VA awards $15.6M sterile processing contract to MCL-MRK VII LLC for Omaha VAMC
Contract Overview
Contract Amount: $15,659,015 ($15.7M)
Contractor: Mcl-Mrk VII LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2026-01-08
End Date: 2027-07-07
Contract Duration: 545 days
Daily Burn Rate: $28.7K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: 636-502 CONSTRUCT STERILE PROCESSING SERVICE - OMAHA VAMC
Place of Performance
Location: OMAHA, DOUGLAS County, NEBRASKA, 68105
State: Nebraska Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $15.7 million to MCL-MRK VII LLC for work described as: 636-502 CONSTRUCT STERILE PROCESSING SERVICE - OMAHA VAMC Key points: 1. Contract value of $15.6M for sterile processing services. 2. Competition was full and open after exclusion of sources. 3. Risk appears moderate given the fixed-price contract type. 4. Sector is Commercial and Institutional Building Construction.
Value Assessment
Rating: good
The contract value of $15.6M appears reasonable for specialized construction services. Benchmarking against similar VAMC construction projects would provide a more precise assessment.
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 a competitive bidding process. This method generally promotes price discovery and value for the government.
Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair market value for the services rendered.
Public Impact
Ensures critical sterile processing services at the Omaha VAMC. Supports healthcare infrastructure and patient safety. Contract duration extends into mid-2027.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen construction issues arise.
- Dependence on a single contractor for a critical service.
Positive Signals
- Fixed-price contract limits government exposure to cost increases.
- Competitive award process suggests potential for good value.
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector, specifically for healthcare facilities. Spending in this sector can vary significantly based on project scope and location.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight. Contract performance will be monitored to ensure adherence to terms and quality standards.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for scope creep during construction.
- Reliance on contractor's expertise for specialized healthcare construction.
- Ensuring compliance with VA and healthcare-specific building regulations.
- Potential delays due to unforeseen site conditions or material availability.
Tags
commercial-and-institutional-building-co, department-of-veterans-affairs, ne, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $15.7 million to MCL-MRK VII LLC. 636-502 CONSTRUCT STERILE PROCESSING SERVICE - OMAHA VAMC
Who is the contractor on this award?
The obligated recipient is MCL-MRK VII 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 $15.7 million.
What is the period of performance?
Start: 2026-01-08. End: 2027-07-07.
What is the specific scope of 'sterile processing services' within this construction contract?
The term 'sterile processing services' in this context likely refers to the construction or renovation of facilities dedicated to sterilizing medical equipment. This could involve specialized HVAC, plumbing, electrical, and containment systems to meet stringent healthcare regulations and infection control standards, rather than ongoing operational services.
How does the 'exclusion of sources' clause impact competition and pricing?
The 'exclusion of sources' clause, when used with 'full and open competition,' typically means that while the competition is open, certain pre-qualified or specific types of sources might be initially considered or that specific requirements exclude a broader range of potential bidders. This can sometimes narrow the competitive pool, but if done correctly, it ensures bidders meet essential criteria, potentially leading to more focused and relevant bids.
What are the key performance indicators for this contract?
Key performance indicators would likely focus on construction timelines, adherence to building codes and healthcare facility standards, quality of materials and workmanship, and successful completion of all specified project elements. Post-construction, there might be a warranty period to ensure the facility's operational integrity and compliance with health regulations.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 36C77625R0063
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 14558 PORTAL CIR, LA VISTA, NE, 68138
Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $15,659,015
Exercised Options: $15,659,015
Current Obligation: $15,659,015
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2026-01-08
Current End Date: 2027-07-07
Potential End Date: 2027-07-07 00:00:00
Last Modified: 2026-01-12
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