GSA Awards $30.7M for VA Austin IT Center Power System Modernization via Full and Open Competition

Contract Overview

Contract Amount: $30,767,074 ($30.8M)

Contractor: Ross Group Construction Corporation, LLC

Awarding Agency: General Services Administration

Start Date: 2024-09-18

End Date: 2026-12-09

Contract Duration: 812 days

Daily Burn Rate: $37.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION SERVICES FOR THE MODERNIZATION OF THE POWER AND ELECTRICAL SYSTEM AT THE VETERANS AFFAIRS AUSTIN INFORMATION TECHNOLOGY CENTER IN AUSTIN,TX.

Place of Performance

Location: AUSTIN, TRAVIS County, TEXAS, 78714

State: Texas Government Spending

Plain-Language Summary

General Services Administration obligated $30.8 million to ROSS GROUP CONSTRUCTION CORPORATION, LLC for work described as: CONSTRUCTION SERVICES FOR THE MODERNIZATION OF THE POWER AND ELECTRICAL SYSTEM AT THE VETERANS AFFAIRS AUSTIN INFORMATION TECHNOLOGY CENTER IN AUSTIN,TX. Key points: 1. The contract focuses on critical infrastructure upgrades for a key VA facility. 2. Competition was full and open, suggesting a competitive bidding process. 3. The project's success hinges on timely completion and adherence to specifications. 4. The sector is construction, specifically commercial and institutional building. 5. The award value is substantial for this type of infrastructure project.

Value Assessment

Rating: good

The award value of $30.7M for a power and electrical system modernization appears reasonable given the scope and the nature of the facility. Benchmarking against similar large-scale construction projects for federal IT centers 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, indicating that multiple bidders had the opportunity to submit proposals. This method generally promotes competitive pricing and allows the government to select the best value.

Taxpayer Impact: The use of full and open competition is expected to yield a fair price for taxpayers by leveraging market forces.

Public Impact

Ensures continued operation of critical IT infrastructure for VA services. Modernized systems will improve energy efficiency and reliability. Supports local economy through construction jobs and related services. Potential for improved cybersecurity through updated electrical infrastructure. Enhances resilience of VA data centers against power outages.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise.
Risk of schedule delays due to complex system integration.
Dependence on specialized contractors for critical components.

Positive Signals

Awarded under full and open competition.
Firm Fixed Price contract type limits cost uncertainty.
Experienced agency (GSA) overseeing the project.
Project addresses critical infrastructure needs.

Sector Analysis

This project falls within the commercial and institutional building construction sector, focusing on specialized electrical and power system upgrades. Spending benchmarks for similar federal infrastructure modernization projects vary widely based on scale and complexity, but this award is significant.

Small Business Impact

The contract was not awarded to a small business, and there is no indication of small business subcontracting goals in the provided data. Further analysis would be needed to determine if small businesses were involved in the bidding process or as potential subcontractors.

Oversight & Accountability

The General Services Administration (GSA), through its Public Buildings Service, is responsible for overseeing this project. The firm fixed price contract type provides a degree of cost control, but ongoing monitoring will be crucial to ensure adherence to schedule and quality standards.

Related Government Programs

Commercial and Institutional Building Construction
General Services Administration Contracting
Public Buildings Service Programs

Risk Flags

Potential for schedule delays.
Risk of cost overruns due to unforeseen conditions.
Complexity of integrating new systems with existing infrastructure.
Dependence on specialized subcontractors.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $30.8 million to ROSS GROUP CONSTRUCTION CORPORATION, LLC. CONSTRUCTION SERVICES FOR THE MODERNIZATION OF THE POWER AND ELECTRICAL SYSTEM AT THE VETERANS AFFAIRS AUSTIN INFORMATION TECHNOLOGY CENTER IN AUSTIN,TX.

Who is the contractor on this award?

The obligated recipient is ROSS GROUP CONSTRUCTION CORPORATION, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $30.8 million.

What is the period of performance?

Start: 2024-09-18. End: 2026-12-09.

What is the projected impact of the modernization on the VA's energy consumption and operational costs?

The modernization of the power and electrical system is expected to yield significant improvements in energy efficiency, potentially leading to reduced operational costs for the VA Austin IT Center. While specific figures are not provided, updated systems typically incorporate energy-saving technologies and better load management, contributing to a lower carbon footprint and more predictable utility expenses over the system's lifespan.

What are the primary risks associated with the modernization of a live IT center's power system?

The primary risks involve maintaining uninterrupted power to critical IT operations during the upgrade process, potential for system integration issues between new and existing infrastructure, and the possibility of unforeseen site conditions requiring design changes or additional work. Ensuring robust backup power solutions and meticulous project phasing are crucial to mitigate these risks and prevent data loss or service disruptions.

How will the effectiveness of the modernization be measured post-completion?

Effectiveness will be measured through several key performance indicators, including system reliability (e.g., reduced downtime), energy efficiency improvements (quantified by reduced kWh consumption), compliance with updated safety and building codes, and the successful integration of all new components. Post-occupancy evaluations and performance monitoring over an initial period will confirm the system meets design specifications and operational requirements.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47PH0824R0003

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 510 E 2ND ST, TULSA, OK, 74120

Business Categories: American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,767,074

Exercised Options: $30,767,074

Current Obligation: $30,767,074

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47PH0821D0012

IDV Type: IDC

Timeline