VA Awards $6.2M Contract to Daniels Building Co. for Urgent Care Renovation
Contract Overview
Contract Amount: $6,201,090 ($6.2M)
Contractor: Daniels Building CO Inc
Awarding Agency: Department of Veterans Affairs
Start Date: 2023-09-01
End Date: 2026-05-15
Contract Duration: 987 days
Daily Burn Rate: $6.3K/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: RENOVATE URGENT CARE AND REGISTRATION 553-19-104
Place of Performance
Location: DETROIT, WAYNE County, MICHIGAN, 48201
State: Michigan Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $6.2 million to DANIELS BUILDING CO INC for work described as: RENOVATE URGENT CARE AND REGISTRATION 553-19-104 Key points: 1. Contract awarded for urgent care and registration renovation. 2. Competition method: Full and open after exclusion of sources. 3. Contract type: Firm Fixed Price. 4. Project duration: 987 days. 5. Awarded by the Department of Veterans Affairs.
Value Assessment
Rating: good
The contract value of $6.2M appears reasonable for a commercial and institutional building construction project of this scope and duration. Benchmarking against similar VA renovation projects 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,' indicating a specific reason for excluding certain sources. This method might limit price discovery compared to unrestricted full and open competition.
Taxpayer Impact: The $6.2M expenditure directly supports facility upgrades for veterans' healthcare, representing a necessary investment in infrastructure.
Public Impact
Improved healthcare facilities for veterans. Potential for enhanced patient experience and operational efficiency. Supports local construction jobs and economic activity.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition method could impact price.
- Potential for scope creep in renovation projects.
Positive Signals
- Addresses urgent need for facility upgrade.
- Firm Fixed Price contract provides cost certainty.
Sector Analysis
This contract falls under Commercial and Institutional Building Construction. Spending in this sector is driven by infrastructure needs, facility modernization, and government facility maintenance. Benchmarks vary widely based on project size and complexity.
Small Business Impact
The data indicates the awardee is Daniels Building Co. Inc. Further analysis is needed to determine if this is a small business and if subcontracting opportunities for small businesses were included or met.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight. Contract performance monitoring and adherence to the firm fixed price will be key accountability measures.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Limited competition
- Potential for cost overruns if scope changes
- Long project duration increases risk exposure
- Dependence on a single contractor for critical facility upgrade
Tags
commercial-and-institutional-building-co, department-of-veterans-affairs, mi, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $6.2 million to DANIELS BUILDING CO INC. RENOVATE URGENT CARE AND REGISTRATION 553-19-104
Who is the contractor on this award?
The obligated recipient is DANIELS BUILDING CO 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 $6.2 million.
What is the period of performance?
Start: 2023-09-01. End: 2026-05-15.
What specific criteria led to the exclusion of sources in the 'Full and Open Competition After Exclusion of Sources' method, and how did this impact the final price?
The exclusion of sources typically occurs when specific capabilities, past performance, or unique requirements necessitate a narrowed bidder pool. This can sometimes lead to higher prices due to reduced competition. A detailed review of the solicitation documents and award justification would clarify the reasons for exclusion and its potential price impact.
What are the key performance indicators (KPIs) for this renovation project, and how will the VA ensure the project stays within budget and on schedule?
Key performance indicators likely include adherence to the construction schedule, quality of workmanship, and compliance with building codes and VA standards. The VA will likely use regular site inspections, progress reports, and milestone reviews to monitor performance and manage risks, ensuring the project stays within the firm fixed price and completion date.
How does the $6.2M contract value compare to similar urgent care renovation projects undertaken by the VA or other federal agencies in the past five years?
Without specific benchmark data for comparable VA urgent care renovations, a direct comparison is difficult. However, $6.2M for a project spanning nearly 1000 days suggests a substantial undertaking. Analyzing the scope of work, square footage, and complexity of renovations in similar contracts would be necessary for a robust comparison.
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: SEALED BID
Solicitation ID: 36C25023B0009
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 33900 W 8 MILE RD, FARMINGTON, MI, 48335
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: $6,201,090
Exercised Options: $6,201,090
Current Obligation: $6,201,090
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-09-01
Current End Date: 2026-05-15
Potential End Date: 2026-05-15 00:00:00
Last Modified: 2026-03-26
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