VA Spends $33.8M on Operating Room Upgrades at Connecticut Healthcare System

Contract Overview

Contract Amount: $33,813,106 ($33.8M)

Contractor: Ironclad Services Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-09-23

End Date: 2026-08-28

Contract Duration: 704 days

Daily Burn Rate: $48.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: UPGRADE OPERATING ROOM UTILITIES AT VA CONNECTICUT HEALTHCARE SYSTEM, WEST HAVEN CAMPUS - PROJECT 689-21-111

Place of Performance

Location: WEST HAVEN, NEW HAVEN County, CONNECTICUT, 06516

State: Connecticut Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $33.8 million to IRONCLAD SERVICES INC for work described as: UPGRADE OPERATING ROOM UTILITIES AT VA CONNECTICUT HEALTHCARE SYSTEM, WEST HAVEN CAMPUS - PROJECT 689-21-111 Key points: 1. Project aims to modernize critical infrastructure at VA Connecticut Healthcare System. 2. Ironclad Services Inc. secured the contract. 3. The contract is a Firm Fixed Price award, indicating defined costs. 4. This project falls under the Commercial and Institutional Building Construction sector.

Value Assessment

Rating: good

The $33.8 million contract for operating room utility upgrades appears reasonable given the scope of modernizing critical healthcare infrastructure. Benchmarking against similar large-scale hospital construction projects would provide further context on cost-effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple qualified vendors can bid.

Taxpayer Impact: The competitive bidding process is expected to ensure taxpayer funds are used efficiently for necessary facility upgrades.

Public Impact

Improved patient care and safety through modernized operating rooms. Enhanced operational efficiency for surgical teams at the West Haven campus. Long-term investment in critical healthcare infrastructure for veterans. Potential for job creation within the construction sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns in large construction projects.
Dependence on a single contractor for project completion.

Positive Signals

Awarded through full and open competition.
Firm Fixed Price contract type.
Addresses critical healthcare infrastructure needs.

Sector Analysis

This project falls within the Commercial and Institutional Building Construction sector, specifically focusing on healthcare facilities. Spending benchmarks for similar hospital renovation projects can vary significantly based on size, complexity, and location.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as the 'sb' field is false. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight mechanisms for construction projects, including site inspections and progress reviews, should be in place to ensure quality and adherence to schedule.

Related Government Programs

Commercial and Institutional Building Construction
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for construction delays.
Risk of unforeseen site conditions.
Contractor performance risk.
Budget adherence for large-scale projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $33.8 million to IRONCLAD SERVICES INC. UPGRADE OPERATING ROOM UTILITIES AT VA CONNECTICUT HEALTHCARE SYSTEM, WEST HAVEN CAMPUS - PROJECT 689-21-111

Who is the contractor on this award?

The obligated recipient is IRONCLAD SERVICES 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 $33.8 million.

What is the period of performance?

Start: 2024-09-23. End: 2026-08-28.

What is the estimated impact of these upgrades on surgical procedure wait times and patient outcomes?

The upgrades are expected to reduce surgical wait times by improving the efficiency and reliability of operating room equipment and infrastructure. Modernized facilities can also lead to better patient outcomes by supporting advanced surgical techniques and reducing the risk of equipment-related complications. A detailed post-completion analysis would quantify these improvements.

Are there any identified risks related to the contractor's past performance on similar large-scale healthcare construction projects?

While the data does not provide specific past performance details for Ironclad Services Inc., a review of their track record on comparable projects would be prudent. Assessing their history with schedule adherence, budget management, and quality of work on similar healthcare facility upgrades is crucial for mitigating potential risks.

How does the $33.8 million cost compare to the average cost of similar operating room modernization projects in other VA facilities or healthcare systems?

Benchmarking this $33.8 million expenditure against similar projects is essential for evaluating value. Factors like facility size, scope of work (e.g., HVAC, electrical, plumbing), and regional construction costs influence pricing. A comparative analysis would reveal if this investment is within the expected range or if further justification is needed.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: 36C24124B0027

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1500 MAIN ST, SPRINGFIELD, MA, 01115

Business Categories: Category Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $33,813,106

Exercised Options: $33,813,106

Current Obligation: $33,813,106

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline