VA Awards $750K Contract for HVAC and Vertical Transportation Design Services to SMK Design Group JV, LLC

Contract Overview

Contract Amount: $74,989 ($75.0K)

Contractor: SMK Design Group JV, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-03

End Date: 2026-09-28

Contract Duration: 178 days

Daily Burn Rate: $421/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 657-25-106 AE SERVICES TO DESIGN CORRECTION OF VARIOUS HVAC, VERTICAL TRANSPERTATION, REFRIGERATION DEFICIENCIES

Place of Performance

Location: SAINT LOUIS, SAINT LOUIS CITY County, MISSOURI, 63125

State: Missouri Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $74,989.05 to SMK DESIGN GROUP JV, LLC for work described as: 657-25-106 AE SERVICES TO DESIGN CORRECTION OF VARIOUS HVAC, VERTICAL TRANSPERTATION, REFRIGERATION DEFICIENCIES Key points: 1. Contract awarded for essential building system upgrades at VA facilities. 2. SMK Design Group JV, LLC, a small business, secured the contract. 3. The contract value is relatively modest for design services. 4. Competition method indicates potential for broader market engagement.

Value Assessment

Rating: good

The contract value of $74,989.05 appears reasonable for specialized architectural and engineering design services. Benchmarking against similar contracts for HVAC and vertical transportation system design would provide a more precise assessment.

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 specific reason for excluding some potential bidders. This method can sometimes limit price discovery compared to truly open competition.

Taxpayer Impact: The direct taxpayer impact is limited by the contract's relatively small value. However, the services aim to improve facility efficiency and longevity, offering long-term value.

Public Impact

Veterans will benefit from improved facility conditions and potentially more reliable building systems. The project supports infrastructure modernization within the Department of Veterans Affairs. Local economy may see indirect benefits through subcontractor engagement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method could impact final price.
Contract duration is short, potentially leading to follow-on needs.

Positive Signals

Focus on critical infrastructure upgrades.
Award to a joint venture, potentially fostering collaboration.
Clear definition of services for HVAC and transportation systems.

Sector Analysis

This contract falls within the Architectural Services sector, specifically focusing on building systems engineering. Spending in this sector is crucial for maintaining and upgrading federal infrastructure, with benchmarks varying significantly based on project scope and complexity.

Small Business Impact

SMK Design Group JV, LLC is identified as a small business. The contract's value suggests it is appropriately sized for a small business to execute, promoting participation in federal contracting.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight. The fixed-price contract type provides cost certainty, and the defined period of performance allows for monitoring progress against deliverables.

Related Government Programs

Architectural Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Limited competition method.
Short contract duration.
Potential for scope creep if initial design is incomplete.
Dependence on contractor's ability to meet deadlines.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $74,989.05 to SMK DESIGN GROUP JV, LLC. 657-25-106 AE SERVICES TO DESIGN CORRECTION OF VARIOUS HVAC, VERTICAL TRANSPERTATION, REFRIGERATION DEFICIENCIES

Who is the contractor on this award?

The obligated recipient is SMK DESIGN GROUP JV, 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 $74,989.05.

What is the period of performance?

Start: 2026-04-03. End: 2026-09-28.

What specific deficiencies in HVAC, vertical transportation, and refrigeration systems are being addressed, and what is the expected impact of these corrections on operational efficiency and cost savi

The contract details do not specify the exact deficiencies. However, addressing HVAC, vertical transportation, and refrigeration issues typically aims to improve energy efficiency, reduce maintenance costs, enhance occupant comfort, and ensure the reliability of critical building systems. The expected impact is a more functional and cost-effective facility operation.

What were the specific reasons for excluding sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method, and how did this impact the final negotiated price?

The data does not specify the reasons for excluding sources. This method is often used when only a limited number of contractors possess the required specialized skills or when specific socio-economic goals are targeted. The impact on price is variable; while it can sometimes lead to higher prices due to reduced competition, it can also ensure the selection of highly qualified vendors for complex tasks.

What is the long-term strategy for maintaining and upgrading the identified HVAC, vertical transportation, and refrigeration systems after the design phase is complete?

The current contract focuses solely on the design phase for correcting deficiencies. The long-term strategy for maintenance and further upgrades would likely involve separate procurement actions, potentially including service contracts or future capital improvement projects. The VA's asset management plan would dictate these subsequent steps.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Architectural 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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 36C25526R0036

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 860 DOERWOOD CT, KIRKWOOD, MO, 63122

Business Categories: Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, 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: $74,989

Exercised Options: $74,989

Current Obligation: $74,989

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline