VA Awards $7.98M for 4th/5th Floor Finishes to Birmingham Industrial Construction

Contract Overview

Contract Amount: $7,976,364 ($8.0M)

Contractor: Birmingham Industrial Construction, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-12-21

End Date: 2026-05-04

Contract Duration: 1,230 days

Daily Burn Rate: $6.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION PROJECT 521-21-101 - 4TH AND 5TH FLOOR NEW FINISHES

Place of Performance

Location: BIRMINGHAM, JEFFERSON County, ALABAMA, 35233

State: Alabama Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $8.0 million to BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC for work described as: CONSTRUCTION PROJECT 521-21-101 - 4TH AND 5TH FLOOR NEW FINISHES Key points: 1. Project involves new finishes for two floors within a VA facility. 2. Contract awarded via full and open competition after exclusion of sources. 3. Potential for cost savings through competitive bidding, though exclusion warrants review. 4. Spending falls within the broad Commercial and Institutional Building Construction sector.

Value Assessment

Rating: good

The award amount of $7.98M for interior finishes appears reasonable for a project of this scope, covering two floors. Benchmarking against similar VA or federal construction projects of comparable size and complexity would provide a more definitive assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This suggests that while competition was sought, certain sources were excluded, potentially limiting the breadth of competition and impacting price discovery.

Taxpayer Impact: The competitive process, even with exclusions, aims to secure fair pricing. However, the exclusion of sources warrants scrutiny to ensure taxpayers received the best possible value.

Public Impact

Improved facilities for veterans and staff at the VA. Supports the construction industry and local employment in Alabama. Potential for enhanced operational efficiency with updated finishes.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This project falls under Commercial and Institutional Building Construction, a sector that can see significant federal investment. Benchmarks for similar renovation or new finish projects vary widely based on location, scope, and specific requirements.

Small Business Impact

The data indicates that small business participation was not a stated factor in this award (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed or if the prime contractor intends to subcontract to small businesses.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight procedures for construction projects, including progress monitoring and quality control, should be in place to ensure successful completion and taxpayer value.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-veterans-affairs, al, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $8.0 million to BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC. CONSTRUCTION PROJECT 521-21-101 - 4TH AND 5TH FLOOR NEW FINISHES

Who is the contractor on this award?

The obligated recipient is BIRMINGHAM INDUSTRIAL CONSTRUCTION, 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 $8.0 million.

What is the period of performance?

Start: 2022-12-21. End: 2026-05-04.

What was the rationale for excluding specific sources from the full and open competition?

The rationale for excluding specific sources from the competition is not detailed in the provided data. Typically, such exclusions might be based on specific technical requirements, past performance issues, or other documented justifications. A review of the contract file or agency documentation would be necessary to understand the precise reasons and assess their validity.

How does the firm fixed price contract type mitigate risk for the government?

A firm fixed price (FFP) contract type is generally advantageous for the government as it shifts the risk of cost overruns to the contractor. The contractor is obligated to complete the work for the agreed-upon price, regardless of unforeseen expenses. This provides budget certainty for the VA, although it may lead to a higher initial bid price compared to cost-reimbursement contracts.

What is the expected impact of these new finishes on the operational effectiveness of the VA facility?

The new finishes are expected to improve the aesthetic appeal and potentially the functionality of the 4th and 5th floors. This can lead to a more positive environment for both staff and veterans, potentially enhancing morale and operational efficiency. The specific impact on effectiveness would depend on the nature of the finishes and the intended use of the spaces.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, 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: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 105 CORPORATE WOODS CIR, ALABASTER, AL, 35007

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $7,976,364

Exercised Options: $7,976,364

Current Obligation: $7,976,364

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24718D0133

IDV Type: IDC

Timeline

Start Date: 2022-12-21

Current End Date: 2026-05-04

Potential End Date: 2026-05-04 00:00:00

Last Modified: 2026-04-07

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