VA awards $2.6M contract for Oscar G. Johnson VAMC renovations to Industrial Maintenance Services Inc
Contract Overview
Contract Amount: $2,613,612 ($2.6M)
Contractor: Industrial Maintenance Services Inc
Awarding Agency: Department of Veterans Affairs
Start Date: 2025-09-30
End Date: 2026-10-01
Contract Duration: 366 days
Daily Burn Rate: $7.1K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: PROJECT NUMBER 585-23-109, RENOVATE CLC FINISHES AT THE OSCAR G. JOHNSON VAMC IN IRON MOUNTAIN, MI
Place of Performance
Location: IRON MOUNTAIN, DICKINSON County, MICHIGAN, 49801
State: Michigan Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $2.6 million to INDUSTRIAL MAINTENANCE SERVICES INC for work described as: PROJECT NUMBER 585-23-109, RENOVATE CLC FINISHES AT THE OSCAR G. JOHNSON VAMC IN IRON MOUNTAIN, MI Key points: 1. The contract is for renovating CLC finishes at the Oscar G. Johnson VAMC. 2. The awardee is Industrial Maintenance Services Inc. 3. The contract has a firm fixed price type. 4. The contract duration is 366 days. 5. The contract is not set-aside for small businesses.
Value Assessment
Rating: fair
The contract value is $2,613,612.03. Without benchmark data for similar VAMC renovation projects, it is difficult to definitively assess if this pricing is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, suggesting a limited competition approach. This may impact price discovery and potentially lead to higher costs compared to a fully open competition.
Taxpayer Impact: Taxpayer funds are being used for this renovation project. The lack of full competition raises concerns about maximizing value for taxpayer dollars.
Public Impact
Veterans will benefit from improved facilities at the Oscar G. Johnson VAMC. The renovation project aims to enhance the living environment for veterans. Local economy may see a boost from construction-related activities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Lack of detailed cost breakdown
Positive Signals
- Clear project scope
- Defined end date
Sector Analysis
This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector can vary widely based on project size, complexity, and location. Benchmarks are difficult to establish without more specific project details.
Small Business Impact
The contract was not set-aside for small businesses, indicating that opportunities for small business participation may have been limited in this procurement.
Oversight & Accountability
The Department of Veterans Affairs is responsible for overseeing this contract. Accountability will depend on the VA's contract management and performance monitoring processes.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Limited competition may lead to higher costs.
- Lack of detailed cost breakdown hinders value assessment.
- Potential for scope creep if not managed tightly.
- Contract duration is close to the maximum allowed for this type of award.
Tags
commercial-and-institutional-building-co, department-of-veterans-affairs, mi, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $2.6 million to INDUSTRIAL MAINTENANCE SERVICES INC. PROJECT NUMBER 585-23-109, RENOVATE CLC FINISHES AT THE OSCAR G. JOHNSON VAMC IN IRON MOUNTAIN, MI
Who is the contractor on this award?
The obligated recipient is INDUSTRIAL MAINTENANCE SERVICES 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 $2.6 million.
What is the period of performance?
Start: 2025-09-30. End: 2026-10-01.
What is the specific scope of the CLC finishes renovation, and how does it align with the contract value?
The specific scope of the CLC finishes renovation is not detailed in the provided data. Understanding the exact work, such as upgrades to flooring, walls, ceilings, and fixtures, is crucial for assessing if the $2.6 million contract value is justified and represents good value for the taxpayer. A detailed breakdown of costs associated with each renovation task would be beneficial.
What factors led to the 'not available for competition' determination, and what is the potential impact on cost?
The determination of 'not available for competition' suggests potential reasons such as a sole-source provider, urgent need, or specific technical requirements. Without this information, it's difficult to assess the risk. If the limited competition resulted in fewer bidders or a lack of competitive pressure, the final price may be higher than if the contract had been fully competed.
How will the effectiveness of the renovation be measured to ensure it meets the needs of veterans and the VAMC?
The effectiveness of the renovation will likely be measured through post-completion inspections, user feedback from veterans and staff, and adherence to quality standards. The Department of Veterans Affairs should have established metrics and processes to ensure the completed work meets the intended improvements in living conditions and facility functionality.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: 36C77625R0086
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1920 20TH AVE N, ESCANABA, MI, 49829
Business Categories: American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $5,010,359
Exercised Options: $2,613,612
Current Obligation: $2,613,612
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2025-09-30
Current End Date: 2026-10-01
Potential End Date: 2026-10-01 00:00:00
Last Modified: 2026-04-09
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