VA Awards $3.8M Potable Water Contract to Serviam Construction LLC for New York Facility

Contract Overview

Contract Amount: $3,815,515 ($3.8M)

Contractor: Serviam Construction LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-01-13

End Date: 2026-08-31

Contract Duration: 1,326 days

Daily Burn Rate: $2.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: IMPROVE POTABLE WATER DIST

Place of Performance

Location: BATAVIA, GENESEE County, NEW YORK, 14020

State: New York Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $3.8 million to SERVIAM CONSTRUCTION LLC for work described as: IMPROVE POTABLE WATER DIST Key points: 1. Contract awarded to Serviam Construction LLC for $3.8 million. 2. The contract is for improving potable water distribution. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. The contract duration is 1326 days. 5. The contract type is a Definitive Contract with a Firm Fixed Price.

Value Assessment

Rating: fair

The contract value of $3.8 million for potable water system improvements appears reasonable given the 1326-day duration. Benchmarking against similar large-scale infrastructure projects would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition was 'Full and Open Competition After Exclusion of Sources', indicating some initial limitations but ultimately allowing broad participation. This method can lead to competitive pricing if the exclusion criteria are well-defined and justified.

Taxpayer Impact: The $3.8 million expenditure directly benefits veterans by ensuring access to safe drinking water. The competitive process aims to ensure taxpayer funds are used efficiently.

Public Impact

Ensures access to safe and reliable potable water for veterans. Supports infrastructure improvements at a VA facility. Creates jobs and economic activity through the awarded contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method could potentially impact price discovery.
Contract duration is substantial, requiring ongoing monitoring.

Positive Signals

Addresses critical infrastructure need for potable water.
Firm Fixed Price contract provides cost certainty.

Sector Analysis

This contract falls within the construction and infrastructure sector, specifically focusing on essential utility services. Spending benchmarks for similar water system upgrades vary widely based on project scope and location.

Small Business Impact

The data does not indicate if small businesses were involved in this contract. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight. The use of a Definitive Contract with a Firm Fixed Price suggests a structured approach to managing this project and its associated costs.

Related Government Programs

Plumbing, Heating, and Air-Conditioning Contractors
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for limited competition impact on final price.
Long contract duration requires sustained oversight.
Lack of detail on specific scope of work.
Unclear justification for source exclusion.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $3.8 million to SERVIAM CONSTRUCTION LLC. IMPROVE POTABLE WATER DIST

Who is the contractor on this award?

The obligated recipient is SERVIAM CONSTRUCTION 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 $3.8 million.

What is the period of performance?

Start: 2023-01-13. End: 2026-08-31.

What specific improvements are included in the 'potable water distribution' scope of work?

The provided data does not detail the specific improvements. A thorough review of the contract's statement of work would be necessary to understand the scope, which could include pipe replacement, system upgrades, water quality enhancements, or new distribution infrastructure.

What was the justification for 'exclusion of sources' in the competition method?

The justification for excluding certain sources is not provided in the data. Typically, such exclusions are based on specific technical requirements, past performance, or unique capabilities necessary for the project. Understanding this rationale is key to assessing the fairness of the competition.

How does the $3.8 million cost compare to similar potable water infrastructure projects of comparable scale and complexity?

Without specific project details and comparable contract data, a precise comparison is difficult. However, $3.8 million for a multi-year, comprehensive potable water system upgrade at a federal facility is within a plausible range, though a detailed cost-benefit analysis against industry benchmarks would be prudent.

Industry Classification

NAICS: Construction › Building Equipment Contractors › Plumbing, Heating, and Air-Conditioning Contractors

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: 36C24222B0077

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2304 BROAD AVE, ALTOONA, PA, 16601

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

Financial Breakdown

Contract Ceiling: $3,815,515

Exercised Options: $3,815,515

Current Obligation: $3,815,515

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline