VA awards $197K purchase order for furniture installation and moves to HB Workplaces, LLC

Contract Overview

Contract Amount: $197,579 ($197.6K)

Contractor: HB Workplaces, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-07-17

End Date: 2024-07-16

Contract Duration: 365 days

Daily Burn Rate: $541/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INSTALLATION AND MOVES OF GOV FURNITURE

Place of Performance

Location: RENO, WASHOE County, NEVADA, 89502

State: Nevada Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $197,578.99 to HB WORKPLACES, LLC for work described as: INSTALLATION AND MOVES OF GOV FURNITURE Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. The contract duration is one year, with a firm-fixed-price structure. 3. The North American Industry Classification System (NAICS) code is 484210, indicating household and office goods moving. 4. The award was made by the Department of Veterans Affairs. 5. The contract was not competed, raising questions about potential value for money. 6. The small business status of the contractor is not specified, but the contract was not set aside for small businesses.

Value Assessment

Rating: questionable

Benchmarking the value for this specific contract is challenging due to the lack of competitive bidding. The firm-fixed-price structure provides some cost certainty, but without comparison to other bids or market rates for similar services in Nevada, it's difficult to definitively assess if the $197,578.99 price represents good value. The absence of competition suggests potential for overpayment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when only one vendor can provide the required goods or services, or in specific emergency situations. The lack of competition means there was no opportunity for price discovery through a bidding process, potentially leading to a higher price than if multiple vendors had competed.

Taxpayer Impact: Taxpayers may not have received the best possible price due to the absence of a competitive bidding process. The government did not leverage market forces to drive down costs.

Public Impact

Veterans Affairs facilities in Nevada will benefit from the installation and movement of government furniture. This service supports the operational readiness and efficiency of VA facilities. The contract impacts the workforce of HB Workplaces, LLC, providing employment opportunities. The geographic impact is limited to Nevada, where the VA facilities are located.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits transparency and potential for cost savings.
Lack of competition may result in a price higher than market value.
No clear indication of performance metrics or evaluation criteria in the provided data.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Contract duration of one year allows for a defined service period.

Sector Analysis

The furniture installation and moving services sector is a niche but essential part of facility management. This contract falls under the broader category of logistics and support services. While specific market size data for government furniture installation in Nevada is not readily available, the federal government is a significant consumer of such services across various agencies. Comparable spending benchmarks are difficult to establish without more detailed service scope and competitive data.

Small Business Impact

The contract was not set aside for small businesses, nor is there information indicating subcontracting opportunities for small businesses. This suggests that the primary contractor, HB Workplaces, LLC, is either not a small business or the contract was not structured to prioritize small business participation. Further investigation into the contractor's size and subcontracting plans would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting and procurement divisions. As a purchase order, it is subject to standard government oversight procedures. However, the sole-source nature of the award warrants closer scrutiny to ensure the price paid was fair and reasonable. Transparency is limited due to the lack of a competitive process and publicly available performance data.

Related Government Programs

Government Furniture Procurement
Logistics and Moving Services
Department of Veterans Affairs Operations

Risk Flags

Sole-source award
Lack of competitive bidding
Potential for overpayment

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $197,578.99 to HB WORKPLACES, LLC. INSTALLATION AND MOVES OF GOV FURNITURE

Who is the contractor on this award?

The obligated recipient is HB WORKPLACES, 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 $197,578.99.

What is the period of performance?

Start: 2023-07-17. End: 2024-07-16.

What is the track record of HB Workplaces, LLC in performing government contracts?

Information regarding the specific track record of HB Workplaces, LLC in performing government contracts is not detailed in the provided data. To assess their performance history, one would need to review past contract awards, performance evaluations (such as Past Performance Information), and any reported issues or disputes with federal agencies. Without this information, it is difficult to gauge their reliability and capability for this specific furniture installation and moving task.

How does the awarded price compare to market rates for similar services in Nevada?

Direct comparison of the $197,578.99 award to market rates for similar services in Nevada is challenging without more specific data on the scope of work, such as the volume of furniture, distance of moves, and complexity of installation. Typically, a competitive bidding process would provide a benchmark. Given this was a sole-source award, it is difficult to ascertain if the price is optimal. Further market research or analysis of comparable government contracts for similar services in the region would be necessary for a robust comparison.

What are the potential risks associated with a sole-source award for furniture installation?

The primary risk associated with a sole-source award for furniture installation is the potential for inflated pricing due to the lack of competition. Without competing bids, the government may not achieve the best possible value for its expenditure. Other risks include potential limitations in service quality if the sole provider lacks sufficient capacity or expertise, and reduced transparency in the procurement process. Ensuring fair and reasonable pricing often requires extensive justification and market research by the contracting agency.

What is the typical spending pattern for furniture installation and moving services by the Department of Veterans Affairs?

The provided data only includes one specific contract award. To understand the typical spending patterns for furniture installation and moving services by the Department of Veterans Affairs (VA), a broader analysis of historical contract data would be required. This would involve examining spending across multiple fiscal years, different VA facilities, and various contracting vehicles (e.g., competitive bids, sole-source awards). Without this historical context, it's impossible to determine if this $197K award is representative of typical VA spending in this category.

Are there specific performance metrics or service level agreements (SLAs) associated with this contract?

The provided data does not specify any performance metrics or service level agreements (SLAs) for this contract. Typically, government contracts include clauses that define expected performance standards, delivery timelines, and quality requirements. For a furniture installation and moving contract, these might include on-time completion, minimal damage to furniture and facilities, and adherence to safety protocols. The absence of this information in the summary data suggests that further details would be found within the full contract documentation.

Industry Classification

NAICS: Transportation and Warehousing › Specialized Freight Trucking › Used Household and Office Goods Moving

Product/Service Code: INSTALLATION OF EQUIPMENT › INSTALLATION OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 249 S 400 E, SALT LAKE CITY, UT, 84111

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $197,579

Exercised Options: $197,579

Current Obligation: $197,579

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline