VA Awards $2.78M for Building 36 Renovation to Serviam Construction LLC

Contract Overview

Contract Amount: $2,783,600 ($2.8M)

Contractor: Serviam Construction LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-06-27

End Date: 2026-05-07

Contract Duration: 314 days

Daily Burn Rate: $8.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: RENOVATE BUILDING 36

Place of Performance

Location: CANANDAIGUA, ONTARIO County, NEW YORK, 14424

State: New York Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.8 million to SERVIAM CONSTRUCTION LLC for work described as: RENOVATE BUILDING 36 Key points: 1. Contract awarded for building renovation, a common government expenditure. 2. Serviam Construction LLC is the sole awardee. 3. The contract type is Firm Fixed Price, which sets a ceiling on costs. 4. The project duration is 314 days.

Value Assessment

Rating: fair

The contract value of $2.78 million for a building renovation appears within a reasonable range for commercial and institutional construction projects of this scope. Benchmarking against similar VA or GSA renovation contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may not yield the most competitive pricing compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being used for this renovation. The limited competition raises questions about whether the best possible price was secured.

Public Impact

Veterans will benefit from an improved facility. Local construction jobs may be supported by this contract. The renovation aims to modernize or repair essential infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to higher costs.
Contract duration is substantial, increasing exposure to potential delays.

Positive Signals

Firm Fixed Price contract provides cost certainty.
Project addresses necessary facility improvements.

Sector Analysis

The construction sector sees significant government spending on facility maintenance and upgrades. This contract falls within the Commercial and Institutional Building Construction NAICS code, a common area for federal procurement.

Small Business Impact

The awardee, Serviam Construction LLC, is not identified as a small business in the provided data. Further analysis would be needed to determine if small business goals were met through subcontracting.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight procedures for construction projects, including progress monitoring and quality control, should be in place.

Related Government Programs

Commercial and Institutional Building Construction
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Limited competition may result in suboptimal pricing.
Contract duration presents a risk of schedule slippage.
Lack of detail on specific renovation scope.
Potential for cost increases if change orders are frequent.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.8 million to SERVIAM CONSTRUCTION LLC. RENOVATE BUILDING 36

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 $2.8 million.

What is the period of performance?

Start: 2025-06-27. End: 2026-05-07.

What specific improvements does the renovation entail, and how do they align with the VA's mission to serve veterans?

The specific improvements are not detailed in the provided data. However, building renovations typically involve structural repairs, system upgrades (HVAC, electrical, plumbing), or aesthetic enhancements. These improvements are crucial for maintaining a safe, functional, and modern environment for veterans receiving care and for the staff providing it, directly supporting the VA's mission.

What were the reasons for excluding other sources in the competition, and how was the price determined to be fair and reasonable?

The exclusion of sources suggests potential reasons such as specific capabilities required, prior performance issues with other contractors, or a belief that a limited pool would still yield adequate competition. The contracting officer must have determined the price fair and reasonable based on available market research, historical data, or comparison to similar projects, despite the limited competition.

How will the VA ensure the renovation is completed on time and within budget, given the 314-day duration?

The VA will likely employ project managers and contracting officers' representatives (CORs) to monitor progress, review deliverables, and ensure adherence to the schedule and specifications. Regular site inspections, progress meetings with Serviam Construction LLC, and strict change order management are standard practices to mitigate risks of delays and cost overruns.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

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: 36C24225B0020

Offers Received: 7

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: $2,783,600

Exercised Options: $2,783,600

Current Obligation: $2,783,600

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline