VA awards $22M for Burial Flags to Allied Materials & Equipment Co Inc under full and open competition
Contract Overview
Contract Amount: $22,033,607 ($22.0M)
Contractor: Allied Materials & Equipment CO Inc
Awarding Agency: Department of Veterans Affairs
Start Date: 2022-12-30
End Date: 2026-12-29
Contract Duration: 1,460 days
Daily Burn Rate: $15.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT
Sector: Other
Official Description: BURIAL FLAGS
Place of Performance
Location: KANSAS CITY, JACKSON County, MISSOURI, 64127
State: Missouri Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $22.0 million to ALLIED MATERIALS & EQUIPMENT CO INC for work described as: BURIAL FLAGS Key points: 1. Contract awarded to a single vendor, Allied Materials & Equipment Co Inc. 2. The contract is for a fixed-price with economic price adjustment type. 3. The contract duration is 1460 days, ending in December 2026. 4. The total value of the contract is $22,033,607.04. 5. The contract falls under the 'All Other Miscellaneous Textile Product Mills' NAICS code.
Value Assessment
Rating: fair
The contract value of $22M over four years for burial flags appears reasonable given the quantity and duration. Benchmarking against similar textile product contracts would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential services like providing burial flags.
Public Impact
Ensures the dignified commemoration of deceased veterans. Supports the Department of Veterans Affairs' mission to honor service members. Provides essential supplies for funeral services and ceremonies.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Economic price adjustment clause could lead to cost increases.
- Reliance on a single vendor for a critical item.
Positive Signals
- Awarded through full and open competition.
- Long-term contract provides supply stability.
Sector Analysis
The contract falls under the textile product manufacturing sector. Spending benchmarks for similar government contracts in this sector are not readily available but are typically driven by material costs and production volume.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors. The primary awardee is Allied Materials & Equipment Co Inc.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight of this contract. The fixed-price with economic price adjustment structure requires monitoring of price fluctuations.
Related Government Programs
- All Other Miscellaneous Textile Product Mills
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for cost increases due to economic price adjustment.
- Dependence on a single supplier for a critical item.
- Lack of transparency on small business participation.
- NAICS code is broad, potentially masking specific industry risks.
Tags
all-other-miscellaneous-textile-product-, department-of-veterans-affairs, mo, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $22.0 million to ALLIED MATERIALS & EQUIPMENT CO INC. BURIAL FLAGS
Who is the contractor on this award?
The obligated recipient is ALLIED MATERIALS & EQUIPMENT CO INC.
Which agency awarded this contract?
Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).
What is the total obligated amount?
The obligated amount is $22.0 million.
What is the period of performance?
Start: 2022-12-30. End: 2026-12-29.
What is the historical pricing trend for burial flags and how does the economic price adjustment clause account for potential market volatility?
The economic price adjustment (EPA) clause is designed to protect both the contractor and the government from significant market fluctuations in raw material costs. It typically ties price adjustments to specific economic indicators or commodity indices. Analyzing historical pricing trends for the materials used in flag production, such as textiles and dyes, would reveal the potential impact of the EPA. Without specific details on the EPA's index, it's difficult to quantify the exact risk or benefit to taxpayers.
What are the specific quality standards and performance metrics required for these burial flags to ensure they meet the solemnity of the occasion?
The contract likely specifies detailed quality standards for materials, dimensions, and durability of the burial flags to ensure they meet the solemnity and dignity required for honoring deceased veterans. Performance metrics would focus on timely delivery, defect rates, and adherence to specifications. The Department of Veterans Affairs would have quality assurance personnel to monitor compliance throughout the contract period, ensuring the flags are fit for their intended ceremonial purpose.
How does the government ensure continued competition or evaluate alternative suppliers for burial flags beyond this contract's duration?
The initial award through full and open competition suggests a robust market. As the contract nears its end, the VA will likely conduct market research to assess current supplier capabilities and pricing. This may involve issuing sources sought notices or requests for information to gauge industry interest and identify potential new competitors. This process ensures that future contract awards continue to benefit from competitive pricing and innovation.
Industry Classification
NAICS: Manufacturing › Other Textile Product Mills › All Other Miscellaneous Textile Product Mills
Product/Service Code: TEXTILE/LEATHER/FUR; TENT; FLAG
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 36C10G23R0001
Offers Received: 3
Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)
Evaluated Preference: NONE
Contractor Details
Address: 1420 KANSAS AVE, KANSAS CITY, MO, 64127
Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $29,398,075
Exercised Options: $22,033,607
Current Obligation: $22,033,607
Actual Outlays: $16,460,501
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2022-12-30
Current End Date: 2026-12-29
Potential End Date: 2027-12-29 00:00:00
Last Modified: 2025-12-17
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