VA awards $20.25M contract for electronic health record modernization infrastructure upgrade in New Mexico

Contract Overview

Contract Amount: $20,250,519 ($20.3M)

Contractor: Briston Construction, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2021-05-31

End Date: 2026-03-31

Contract Duration: 1,765 days

Daily Burn Rate: $11.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: ELECTRONIC HEALTH RECORD MODERNIZATION INFRASTRUCTURE UPGRADE AT NEW MEXICO VA HEALTH CARE SYSTEM, ALBUQUERQUE, NM.

Place of Performance

Location: ALBUQUERQUE, BERNALILLO County, NEW MEXICO, 87108

State: New Mexico Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $20.3 million to BRISTON CONSTRUCTION, LLC for work described as: ELECTRONIC HEALTH RECORD MODERNIZATION INFRASTRUCTURE UPGRADE AT NEW MEXICO VA HEALTH CARE SYSTEM, ALBUQUERQUE, NM. Key points: 1. Contract value of $20.25 million for infrastructure upgrades supporting electronic health records. 2. The contract was awarded to BRISTON CONSTRUCTION, LLC. 3. This is a delivery order under a larger contract, indicating a phased approach to modernization. 4. The project duration spans 1765 days, from May 2021 to March 2026. 5. The North American Industry Classification System (NAICS) code is 236220, related to commercial and institutional building construction. 6. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 7. The award was made under Full and Open Competition after Exclusion of Sources, suggesting a competitive process with specific justifications for excluding some potential bidders.

Value Assessment

Rating: fair

The contract value of $20.25 million for infrastructure upgrades appears to be within a reasonable range for a project of this scope and duration, supporting a critical healthcare system. Benchmarking against similar large-scale construction projects for federal facilities is necessary for a definitive value assessment. The firm fixed price structure suggests that the initial bid was considered competitive, but potential for cost overruns exists if unforeseen issues arise during construction.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition after Exclusion of Sources.' This indicates that while the competition was intended to be open, specific sources were excluded, likely due to pre-qualification requirements or specific technical needs. The number of bidders (5) suggests a moderate level of competition, which may not fully optimize price discovery compared to a truly unrestricted full and open competition.

Taxpayer Impact: The exclusion of certain sources, even with 5 bidders, could potentially lead to higher prices for taxpayers if it limited the pool of highly competitive firms.

Public Impact

Veterans in New Mexico will benefit from improved electronic health record systems. The contract supports the modernization of critical healthcare infrastructure at the New Mexico VA Health Care System. The project's geographic impact is focused on Albuquerque, New Mexico. The construction work will likely create or sustain jobs in the local construction sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen construction challenges arise.
Limited competition may have impacted the final price achieved for taxpayers.
Dependence on a single contractor for a critical infrastructure upgrade introduces performance risk.

Positive Signals

Firm Fixed Price contract shifts cost risk to the contractor.
Project duration is clearly defined with specific start and end dates.
Awarded to a single entity, simplifying management and accountability.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically supporting healthcare infrastructure. The Department of Veterans Affairs is a significant investor in healthcare facilities, and modernization projects like this are crucial for maintaining operational efficiency and patient care standards. Comparable spending benchmarks would involve analyzing other large-scale construction contracts for federal medical facilities, considering factors like square footage, complexity, and location.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. The prime contractor, BRISTON CONSTRUCTION, LLC, may engage small businesses as subcontractors, but this is not mandated by the contract's set-aside status.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting and project management offices. Accountability measures are embedded in the Firm Fixed Price contract terms, requiring the contractor to deliver specified infrastructure within the agreed-upon price. Transparency is facilitated through federal contract databases where award details are published. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Veterans Health Administration IT Modernization
VA Facility Construction and Renovation
Electronic Health Record Systems
Federal Construction Contracts
Department of Veterans Affairs Procurement

Risk Flags

Potential for cost overruns due to fixed-price contract.
Limited competition may impact price discovery.
Dependence on contractor performance for critical infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $20.3 million to BRISTON CONSTRUCTION, LLC. ELECTRONIC HEALTH RECORD MODERNIZATION INFRASTRUCTURE UPGRADE AT NEW MEXICO VA HEALTH CARE SYSTEM, ALBUQUERQUE, NM.

Who is the contractor on this award?

The obligated recipient is BRISTON 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 $20.3 million.

What is the period of performance?

Start: 2021-05-31. End: 2026-03-31.

What is the track record of BRISTON CONSTRUCTION, LLC in completing federal construction projects of similar scale and complexity?

Assessing the track record of BRISTON CONSTRUCTION, LLC requires a review of their past performance on federal contracts, particularly those involving healthcare infrastructure or large-scale building projects. Information on project completion times, adherence to budget, quality of work, and any past disputes or contract terminations would be crucial. A deeper dive into federal procurement databases (like SAM.gov or FPDS) and past performance evaluations would provide insights into their reliability and capability to execute this $20.25 million electronic health record modernization infrastructure upgrade successfully. Without specific past performance data, it is difficult to definitively assess their suitability for this critical project.

How does the awarded price of $20.25 million compare to similar VA infrastructure modernization projects?

To benchmark the $20.25 million award, a comparative analysis with similar VA infrastructure modernization projects is needed. This would involve identifying contracts for building construction or renovation at other VA medical centers with comparable scope, size, and complexity. Factors such as the square footage of the facility, the specific technological integrations required (like EHR infrastructure), and the geographic location (which influences labor and material costs) must be considered. If this contract's price per square foot or per functional unit is significantly higher or lower than comparable projects, it could indicate either exceptional value or potential overpricing/underbidding. The firm fixed price nature suggests the initial bid was competitive, but long-term value depends on successful execution.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

The primary risks associated with this contract include potential construction delays due to unforeseen site conditions, material shortages, or labor issues, which could impact the EHR modernization timeline. Cost overruns are a risk, although mitigated by the Firm Fixed Price (FFP) structure, which places the financial burden on the contractor. Performance risk exists if BRISTON CONSTRUCTION, LLC fails to meet quality standards or project specifications. Mitigation strategies likely include robust project management by the VA, clear performance metrics, regular site inspections, and contractual remedies for non-performance. The 'Exclusion of Sources' in the competition might also introduce a risk if it inadvertently excluded a more capable or cost-effective bidder.

How effective is the 'Full and Open Competition after Exclusion of Sources' approach in ensuring value for taxpayers?

The 'Full and Open Competition after Exclusion of Sources' approach aims to balance broad competition with specific requirements. While it allows for a wider pool of bidders than a sole-source award, the exclusion of certain sources can limit the overall competitive pressure. The effectiveness in ensuring value for taxpayers depends heavily on the justification for the exclusions and the number and capability of the remaining bidders. If the exclusions were narrowly tailored to essential qualifications and the remaining five bidders were highly competitive, it could still yield good value. However, if the exclusions were overly broad or the remaining bidders lacked strong competition, taxpayers might not receive the best possible price or service.

What is the historical spending pattern of the Department of Veterans Affairs on similar infrastructure modernization projects?

Analyzing the historical spending patterns of the Department of Veterans Affairs (VA) on similar infrastructure modernization projects is crucial for context. This involves examining aggregate spending data for construction and IT infrastructure upgrades across different VA facilities over several fiscal years. Understanding the average contract values, project durations, and the types of contractors typically engaged can reveal trends in VA procurement. For instance, a consistent increase in spending on EHR-related infrastructure might indicate a strategic push for modernization. Conversely, significant fluctuations could point to budget constraints or shifts in program priorities. This historical data helps in assessing whether the $20.25 million award is an outlier or aligns with established spending levels for such initiatives.

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

Solicitation ID: 36C26221B0002

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Briston Construction LLC

Address: 309 E 10TH DR, MESA, AZ, 85210

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $20,250,519

Exercised Options: $20,250,519

Current Obligation: $20,250,519

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA25815D0095

IDV Type: IDC

Timeline