VA Awards $23.8M for Seismic Corrections and Renovations to 10 Buildings

Contract Overview

Contract Amount: $23,810,053 ($23.8M)

Contractor: LEO a. Daly LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2010-09-30

End Date: 2025-12-31

Contract Duration: 5,571 days

Daily Burn Rate: $4.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: SEISMIC AND FCA CORRECTIONS OF 10 BUILDINGS AND RENOVATION OF BUILDING 209 (SD AND DD ONLY)

Place of Performance

Location: LOS ANGELES, LOS ANGELES County, CALIFORNIA, 90073

State: California Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $23.8 million to LEO A. DALY LLC for work described as: SEISMIC AND FCA CORRECTIONS OF 10 BUILDINGS AND RENOVATION OF BUILDING 209 (SD AND DD ONLY) Key points: 1. Contract awarded to LEO A. DALY LLC for architectural services. 2. Project involves seismic and FCA corrections for 10 buildings and renovation of Building 209. 3. The contract has a duration of 5571 days, ending in December 2025. 4. This is a firm-fixed-price contract, indicating a set price for the work. 5. The contract was awarded under full and open competition.

Value Assessment

Rating: fair

The contract value of $23.8 million for architectural services over a long duration suggests a significant project. Benchmarking against similar large-scale building renovation and seismic retrofitting contracts would be necessary for a precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which generally promotes competitive pricing. The firm-fixed-price structure further aims to control costs by setting a definitive price before work begins.

Taxpayer Impact: The use of full and open competition is intended to secure the best value for taxpayers. However, the long duration and scope of work warrant ongoing monitoring to ensure cost-effectiveness.

Public Impact

Improved safety and structural integrity for VA facilities in California. Modernization of critical healthcare infrastructure for veterans. Potential for job creation in architectural and construction sectors. Ensures compliance with seismic and building codes. Long-term operational efficiency for VA medical centers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (5571 days) increases risk of cost overruns and scope creep.
Potential for unforeseen issues during seismic retrofitting and renovation.
Dependence on a single contractor for an extended period.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing.
Firm-fixed-price contract helps manage cost certainty.
Addresses critical safety and infrastructure needs for veterans.

Sector Analysis

This contract falls under architectural services, a key component of the construction and facilities management sector. Spending in this area is often driven by infrastructure upgrades, modernization efforts, and regulatory compliance, such as seismic retrofitting.

Small Business Impact

The data indicates this contract was awarded to LEO A. DALY LLC, a specific firm. There is no explicit information on small business participation or subcontracting in the provided data. Further investigation would be needed to determine if small businesses were involved.

Oversight & Accountability

The Department of Veterans Affairs is the awarding agency. Oversight would typically involve contract management, performance monitoring, and financial controls to ensure the project stays on schedule and within budget, especially given its long duration.

Related Government Programs

Architectural Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Long contract duration increases risk.
Potential for unforeseen structural issues.
Scope creep risk due to extensive renovations.
Dependence on a single contractor for an extended period.
Coordination complexity across multiple buildings.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $23.8 million to LEO A. DALY LLC. SEISMIC AND FCA CORRECTIONS OF 10 BUILDINGS AND RENOVATION OF BUILDING 209 (SD AND DD ONLY)

Who is the contractor on this award?

The obligated recipient is LEO A. DALY 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 $23.8 million.

What is the period of performance?

Start: 2010-09-30. End: 2025-12-31.

What is the estimated cost per square foot for the renovation and seismic corrections, and how does it compare to industry benchmarks for similar projects in California?

The provided data does not include square footage or detailed cost breakdowns, making a per-square-foot cost analysis impossible. To assess value, one would need to obtain project plans and compare the total cost against the square footage of the affected areas and the complexity of the seismic and renovation work, benchmarking against similar government or private sector projects in the region.

What are the specific risks associated with performing seismic and FCA corrections on 10 buildings simultaneously, and what mitigation strategies are in place?

Risks include unforeseen structural issues, potential disruption to ongoing VA operations, coordination challenges across multiple sites, and contractor performance over the long contract duration. Mitigation strategies likely involve detailed site assessments, phased construction schedules, clear communication protocols between the VA and the contractor, and robust contract oversight to address issues promptly.

How will the effectiveness of the seismic and FCA corrections be measured, and what are the long-term benefits for the VA and veteran patients?

Effectiveness will be measured through post-construction inspections, structural integrity tests, and compliance with updated building codes. Long-term benefits include enhanced safety for occupants, reduced risk of damage during seismic events, extended building lifespan, and improved functionality of VA facilities, ultimately supporting better healthcare delivery for veterans.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Architectural Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 550 S HOPE ST STE 2700, LOS ANGELES, CA, 90071

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $57,764,722

Exercised Options: $41,990,126

Current Obligation: $23,810,053

Actual Outlays: $33,879

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline