VA awards $343,540 for emergency boiler repair to Troy Boiler Works, Inc

Contract Overview

Contract Amount: $34,354 ($34.4K)

Contractor: Troy Boiler Works, Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-03

End Date: 2026-05-22

Contract Duration: 49 days

Daily Burn Rate: $701/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: EMERGENCY BOILER REPAIR

Place of Performance

Location: MONTROSE, WESTCHESTER County, NEW YORK, 10548

State: New York Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $34,354 to TROY BOILER WORKS, INC for work described as: EMERGENCY BOILER REPAIR Key points: 1. Spending on emergency repairs can be significantly higher than planned maintenance. 2. The limited competition for this urgent need may have impacted price discovery. 3. The VA's reliance on a single vendor for critical infrastructure raises potential risks. 4. This contract falls within the general scope of facilities maintenance services.

Value Assessment

Rating: questionable

The award amount of $343,540 for a 49-day emergency boiler repair appears high. Without specific details on the scope of work and parts required, it's difficult to benchmark against similar emergency services, but the urgency likely inflated the price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed, indicating a limited source selection. This approach is often used for emergencies but can lead to higher prices due to the lack of competitive bidding and pressure to secure services quickly.

Taxpayer Impact: Taxpayer funds are used for this emergency repair. The lack of competition suggests a potential for overpayment, impacting the efficient use of public money.

Public Impact

Veterans may experience disruptions in essential services if critical infrastructure fails. The cost of emergency repairs diverts funds that could be used for other facility improvements or patient care. Transparency in emergency procurement processes is crucial to ensure fair pricing and prevent waste.

Waste & Efficiency Indicators

Waste Risk Score: 70 / 10

Warning Flags

Lack of competition
Emergency procurement
Potential for overpricing

Positive Signals

Addresses critical infrastructure need
Timely repair to ensure facility operation

Sector Analysis

This expenditure falls under facilities maintenance and repair, specifically for HVAC systems. Spending in this sector can vary widely based on the age and condition of government facilities, with emergency repairs often being a significant, albeit unplanned, cost.

Small Business Impact

The data does not indicate whether small businesses were considered or had an opportunity to bid on this emergency repair contract. The urgency of the situation may have limited the ability to engage smaller, local contractors.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. The 'NOT COMPETED' status warrants scrutiny to ensure the necessity of the emergency and the reasonableness of the price paid.

Related Government Programs

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

Risk Flags

High cost for emergency service
Lack of competitive bidding
Potential for price gouging due to urgency
Limited transparency on repair details

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $34,354 to TROY BOILER WORKS, INC. EMERGENCY BOILER REPAIR

Who is the contractor on this award?

The obligated recipient is TROY BOILER WORKS, 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 $34,354.

What is the period of performance?

Start: 2026-04-03. End: 2026-05-22.

What was the specific nature of the boiler failure, and what factors contributed to the high cost of the emergency repair?

The specific nature of the boiler failure is not detailed in the provided data. However, emergency repairs often involve significant markups due to the immediate need for parts and labor, potential overtime costs, and the limited availability of specialized technicians. The urgency itself can drive up prices as vendors understand the critical nature of the situation for the facility.

What is the VA's policy for emergency procurements, and were alternative vendors or solutions explored before awarding to Troy Boiler Works, Inc.?

The VA, like other federal agencies, has policies for emergency procurements that allow for exceptions to full and open competition when immediate action is required to protect life, health, or property. While these policies exist, the agency should still document efforts to obtain fair and reasonable pricing, even under urgent conditions, and explore options for future preventative maintenance to avoid such costly emergencies.

How does this emergency repair cost compare to the typical maintenance budget for the facility's boiler system, and what steps are being taken to prevent future emergencies?

This emergency repair cost of $343,540 is likely a substantial deviation from the facility's routine boiler maintenance budget. To prevent future emergencies, the VA should conduct a thorough post-incident review to identify the root cause of the failure, assess the overall condition of the boiler system, and implement a robust preventative maintenance schedule. Investing in upgrades or replacements of aging equipment may also be necessary.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2800 7TH AVE, TROY, NY, 12180

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $34,354

Exercised Options: $34,354

Current Obligation: $34,354

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline