VA awards $19.97M for generator services to Central Power Systems & Services, LLC

Contract Overview

Contract Amount: $19,974 ($20.0K)

Contractor: Central Power Systems & Services, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-03-11

End Date: 2026-03-10

Contract Duration: 364 days

Daily Burn Rate: $55/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: GENERATOR SERVICES

Place of Performance

Location: LEAVENWORTH, LEAVENWORTH County, KANSAS, 66048

State: Kansas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $19,974.26 to CENTRAL POWER SYSTEMS & SERVICES, LLC for work described as: GENERATOR SERVICES Key points: 1. The contract is for generator repair and maintenance, a critical service for VA facilities. 2. The award was not competed under simplified acquisition procedures, raising questions about price discovery. 3. The duration of the contract is one year, with a firm fixed price. 4. The North American Industry Classification System (NAICS) code is 811310, covering industrial machinery repair.

Value Assessment

Rating: questionable

The contract was awarded on a firm fixed price basis. Without competitive bidding, it's difficult to assess if this price is optimal or if it represents fair market value compared to similar generator maintenance contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed under simplified acquisition procedures, indicating a limited competition approach. This lack of broad competition may have hindered robust price discovery and potentially led to a higher price than could have been achieved through a more open process.

Taxpayer Impact: The limited competition raises concerns about taxpayer value, as a more competitive process could have potentially secured lower pricing for these essential generator services.

Public Impact

Ensures continued operation of critical VA medical facilities. Supports the maintenance of essential infrastructure for veteran healthcare. Potential for higher costs due to limited competition. Impacts the reliability of power supply for patient care.

Waste & Efficiency Indicators

Waste Risk Score: 55 / 10

Warning Flags

  • Limited competition
  • Lack of price benchmark
  • Potential for overpayment

Positive Signals

  • Essential service for VA operations
  • Firm fixed price contract

Sector Analysis

This contract falls under the industrial machinery repair and maintenance sector. Spending benchmarks for this sector can vary widely based on the specific equipment and service level agreements required, but consistent competition is key to ensuring value.

Small Business Impact

There is no indication that small businesses were involved in this procurement, either as prime contractors or subcontractors. Further analysis would be needed to determine if opportunities were missed for small business participation.

Oversight & Accountability

The award was made via a purchase order, which is a common method for acquiring goods and services. Oversight would focus on ensuring the contractor meets performance requirements and that the pricing remains fair throughout the contract term, especially given the limited competition.

Related Government Programs

  • Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance
  • Department of Veterans Affairs Contracting
  • Department of Veterans Affairs Programs

Risk Flags

  • Limited competition
  • Lack of transparency in award process
  • Potential for inflated pricing
  • No clear small business participation

Tags

commercial-and-industrial-machinery-and-, department-of-veterans-affairs, ks, purchase-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $19,974.26 to CENTRAL POWER SYSTEMS & SERVICES, LLC. GENERATOR SERVICES

Who is the contractor on this award?

The obligated recipient is CENTRAL POWER SYSTEMS & SERVICES, 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 $19,974.26.

What is the period of performance?

Start: 2025-03-11. End: 2026-03-10.

What specific factors led to the decision to not compete this contract under simplified acquisition procedures?

The data indicates the contract was 'NOT COMPETED UNDER SAP'. This suggests a potential justification for limited competition, possibly due to urgency, specific vendor capabilities, or existing relationships. However, without further details, it's unclear if these justifications fully align with procurement regulations or if a more competitive approach was feasible.

How does the $19.97 million price compare to industry benchmarks for similar generator services?

A direct comparison is challenging without more specific details on the scope of work, service levels, and geographic location. However, the lack of competition suggests this price may not be optimized. Benchmarking against similar VA or other federal contracts for generator maintenance, adjusted for contract size and duration, would be necessary to assess value.

What is the potential risk to VA operations if generator maintenance is not performed effectively under this contract?

The risk is significant. Generator maintenance is critical for ensuring uninterrupted power supply at VA facilities, especially medical centers. Failure to perform effectively could lead to power outages, impacting patient care, data systems, and overall facility operations, potentially resulting in severe consequences for veterans and staff.

Industry Classification

NAICS: Other Services (except Public Administration)Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and MaintenanceCommercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance

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

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9200 LIBERTY DR, LIBERTY, MO, 64068

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,974

Exercised Options: $19,974

Current Obligation: $19,974

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2025-03-11

Current End Date: 2026-03-10

Potential End Date: 2026-09-10 00:00:00

Last Modified: 2026-04-09

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