk is paying a premium if the contractor overestimates costs to buffer against uncertainties. Market volatility in material or labor costs, though less impactful on fixed-price contracts, can still indirectly affect contractor performance if margins become too thin. Effective government oversight and clear contract definition are crucial to mitigate these risks.
What is the expected impact of this contract on the Department of the Navy's operational readiness and infrastructure?
This contract is expected to significantly enhance the Department of the Navy's operational readiness and infrastructure by bolstering energy resilience and reliability. Improved energy systems ensure that critical facilities, command centers, and operational platforms have consistent and secure power, even during disruptions like natural disasters or cyberattacks. This reliability is fundamental for maintaining mission capability and supporting personnel. By addressing vulnerabilities in the energy supply chain and infrastructure, the contract contributes to a more robust and secure defense posture, reducing downtime and the potential for mission-critical operations to be compromised due to power outages.
How has federal spending on energy resilience and related engineering services evolved over the past five years?
Federal spending on energy resilience and related engineering services has seen a notable increase over the past five years, driven by growing awareness of climate change impacts, aging infrastructure, and national security concerns. Agencies across the government, particularly the Department of Defense, Department of Energy, and Department of Homeland Security, have prioritized investments in securing energy infrastructure, enhancing grid reliability, and developing sustainable energy solutions. This trend is reflected in increased budget allocations for resilience projects, cybersecurity of energy systems, and the engineering services required to plan, design, and implement these upgrades. The focus has shifted from basic energy supply to ensuring continuity and security under various threat scenarios.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 100 CTC DR, JOHNSTOWN, PA, 15904
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: $41,092,564
Exercised Options: $41,092,564
Current Obligation: $41,092,564
Actual Outlays: $14,896,397
Subaward Activity
Number of Subawards: 37
Total Subaward Amount: $168,371,433
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS00Q14OADU112
IDV Type: IDC
Timeline
Start Date: 2018-09-04
Current End Date: 2023-09-29
Potential End Date: 2023-09-29 00:00:00
Last Modified: 2023-11-18
More Contracts from Concurrent Technologies Corp
- Rdt&e Systems Operations and Maintenance — $193.7M (Department of Defense)
- 199808!2100!0494!AE30 !U.S. Army Armament RD&E Center !daae3098c1050 !A!*!* !19980430!20030430!189737810!189737810!189737810!n!0w151!concurrent Technologies Corpor!100 CTC DR !johnstown !pa!15904!38288!021!42!johnstown !cambria !penn !0001!+000002313250!n!n!000000000000!ah96!rdte/Other Environmental Protection-Mgmt Support !S1 !services !1000!NOT Discernable or Classified !7389!3!*!*!*!B!A!*!D !u!u!1!001!n!1g!z!y!z!* !* !n!z!*!*!*!a!a!a!*!* !*!n!a!c!n!*!*!*!*!*! — $154.7M (Department of Defense)
- Federal Contract — $94.0M (Department of Defense)
- Basic Effort - Exercised Portion — $50.0M (Department of Defense)
- Operations and Sustainment, Technical Management, and Analytical Support to Mishap, Risk, Health and Resilience, and Drug Demand Reduction Education and Training, Implementation, Data Collection and Analysis, Reporting, Maintenance, and, Assessment for the Under Secretary of Defense for Personnel and Readiness, USD (P&R), Personnel Risk Reduction — $49.1M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)