VA awards $7.3M parking lot repair contract to Birmingham Industrial Construction, LLC

Contract Overview

Contract Amount: $7,311,551 ($7.3M)

Contractor: Birmingham Industrial Construction, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-09-12

End Date: 2026-08-21

Contract Duration: 1,074 days

Daily Burn Rate: $6.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: REPAIR AND RESURFACE PARKING LOTS. ORDER OFF VISN 7 MATOC.

Place of Performance

Location: COLUMBIA, RICHLAND County, SOUTH CAROLINA, 29209

State: South Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $7.3 million to BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC for work described as: REPAIR AND RESURFACE PARKING LOTS. ORDER OFF VISN 7 MATOC. Key points: 1. Contract value of $7.3M for parking lot repairs represents a significant investment in facility maintenance. 2. The contract was awarded under a MATOC (Multiple Award Task Order Contract), suggesting a pre-competed framework. 3. The duration of nearly three years indicates a need for sustained repair and resurfacing efforts. 4. The fixed-price contract type aims to provide cost certainty for the government. 5. The award to a single contractor for this specific task order implies a focused approach to the repair work.

Value Assessment

Rating: good

The contract value of $7.3 million for parking lot repairs appears reasonable given the scope and duration. Benchmarking against similar large-scale parking lot resurfacing projects for federal agencies suggests that costs can range significantly based on location, materials, and complexity. Without specific details on the square footage or the extent of repairs required (e.g., crack sealing, full resurfacing, drainage improvements), a precise per-square-foot cost comparison is difficult. However, the award to a single entity under a MATOC indicates that a competitive process likely occurred at the task order level or within the broader MATOC selection, which should have contributed to a fair price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under a MATOC (Multiple Award Task Order Contract) with the designation 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This suggests that while the initial MATOC itself may have been competed broadly, this specific delivery order might have had a more limited competition among the pre-qualified MATOC holders. The 'exclusion of sources' phrase could indicate that only certain pre-approved contractors were eligible for this specific order, potentially based on specialized capabilities or geographic reach relevant to VISN 7.

Taxpayer Impact: While the initial MATOC competition likely benefited taxpayers, the 'exclusion of sources' for this specific order may have slightly reduced the competitive pressure, potentially leading to a less optimal price compared to a truly full and open competition at the task order level.

Public Impact

Veterans and VA staff will benefit from improved and safer parking facilities at the VISN 7 facility. The contract ensures the physical infrastructure of the parking lots is maintained to a high standard. The project will likely involve local construction labor and material suppliers in South Carolina. Improved parking can enhance the overall patient and visitor experience at the medical center.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen subsurface issues arise during repairs.
Dependence on a single contractor for a significant infrastructure project.
Risk of delays if the contractor faces supply chain or labor shortages.

Positive Signals

Fixed-price contract type helps mitigate cost escalation risks for the government.
Award under a MATOC suggests the contractor has already met certain pre-qualification standards.
Clear project scope and defined deliverables should lead to predictable outcomes.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically focusing on infrastructure maintenance. The market for construction services, particularly for government facilities, is substantial. Awards like this are common as agencies maintain their physical assets. Benchmarking against similar projects would involve looking at other large-scale paving and repair contracts awarded by federal agencies, considering factors like geographic location, material costs, and the specific scope of work.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Birmingham Industrial Construction, LLC's size status is not provided, but the contract value suggests it could be a large business or a small business capable of handling significant projects. There is no explicit mention of subcontracting requirements for small businesses within this delivery order, which could limit opportunities for the small business ecosystem on this particular project.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Veterans Affairs contracting officers and project managers. As a delivery order under a MATOC, there may be established reporting requirements and performance metrics. The contract type (firm fixed price) provides a degree of financial oversight by fixing the cost. Transparency is generally maintained through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Department of Veterans Affairs Facilities Management
MATOC Contracts
Infrastructure Repair and Maintenance
Commercial Building Construction

Risk Flags

Limited competition at the task order level
Potential for scope creep if not clearly defined
Dependence on contractor performance for timely completion

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $7.3 million to BIRMINGHAM INDUSTRIAL CONSTRUCTION, LLC. REPAIR AND RESURFACE PARKING LOTS. ORDER OFF VISN 7 MATOC.

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 $7.3 million.

What is the period of performance?

Start: 2023-09-12. End: 2026-08-21.

What is the specific scope of work included in the $7.3 million parking lot repair contract?

The provided data indicates the contract is for 'REPAIR AND RESURFACE PARKING LOTS.' However, the specific details of the scope of work are not fully elaborated. This typically includes tasks such as crack sealing, patching, milling and overlaying existing asphalt or concrete, potentially some base repair, line striping, and ensuring proper drainage. The exact extent of these repairs (e.g., square footage to be resurfaced, depth of milling, specific materials to be used) would be detailed in the contract's statement of work, which is not available in the provided summary data. Understanding the precise scope is crucial for a detailed value assessment.

How does the awarded amount compare to typical costs for similar parking lot repair projects?

Comparing the $7.3 million award requires context on the size and scope of the parking lots being repaired. For large federal facilities, extensive resurfacing and repair projects can easily reach millions of dollars. Factors like the total square footage, the condition of the existing pavement, the type of materials used (e.g., asphalt vs. concrete), and the complexity of any associated work (like drainage improvements or lighting) significantly influence cost. Without these specifics, a direct comparison is challenging. However, the award being under a MATOC suggests a level of pre-qualification and potentially competitive pricing established during the MATOC's initial award.

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

Potential risks include unforeseen subsurface conditions (e.g., poor base material, underground utilities not accurately mapped), material price fluctuations (though mitigated by fixed-price), contractor performance issues, and weather-related delays. The fixed-price contract type helps mitigate financial risks related to material costs. The use of a MATOC implies the contractor has been vetted, reducing performance risk. Mitigation for subsurface issues often involves contingency planning and clear procedures in the contract for addressing unexpected findings. Weather delays are typically managed through schedule adjustments and contract clauses.

What is the track record of Birmingham Industrial Construction, LLC with federal contracts, particularly with the VA?

Information on Birmingham Industrial Construction, LLC's specific track record with federal contracts, especially with the Department of Veterans Affairs, is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), the types and values of previous contracts awarded to them, and their history of successful project completion. Their selection for this delivery order suggests they met the requirements and potentially demonstrated capability, but a deeper dive into their history would be necessary for a full evaluation.

How does the competition level for this specific delivery order impact the value for taxpayers?

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' via a MATOC. This means the initial MATOC was likely competed broadly, but this specific delivery order may have been competed only among a subset of MATOC holders. If the exclusion of sources narrowed the field significantly, it could reduce competitive pressure compared to a truly open competition at the task order level. While the MATOC framework itself aims for efficiency and pre-competition, the specific competition dynamics for this order could influence the final price achieved, potentially impacting the value realized by taxpayers.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

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: $7,311,551

Exercised Options: $7,311,551

Current Obligation: $7,311,551

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