RECOVERY--A--Project Number ER-0933, Renewable Energy Production from DoD Installation Solid Wastes by Anaerobic Digestion

This contract action was not awarded as a fixed price type because uncertainties involved in contract performance did not permit costs to be estimated with sufficient accuracy to use any type of fixed price contract. As such, a cost-reimbursement type action was awarded (FAR 16.301-2).

Environmental Security Technology Certification Program (ESCTP), project number ER-0933, is funded by the American Reinvestment and Recovery Act of 2009. The full amount of the contract falls within the topic area of anaerobic digester. The objective of this contract is to demonstrate and provide the DoD with a renewable energy source to meet the daily needs of DoD installations while limiting environmental impact, reducing demand on stressed energy systems, reducing overall operations and maintenance costs and increasing the reliability of the site specific power systems. This is to be completed in accordance with the Energy Policy Act of 2005 (EPACT) and the National Defense Authorization Act of 2007 (NDAA).

RATIONALE FOR CONTRACT AWARD THAT IS NOT FIXED PRICE: This is a R&D type contract in support of the Environmental Security Technology Certification Program (ESTCP) issued against BAA-08-0003. Cost Reimbursement contracts are suitable for use when uncertainties involved in contract performance do not permit cost to be estimated with sufficient accuracy to use any type of fixed price contract. The nature of development work often requires a cost-reimbursement arrangement. In addition, the contractor's accounting system has been deemed adequate for determining cost applicable to the contract and appropriate Government surveillance during performance will provide reasonable assurance that efficient methods and cost controls are used.