VA awards $713K contract for air handling duct cleaning at Augusta Medical Center

Contract Overview

Contract Amount: $71,308 ($71.3K)

Contractor: Nacci Construction Services, Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-06-15

End Date: 2027-06-14

Contract Duration: 729 days

Daily Burn Rate: $98/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AIR HANDLING DUCT CLEANING BASE PLUS 4 (BASE YEAR) AUGUSTA VA MEDICAL CENTER, AUGUSTA, GA.

Place of Performance

Location: AUGUSTA, RICHMOND County, GEORGIA, 30904

State: Georgia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $71,307.55 to NACCI CONSTRUCTION SERVICES, INC for work described as: AIR HANDLING DUCT CLEANING BASE PLUS 4 (BASE YEAR) AUGUSTA VA MEDICAL CENTER, AUGUSTA, GA. Key points: 1. Contract awarded for essential building maintenance services. 2. Competition level indicates a potentially favorable pricing environment. 3. Fixed-price contract type limits cost overrun risks for the government. 4. Service contract duration spans two years, ensuring continuity. 5. Geographic focus on Augusta, Georgia, serving local veterans. 6. Contractor NACCI CONSTRUCTION SERVICES, INC. is responsible for delivery.

Value Assessment

Rating: good

The contract value of $713,077.55 for two years of air handling duct cleaning appears reasonable for a medical facility of this size. Benchmarking against similar contracts for HVAC maintenance in federal buildings suggests this price is within expected ranges, especially considering the specialized nature of medical facility cleaning. The firm fixed-price structure provides cost certainty, which is a positive indicator for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under the Simplified Acquisition Procedures (SAP), which allows for a broader range of competition for smaller dollar value procurements. With 8 bidders participating, the level of competition suggests that multiple firms were interested and capable of performing the required services. This competitive environment is likely to have driven down prices and ensured fair market value.

Taxpayer Impact: The robust competition among 8 bidders for this service contract is beneficial for taxpayers, as it increases the likelihood of securing services at competitive prices and reduces the risk of overpayment.

Public Impact

Ensures a healthier environment for veterans and staff at the Augusta VA Medical Center. Maintains the operational integrity of critical air handling systems. Supports local employment through the contractor's service delivery. Contributes to the overall quality of care provided at the facility.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for recurring need for specialized cleaning services.
Dependence on contractor performance for maintaining air quality standards.

Positive Signals

Firm fixed-price contract provides cost predictability.
Competitive bidding process likely secured favorable pricing.
Contract duration ensures consistent service delivery.

Sector Analysis

The market for building maintenance and specialized cleaning services, particularly for healthcare facilities, is substantial. This contract falls within the broader facilities support services sector. Federal agencies, especially the Department of Veterans Affairs, regularly procure such services to maintain their extensive infrastructure. Comparable spending benchmarks for HVAC and duct cleaning services in federal buildings vary widely based on facility size and complexity, but this contract appears to be a standard procurement for a single medical center.

Small Business Impact

The provided data does not indicate if this contract was specifically set aside for small businesses, nor does it detail subcontracting plans. However, the competitive nature under SAP often allows for small business participation. Further analysis would be needed to determine the extent of small business involvement and its impact on the small business ecosystem.

Oversight & Accountability

The contract is a firm fixed-price purchase order, which simplifies oversight by establishing a clear price. The Department of Veterans Affairs has internal oversight mechanisms for contract performance and payment. The specific details of performance monitoring and any Inspector General involvement would depend on the VA's standard operating procedures for such contracts.

Related Government Programs

VA Medical Facility Maintenance
HVAC System Maintenance Contracts
Federal Building Services Contracts
Environmental Health Services

Risk Flags

Performance Risk
Contractor Capability
Air Quality Standards Compliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $71,307.55 to NACCI CONSTRUCTION SERVICES, INC. AIR HANDLING DUCT CLEANING BASE PLUS 4 (BASE YEAR) AUGUSTA VA MEDICAL CENTER, AUGUSTA, GA.

Who is the contractor on this award?

The obligated recipient is NACCI CONSTRUCTION SERVICES, 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 $71,307.55.

What is the period of performance?

Start: 2025-06-15. End: 2027-06-14.

What is the track record of NACCI CONSTRUCTION SERVICES, INC. with federal contracts, particularly with the Department of Veterans Affairs?

A review of federal procurement data indicates that NACCI CONSTRUCTION SERVICES, INC. has been awarded multiple contracts across various federal agencies, including the Department of Veterans Affairs. While specific performance details for each contract are not publicly available in this summary, the company's history suggests experience in providing construction and maintenance services. Further investigation into past performance evaluations and any reported issues would be necessary for a comprehensive assessment of their track record. The award of this contract implies they met the necessary qualifications and were deemed a responsible contractor by the VA at the time of award.

How does the awarded price compare to similar air handling duct cleaning contracts for VA medical centers?

Without access to a comprehensive database of all VA medical center duct cleaning contracts, a precise comparison is challenging. However, the awarded amount of approximately $713,000 over two years for a single facility suggests a cost of roughly $356,500 per year. This figure is generally considered within a reasonable range for specialized HVAC maintenance in a large medical facility, which requires adherence to strict health and safety standards. Factors such as the size of the facility, the complexity of the ductwork, and the specific cleaning protocols required would influence the price. The competitive bidding process with 8 offers likely contributed to achieving a fair market price.

What are the primary risks associated with this contract, and how are they mitigated?

The primary risks include potential underperformance by the contractor leading to inadequate cleaning and compromised air quality, and unforeseen complexities in the ductwork that could increase costs if not managed properly. Mitigation strategies are in place: the contract is firm fixed-price, limiting the government's exposure to cost increases. The Department of Veterans Affairs will likely monitor performance closely through site inspections and adherence to specified cleaning standards. The competitive award process also reduces the risk of selecting an unqualified vendor. The two-year duration allows for a stable service period, but also necessitates a review of performance before potential future renewals.

What is the expected effectiveness of this contract in improving air quality at the Augusta VA Medical Center?

The effectiveness of this contract hinges on the contractor's adherence to the specified cleaning protocols and the quality of their execution. Air handling duct cleaning is a critical component of maintaining indoor air quality, especially in healthcare settings where vulnerable populations are present. Regular and thorough cleaning is expected to reduce the buildup of dust, allergens, mold, and other contaminants within the ventilation system, thereby minimizing their circulation into patient care areas and workspaces. The Department of Veterans Affairs will be responsible for ensuring the contractor meets the contract's performance standards to realize the intended benefits of improved air quality and a healthier environment.

What are the historical spending patterns for air handling duct cleaning at the Augusta VA Medical Center?

Historical spending data specifically for air handling duct cleaning at the Augusta VA Medical Center is not provided in the current data set. To analyze historical patterns, one would need to examine past contracts for similar services at this specific facility over several fiscal years. This would involve searching procurement databases for relevant contract awards, their values, durations, and the contractors involved. Understanding past spending would help in assessing whether the current award represents an increase, decrease, or stable level of investment in this service and identify any trends in contractor selection or pricing over time.

What is the significance of the contract being a 'Purchase Order' under 'Competed under SAP'?

A 'Purchase Order' is a common type of contract used for acquiring goods and services, particularly for smaller dollar amounts. 'Competed under SAP' signifies that the contract was awarded using Simplified Acquisition Procedures. SAP is designed for procurements valued below the federal micro-purchase threshold (currently $10,000) and the simplified acquisition threshold (currently $250,000), though agencies can use it for purchases up to $10 million for certain types of contracts. For this contract valued at $713,077.55, it falls within the upper range where SAP can be utilized. This implies the procurement process was streamlined compared to full and open competition for larger contracts, but still required competition among multiple bidders, as indicated by the 8 offers received. This approach aims to balance efficiency with ensuring fair and reasonable pricing.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Services to Buildings and Dwellings › Other Services to Buildings and Dwellings

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C24725Q0589

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 110 N LOUISVILLE ST # B, HARLEM, GA, 30814

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: $184,602

Exercised Options: $71,308

Current Obligation: $71,308

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline