VA Awards $264,508 for Spokane VAMC Mechanical Project to AES Group Inc

Contract Overview

Contract Amount: $264,508 ($264.5K)

Contractor: AES Group Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2021-07-19

End Date: 2026-04-30

Contract Duration: 1,746 days

Daily Burn Rate: $151/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: THIS PROJECT IS FOR AHU-01 & AHU-04 MECHANICAL PROJECT 668-21-102 AT THE SPOKANE VAMC.

Place of Performance

Location: SPOKANE, SPOKANE County, WASHINGTON, 99205

State: Washington Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $264,508.35 to AES GROUP INC for work described as: THIS PROJECT IS FOR AHU-01 & AHU-04 MECHANICAL PROJECT 668-21-102 AT THE SPOKANE VAMC. Key points: 1. The contract is for mechanical upgrades at the Spokane VAMC. 2. AES Group Inc. is the contractor for this project. 3. The contract was awarded under full and open competition after exclusion of sources. 4. The project duration is 1746 days, ending April 30, 2026. 5. This is a firm-fixed-price contract.

Value Assessment

Rating: good

The contract value of $264,508 for mechanical upgrades appears reasonable for a project of this scope and duration. Benchmarking against similar VAMC mechanical projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition after exclusion of sources, indicating a competitive bidding process. This method generally promotes price discovery and ensures fair market value.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary facility upgrades.

Public Impact

Improved HVAC systems at the Spokane VAMC will enhance patient comfort and care environments. The project supports infrastructure modernization within the Department of Veterans Affairs. Completion of the project by April 2026 will ensure long-term operational efficiency. The contract award contributes to economic activity through the selected contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in long-term mechanical projects.
Reliance on a single contractor for a multi-year project.
Ensuring timely completion within the allocated duration.

Positive Signals

Competitive award process.
Firm-fixed-price contract type limits cost overruns.
Clear project scope for mechanical upgrades.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330). Spending in this sector is crucial for maintaining and upgrading federal facilities, with benchmarks varying significantly based on project complexity and location.

Small Business Impact

The data indicates this contract was not awarded to a small business (sb: false). Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. The firm-fixed-price structure provides a degree of cost control, but ongoing monitoring is essential to ensure project milestones are met.

Related Government Programs

Engineering Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Long project duration (1746 days).
Contract awarded after exclusion of sources, requiring justification.
No small business award indicated.
Potential for scope creep in mechanical projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $264,508.35 to AES GROUP INC. THIS PROJECT IS FOR AHU-01 & AHU-04 MECHANICAL PROJECT 668-21-102 AT THE SPOKANE VAMC.

Who is the contractor on this award?

The obligated recipient is AES GROUP 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 $264,508.35.

What is the period of performance?

Start: 2021-07-19. End: 2026-04-30.

What is the specific scope of work for AHU-01 & AHU-04 mechanical upgrades?

The provided data does not detail the specific mechanical upgrades for AHU-01 & AHU-04. This would typically include replacement or refurbishment of air handling units, associated ductwork, controls, and potentially related electrical or plumbing connections to ensure optimal HVAC performance and compliance with current standards.

What are the primary risks associated with a 1746-day mechanical project?

Key risks include potential delays due to unforeseen site conditions, material availability issues, or labor shortages. Changes in technology or building codes during the project's long duration could necessitate design modifications. Ensuring consistent quality control and contractor performance over nearly five years is also a significant consideration.

How does this contract contribute to the VA's overall facility modernization goals?

This contract directly contributes to the VA's facility modernization by addressing critical HVAC infrastructure at the Spokane VAMC. Upgrading air handling units is essential for maintaining a safe, healthy, and comfortable environment for veterans receiving care, supporting the VA's mission to provide high-quality healthcare services.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11031 S PIKES PEAK DR STE 202, PARKER, CO, 80138

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $264,508

Exercised Options: $264,508

Current Obligation: $264,508

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 36C26018D0047

IDV Type: IDC

Timeline