VA Awards $10.15M Bridge Contract to DLH Solutions for Facilities Support

Contract Overview

Contract Amount: $10,154,542 ($10.2M)

Contractor: DLH Solutions Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-07-01

End Date: 2025-10-28

Contract Duration: 119 days

Daily Burn Rate: $85.3K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: NEW BRIDGE STAFFING CONTRACT FOR MAY 1ST (6 MONTH BRIDGE)

Place of Performance

Location: LADSON, BERKELEY County, SOUTH CAROLINA, 29456

State: South Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $10.2 million to DLH SOLUTIONS INC for work described as: NEW BRIDGE STAFFING CONTRACT FOR MAY 1ST (6 MONTH BRIDGE) Key points: 1. Contract awarded to DLH Solutions Inc. for $10.15 million. 2. This is a 6-month bridge contract, indicating a need for continued services. 3. The contract falls under Facilities Support Services (NAICS 561210). 4. Awarded by the Department of Veterans Affairs, suggesting a focus on veteran support infrastructure.

Value Assessment

Rating: questionable

The $10.15 million for a 6-month bridge contract appears high for facilities support services without further context on scope. Benchmarking against similar duration contracts for comparable services is needed to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed, indicating a limited competition approach. This raises concerns about price discovery and whether the government obtained the best possible price.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these services.

Public Impact

Ensures continuity of essential facilities support services at VA facilities. Potential for increased costs due to non-competitive award. Impacts the efficiency and maintenance of VA infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
High dollar value for a bridge contract
Short duration suggests potential for re-competition issues

Positive Signals

Ensures service continuity
Awarded to a known entity (DLH Solutions Inc.)

Sector Analysis

Facilities Support Services (NAICS 561210) are crucial for the operation of government buildings. Spending in this sector can vary widely based on the size and complexity of the facilities managed.

Small Business Impact

This contract was not awarded to a small business. Further analysis is needed to determine if small businesses were considered or had opportunities to participate in this procurement.

Oversight & Accountability

The limited competition approach warrants close oversight to ensure the VA is receiving fair pricing and that future procurements are competed appropriately.

Related Government Programs

Facilities Support Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Lack of competition
High dollar value for a short-term contract
Potential for cost overruns
Limited transparency in pricing
Missed opportunity for small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $10.2 million to DLH SOLUTIONS INC. NEW BRIDGE STAFFING CONTRACT FOR MAY 1ST (6 MONTH BRIDGE)

Who is the contractor on this award?

The obligated recipient is DLH SOLUTIONS 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 $10.2 million.

What is the period of performance?

Start: 2025-07-01. End: 2025-10-28.

What specific facilities support services are included in this $10.15 million contract, and how do they align with the VA's long-term needs?

The contract covers essential facilities support services for a 6-month period. While the exact services are not detailed, they likely include maintenance, operations, and potentially minor repairs to ensure the functionality of VA facilities. The alignment with long-term needs is questionable given the short-term, bridge nature of the award, suggesting a gap in strategic planning or a need for immediate, unplanned service continuation.

What are the risks associated with awarding a non-competed bridge contract of this magnitude?

The primary risks include potential overpayment due to lack of price competition, reduced incentive for the contractor to perform efficiently, and a missed opportunity to explore innovative solutions or better pricing from other qualified vendors. There's also a risk that this bridge contract delays a more strategic, competitively awarded solution, perpetuating higher costs.

How effective is this bridge contract in ensuring the uninterrupted delivery of critical facilities support services for the VA?

The contract is likely effective in ensuring immediate service continuity, which is its primary purpose as a bridge. However, its long-term effectiveness is limited by its short duration and non-competitive nature. It addresses an immediate operational need but does not represent a strategic or cost-effective long-term solution for facilities management.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: DLH Holdings Corp

Address: 3565 PIEDMONT RD NE, ATLANTA, GA, 30305

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $10,154,542

Exercised Options: $10,154,542

Current Obligation: $10,154,542

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C77024D0011

IDV Type: IDC

Timeline