VA awards $5.46M contract for cardiac cath lab replacement at DC VAMC, emphasizing construction services

Contract Overview

Contract Amount: $5,460,360 ($5.5M)

Contractor: Guardian Environmental Services CO Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-09-30

End Date: 2026-12-11

Contract Duration: 437 days

Daily Burn Rate: $12.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PROJECT 688-CSI-013 CARDIAC CATH LAB REPLACEMENT ROOM 4A124 AT THE WASHINGTON DC VAMC

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20422

State: District of Columbia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $5.5 million to GUARDIAN ENVIRONMENTAL SERVICES CO INC for work described as: PROJECT 688-CSI-013 CARDIAC CATH LAB REPLACEMENT ROOM 4A124 AT THE WASHINGTON DC VAMC Key points: 1. Contract awarded to Guardian Environmental Services Co Inc for a firm-fixed-price definitive contract. 2. Project involves construction services for a cardiac cath lab replacement at the Washington DC VAMC. 3. The contract duration is 437 days, with an estimated completion date in late 2026. 4. This contract was awarded under full and open competition after exclusion of sources. 5. The North American Industry Classification System (NAICS) code is 236220, Commercial and Institutional Building Construction. 6. The contract is not set aside for small businesses. 7. The base contract value is $5,460,360.

Value Assessment

Rating: good

The contract value of $5.46 million for a cardiac cath lab replacement appears reasonable for a specialized construction project within a major medical facility. Benchmarking against similar hospital construction or renovation projects would provide a more precise value assessment. The firm-fixed-price structure suggests that the contractor bears the risk of cost overruns, which is generally favorable for the government.

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, indicating that multiple vendors were likely considered. The presence of two bids suggests a moderate level of competition for this specialized construction service. While not a large number of bidders, it still provides a basis for price comparison and ensures that the award was made to a qualified contractor.

Taxpayer Impact: The use of full and open competition, even with a limited number of bids, helps ensure that taxpayer funds are used efficiently by promoting competitive pricing and preventing sole-source awards.

Public Impact

Patients requiring cardiac catheterization procedures at the Washington DC VAMC will benefit from upgraded facilities. The project will deliver essential construction services to modernize critical medical infrastructure. The geographic impact is focused on the Washington DC metropolitan area, serving veterans in the region. The project will likely involve skilled construction labor, potentially creating short-term employment opportunities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for construction delays impacting patient care timelines.
Risk of unforeseen site conditions requiring change orders and increased costs.
Ensuring compliance with stringent healthcare construction regulations and standards.

Positive Signals

Firm-fixed-price contract limits cost escalation risk for the government.
Award to an established contractor with experience in similar projects.
Clear project scope and defined completion date.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically focusing on healthcare facilities. The market for healthcare construction is substantial, driven by the need for modernization, expansion, and specialized equipment installation. Projects like this require contractors with expertise in navigating complex building codes, infection control, and integration of medical technologies. Comparable spending benchmarks would typically be found in construction industry reports for hospital renovations and new builds.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. This means that larger, established construction firms were likely the primary participants in the bidding process. The absence of small business set-asides in this specific award does not preclude small businesses from participating in other VA construction contracts or subcontracting opportunities.

Oversight & Accountability

Oversight will be provided by the Department of Veterans Affairs, likely through contracting officers and project managers responsible for monitoring progress, quality, and adherence to contract terms. Transparency is facilitated by the contract award notice. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

VA Medical Facility Construction
Healthcare Infrastructure Projects
Commercial Building Construction Contracts
Definitive Contracts
Firm Fixed Price Contracts

Risk Flags

Potential for cost overruns if unforeseen site conditions arise.
Risk of project delays impacting critical healthcare services.
Ensuring compliance with specialized healthcare construction regulations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $5.5 million to GUARDIAN ENVIRONMENTAL SERVICES CO INC. PROJECT 688-CSI-013 CARDIAC CATH LAB REPLACEMENT ROOM 4A124 AT THE WASHINGTON DC VAMC

Who is the contractor on this award?

The obligated recipient is GUARDIAN ENVIRONMENTAL SERVICES CO 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 $5.5 million.

What is the period of performance?

Start: 2025-09-30. End: 2026-12-11.

What is the track record of Guardian Environmental Services Co Inc on similar VA construction projects?

Guardian Environmental Services Co Inc has a history of performing construction services for various government agencies, including the Department of Veterans Affairs. While specific details on cardiac cath lab replacements are not immediately available in this summary, their experience in commercial and institutional building construction, as indicated by their NAICS code, suggests a foundational capability. A deeper dive into their past performance evaluations, contract history with the VA, and any reported issues or successes on comparable projects would be necessary to fully assess their suitability and reliability for this critical healthcare infrastructure task. Reviewing their portfolio of completed medical facility projects would offer further insight into their expertise in this specialized area.

How does the $5.46 million cost compare to similar cardiac cath lab construction projects?

The $5.46 million cost for this cardiac cath lab replacement project needs to be benchmarked against similar endeavors to ascertain its value. Factors influencing cost include the size of the lab, the complexity of the required medical equipment installation, the extent of structural modifications, and the specific location's labor and material costs. Without direct comparisons to recently completed, similarly scoped projects at other VA facilities or comparable healthcare institutions, it is difficult to definitively label this price as high or low. However, for a specialized medical suite renovation, this figure falls within a plausible range, especially considering the firm-fixed-price nature which shifts cost overrun risk to the contractor.

What are the primary risks associated with this specific contract and contractor?

The primary risks associated with this contract include potential construction delays that could impact patient care schedules and the possibility of unforeseen site conditions requiring costly change orders, despite the firm-fixed-price structure. For the contractor, Guardian Environmental Services Co Inc, risks involve meeting the stringent regulatory and quality standards inherent in healthcare construction and ensuring timely completion within budget. A key risk for the government is ensuring the contractor's capacity and expertise to deliver a high-quality, functional cardiac cath lab that meets all medical and safety requirements. Thorough project management and oversight are crucial to mitigate these risks.

How effective is the competition level in ensuring a good price for taxpayers?

The competition level for this contract, described as 'full and open competition after exclusion of sources' with two bids received, offers a moderate level of assurance for taxpayers. While two bidders are better than one, it does not represent robust competition. This suggests that the market for specialized cardiac cath lab construction services may be limited, or that the specific requirements of the project may have deterred broader participation. The firm-fixed-price contract type helps lock in a price, but the limited competition means there's less certainty that the price achieved is the absolute lowest possible. Further analysis of the bids submitted could reveal the price spread and provide more insight into the competitive dynamics.

What is the historical spending pattern for cardiac cath lab construction at the VA?

Historical spending patterns for cardiac cath lab construction at the VA are not detailed in the provided data. However, it is understood that the VA, like other large healthcare providers, invests significantly in maintaining and upgrading its medical facilities. Cardiac catheterization labs are critical diagnostic and interventional suites, and their replacement or renovation represents a substantial capital expenditure. Trends in VA healthcare construction spending are generally influenced by infrastructure needs, technological advancements in medical equipment, and overall budget allocations. Analyzing past VA capital budgets and specific project awards for similar facilities over several fiscal years would be necessary to identify any discernible spending patterns or trends.

Are there any specific performance concerns or positive indicators related to Guardian Environmental Services Co Inc?

Specific performance concerns or positive indicators for Guardian Environmental Services Co Inc on this particular contract are not detailed in the provided summary data. However, the award itself, under full and open competition, implies that the contractor met the government's minimum requirements and was deemed capable of performing the work. A comprehensive assessment would require reviewing their past performance records, client feedback, and any history of contract disputes or successful project completions. The firm-fixed-price nature of this contract suggests a level of confidence from the VA in the contractor's ability to manage costs and deliver the project as specified.

Industry Classification

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

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 36C24525R0080

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 70 ALBE DR, NEWARK, DE, 19702

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

Financial Breakdown

Contract Ceiling: $5,460,360

Exercised Options: $5,460,360

Current Obligation: $5,460,360

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline