DoD Awards $10M+ for Aberdeen Proving Grounds Energy Project, Extending Existing Contract
Contract Overview
Contract Amount: $10,028,742 ($10.0M)
Contractor: Johnson Controls Government Systems, LLC
Awarding Agency: Department of Defense
Start Date: 2009-09-30
End Date: 2025-12-30
Contract Duration: 5,935 days
Daily Burn Rate: $1.7K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: CONTINUED CONTRACT REPLACING DACA87-97-D-0069-0010 ESPC ABERDEEN PROVING GROUNDS, MD, PROJECT 5 PAYMENTS 148 - 150 AND PPA CLAIM INTEREST PAYMENTS
Place of Performance
Location: ABINGDON, HARFORD County, MARYLAND, 21009
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $10.0 million to JOHNSON CONTROLS GOVERNMENT SYSTEMS, LLC for work described as: CONTINUED CONTRACT REPLACING DACA87-97-D-0069-0010 ESPC ABERDEEN PROVING GROUNDS, MD, PROJECT 5 PAYMENTS 148 - 150 AND PPA CLAIM INTEREST PAYMENTS Key points: 1. This is a follow-on contract for an existing Energy Savings Performance Contract (ESPC). 2. The contract is with Johnson Controls Government Systems, LLC, a known entity in energy solutions. 3. The primary risk is the lack of new competition, potentially impacting price discovery. 4. Spending is within the Engineering Services sector, which can vary widely in project cost.
Value Assessment
Rating: fair
Pricing is based on a prior contract (DACA87-97-D-0069-0010), making direct comparison difficult without historical data. The firm fixed price suggests cost certainty for the government.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract is a continuation of a previous award, indicating a limited competition approach. This method may not yield the best price discovery compared to a fully open solicitation.
Taxpayer Impact: Taxpayer funds are committed to an ongoing energy project, with the value dependent on the realized energy savings and the efficiency of the contractor's performance.
Public Impact
Ensures continued energy efficiency upgrades at a major military installation. Supports long-term operational cost reductions through energy savings. Provides stability for a critical infrastructure project at Aberdeen Proving Grounds.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Lack of detailed pricing justification
- Potential for cost overruns if savings are not realized
Positive Signals
- Continuation of a proven energy project
- Firm fixed price contract type
- Long contract duration suggests significant scope
Sector Analysis
This contract falls under Engineering Services, a broad category. ESPCs are common in government to improve energy efficiency and reduce operational costs, often involving significant upfront investment.
Small Business Impact
The data indicates the awardee is Johnson Controls Government Systems, LLC, which is not typically considered a small business. There is no indication of small business subcontracting in the provided data.
Oversight & Accountability
As a continued contract, oversight likely focuses on performance against the ESPC's energy savings goals and adherence to the firm fixed price. The long duration necessitates ongoing monitoring.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Limited competition may lead to higher costs.
- Lack of transparency on original contract details.
- Potential for scope creep or unverified savings.
- Long-term commitment without clear exit strategy.
- Reliance on a single contractor for critical infrastructure.
Tags
engineering-services, department-of-defense, md, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $10.0 million to JOHNSON CONTROLS GOVERNMENT SYSTEMS, LLC. CONTINUED CONTRACT REPLACING DACA87-97-D-0069-0010 ESPC ABERDEEN PROVING GROUNDS, MD, PROJECT 5 PAYMENTS 148 - 150 AND PPA CLAIM INTEREST PAYMENTS
Who is the contractor on this award?
The obligated recipient is JOHNSON CONTROLS GOVERNMENT SYSTEMS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $10.0 million.
What is the period of performance?
Start: 2009-09-30. End: 2025-12-30.
What were the specific energy-saving measures implemented under the original contract, and what are the projected savings for this extension?
The specific energy-saving measures are not detailed in the provided data. However, ESPCs typically involve upgrades to lighting, HVAC, building controls, and renewable energy sources. Projected savings are crucial for justifying the continued investment and should be benchmarked against industry standards for similar retrofits to ensure value for taxpayer money.
Given the limited competition, how was the firm fixed price determined to ensure it represents fair and reasonable value?
The firm fixed price was likely based on the original contract's pricing structure and adjusted for inflation or scope changes. Fair and reasonable pricing in limited competition scenarios often relies on historical cost data, market research for similar services, and independent government cost estimates to validate the proposed price against benchmarks.
What mechanisms are in place to measure and verify the energy savings achieved, and how do they impact future payments or contract adjustments?
ESPCs typically include a Measurement and Verification (M&V) plan, often following established protocols like IPMVP. This plan quantifies the actual energy savings achieved. Payments are often tied to these verified savings, ensuring the government only pays for performance. Any discrepancies could lead to contract adjustments or disputes.
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 AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2101 GAITHER RD STE 400, ROCKVILLE, MD, 20850
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $44,642,893
Exercised Options: $10,028,742
Current Obligation: $10,028,742
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2009-09-30
Current End Date: 2025-12-30
Potential End Date: 2028-05-01 00:00:00
Last Modified: 2025-12-22
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