VA awards $281K contract for morgue remodel, with engineering services benchmarked against market rates

Contract Overview

Contract Amount: $281,293 ($281.3K)

Contractor: Fourfront Design Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-08-26

End Date: 2026-05-15

Contract Duration: 1,358 days

Daily Burn Rate: $207/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: 636A8-22-012, REMODEL MORGUE IA/ND AE MATOC

Place of Performance

Location: RAPID CITY, PENNINGTON County, SOUTH DAKOTA, 57701

State: South Dakota Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $281,292.96 to FOURFRONT DESIGN INC for work described as: 636A8-22-012, REMODEL MORGUE IA/ND AE MATOC Key points: 1. Contract value is relatively small, suggesting a focused scope for the morgue remodel. 2. Engineering services are a critical component, requiring specialized expertise. 3. The contract's duration extends over several years, indicating a phased approach or long-term need. 4. Fixed-price contract type aims to control costs and provide predictability. 5. The award was made by the Department of Veterans Affairs, aligning with healthcare infrastructure needs. 6. Geographic focus on South Dakota points to a specific facility requirement.

Value Assessment

Rating: good

The contract value of $281,292.96 for engineering services related to a morgue remodel appears reasonable for a specialized project. Benchmarking against similar VA facility renovation projects or general engineering service rates for architectural and engineering (A&E) services (NAICS 541330) would provide a clearer picture of value. Given the fixed-price nature, the VA has established cost certainty, but the ultimate value will depend on the quality of the delivered design and its cost-effectiveness during construction.

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,' indicating that while the initial solicitation might have had some exclusions, the final award was made through a competitive process. The presence of two bidders suggests a moderate level of competition for this specific engineering service requirement. This level of competition is generally sufficient to ensure fair pricing and a reasonable selection of qualified contractors.

Taxpayer Impact: A competitive award process, even with a limited number of bidders, helps ensure that taxpayer funds are used efficiently by driving down prices and encouraging quality service delivery.

Public Impact

Veterans and VA staff at the South Dakota facility will benefit from an updated and functional morgue. The contract delivers essential engineering design services for facility improvement. The geographic impact is localized to the specific VA facility in South Dakota. The project supports the healthcare infrastructure necessary for providing medical services to veterans.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial design requirements are not fully defined.
Dependence on the contractor's expertise for accurate and cost-effective design solutions.

Positive Signals

Fixed-price contract provides cost certainty for the government.
Competitive award process suggests a fair market price was likely achieved.
The contractor, FOURFRONT DESIGN INC, has experience in engineering services.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), which is a critical component of the broader construction and facilities management industry. The market for specialized A&E services supporting government facilities is substantial, with agencies like the VA consistently investing in infrastructure upgrades and maintenance. Comparable spending benchmarks would involve looking at other VA facility renovation contracts or similar projects undertaken by other federal agencies for healthcare-related infrastructure.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside requirement for this particular award (ss: false, sb: false). Therefore, the direct impact on small businesses is limited to potential subcontracting opportunities, which are not detailed in this award notice. The primary contractor is FOURFRONT DESIGN INC, and their size status is not specified here, but the award itself was not designated for small business competition.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Veterans Affairs contracting officers and project managers. They are responsible for monitoring performance, ensuring compliance with contract terms, and approving payments. The fixed-price nature of the contract provides a degree of accountability for the contractor to deliver the specified design services within the agreed-upon budget. Transparency is facilitated through contract databases like FPDS, where award details are publicly available.

Related Government Programs

VA Medical Facility Construction
Architectural and Engineering Services
Healthcare Infrastructure Modernization
Federal Building Design Contracts

Risk Flags

Potential for design deficiencies impacting construction costs.
Risk of contractor delays affecting project timelines.
Need for robust VA oversight to ensure quality and compliance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $281,292.96 to FOURFRONT DESIGN INC. 636A8-22-012, REMODEL MORGUE IA/ND AE MATOC

Who is the contractor on this award?

The obligated recipient is FOURFRONT DESIGN 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 $281,292.96.

What is the period of performance?

Start: 2022-08-26. End: 2026-05-15.

What is the track record of FOURFRONT DESIGN INC with the Department of Veterans Affairs?

A review of federal procurement data would be necessary to fully assess FOURFRONT DESIGN INC's track record with the Department of Veterans Affairs. This would involve examining past contracts awarded to the firm by the VA, including their performance history, any reported issues or disputes, and the types of services previously rendered. Understanding their history with the VA can provide insights into their reliability, expertise in government contracting, and ability to meet the specific needs of the agency, particularly in specialized areas like healthcare facility design.

How does the awarded amount compare to similar VA morgue renovation or A&E contracts?

To benchmark the $281,292.96 award, a comparative analysis of similar contracts is needed. This would involve searching federal procurement databases for contracts awarded by the VA for 'morgue renovation,' 'medical examiner facility upgrades,' or general 'architectural and engineering services for healthcare facilities' within the last 2-3 years. Key comparison points would include contract value, scope of work, duration, and the specific services provided (e.g., design, planning, consulting). Without direct comparable data, it's difficult to definitively state if this award represents excellent, fair, or questionable value for money.

What are the primary risks associated with this engineering services contract?

The primary risks associated with this contract include potential design flaws that could lead to costly construction changes or operational inefficiencies, contractor underperformance or delays impacting the project timeline, and scope creep where the requirements expand beyond the initial agreement, potentially increasing costs. Given that it's a fixed-price contract, there's also a risk that the contractor might cut corners on quality to maintain profitability if not adequately overseen. The specialized nature of a morgue facility also introduces risks related to compliance with specific health and safety regulations.

What is the expected effectiveness of the engineering services in improving the morgue facility?

The effectiveness of the engineering services hinges on the quality and comprehensiveness of the design provided by FOURFRONT DESIGN INC. Well-executed engineering plans should result in a morgue facility that meets all functional requirements, adheres to relevant health and safety standards, optimizes workflow for staff, and incorporates durable, maintainable systems. The fixed-price nature suggests a clear deliverable (the design), and the VA's project management will be crucial in ensuring the design translates into an effective and efficient physical space that supports the facility's mission.

How has VA spending on engineering services for facility upgrades trended in recent years?

Analyzing VA spending trends on engineering services for facility upgrades requires examining historical procurement data over several fiscal years. This would involve looking at the total dollar amounts awarded for architectural and engineering services related to construction and renovation projects. Trends might indicate an increase or decrease in investment in facility modernization, potentially influenced by budget allocations, infrastructure needs assessments, and national priorities. Understanding these trends provides context for the current award and helps anticipate future spending patterns in this category.

What is the significance of the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award type?

The award type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' signifies a specific procurement strategy. Initially, the solicitation may have excluded certain sources based on predefined criteria (e.g., specific capabilities, past performance, or socioeconomic status). However, the subsequent process involved full and open competition among the remaining eligible sources. This approach aims to balance the need for specialized capabilities or specific requirements with the principle of broad competition, ensuring a fair opportunity for qualified vendors while potentially narrowing the field initially to those best suited for the task.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 36C26322R0055

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 517 7TH ST, RAPID CITY, SD, 57701

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: $281,293

Exercised Options: $281,293

Current Obligation: $281,293

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 36C26319D0045

IDV Type: IDC

Timeline