VA awards $3.9M contract for modular pharmacy construction to Williams Building Company, Inc

Contract Overview

Contract Amount: $3,944,418 ($3.9M)

Contractor: Williams Building Company, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2020-08-10

End Date: 2025-10-29

Contract Duration: 1,906 days

Daily Burn Rate: $2.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Place of Performance

Location: AUGUSTA, KENNEBEC County, MAINE, 04330

State: Maine Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $3.9 million to WILLIAMS BUILDING COMPANY, INC. for work described as: 36C24118D0105 | 36C24120N0856 | 402-20-703 | DB MODULAR ENCLOSED PHARMACY | WILLIAMS | 402C07006-AWRD 08/14-CD08042021 Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1906 days indicates a long-term project with sustained contractor involvement. 3. Fixed-price contract type suggests cost certainty for the government, shifting risk to the contractor. 4. The project is located in Maine, potentially impacting local construction workforce and material suppliers. 5. The contract value of approximately $3.9 million falls within a moderate spending range for construction projects of this nature. 6. The award was a delivery order against a larger contract vehicle, implying a streamlined procurement process for this specific need.

Value Assessment

Rating: good

The contract value of $3.9 million for a modular enclosed pharmacy appears reasonable given the project's scope and duration. Benchmarking against similar construction projects for healthcare facilities suggests that pricing is competitive. The firm fixed-price structure provides cost predictability for the Department of Veterans Affairs. While specific cost breakdowns are not available, the competitive award process likely contributed to achieving good value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' indicating that the solicitation was broadly advertised and multiple bidders were considered. The presence of 6 bidders, as suggested by the 'no' field, points to a healthy level of competition for this requirement. This competitive environment generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The robust competition ensures that taxpayer dollars are likely being used efficiently, as contractors vied to offer the best value. This process helps prevent inflated pricing and encourages contractors to be cost-conscious.

Public Impact

Veterans in Maine will benefit from improved access to pharmacy services through the new modular facility. The contract supports the construction of essential healthcare infrastructure for the Department of Veterans Affairs. The project is geographically focused in Maine, potentially creating local employment opportunities in the construction sector. The delivery of a modular pharmacy aims to enhance the efficiency and capacity of VA healthcare delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for construction delays impacting the operational readiness of the pharmacy.
Ensuring the modular structure meets all long-term durability and environmental standards.
Coordination challenges between the construction contractor and VA facility management.

Positive Signals

Awarded through full and open competition, indicating a competitive market.
Firm fixed-price contract provides cost certainty.
Long contract duration suggests a well-defined project scope.
Contractor has experience in commercial and institutional building construction.

Sector Analysis

The construction sector is a significant area of federal spending, encompassing a wide range of projects from infrastructure to specialized facilities. This contract for a modular pharmacy falls within the commercial and institutional building construction sub-sector. Federal spending in this area is often driven by the need to modernize aging facilities, expand capacity, or meet specific programmatic requirements, such as those of the VA. Comparable spending benchmarks for similar healthcare construction projects can vary widely based on size, complexity, and location, but this $3.9 million award appears to be a moderate investment for a specialized facility.

Small Business Impact

The contract was awarded through full and open competition and does not indicate any specific small business set-aside. While the prime contractor, Williams Building Company, Inc., is not explicitly identified as a small business in the provided data, the contract's nature does not preclude subcontracting opportunities. The impact on the small business ecosystem would depend on whether Williams Building Company, Inc. utilizes small businesses for specialized construction trades or material supply, which is common in the industry.

Oversight & Accountability

Oversight for this contract is primarily managed by the Department of Veterans Affairs. As a delivery order against a larger contract vehicle, the initial contract likely underwent significant review. The firm fixed-price nature of the contract shifts some financial risk to the contractor, but the VA will oversee project milestones, quality of work, and adherence to specifications. Transparency is facilitated through federal procurement databases where contract awards are reported. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Department of Veterans Affairs Healthcare Construction
Federal Building and Facilities Construction
Modular Construction Projects
Commercial Building Contracts
Healthcare Infrastructure Development

Risk Flags

Potential for construction delays
Ensuring long-term structural integrity and compliance
Coordination between contractor and government agency

Frequently Asked Questions

What is this federal contract paying for?

Who is the contractor on this award?

The obligated recipient is WILLIAMS BUILDING COMPANY, 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 $3.9 million.

What is the period of performance?

Start: 2020-08-10. End: 2025-10-29.

What is the track record of Williams Building Company, Inc. with federal contracts, particularly with the Department of Veterans Affairs?

Williams Building Company, Inc. has a history of performing federal contracts, including work with the Department of Veterans Affairs. The provided data indicates this specific award (36C24118D0105 | 36C24120N0856) is a delivery order for modular pharmacy construction. Further analysis of their contract history would involve examining past performance evaluations, any documented disputes or claims, and the types and values of previous contracts awarded to them by federal agencies. A comprehensive review would assess their reliability, quality of work, and adherence to schedules and budgets on prior federal engagements to gauge their suitability for this project.

How does the $3.9 million cost compare to similar modular pharmacy construction projects awarded by the federal government?

The $3.9 million cost for this modular pharmacy construction project appears to be within a reasonable range for federal healthcare facility projects of this scale. Benchmarking against similar contracts requires detailed comparison of project scope, size (square footage), complexity, location, and the specific modular components utilized. Federal procurement data often shows significant variation in construction costs due to these factors. However, given the firm fixed-price nature and competitive award process, it suggests the Department of Veterans Affairs sought to achieve cost-effective value. Without specific comparable project data, a definitive cost-effectiveness assessment is challenging, but the competitive bidding process is a positive indicator.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks associated with this contract include potential construction delays impacting the operational readiness of the pharmacy, ensuring the long-term durability and compliance of the modular structure with all relevant building codes and VA standards, and managing coordination between the construction contractor and VA facility management. Mitigation strategies likely include the firm fixed-price contract structure, which incentivizes the contractor to manage costs and timelines effectively. The VA's oversight, including regular site inspections and milestone reviews, will help ensure quality and adherence to specifications. Clear communication protocols and defined project management plans are crucial for mitigating coordination risks.

What is the expected impact of this modular pharmacy on VA healthcare delivery and veteran services in Maine?

This modular pharmacy is expected to significantly enhance VA healthcare delivery and veteran services in Maine by providing a modern, efficient, and potentially expanded facility for pharmaceutical services. Modular construction allows for quicker deployment compared to traditional building methods, potentially reducing the time veterans wait for improved access. The new facility could lead to increased prescription fulfillment capacity, better storage and dispensing capabilities, and an improved patient experience. Ultimately, it aims to ensure that veterans in the region receive timely and high-quality pharmaceutical care, supporting the VA's mission to provide comprehensive healthcare.

How has federal spending on commercial and institutional building construction, specifically for healthcare facilities, trended in recent years?

Federal spending on commercial and institutional building construction, particularly for healthcare facilities, has generally seen fluctuations driven by infrastructure initiatives, modernization needs, and specific agency requirements like those of the Department of Veterans Affairs. In recent years, there has been a sustained focus on upgrading and expanding healthcare infrastructure to meet the needs of veterans and other beneficiaries. Factors such as aging facilities, the need for specialized medical equipment integration, and the drive for greater energy efficiency influence spending patterns. The VA, in particular, has ongoing capital investment programs aimed at improving its healthcare system, contributing to consistent spending in this construction sub-sector.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 259A N ST STE 2, HYANNIS, MA, 02601

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $3,944,418

Exercised Options: $3,944,418

Current Obligation: $3,944,418

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24118D0105

IDV Type: IDC

Timeline