VA awards $5.2M for granite markers, with a significant portion allocated for delivery orders

Contract Overview

Contract Amount: $5,199,141 ($5.2M)

Contractor: American Veteran Contracting Solutions LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-10-01

End Date: 2023-09-30

Contract Duration: 364 days

Daily Burn Rate: $14.3K/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

Place of Performance

Location: GILBERT, MARICOPA County, ARIZONA, 85297

State: Arizona Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $5.2 million to AMERICAN VETERAN CONTRACTING SOLUTIONS LLC for work described as: G1 FLAT GRANITE MARKERS WORLDWIDE Key points: 1. The contract's value suggests a substantial need for memorialization products. 2. The award was made under full and open competition, indicating a competitive bidding process. 3. The fixed-price contract type helps mitigate cost overrun risks for the government. 4. The delivery order structure allows for flexible procurement based on immediate needs. 5. The contractor, American Veteran Contracting Solutions LLC, is responsible for worldwide delivery. 6. The contract duration is approximately one year, suggesting a need for ongoing services.

Value Assessment

Rating: good

The total award of $5.2 million for granite markers appears reasonable given the scope of worldwide delivery. Benchmarking against similar government contracts for memorialization products is challenging without more specific details on the types and quantities of markers. However, the firm fixed-price nature of the contract provides cost certainty. The per-unit cost is not explicitly detailed but is implicitly factored into the overall award value and delivery order amounts.

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,' which implies that while the competition was open, specific sources may have been excluded for defined reasons. The number of bidders is not specified, but the 'full and open' designation suggests a robust competitive environment was intended. This level of competition generally leads to better price discovery and value for the government.

Taxpayer Impact: The open competition process is beneficial for taxpayers as it encourages multiple vendors to offer competitive pricing, potentially driving down costs for these essential memorialization products.

Public Impact

Veterans and their families benefit from the provision of high-quality granite markers for gravesites. The services delivered include the manufacturing and worldwide delivery of memorial markers. The geographic impact is global, catering to the needs of veterans interred in various locations. The contract supports the manufacturing sector, specifically stone product manufacturing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for delays in worldwide delivery if logistical challenges arise.
Ensuring consistent quality of granite markers across all worldwide deliveries.
Managing the complexity of fulfilling delivery orders across diverse geographic locations.

Positive Signals

The firm fixed-price contract limits the government's exposure to cost increases.
The contractor is an American Veteran Contracting Solutions LLC, aligning with potential veteran support initiatives.
The contract was awarded through a competitive process, suggesting a focus on value.

Sector Analysis

The contract falls within the 'Cut Stone and Stone Product Manufacturing' sector, a niche but essential industry. This sector supplies materials for construction, monuments, and memorials. Government spending in this area is often tied to national cemeteries, military installations, and memorial projects. The market size for specialized memorial markers can be significant, particularly when considering global demand from a large veteran population.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The primary contractor, American Veteran Contracting Solutions LLC, is responsible for fulfilling the entire contract, and their size status relative to small business definitions is not specified.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Veterans Affairs (VA) contracting officers and program managers. Accountability is established through the firm fixed-price contract terms, requiring delivery of specified goods. Transparency is facilitated by the public nature of federal contract awards. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

National Cemetery Administration Services
Military Memorial Programs
Grave Marker Procurement
Department of Veterans Affairs Procurement

Risk Flags

Potential for delivery delays due to international logistics.
Risk of damage to markers during worldwide transit.
Ensuring consistent quality across diverse geographic locations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $5.2 million to AMERICAN VETERAN CONTRACTING SOLUTIONS LLC. G1 FLAT GRANITE MARKERS WORLDWIDE

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 $5.2 million.

What is the period of performance?

Start: 2022-10-01. End: 2023-09-30.

What is the typical lead time for manufacturing and delivery of granite markers under similar government contracts?

Lead times for manufacturing and delivery of granite markers can vary significantly based on the complexity of the design, the specific type of granite used, and the destination. For government contracts, especially those involving worldwide delivery, lead times can range from 60 to 180 days from order placement to final delivery. This timeframe accounts for material sourcing, fabrication, quality control, and international or domestic shipping logistics. The Department of Veterans Affairs likely has specific performance standards outlined in the contract that dictate maximum allowable lead times for delivery orders to ensure timely placement of markers.

How does the pricing of these granite markers compare to commercial market rates for similar products?

Direct comparison of pricing between government contracts and commercial market rates for granite markers is complex due to differences in scale, specifications, and overhead. Government contracts often involve bulk purchasing and standardized designs, which can lead to lower per-unit costs than custom commercial orders. However, the 'worldwide delivery' aspect of this contract may introduce additional logistical costs that could influence the overall price. Without specific details on the marker dimensions, granite type, and included services (e.g., installation), a precise benchmark is difficult. The firm fixed-price nature suggests the contractor has factored in all costs, including profit, to meet the agreed-upon price.

What are the primary risks associated with a contract for worldwide delivery of granite markers?

The primary risks associated with a contract for worldwide delivery of granite markers include logistical challenges, potential for damage during transit, customs and import/export regulations in different countries, and ensuring consistent quality across diverse locations. Geopolitical instability or natural disasters could also disrupt delivery schedules. For the government, risks also include contractor performance failures, such as delays or substandard quality, which could impact memorialization ceremonies and veteran services. The firm fixed-price contract mitigates financial risk for the government regarding cost overruns, but performance risk remains.

What is the historical spending pattern of the Department of Veterans Affairs for memorialization products?

The Department of Veterans Affairs (VA) has a consistent and significant historical spending pattern for memorialization products, primarily to support the National Cemetery Administration. This spending typically includes the procurement of headstones, markers, burial flags, and related services. Annual spending can fluctuate based on the number of veterans interred and the specific needs of national cemeteries. While specific figures for granite markers alone are not always publicly itemized, the overall budget allocated for veteran memorialization is substantial, reflecting the VA's commitment to honoring service members. This contract represents a portion of that ongoing commitment.

What are the quality control measures in place to ensure the durability and appearance of the granite markers?

Quality control measures for granite markers typically involve adherence to strict material specifications, including the type and grade of granite, its density, compressive strength, and resistance to weathering. Manufacturers must ensure that the stone is free from defects like cracks or inclusions that could compromise its integrity. For government contracts, this often includes pre-production sample approvals, in-process inspections during fabrication, and final inspection before shipment. The contract likely specifies standards for dimensions, finish (e.g., polished, rough), and inscription accuracy. The Department of Veterans Affairs may also conduct random post-delivery inspections to verify compliance with quality standards.

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: $5,199,141

Exercised Options: $5,199,141

Current Obligation: $5,199,141

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C78619D0051

IDV Type: IDC

Timeline