VA Awards $10.2M Contract for Emergency Department Remodel to Sergents Mechanical Systems Inc

Contract Overview

Contract Amount: $10,257,144 ($10.3M)

Contractor: Sergents Mechanical Systems Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-03-28

End Date: 2026-10-05

Contract Duration: 1,287 days

Daily Burn Rate: $8.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: REMODEL EMERGENCY DEPARTMENT (ED) FOR OBSERVATION BEDS.

Place of Performance

Location: FRESNO, FRESNO County, CALIFORNIA, 93703

State: California Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $10.3 million to SERGENTS MECHANICAL SYSTEMS INC for work described as: REMODEL EMERGENCY DEPARTMENT (ED) FOR OBSERVATION BEDS. Key points: 1. Contract awarded for critical healthcare infrastructure upgrade. 2. Sergents Mechanical Systems Inc. secured the deal. 3. Potential for cost overruns or delays in construction projects. 4. Construction sector spending is significant and requires careful oversight.

Value Assessment

Rating: fair

The contract value of $10.2M for an ED remodel appears within a reasonable range for a project of this scope, though specific benchmarks for similar VA hospital renovations are needed for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, suggesting a competitive bidding process that should have driven a fair price. The award to Sergents Mechanical Systems Inc. indicates they offered the best value.

Taxpayer Impact: Taxpayer funds are being used for essential healthcare facility upgrades, aiming to improve patient care and operational efficiency.

Public Impact

Improved patient care and safety through modernized facilities. Potential for job creation in the construction sector. Ensures the VA can provide adequate emergency services.

Waste & Efficiency Indicators

Waste Risk Score: 70 / 10

Warning Flags

Positive Signals

Sector Analysis

The healthcare construction sector is vital for maintaining and upgrading medical facilities. This $10.2M contract falls within typical spending ranges for significant hospital renovations, reflecting the complexity and specialized requirements of healthcare environments.

Small Business Impact

The contract was awarded to Sergents Mechanical Systems Inc. There is no explicit indication of small business participation in this specific award, which warrants further investigation to ensure opportunities for small businesses.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Robust oversight will be crucial to ensure the project stays on schedule, within budget, and meets quality standards.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-veterans-affairs, ca, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $10.3 million to SERGENTS MECHANICAL SYSTEMS INC. REMODEL EMERGENCY DEPARTMENT (ED) FOR OBSERVATION BEDS.

Who is the contractor on this award?

The obligated recipient is SERGENTS MECHANICAL SYSTEMS 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 $10.3 million.

What is the period of performance?

Start: 2023-03-28. End: 2026-10-05.

What is the projected impact of this remodel on patient wait times and overall ED efficiency?

The remodel aims to improve patient flow and create dedicated observation beds, which should theoretically reduce wait times and enhance overall emergency department efficiency. Quantifying this impact will require post-completion analysis and comparison with pre-remodel metrics.

What are the key performance indicators (KPIs) for this contract, and how will success be measured?

Key performance indicators likely include adherence to schedule, budget compliance, quality of construction, and meeting all specified design and functional requirements for the observation beds and ED. Success will be measured against these KPIs throughout the project lifecycle and upon completion.

Are there any specific sustainability or green building requirements included in the contract?

The provided data does not specify any sustainability or green building requirements. Further review of the contract details would be necessary to determine if such provisions were included, which could impact material choices and long-term operational costs.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 36C26123R0008

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 235 QUAIL CT, SANTA PAULA, CA, 93060

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, HUBZone Firm, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $10,257,144

Exercised Options: $10,257,144

Current Obligation: $10,257,144

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2023-03-28

Current End Date: 2026-10-05

Potential End Date: 2026-10-05 00:00:00

Last Modified: 2026-04-07

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