VA Awards $2.76M Contract for Fan Coil Unit Replacement in North Carolina

Contract Overview

Contract Amount: $2,763,913 ($2.8M)

Contractor: Hicaps Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-06-27

End Date: 2025-07-22

Contract Duration: 756 days

Daily Burn Rate: $3.7K/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: REPLACE FAN COIL UNITS BLDG. 1 3RD FLOOR

Place of Performance

Location: FAYETTEVILLE, CUMBERLAND County, NORTH CAROLINA, 28301

State: North Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.8 million to HICAPS INC for work described as: REPLACE FAN COIL UNITS BLDG. 1 3RD FLOOR Key points: 1. Contract awarded to HICAPS INC for building maintenance. 2. Competition method was 'Full and Open Competition After Exclusion of Sources'. 3. The contract is for replacing fan coil units on the 3rd floor of Building 1. 4. The contract duration is 756 days, ending in July 2025.

Value Assessment

Rating: fair

The contract value of $2.76 million for fan coil unit replacement appears within a reasonable range for a project of this scope. However, without specific details on the number of units and their specifications, a precise benchmark is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'Full and Open Competition After Exclusion of Sources' suggests that while the competition was intended to be broad, specific criteria may have limited the pool of eligible bidders. This could potentially impact price discovery.

Taxpayer Impact: Taxpayer funds are being used for essential building maintenance. The effectiveness of the competition method in securing the best value will determine the ultimate taxpayer impact.

Public Impact

Ensures operational efficiency and comfort for building occupants. Supports infrastructure maintenance within a federal facility. Contributes to the longevity of critical building systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition pool due to exclusion of sources.
Potential for price not being fully optimized.

Positive Signals

Addresses critical infrastructure need.
Clear contract end date and duration.

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector is driven by infrastructure maintenance, upgrades, and new construction needs across government facilities.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The contract is managed by the Department of Veterans Affairs. Oversight would involve ensuring adherence to contract terms, quality of work, and timely completion.

Related Government Programs

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

Risk Flags

Potential for suboptimal pricing due to limited competition.
Lack of transparency regarding source exclusion criteria.
Absence of detailed performance and quality assurance metrics.
Unknown small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.8 million to HICAPS INC. REPLACE FAN COIL UNITS BLDG. 1 3RD FLOOR

Who is the contractor on this award?

The obligated recipient is HICAPS 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 $2.8 million.

What is the period of performance?

Start: 2023-06-27. End: 2025-07-22.

What was the rationale for excluding certain sources in the competition?

The rationale for excluding certain sources in the competition is not provided in the data. Typically, such exclusions might be based on specialized capabilities, past performance, or specific technical requirements. Understanding this would clarify the competitive landscape and potential impact on pricing and innovation.

How does the unit cost compare to similar fan coil unit replacement projects in the region?

A direct comparison of the per-unit cost is not possible without knowing the exact number and specifications of the fan coil units being replaced. Benchmarking would require detailed project scope and pricing data from comparable contracts in North Carolina.

What are the performance metrics and quality assurance measures for this contract?

The provided data does not detail the specific performance metrics or quality assurance measures for this contract. These are crucial for ensuring the effectiveness of the fan coil unit replacement and verifying that the work meets federal standards and occupant needs.

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: SEALED BID

Solicitation ID: 36C24623B0014

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 600 N REGIONAL RD, GREENSBORO, NC, 27409

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: $2,763,913

Exercised Options: $2,763,913

Current Obligation: $2,763,913

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline