VA Awards $8.29M EHRM IT Closets Contract to Burton Construction, Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $8,291,927 ($8.3M)

Contractor: Burton Construction, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2021-07-15

End Date: 2023-12-31

Contract Duration: 899 days

Daily Burn Rate: $9.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: EHRM IT CLOSETS

Place of Performance

Location: SEATTLE, KING County, WASHINGTON, 98108

State: Washington Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $8.3 million to BURTON CONSTRUCTION, INC. for work described as: EHRM IT CLOSETS Key points: 1. Contract awarded for EHRM IT Closets, a critical component for healthcare IT infrastructure. 2. Competition was full and open after exclusion of sources, indicating a broad search for qualified bidders. 3. The contract value of $8.29M falls within typical ranges for specialized IT infrastructure projects. 4. Sector context suggests this is part of broader healthcare modernization efforts within the VA.

Value Assessment

Rating: good

The award price of $8.29M for EHRM IT Closets appears reasonable when compared to similar IT infrastructure projects of this scale. Benchmarking against other VA or federal contracts for specialized construction and IT integration would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This method suggests that while the competition was broad, specific requirements or pre-qualification criteria may have narrowed the initial pool of potential bidders, potentially impacting price discovery.

Taxpayer Impact: The competitive bidding process aims to ensure taxpayer funds are used efficiently, securing a fair price for essential IT infrastructure upgrades within the VA.

Public Impact

Enhances the reliability and security of the Veterans' Electronic Health Record (EHRM) system. Supports improved data management and accessibility for healthcare providers. Contributes to the modernization of VA healthcare facilities. Potential for improved patient care through better IT infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in IT infrastructure projects.
Dependency on vendor performance for timely completion.
Integration challenges with existing VA IT systems.

Positive Signals

Clear contract type (Firm Fixed Price) limits cost overruns.
Full and open competition generally leads to better pricing.
Awarded by a major agency (VA) with established oversight.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically related to IT infrastructure. Spending in this area is often driven by modernization initiatives and the need for secure, reliable data environments, particularly in sensitive sectors like healthcare.

Small Business Impact

The data does not indicate if small businesses were involved in this specific contract award. Further analysis would be needed to determine the extent of small business participation or subcontracting opportunities.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight of this contract. The 'Delivery Order' nature suggests it's part of a larger contract vehicle, implying established oversight mechanisms are in place.

Related Government Programs

Commercial and Institutional Building Construction
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for limited competition due to 'exclusion of sources'.
Complexity of IT infrastructure projects can lead to unforeseen challenges.
Dependency on vendor's technical expertise and project management.
Integration risks with existing VA IT systems.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $8.3 million to BURTON CONSTRUCTION, INC.. EHRM IT CLOSETS

Who is the contractor on this award?

The obligated recipient is BURTON CONSTRUCTION, 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 $8.3 million.

What is the period of performance?

Start: 2021-07-15. End: 2023-12-31.

What specific IT infrastructure needs are addressed by these EHRM IT Closets, and how do they align with the VA's overall digital transformation goals?

These EHRM IT Closets likely address the physical infrastructure requirements for housing and securing critical components of the Veterans' Electronic Health Record system, such as servers, networking equipment, and data storage. This aligns with the VA's broader digital transformation goals by ensuring a robust, secure, and accessible foundation for patient data, which is essential for improving healthcare delivery and operational efficiency across the agency.

Given the 'exclusion of sources' clause, what were the specific criteria that led to the exclusion of certain potential bidders, and did this exclusion potentially limit competitive pricing?

The 'exclusion of sources' clause typically means that while the competition was intended to be full and open, certain types of contractors or specific pre-qualifications were required. The criteria might have included specialized experience in healthcare IT construction, specific security clearances, or geographic proximity. While intended to ensure capability, such exclusions can sometimes limit the number of bidders, potentially impacting the intensity of price competition compared to a completely unrestricted open bid.

How will the success of this EHRM IT Closets project be measured, and what are the key performance indicators (KPIs) to ensure effective implementation and taxpayer value?

Success will likely be measured by the timely completion of the closets according to specifications, successful integration of IT equipment, and adherence to security protocols. Key performance indicators could include uptime of the housed IT systems, reduction in IT-related incidents within the EHRM, and successful completion within the firm fixed price budget. Regular inspections and user feedback from IT staff and healthcare providers will also gauge effectiveness and ensure taxpayer value.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 36C26021Q0039

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3915 E NEBRASKA AVE, SPOKANE, WA, 99217

Business Categories: American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $8,291,927

Exercised Options: $8,291,927

Current Obligation: $8,291,927

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C26018D0007

IDV Type: IDC

Timeline