VA Awards $8.99M Contract for MICU-SICU Renovation to Calvary Contracting Inc

Contract Overview

Contract Amount: $8,989,000 ($9.0M)

Contractor: Calvary Contracting Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-06

End Date: 2027-06-10

Contract Duration: 430 days

Daily Burn Rate: $20.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PROJECT NO. 539-20-104 - RENOVATE MICU-SICU

Place of Performance

Location: CINCINNATI, HAMILTON County, OHIO, 45220

State: Ohio Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $9.0 million to CALVARY CONTRACTING INC for work described as: PROJECT NO. 539-20-104 - RENOVATE MICU-SICU Key points: 1. Contract value of $8.99 million for facility renovation. 2. Competition method: Full and open after exclusion of sources. 3. Risk: Potential for cost overruns in construction projects. 4. Sector: Commercial and Institutional Building Construction.

Value Assessment

Rating: good

The contract value of $8.99 million appears reasonable for a significant renovation project of this nature. Benchmarking against similar VA or healthcare facility renovation contracts 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,' which suggests a limited competition. This method might impact price discovery compared to a truly unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential facility upgrades, aiming to improve healthcare infrastructure.

Public Impact

Improved patient care facilities through renovation. Potential for job creation in the construction sector. Modernization of critical healthcare infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to higher prices.
Construction projects are prone to delays and cost overruns.
Contract duration is over a year, increasing risk exposure.

Positive Signals

Firm fixed price contract provides cost certainty.
Project aims to improve critical healthcare services.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically for healthcare facilities. Spending in this sector is driven by infrastructure needs and modernization efforts.

Small Business Impact

The data indicates that small businesses were not directly involved in this specific contract award, as the contractor is Calvary Contracting Inc. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight mechanisms for construction projects, including site inspections and progress reporting, 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

Limited competition may result in suboptimal pricing.
Construction projects carry inherent risks of delays and cost overruns.
Contract duration extends beyond one year, increasing exposure to market fluctuations.
Potential for scope creep during renovation phases.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $9.0 million to CALVARY CONTRACTING INC. PROJECT NO. 539-20-104 - RENOVATE MICU-SICU

Who is the contractor on this award?

The obligated recipient is CALVARY CONTRACTING 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 $9.0 million.

What is the period of performance?

Start: 2026-04-06. End: 2027-06-10.

What is the historical performance of Calvary Contracting Inc. on similar government contracts?

Assessing Calvary Contracting Inc.'s past performance on comparable government contracts is crucial for evaluating their reliability and capability. Reviewing their track record for on-time completion, budget adherence, and quality of work on similar renovation projects would provide valuable insights into their likelihood of success for this MICU-SICU renovation.

What specific factors led to the exclusion of certain sources in the competition?

Understanding the rationale behind excluding specific sources is important for assessing the fairness and effectiveness of the procurement process. If the exclusion was based on specific technical requirements or past performance issues, it could justify the limited competition. However, if the exclusion was arbitrary, it might indicate a less competitive environment, potentially impacting the final price.

Are there established benchmarks for MICU-SICU renovation costs per square foot or per bed?

Establishing benchmarks for MICU-SICU renovation costs is essential for determining the value for money. Comparing the awarded contract amount to industry standards or previously completed similar projects, adjusted for location and scope, would help ascertain if the $8.99 million is competitive. This analysis would highlight potential overspending or cost savings.

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: SEALED BID

Solicitation ID: 36C25026B0001

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4125 GIBSON DR, TIPP CITY, OH, 45371

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $8,989,000

Exercised Options: $8,989,000

Current Obligation: $8,989,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline