VA awards $6.9M contract for Arc Flash Study to Miller-Remick, LLC, with 446 days duration

Contract Overview

Contract Amount: $690,908 ($690.9K)

Contractor: Miller-Remick, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-09-10

End Date: 2026-11-30

Contract Duration: 446 days

Daily Burn Rate: $1.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 11

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AE DESIGN ARC FLASH STUDY

Place of Performance

Location: BRONX, BRONX County, NEW YORK, 10468

State: New York Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $690,908 to MILLER-REMICK, LLC for work described as: AE DESIGN ARC FLASH STUDY Key points: 1. Contract awarded for specialized engineering services related to electrical safety. 2. Competition method indicates a potentially competitive process, but exclusion of sources warrants review. 3. Risk associated with specialized engineering services and contract duration. 4. Sector context is government services, specifically within the Department of Veterans Affairs.

Value Assessment

Rating: fair

The contract value of $6,909,080 for a 446-day duration appears reasonable for specialized engineering services. Benchmarking against similar large-scale engineering studies would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting some competition occurred but not to the broadest possible extent. This method can impact price discovery and potentially lead to higher costs if the excluded sources represented significant competition.

Taxpayer Impact: Taxpayer impact is moderate, as the contract value is substantial. Ensuring the exclusion of sources was justified and that the final price reflects fair market value is crucial for maximizing taxpayer value.

Public Impact

Ensures safety compliance for VA facilities, protecting personnel and infrastructure. Supports the Department of Veterans Affairs' mission to maintain safe and operational healthcare facilities. Potential for follow-on work or similar studies at other VA locations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition due to exclusion of sources.
Contract duration is significant, requiring careful monitoring.
Potential for scope creep in engineering services.

Positive Signals

Awarded to a single contractor, potentially streamlining management.
Clear contract end date and duration.
Fixed-price contract type can control costs if well-defined.

Sector Analysis

This contract falls within the Engineering Services sector, specifically focusing on electrical safety studies. Government spending in this area is critical for maintaining infrastructure and ensuring compliance with safety regulations, particularly in facilities like those operated by the VA.

Small Business Impact

The contract was awarded to MILLER-REMICK, LLC, and the data does not indicate any specific provisions or set-asides for small businesses. Further investigation would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight procedures for definitive contracts, including performance monitoring and payment verification, should be in place to ensure accountability and proper execution.

Related Government Programs

Engineering Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for limited competition to inflate costs.
Long contract duration increases risk of performance issues or delays.
Lack of small business participation noted.
Need for detailed justification for source exclusion.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $690,908 to MILLER-REMICK, LLC. AE DESIGN ARC FLASH STUDY

Who is the contractor on this award?

The obligated recipient is MILLER-REMICK, LLC.

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 $690,908.

What is the period of performance?

Start: 2025-09-10. End: 2026-11-30.

What was the justification for excluding specific sources from the competition, and how did this impact the final price?

The justification for excluding sources is critical to understanding the 'limited' competition. If the exclusion was based on specific capabilities or prior performance, it might be warranted. However, if it arbitrarily limited the pool of bidders, it could have inflated the price. A review of the source selection documentation is necessary to assess the validity of the exclusion and its financial implications for taxpayers.

What are the key risks associated with the 446-day duration of this engineering study, and how are they being mitigated?

A 446-day duration for an engineering study presents risks such as potential delays, changes in technology or regulations during the study period, and contractor performance degradation over time. Mitigation strategies should include clear milestones, regular progress reviews, and performance-based incentives or penalties. The VA should actively monitor the contractor's adherence to the schedule and quality standards throughout the contract's life.

How does the awarded price compare to industry benchmarks for similar arc flash study services, considering the scope and complexity?

Assessing the value requires comparing the $6.9 million price against industry benchmarks for comparable arc flash studies. Factors like the size and complexity of the facilities covered, the specific standards required, and the level of detail in the analysis are crucial. Without specific benchmark data, it's difficult to definitively state if the price represents excellent value, but the fixed-price nature suggests an attempt to control costs.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 36C24225R0086

Offers Received: 11

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1040 KINGS HIGHWAY NORTH, CHERRY HILL, NJ, 08034

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

Financial Breakdown

Contract Ceiling: $690,908

Exercised Options: $690,908

Current Obligation: $690,908

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline