VA Awards $45M for Combined Heat and Power Plant Construction at West Haven VA Medical Center
Contract Overview
Contract Amount: $45,047,012 ($45.0M)
Contractor: J Kokolakis Contracting Inc
Awarding Agency: Department of Veterans Affairs
Start Date: 2014-09-30
End Date: 2019-06-30
Contract Duration: 1,734 days
Daily Burn Rate: $26.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF - CONTRACT TO PROVIDE FOR THE CONSTRUCTION OF A NEW COMBINED HEAT AND POWER PLANT AT THE WEST HAVEN, CT VA MEDICAL CENTER.
Place of Performance
Location: WEST HAVEN, NEW HAVEN County, CONNECTICUT, 06516
Plain-Language Summary
Department of Veterans Affairs obligated $45.0 million to J KOKOLAKIS CONTRACTING INC for work described as: IGF::OT::IGF - CONTRACT TO PROVIDE FOR THE CONSTRUCTION OF A NEW COMBINED HEAT AND POWER PLANT AT THE WEST HAVEN, CT VA MEDICAL CENTER. Key points: 1. Contract awarded to J KOKOLAKIS CONTRACTING INC for $45M. 2. Project involves construction of a new Combined Heat and Power Plant. 3. Full and open competition was utilized. 4. The contract is a Firm Fixed Price type. 5. Project duration is 1734 days.
Value Assessment
Rating: good
The contract value of $45M appears reasonable for a large-scale construction project of this nature. Benchmarking against similar power plant construction contracts would provide a more definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition suggests a robust price discovery process. This method typically leads to more competitive pricing by allowing all eligible contractors to bid.
Taxpayer Impact: The competitive bidding process is expected to ensure taxpayer funds are used efficiently for this critical infrastructure project.
Public Impact
Improved energy efficiency and reliability for the West Haven VA Medical Center. Potential for cost savings in energy expenses over the long term. Supports the VA's infrastructure modernization efforts. Creates construction jobs in Connecticut.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in large construction projects.
- Delays in project completion could impact facility operations.
Positive Signals
- Firm Fixed Price contract provides cost certainty.
- Full and open competition likely secured competitive pricing.
- Project addresses critical infrastructure needs.
Sector Analysis
This contract falls within the Construction sector, specifically related to power generation infrastructure. Spending benchmarks for similar VA medical center infrastructure projects would be relevant for comparison.
Small Business Impact
While the contract was awarded to J KOKOLAKIS CONTRACTING INC, it's important to assess if any subcontracting opportunities were made available to small businesses as part of this large project.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight. Regular progress reports and site inspections would be crucial to ensure timely and quality completion within budget.
Related Government Programs
- Power and Communication Line and Related Structures Construction
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for cost overruns.
- Risk of project delays.
- Dependency on contractor performance.
- Long-term operational and maintenance costs.
Tags
power-and-communication-line-and-related, department-of-veterans-affairs, ct, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $45.0 million to J KOKOLAKIS CONTRACTING INC. IGF::OT::IGF - CONTRACT TO PROVIDE FOR THE CONSTRUCTION OF A NEW COMBINED HEAT AND POWER PLANT AT THE WEST HAVEN, CT VA MEDICAL CENTER.
Who is the contractor on this award?
The obligated recipient is J KOKOLAKIS CONTRACTING 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 $45.0 million.
What is the period of performance?
Start: 2014-09-30. End: 2019-06-30.
What is the projected long-term cost savings from the new Combined Heat and Power Plant?
The projected long-term cost savings would depend on factors such as energy prices, plant efficiency, and maintenance costs. A detailed analysis by the VA should outline these projections, considering the initial investment against anticipated operational savings over the plant's lifespan. This information is crucial for evaluating the overall value proposition of the project beyond the initial construction cost.
What are the key risks associated with the construction timeline and potential delays?
Key risks include unforeseen site conditions, weather disruptions, supply chain issues for materials, and labor availability. Delays could lead to increased costs due to extended overhead and potential penalties. The VA should have contingency plans in place to mitigate these risks and ensure the project stays on schedule to avoid impacting medical center operations.
How does the energy output and efficiency of this new plant compare to industry standards?
The energy output and efficiency should align with or exceed current industry standards for Combined Heat and Power plants of similar scale. Benchmarking against best practices in energy generation and utilization will ensure the plant is not only functional but also cost-effective and environmentally sound. The VA's technical specifications and post-construction performance reviews are key to verifying this.
Industry Classification
NAICS: Construction › Utility System Construction › Power and Communication Line and Related Structures Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SEALED BID
Solicitation ID: VA701-14-B-0145
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1500 OCEAN AVE STE A, BOHEMIA, NY, 11716
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $45,047,012
Exercised Options: $45,047,012
Current Obligation: $45,047,012
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2014-09-30
Current End Date: 2019-06-30
Potential End Date: 2019-06-30 00:00:00
Last Modified: 2020-01-07
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