VA awards $5.6M for granite markers, with 15 bids received for this firm-fixed-price contract

Contract Overview

Contract Amount: $5,603,882 ($5.6M)

Contractor: American Veteran Contracting Solutions LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2021-10-01

End Date: 2022-09-30

Contract Duration: 364 days

Daily Burn Rate: $15.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: G1 FLAT GRANITE MARKERS WORLDWIDE FUND OPTION YEAR 3

Place of Performance

Location: GILBERT, MARICOPA County, ARIZONA, 85297

State: Arizona Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $5.6 million to AMERICAN VETERAN CONTRACTING SOLUTIONS LLC for work described as: G1 FLAT GRANITE MARKERS WORLDWIDE FUND OPTION YEAR 3 Key points: 1. The contract value represents a significant investment in memorialization services. 2. Competition was robust, suggesting a healthy market for these specialized products. 3. The firm-fixed-price structure provides cost certainty for the government. 4. Performance is tied to a specific delivery order with a defined period. 5. This contract falls within the broader category of stone product manufacturing. 6. The geographic scope is worldwide, indicating a broad service requirement.

Value Assessment

Rating: good

The awarded amount of $5.6 million for granite markers appears reasonable given the worldwide delivery scope and the 364-day duration. Benchmarking against similar contracts for memorial markers is challenging due to the specialized nature and global reach. However, the presence of 15 bids suggests competitive pricing was likely achieved. The firm-fixed-price contract type further aids in managing cost expectations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, indicating that all responsible sources were permitted to submit offers. The receipt of 15 bids is a strong indicator of a competitive marketplace for granite markers. A higher number of bidders generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The robust competition ensures that taxpayer dollars are used efficiently, as multiple companies vied to provide the best value, likely driving down the final price.

Public Impact

Veterans and their families will benefit from the provision of world-wide granite markers for memorials. The services delivered include the manufacturing and delivery of stone markers. The geographic impact is global, supporting memorialization efforts wherever needed. The contract supports jobs within the stone product manufacturing sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for long-term reliance on a single contractor if future options are exercised without re-competition.
Scope definition for 'worldwide' could lead to unforeseen logistical challenges or cost overruns if not managed tightly.

Positive Signals

Strong competition with 15 bidders indicates a healthy and responsive market.
Firm-fixed-price contract provides cost certainty and limits the government's exposure to cost increases.
The contract is for a specific delivery order, suggesting a well-defined need.

Sector Analysis

This contract falls within the Cut Stone and Stone Product Manufacturing sector. This industry is characterized by the production of dimension stone, stone products, and related items. Spending in this sector for government contracts can vary widely depending on the specific needs, such as infrastructure projects, memorialization, or construction. The $5.6 million award is a notable sum for a single delivery order within this niche.

Small Business Impact

The contract was awarded under full and open competition and does not indicate any specific small business set-aside. While the primary contractor is AMERICAN VETERAN CONTRACTING SOLUTIONS LLC, further analysis would be needed to determine if they utilize small business subcontractors. The absence of a set-aside suggests that the primary focus was on obtaining the best value from the broadest possible pool of offerors.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. As a delivery order under a larger contract vehicle, its execution will be monitored by the Department of Veterans Affairs. Transparency is facilitated by public contract databases. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract's performance.

Related Government Programs

National Cemetery Administration Memorial Programs
Grave Marker Contracts
Federal Cemetery Maintenance Contracts

Risk Flags

Logistical complexity of worldwide delivery
Potential for transit damage to stone products
Compliance with international shipping regulations

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $5.6 million to AMERICAN VETERAN CONTRACTING SOLUTIONS LLC. G1 FLAT GRANITE MARKERS WORLDWIDE FUND OPTION YEAR 3

Who is the contractor on this award?

The obligated recipient is AMERICAN VETERAN CONTRACTING SOLUTIONS 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 $5.6 million.

What is the period of performance?

Start: 2021-10-01. End: 2022-09-30.

What is the historical spending pattern for granite markers by the Department of Veterans Affairs?

Analyzing historical spending for granite markers by the VA requires a deep dive into contract databases over several fiscal years. While this specific $5.6 million award is for a single delivery order, understanding the VA's broader commitment to memorialization services is crucial. Past awards might reveal trends in contract values, types of markers procured (e.g., granite vs. bronze), and the prevalence of full and open competition versus sole-source awards. For instance, if similar large-scale awards for worldwide markers are infrequent, this contract might represent a specific, large-scale initiative. Conversely, if such awards are common, it indicates a consistent and substantial budget allocation for these services. Without access to a comprehensive historical database query, it's difficult to provide precise figures, but the current award suggests a significant, albeit potentially episodic, expenditure in this area.

How does the number of bidders (15) compare to similar contracts for memorial products?

A total of 15 bidders for a contract of this nature, involving worldwide delivery of granite markers, suggests a healthy level of competition. Typically, for specialized manufacturing and logistical services, the number of qualified bidders can range significantly. Contracts for less complex or geographically limited items might see fewer bids, while those with broad scope and high value, like this one, often attract more interest if the market is robust. A benchmark comparison would involve searching for similar VA or Department of Defense contracts for memorial products or large-scale stone fabrication and delivery. If comparable contracts typically receive fewer than 10 bids, then 15 indicates strong market engagement. Conversely, if other large, global contracts attract 20+ bids, this might suggest some barriers to entry or a less saturated market than anticipated. The 15 bids here are generally a positive sign for price discovery.

What are the key performance indicators (KPIs) for this contract, and how is performance measured?

Key performance indicators for a contract involving the manufacturing and delivery of granite markers would primarily focus on product quality, timeliness of delivery, and adherence to specifications. Quality would be measured against approved designs, material standards (e.g., granite type, durability), and finish. Timeliness would involve meeting delivery schedules to designated worldwide locations, which is critical for memorialization ceremonies and cemetery operations. Adherence to specifications ensures that the markers meet the precise requirements set forth by the VA, including dimensions, inscriptions, and installation readiness. Performance measurement likely involves regular inspections, acceptance testing of delivered markers, and tracking delivery confirmations. The firm-fixed-price nature incentivizes the contractor to meet these KPIs efficiently to maximize profit, while the VA's quality assurance personnel would be responsible for verifying compliance.

What is the track record of AMERICAN VETERAN CONTRACTING SOLUTIONS LLC in fulfilling government contracts of similar scope and value?

Assessing the track record of AMERICAN VETERAN CONTRACTING SOLUTIONS LLC requires examining their past performance on federal contracts, particularly those involving manufacturing, logistics, and large-scale material delivery. Publicly available data, such as the Federal Procurement Data System (FPDS) or contractor performance assessment reports (CPARS), would provide insights into their history. Key areas to investigate include their success rate in completing contracts on time and within budget, the quality of goods or services provided, and any history of disputes, claims, or contract terminations. Given their name, it's also relevant to see if they have a history of successfully serving veteran-related needs. A positive track record with similar contracts would increase confidence in their ability to execute this $5.6 million award effectively, while any past issues would warrant closer scrutiny of this current contract's oversight.

Are there any specific risks associated with worldwide delivery of stone products, and how are they mitigated?

Worldwide delivery of stone products like granite markers presents several inherent risks. These include logistical complexities (shipping, customs, import/export regulations across different countries), potential for damage during transit, varying environmental conditions affecting material integrity, and geopolitical instability in certain regions. Mitigation strategies typically involve robust shipping and handling protocols, comprehensive insurance coverage, detailed logistical planning with experienced freight forwarders, and potentially pre-qualifying specific international shipping partners. The contract may also include clauses addressing force majeure events or specific requirements for packaging and crating to withstand diverse transit conditions. The VA's oversight would likely involve verifying the contractor's logistical plans and monitoring delivery progress closely, especially for high-risk destinations.

Industry Classification

NAICS: Manufacturing › Other Nonmetallic Mineral Product Manufacturing › Cut Stone and Stone Product Manufacturing

Product/Service Code: MISCELLANEOUS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7235 E HAMPTON AVE, MESA, AZ, 85209

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, 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: $5,603,882

Exercised Options: $5,603,882

Current Obligation: $5,603,882

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C78619D0051

IDV Type: IDC

Timeline