VA awards $50,669 for wayfinding signage at Pittsburgh VAMC, bypassing competition

Contract Overview

Contract Amount: $50,669 ($50.7K)

Contractor: System 2/90, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-03

End Date: 2026-09-30

Contract Duration: 180 days

Daily Burn Rate: $281/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WAYFINDING SIGNAGE FOR PITTSBURGH VAMC.

Place of Performance

Location: GRAND RAPIDS, KENT County, MICHIGAN, 49512

State: Michigan Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $50,669.28 to SYSTEM 2/90, INC. for work described as: WAYFINDING SIGNAGE FOR PITTSBURGH VAMC. Key points: 1. Contract awarded on a sole-source basis, raising questions about potential cost savings through competition. 2. The fixed-price contract structure aims to control costs, but the lack of competition limits benchmarking. 3. Performance period is relatively short (180 days), suggesting a focused scope for the signage project. 4. The award falls under the Sign Manufacturing NAICS code, indicating a specific niche service. 5. No indication of small business set-aside or subcontracting, potentially limiting broader economic impact.

Value Assessment

Rating: fair

The contract value of approximately $50,669 for wayfinding signage is modest. Without competitive bids, it's difficult to benchmark the pricing against market rates or similar government contracts. The firm-fixed-price nature provides cost certainty for the government, but the absence of competition means the VA may not have secured the lowest possible price. Further analysis would require comparable sole-source signage contracts or detailed cost breakdowns from the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning the Department of Veterans Affairs did not solicit bids from multiple vendors. This approach is typically used when only one vendor can provide the required goods or services, or in specific emergency situations. The lack of competition means there were no other bidders to compare against, and the government did not benefit from the price discovery mechanisms inherent in a competitive bidding process.

Taxpayer Impact: Taxpayers may have paid a higher price than if the contract had been competed. The absence of competition limits the government's ability to negotiate the best possible value.

Public Impact

Veterans and visitors at the Pittsburgh VAMC will benefit from improved navigation and wayfinding. The contract delivers essential signage manufacturing and installation services. The geographic impact is localized to the Pittsburgh, Pennsylvania area. The workforce implications are likely limited to the employees of System 2/90, Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price discovery and potential cost savings for taxpayers.
Lack of transparency in the procurement process due to non-competitive award.
No indication of efforts to engage small businesses in this contract.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Specific NAICS code suggests targeted procurement for specialized signage.
Short performance period indicates a focused and potentially efficient project execution.

Sector Analysis

The signage industry is diverse, encompassing manufacturing, design, and installation. Government contracts for signage are common across various agencies for facilities management and public information. While specific market size data for government wayfinding signage is not readily available, it represents a segment within the broader commercial signage market. This contract fits within the facilities support and infrastructure improvement categories for federal agencies.

Small Business Impact

This contract does not appear to have been set aside for small businesses, nor is there any indication of subcontracting opportunities for small businesses. The award to System 2/90, Inc. suggests a direct procurement that may not have actively sought to engage the small business ecosystem. Further investigation into the contractor's size and subcontracting plans would be needed for a complete assessment.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting officers and program managers. As a purchase order, it is subject to standard federal procurement regulations and internal VA oversight. Transparency is limited due to the sole-source nature of the award. There is no specific mention of an Inspector General investigation related to this particular award.

Related Government Programs

Federal Signage Contracts
Department of Veterans Affairs Facilities Management
Wayfinding Systems Procurement

Risk Flags

Sole-source award may lead to higher costs.
Limited transparency in procurement process.
Potential lack of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $50,669.28 to SYSTEM 2/90, INC.. WAYFINDING SIGNAGE FOR PITTSBURGH VAMC.

Who is the contractor on this award?

The obligated recipient is SYSTEM 2/90, 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 $50,669.28.

What is the period of performance?

Start: 2026-04-03. End: 2026-09-30.

What is the track record of System 2/90, Inc. with the federal government?

System 2/90, Inc. has received federal contracts primarily from the Department of Veterans Affairs. Data indicates multiple awards, predominantly purchase orders, for signage and related services. The contract values have generally been in the tens of thousands of dollars, consistent with the size of this award. A review of past performance indicates a history of fulfilling similar requirements. However, a deeper dive into past performance reviews and any documented issues or successes would provide a more comprehensive understanding of their reliability and quality of service to the government.

How does the value of this contract compare to similar wayfinding signage contracts?

Comparing the value of this $50,669 contract requires access to a broader dataset of similar federal wayfinding signage procurements, particularly those awarded on a sole-source basis. Generally, contracts for signage can range significantly based on scope, materials, and location complexity. Smaller, localized projects like this tend to fall within this value range. However, without competitive bids, it's challenging to ascertain if this price represents optimal value. If this were a competitive bid, one might expect prices to potentially be lower, depending on the number and capability of bidders.

What are the primary risks associated with a sole-source award for signage?

The primary risk associated with a sole-source award for signage is the potential for overpayment due to the lack of competitive pressure. Without multiple bids, the government may not achieve the lowest possible price. Another risk is limited innovation, as the chosen contractor may not be incentivized to offer novel or more cost-effective solutions. Furthermore, sole-source awards can sometimes indicate a lack of market research or planning, potentially leading to missed opportunities to engage a wider range of qualified vendors, including small businesses. Ensuring the justification for the sole-source award is robust and documented is crucial to mitigate these risks.

How effective is the firm-fixed-price contract type in managing costs for signage projects?

The firm-fixed-price (FFP) contract type is generally effective in managing costs for projects with well-defined scopes, such as signage manufacturing and installation. Under an FFP contract, the contractor assumes the risk of cost overruns, providing the government with cost certainty. This means the total price is fixed, regardless of the contractor's actual costs. For a project like wayfinding signage, where the requirements are typically clear, FFP helps prevent budget uncertainty. However, the effectiveness in achieving the *lowest* cost is diminished if the contract is awarded sole-source, as the fixed price may not reflect the best market value achievable through competition.

What are the historical spending patterns for signage at the Department of Veterans Affairs?

Historical spending patterns for signage at the Department of Veterans Affairs (VA) show consistent, albeit often modest, awards across various facilities. The VA frequently procures signage for wayfinding, identification, and informational purposes. These awards are often distributed through purchase orders and task orders under larger indefinite-delivery/indefinite-quantity (IDIQ) contracts, as well as through competitive and sole-source procurements. Spending can fluctuate based on facility renovation cycles, new construction, and specific wayfinding system upgrades. Analyzing past VA spending data would reveal trends in contract values, types of signage procured, and the mix of competitive versus non-competitive awards.

Industry Classification

NAICS: Manufacturing › Other Miscellaneous Manufacturing › Sign Manufacturing

Product/Service Code: MISCELLANEOUS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 36C24426Q0242

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5350 CORPORATE GROVE BLVD SE, GRAND RAPIDS, MI, 49512

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

Financial Breakdown

Contract Ceiling: $50,669

Exercised Options: $50,669

Current Obligation: $50,669

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline