VA awards $1.26M contract for chilled water loop repairs, highlighting engineering services for campus infrastructure

Contract Overview

Contract Amount: $125,525 ($125.5K)

Contractor: Charlotte Engineers, LLP

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-15

End Date: 2028-04-10

Contract Duration: 726 days

Daily Burn Rate: $173/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: A/E SERVICES FOR CAMPUS CHILLED WATER LOOP REPAIRS

Place of Performance

Location: SALISBURY, ROWAN County, NORTH CAROLINA, 28144

State: North Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $125,525.08 to CHARLOTTE ENGINEERS, LLP for work described as: A/E SERVICES FOR CAMPUS CHILLED WATER LOOP REPAIRS Key points: 1. Contract focuses on essential infrastructure maintenance, ensuring operational continuity for campus facilities. 2. Engineering services are critical for assessing and repairing complex systems like chilled water loops. 3. The award was made under full and open competition, suggesting a robust bidding process. 4. Fixed-price contract type aims to control costs and provide budget certainty. 5. The duration of the contract indicates a significant scope of work or phased approach to repairs. 6. Geographic focus on North Carolina aligns with VA facility locations.

Value Assessment

Rating: good

The contract value of approximately $1.26 million for engineering services related to chilled water loop repairs appears reasonable given the scope of infrastructure maintenance. Benchmarking against similar A/E services for campus infrastructure projects would provide a more precise value assessment. The firm fixed-price nature of the contract suggests an effort to manage costs effectively, though it places the risk of cost overruns on the contractor. Without specific details on the complexity of the repairs or the size of the campus, a definitive value-for-money judgment is challenging, but the award to a single entity implies a focused approach to addressing the identified needs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which indicates that the solicitation was broadly advertised, but specific sources may have been excluded based on predefined criteria. The fact that it was competed suggests multiple interested parties likely submitted proposals. The level of competition, while not explicitly detailed by the number of bidders, generally leads to better price discovery and potentially more competitive pricing for the government compared to sole-source or limited competition scenarios.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it encourages a wider range of contractors to bid, fostering a competitive environment that can drive down costs and improve the quality of services received.

Public Impact

The primary beneficiaries are the Department of Veterans Affairs facilities in North Carolina, ensuring reliable chilled water services. The contract will deliver essential engineering and repair services for critical campus infrastructure. Geographic impact is concentrated within the specific VA campus(es) where the repairs are conducted in North Carolina. Workforce implications include employment opportunities for engineers, technicians, and support staff involved in the project.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial assessments underestimate the extent of repairs needed.
Reliance on a single contractor for critical infrastructure repairs could pose a risk if performance issues arise.
Ensuring compliance with VA specific standards and regulations for facility maintenance.

Positive Signals

Firm fixed-price contract provides cost certainty for the VA.
Full and open competition suggests a competitive bidding process that could lead to favorable pricing.
The contract duration allows for thorough assessment and execution of repairs.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), a critical component of the broader construction and facilities management industry. The market for A/E services is competitive, with numerous firms specializing in infrastructure design and repair. The value of this contract, approximately $1.26 million, is moderate for a federal engineering services award, often serving specific facility needs rather than large-scale program development. Comparable spending benchmarks would typically be assessed against similar campus infrastructure repair projects within federal agencies.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While the prime contractor, Charlotte Engineers, LLP, is not explicitly identified as a small business in the provided data, the contract's structure does not mandate small business subcontracting goals. This means opportunities for small businesses would depend on the prime contractor's subcontracting decisions, potentially limiting direct impact on the small business ecosystem unless they are actively sought out.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Veterans Affairs contracting officers and project managers. Accountability measures are embedded within the firm fixed-price contract terms, requiring the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated through federal contract databases where award details are published. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract is suspected.

Related Government Programs

VA Facilities Management
Campus Infrastructure Maintenance
Engineering and Architectural Services
Chilled Water System Repairs
Federal Construction and Repair Contracts

Risk Flags

Potential for underestimation of repair scope
Contractor performance risk
Compliance with VA standards

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $125,525.08 to CHARLOTTE ENGINEERS, LLP. A/E SERVICES FOR CAMPUS CHILLED WATER LOOP REPAIRS

Who is the contractor on this award?

The obligated recipient is CHARLOTTE ENGINEERS, LLP.

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 $125,525.08.

What is the period of performance?

Start: 2026-04-15. End: 2028-04-10.

What is the track record of Charlotte Engineers, LLP with the Department of Veterans Affairs and similar federal agencies?

Charlotte Engineers, LLP has a history of performing engineering services for various clients. A detailed review of their federal contract history, particularly with the Department of Veterans Affairs, would reveal their performance on similar projects, including past contract values, types of services rendered, and any performance ratings or past performance evaluations. Understanding their experience with chilled water systems and campus infrastructure specifically would be crucial. Examining their record for adherence to schedules, budget management, and quality of deliverables on previous VA contracts would provide insight into their reliability and capability for this current award. This analysis would help assess the risk associated with awarding this contract to them.

How does the awarded amount of $1.26 million compare to similar A/E services for chilled water loop repairs at other federal facilities?

Benchmarking the $1.26 million award requires comparing it against contracts for similar A/E services for chilled water loop repairs at other federal facilities of comparable size and complexity. Factors such as the geographic location (affecting labor and material costs), the specific scope of work (e.g., assessment only vs. full repair and replacement), the age and condition of the existing infrastructure, and the duration of the contract all influence pricing. Without access to a comprehensive database of comparable federal contracts, a precise benchmark is difficult. However, for a project of this nature, a value in the low millions is not uncommon for significant infrastructure work at a federal campus. A detailed analysis would involve identifying contracts with similar NAICS codes (541330) and service descriptions.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Primary risks for this contract include potential cost overruns if the scope of repairs is underestimated (though mitigated by the firm fixed-price structure, which shifts this risk to the contractor), delays in project completion due to unforeseen site conditions or contractor performance issues, and potential quality deficiencies in the engineering assessments or repair work. Mitigation strategies typically involve thorough pre-award assessments of the contractor's capabilities and past performance, clear contract language defining scope and deliverables, robust project management and oversight by the VA, and performance-based payment schedules tied to milestones. The firm fixed-price nature itself is a risk mitigation tool for the government regarding cost certainty, provided the scope is well-defined.

How effective is the 'Full and Open Competition After Exclusion of Sources' method in ensuring competitive pricing for the VA?

The 'Full and Open Competition After Exclusion of Sources' method aims to balance broad competition with specific requirements. It ensures that the solicitation is widely publicized, allowing any responsible source to submit an offer, but also permits the exclusion of specific sources based on documented justifications (e.g., national security, unique capabilities). This method can be effective in ensuring competitive pricing if the exclusion criteria are narrowly defined and well-justified, preventing undue limitation of competition. If the exclusions are broad or poorly justified, it could inadvertently reduce the number of bidders and potentially lead to less competitive pricing. The effectiveness hinges on the transparency and reasonableness of the exclusion rationale.

What is the historical spending pattern for engineering services related to campus infrastructure at the Department of Veterans Affairs?

Historical spending patterns for engineering services related to campus infrastructure at the Department of Veterans Affairs typically show consistent investment in maintaining and upgrading its extensive network of facilities. The VA manages numerous hospitals, clinics, and administrative buildings, all requiring ongoing maintenance, repair, and modernization. Spending in this category can fluctuate based on the age of facilities, deferred maintenance backlogs, and specific capital improvement initiatives. Analyzing past VA spending on similar NAICS codes (like 541330) and contract types (e.g., indefinite-delivery indefinite-quantity contracts, fixed-price contracts) for infrastructure projects would reveal trends in contract values, durations, and the types of services most frequently procured. This contract represents a specific instance within that broader spending context.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102

Solicitation ID: 36C24626R0011

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5838 MONROE RD, CHARLOTTE, NC, 28212

Business Categories: Category Business, Partnership or Limited Liability Partnership, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $125,525

Exercised Options: $125,525

Current Obligation: $125,525

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline