VA Awards $55.4M EHRM Infrastructure Construction Contract to AC JV ONE LLC

Contract Overview

Contract Amount: $55,382,294 ($55.4M)

Contractor: AC JV ONE LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-07-15

End Date: 2026-08-10

Contract Duration: 756 days

Daily Burn Rate: $73.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: EHRM INFRASTRUCTURE CONSTRUCTION DAYTON

Place of Performance

Location: DAYTON, MONTGOMERY County, OHIO, 45428

State: Ohio Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $55.4 million to AC JV ONE LLC for work described as: EHRM INFRASTRUCTURE CONSTRUCTION DAYTON Key points: 1. Contract awarded for EHRM infrastructure construction in Dayton, OH. 2. Full and open competition after exclusion of sources was utilized. 3. Potential for cost savings through firm-fixed-price contract. 4. Construction sector spending benchmark needs further analysis.

Value Assessment

Rating: fair

The contract value of $55.4M for 756 days of work appears reasonable for a large-scale construction project. However, without specific details on the scope of work and comparable projects in the Dayton area, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests that while the competition was intended to be broad, certain sources were initially excluded. This could potentially limit price discovery and competition compared to a truly unrestricted full and open process.

Taxpayer Impact: The firm-fixed-price contract aims to control costs, but the limited competition aspect might mean taxpayers are not receiving the absolute lowest possible price.

Public Impact

Improved healthcare infrastructure for veterans through EHRM. Potential for job creation in the Dayton, Ohio region. Ensures modernization of critical VA systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. Spending in this sector can vary significantly based on project size, location, and material costs. The $55.4M award is substantial for a single project.

Small Business Impact

The data indicates that small business participation was not a stated factor in this award (ss: false, sb: false). Further investigation may be needed to determine if subcontracting opportunities exist for small businesses within this large construction project.

Oversight & Accountability

The Department of Veterans Affairs is the awarding agency. Oversight will be crucial to ensure the project stays on schedule, within budget, and meets the required quality standards for EHRM infrastructure.

Related Government Programs

Risk Flags

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $55.4 million to AC JV ONE LLC. EHRM INFRASTRUCTURE CONSTRUCTION DAYTON

Who is the contractor on this award?

The obligated recipient is AC JV ONE 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 $55.4 million.

What is the period of performance?

Start: 2024-07-15. End: 2026-08-10.

What specific exclusions were made in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' process, and what was the justification?

The justification for excluding specific sources needs to be reviewed. Typically, such exclusions are based on technical capabilities, past performance, or specific security requirements. Understanding these exclusions is vital to assess if the competition was truly fair and if the best value was obtained for the government.

How does the awarded price compare to industry benchmarks for similar EHRM infrastructure construction projects of this scale?

Benchmarking this $55.4M contract requires detailed comparison with similar projects in terms of square footage, complexity of IT integration, and specific construction requirements. Without this granular data, it's difficult to definitively state if the price represents excellent value or if there's potential for overpayment.

What are the key performance indicators (KPIs) and oversight mechanisms in place to ensure the successful and effective completion of this EHRM infrastructure project?

Effective oversight requires clearly defined KPIs related to project milestones, quality control, and budget adherence. The VA must have robust mechanisms to monitor progress, manage risks, and ensure the contractor delivers the infrastructure to support the Electronic Health Record Modernization program effectively.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: 36C77623B0055

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 837 OAKTON ST, ELK GROVE VILLAGE, IL, 60007

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: $55,382,294

Exercised Options: $55,382,294

Current Obligation: $55,382,294

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2024-07-15

Current End Date: 2026-08-10

Potential End Date: 2026-08-10 00:00:00

Last Modified: 2025-12-17

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