VA Awards $5.7M Construction Contract for New EP Laboratory to Knighto LLC
Contract Overview
Contract Amount: $5,719,080 ($5.7M)
Contractor: Knighto LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2020-09-30
End Date: 2026-03-26
Contract Duration: 2,003 days
Daily Burn Rate: $2.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: CONSTRUCTION SERVICES TO COMPLETE PROJECT 652-CSI-203 NEW EP LABORATORY
Place of Performance
Location: RICHMOND, RICHMOND CITY County, VIRGINIA, 23249
State: Virginia Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $5.7 million to KNIGHTO LLC for work described as: CONSTRUCTION SERVICES TO COMPLETE PROJECT 652-CSI-203 NEW EP LABORATORY Key points: 1. Contract awarded for a significant laboratory construction project. 2. Knighto LLC is the sole awardee. 3. The contract type is Firm Fixed Price, indicating defined scope and cost. 4. Project duration is substantial at 2003 days.
Value Assessment
Rating: fair
The contract value of $5.7M for a laboratory construction project appears within a reasonable range for similar federal projects. However, without specific project scope details and comparable contract data, a precise valuation is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition. This method may impact price discovery and potentially lead to higher costs compared to unrestricted full and open competition.
Taxpayer Impact: Taxpayers may bear a slightly higher cost due to the limited competitive nature of the procurement, though the specific impact is unknown without benchmarks.
Public Impact
Enhances VA's research and laboratory capabilities. Supports infrastructure development within the Department of Veterans Affairs. Potential for job creation during the construction phase. Ensures specialized facilities for critical medical research.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may have inflated costs.
- Long project duration increases risk of cost overruns and delays.
Positive Signals
- Firm Fixed Price contract provides cost certainty.
- Project addresses a critical need for the VA.
Sector Analysis
This contract falls under Commercial and Institutional Building Construction. Federal spending in this sector can fluctuate based on infrastructure needs and agency priorities. Benchmarks for laboratory construction vary widely based on complexity and size.
Small Business Impact
The data indicates this contract was not set aside for small businesses and the awardee, Knighto LLC, is not specified as an SMB. This suggests a lack of direct benefit to small businesses in this particular award.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight. The long duration and fixed-price nature suggest a need for diligent project management and monitoring to ensure timely completion and adherence to specifications.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Limited competition
- Long project duration
- Potential for cost escalation
- Risk of project delays
Tags
commercial-and-institutional-building-co, department-of-veterans-affairs, va, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $5.7 million to KNIGHTO LLC. CONSTRUCTION SERVICES TO COMPLETE PROJECT 652-CSI-203 NEW EP LABORATORY
Who is the contractor on this award?
The obligated recipient is KNIGHTO 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 $5.7 million.
What is the period of performance?
Start: 2020-09-30. End: 2026-03-26.
What specific factors led to the exclusion of sources in this 'full and open competition after exclusion of sources' procurement, and how did this impact the final price?
The exclusion of sources typically occurs when specific technical requirements, past performance, or unique capabilities are necessary, limiting the pool of eligible bidders. This can reduce competition, potentially leading to a higher price than if a broader range of contractors were considered. Further details on the justification for exclusion are needed for a complete analysis.
Given the 2003-day duration, what are the primary risks associated with cost escalation and project delays for this laboratory construction?
The extended duration significantly increases the risk of cost escalation due to inflation, material price fluctuations, and potential changes in labor costs. Project delays are also a concern, stemming from unforeseen site conditions, permitting issues, weather, or contractor performance. Robust risk mitigation strategies and contingency planning are crucial.
How does the completion of this new EP Laboratory align with the VA's strategic goals for medical research and patient care?
The new EP Laboratory likely supports the VA's strategic goals by enhancing its capacity for critical medical research, potentially leading to advancements in patient care and treatment for veterans. Modernized facilities are essential for attracting top researchers and conducting cutting-edge studies, ultimately benefiting the veteran population.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 36C24620R0035
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 208 S KING ST STE 104, LEESBURG, VA, 20175
Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $5,719,080
Exercised Options: $5,719,080
Current Obligation: $5,719,080
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2020-09-30
Current End Date: 2026-03-26
Potential End Date: 2026-03-26 00:00:00
Last Modified: 2026-01-28
Other Department of Veterans Affairs Contracts
- CCN Region 3 Express Report — $5.2B (Optum Public Sector Solutions, Inc.)
- Express Report for FY22 Region 2 — $5.1B (Optum Public Sector Solutions, Inc.)
- Fiscal Year 2022 Express Report for Region 1 — $4.2B (Optum Public Sector Solutions, Inc.)
- Express Report for the Patient Centered Community Care (PC3) Contract — $3.3B (Triwest Healthcare Alliance Corp)
- CCN Region Three FY21 Express Report — $3.1B (Optum Public Sector Solutions, Inc.)