VA Awards $15M Cemetery Expansion Contract to National Services and Heritage Contracting & K&K Industries

Contract Overview

Contract Amount: $15,060,101 ($15.1M)

Contractor: National Services and Heritage Contracting and K & K Industries

Awarding Agency: Department of Veterans Affairs

Start Date: 2008-09-22

End Date: 2010-10-21

Contract Duration: 759 days

Daily Burn Rate: $19.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PHASE 1B CEMETERY EXPANSION AT GREAT LAKES NATIONAL CEMETERY.

Place of Performance

Location: HOLLY, OAKLAND County, MICHIGAN, 48442

State: Michigan Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $15.1 million to NATIONAL SERVICES AND HERITAGE CONTRACTING AND K & K INDUSTRIES for work described as: PHASE 1B CEMETERY EXPANSION AT GREAT LAKES NATIONAL CEMETERY. Key points: 1. The contract is for cemetery expansion at Great Lakes National Cemetery. 2. Competition was full and open after exclusion of sources. 3. The award value is $15,060,101.42. 4. The contract duration was 759 days. 5. The contract was awarded by the Department of Veterans Affairs.

Value Assessment

Rating: fair

The contract value of $15.06 million for cemetery expansion appears reasonable given the scope. However, without specific per-unit cost data for grave sites or related infrastructure, a precise benchmark is difficult. The fixed-price nature suggests a defined scope, but potential for cost overruns exists if unforeseen issues arise.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract utilized full and open competition after excluding sources, indicating an attempt to maximize competition. This method generally promotes price discovery and competitive pricing. The exclusion of sources, however, warrants further investigation to ensure it did not unduly limit the competitive pool.

Taxpayer Impact: Taxpayer funds are utilized for this expansion, aiming to provide necessary services. The competitive award process should help ensure a fair price, minimizing waste.

Public Impact

Expands burial capacity at a national cemetery, serving veterans and their families. Supports the Department of Veterans Affairs' mission to provide dignified final resting places. Contributes to local construction and related industries in Michigan. Ensures continued availability of interment services for eligible individuals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Other Heavy and Civil Engineering Construction. Spending in this sector can vary significantly based on infrastructure needs and government priorities. Benchmarks for cemetery expansion projects are not readily available, making direct comparison challenging.

Small Business Impact

The data indicates that small businesses were not awarded this contract, as the 'sb' field is false. Further analysis would be needed to determine if small businesses participated in the bidding process or if opportunities were limited.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight. The contract type (firm fixed price) and competitive award process suggest some level of accountability. However, ongoing monitoring of performance and adherence to contract terms is crucial.

Related Government Programs

Risk Flags

Tags

other-heavy-and-civil-engineering-constr, department-of-veterans-affairs, mi, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $15.1 million to NATIONAL SERVICES AND HERITAGE CONTRACTING AND K & K INDUSTRIES. PHASE 1B CEMETERY EXPANSION AT GREAT LAKES NATIONAL CEMETERY.

Who is the contractor on this award?

The obligated recipient is NATIONAL SERVICES AND HERITAGE CONTRACTING AND K & K INDUSTRIES.

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 $15.1 million.

What is the period of performance?

Start: 2008-09-22. End: 2010-10-21.

What was the rationale for excluding specific sources in the 'full and open competition after exclusion of sources' method?

The rationale for excluding sources, even within a full and open competition framework, typically relates to specific technical requirements, past performance issues, or unique capabilities not met by all potential bidders. Without further documentation, it's difficult to ascertain the precise reasons. This exclusion could potentially limit the number of competitive bids received, impacting the final price.

How does the awarded price compare to similar cemetery expansion projects in terms of cost per grave site or linear foot of infrastructure?

A direct comparison of the awarded price to similar projects is challenging without granular cost breakdowns. The total award of $15.06 million for 759 days of work needs to be analyzed against the scope of work, including the number of new grave sites, landscaping, and utility installation. A lack of detailed unit pricing makes it difficult to assess cost-effectiveness definitively.

What are the potential risks associated with the 'exclusion of sources' clause in this contract, and how might they impact taxpayer value?

The primary risk of excluding sources, even with an 'open' competition, is a reduction in the number of qualified bidders. This can lead to less competitive pricing and potentially higher costs for taxpayers. It also raises questions about fairness and whether the most innovative or cost-effective solutions were considered. Ensuring the exclusion was justified and documented is key to mitigating these risks.

Industry Classification

NAICS: ConstructionOther Heavy and Civil Engineering ConstructionOther Heavy and Civil Engineering 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: VA-101-08-IB-0047

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 16842 STATE HWY M28, NEWBERRY, MI, 01

Business Categories: Category Business, Emerging Small Business, 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: $15,060,101

Exercised Options: $15,060,101

Current Obligation: $15,060,101

Timeline

Start Date: 2008-09-22

Current End Date: 2010-10-21

Potential End Date: 2010-10-21 00:00:00

Last Modified: 2011-07-25

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