VA awards $2M contract for West Haven VAMC facility upgrades to Jackson Ryan Construction Services

Contract Overview

Contract Amount: $1,996,588 ($2.0M)

Contractor: Jackson Ryan Construction Services, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-09-12

End Date: 2025-09-30

Contract Duration: 1,114 days

Daily Burn Rate: $1.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: B27 RTU #3 REPLACEMENT - WEST HAVEN VAMC PROJECT NUMBER 689-15-507 MATOC

Place of Performance

Location: WEST HAVEN, NEW HAVEN County, CONNECTICUT, 06516

State: Connecticut Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.0 million to JACKSON RYAN CONSTRUCTION SERVICES, INC. for work described as: B27 RTU #3 REPLACEMENT - WEST HAVEN VAMC PROJECT NUMBER 689-15-507 MATOC Key points: 1. Contract aims to replace critical RTU #3 at the West Haven VA Medical Center. 2. Project is a delivery order under a larger MATOC contract, indicating potential for follow-on work. 3. The contract is firm-fixed-price, shifting cost risk to the contractor. 4. Competition was full and open after exclusion of sources, suggesting a broad but potentially filtered search. 5. The duration of 1114 days points to a significant, multi-year construction project. 6. The award value is relatively modest for a multi-year construction project of this nature.

Value Assessment

Rating: good

The award value of approximately $2 million for a multi-year facility replacement project appears reasonable. Benchmarking against similar VA construction projects for HVAC system replacements or building envelope upgrades would provide a more precise value-for-money assessment. The firm-fixed-price structure is generally favorable for the government, as it caps the contractor's potential earnings and transfers cost overrun risk. However, without detailed cost breakdowns or comparisons to independent cost estimates, a definitive assessment of pricing efficiency is challenging.

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.' This suggests that while the competition was intended to be broad, certain sources may have been excluded prior to the solicitation, possibly due to pre-qualification requirements or specific MATOC vehicle limitations. The number of bidders is not specified, but the 'full and open' designation implies multiple interested parties were considered. This level of competition generally supports price discovery and encourages competitive bidding.

Taxpayer Impact: The use of full and open competition, even with source exclusion, is intended to secure the best value for taxpayers by encouraging multiple firms to bid and offer competitive pricing.

Public Impact

Veterans receiving care at the West Haven VA Medical Center will benefit from improved facility infrastructure. The project will ensure the continued operational reliability of essential building systems. The geographic impact is localized to the West Haven, Connecticut area. The contract is expected to create or sustain jobs in the construction sector within Connecticut.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep or change orders given the multi-year duration and complexity of construction.
Dependence on the contractor's ability to manage a complex project over an extended period.
Risk of delays due to unforeseen site conditions or material availability issues.
Ensuring adherence to VA facility standards and building codes throughout the project lifecycle.

Positive Signals

Firm-fixed-price contract structure limits cost escalation for the government.
Awarded under a MATOC, suggesting the contractor has already been vetted for similar work.
Project addresses a critical infrastructure need (RTU #3 replacement), enhancing facility resilience.
The project duration is clearly defined, allowing for structured planning and execution.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, a significant segment of the federal contracting market. The Department of Veterans Affairs is a major investor in healthcare infrastructure, with substantial annual spending on facility maintenance, repair, and construction. This specific project addresses a critical component replacement, which is a common type of expenditure for large healthcare facilities aiming to maintain operational efficiency and patient safety. Comparable spending benchmarks would involve analyzing other VA or federal healthcare facility HVAC replacement projects.

Small Business Impact

The contract was not set aside for small businesses, and the awardee, Jackson Ryan Construction Services, Inc., is not identified as a small business. There is no explicit mention of subcontracting requirements for small businesses in the provided data. This suggests that the primary contract is not directly aimed at boosting the small business ecosystem, although the prime contractor may engage small businesses as subcontractors if deemed necessary for project execution.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Veterans Affairs' contracting officers and project managers. The firm-fixed-price nature of the contract provides a degree of accountability by capping costs. Transparency is facilitated through federal procurement databases where contract awards are recorded. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected during the contract performance period.

Related Government Programs

VA Medical Facility Construction and Renovation
HVAC System Upgrades
MATOC Contracts
Commercial Building Construction Services

Risk Flags

Potential for extended project duration impacting operational continuity.
Reliance on contractor's capacity for complex, multi-year construction.
Need for robust VA oversight to manage scope and quality.
Limited transparency on specific exclusion criteria for competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.0 million to JACKSON RYAN CONSTRUCTION SERVICES, INC.. B27 RTU #3 REPLACEMENT - WEST HAVEN VAMC PROJECT NUMBER 689-15-507 MATOC

Who is the contractor on this award?

The obligated recipient is JACKSON RYAN CONSTRUCTION SERVICES, 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 $2.0 million.

What is the period of performance?

Start: 2022-09-12. End: 2025-09-30.

What is the track record of Jackson Ryan Construction Services, Inc. with the Department of Veterans Affairs?

Information regarding Jackson Ryan Construction Services, Inc.'s specific track record with the Department of Veterans Affairs (VA) is not detailed in the provided data. However, their selection for this delivery order under a MATOC (Multiple Award Task Order Contract) suggests they have likely met pre-qualification criteria established by the VA for such vehicles. To fully assess their track record, one would need to examine their past performance on similar VA contracts, including project completion history, adherence to schedule and budget, and any documented performance issues or commendations. A review of federal procurement databases like SAM.gov or FPDS could reveal previous awards and performance evaluations for this contractor across various federal agencies.

How does the $1,996,587.96 award compare to similar VA facility upgrade projects?

The award of approximately $2 million for the replacement of RTU #3 at the West Haven VAMC is a moderate sum for a multi-year construction project. To benchmark its value, one would compare it to similar projects involving HVAC system replacements or major component upgrades in VA medical facilities of comparable size and complexity. Factors such as the specific type and capacity of the RTU, the scope of associated ductwork, electrical, and control system modifications, and the labor costs in the Connecticut region would influence pricing. Without access to a database of comparable VA construction projects with detailed cost breakdowns, it is difficult to definitively state whether this represents excellent, fair, or questionable value. However, for a critical infrastructure component replacement over a multi-year period, the amount appears within a plausible range.

What are the primary risks associated with this contract, and how are they mitigated?

The primary risks associated with this contract include potential construction delays due to unforeseen site conditions, material shortages, or labor issues, especially given the 1114-day duration. Cost overruns are mitigated by the firm-fixed-price (FFP) contract type, which shifts financial risk to the contractor. Scope creep is another risk; however, the VA's project management and oversight, coupled with defined contract specifications, aim to control changes. The contractor's experience, likely demonstrated through pre-qualification for the MATOC, serves as a mitigation factor for technical and execution risks. Performance risk is managed through contract clauses requiring adherence to quality standards and schedules, with potential remedies for non-performance.

How effective is the 'Full and Open Competition After Exclusion of Sources' approach for this type of project?

The 'Full and Open Competition After Exclusion of Sources' approach aims to balance broad competition with specific requirements. For a project like RTU replacement, it suggests the VA sought bids from a wide pool of qualified contractors but may have excluded those lacking specific certifications, experience, or bonding capacity relevant to VA medical facility construction. This method can be effective in ensuring a competitive environment while filtering out less suitable bidders early, potentially streamlining the selection process. However, the 'exclusion' aspect means the pool of potential bidders is narrower than true 'full and open' competition, which could theoretically limit the number of offers and potentially impact the lowest price or best value achieved. The effectiveness hinges on whether the exclusions were justified and did not unduly restrict competition.

What are the historical spending patterns for facility maintenance and upgrades at the West Haven VAMC?

Historical spending patterns for facility maintenance and upgrades at the West Haven VAMC are not provided in the current data. To analyze this, one would need to review past VA budget allocations and contract awards specifically for the West Haven facility over several fiscal years. This analysis would reveal trends in spending on major repairs, equipment replacement (like RTUs), and general infrastructure improvements. Understanding these patterns could help contextualize the current $2 million award, indicating whether it represents a typical expenditure, an increase in investment, or a one-time major capital project. It would also highlight the frequency and scale of past upgrades to critical systems.

What is the significance of this contract being a Delivery Order under a MATOC?

This contract being a Delivery Order (DO) under a Multiple Award Task Order Contract (MATOC) signifies that the Department of Veterans Affairs has pre-competed and awarded multiple indefinite-delivery/indefinite-quantity (IDIQ) contracts to various contractors for a broad range of services or supplies. The MATOC vehicle itself represents a pre-established agreement for a type of work. A Delivery Order is then issued against that MATOC for a specific project, like the RTU replacement. This approach allows the VA to efficiently procure services by having a pool of vetted contractors ready to perform. It streamlines the process compared to starting a new full and open competition for each individual project, potentially leading to faster award times and leveraging pre-negotiated terms and conditions.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1200 HALLADAY AVE W, SUFFIELD, CT, 06078

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $1,996,588

Exercised Options: $1,996,588

Current Obligation: $1,996,588

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24118D0098

IDV Type: IDC

Timeline