VA awards $4M purchase order for cut stone products to American Veteran Contracting Solutions LLC
Contract Overview
Contract Amount: $4,021,860 ($4.0M)
Contractor: American Veteran Contracting Solutions LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2025-10-15
End Date: 2026-05-31
Contract Duration: 228 days
Daily Burn Rate: $17.6K/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: U1 BLANKS
Place of Performance
Location: MESA, MARICOPA County, ARIZONA, 85209
State: Arizona Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $4.0 million to AMERICAN VETERAN CONTRACTING SOLUTIONS LLC for work described as: U1 BLANKS Key points: 1. The contract value of $4.02 million for cut stone products represents a significant investment in specialized materials. 2. The award to a single vendor, American Veteran Contracting Solutions LLC, warrants scrutiny regarding potential competition limitations. 3. The fixed-price contract type suggests a defined cost structure, but the absence of competition raises questions about optimal pricing. 4. The contract duration of 228 days indicates a medium-term need for these stone products. 5. The geographic location of the contractor in Arizona may influence logistics and delivery timelines. 6. The lack of a small business set-aside designation means opportunities for smaller firms in this sector are not explicitly prioritized.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without more specific details on the type and quantity of cut stone products. However, a $4 million award for specialized manufacturing materials suggests a substantial procurement. The firm fixed-price nature provides cost certainty for the government, but the lack of competition means there's no direct comparison to assess if this price represents the best value achievable in a competitive market. Further analysis would require understanding the specific product specifications and market rates for similar custom-cut stone.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded as a 'NOT COMPETED UNDER SAP' (Simplified Acquisition Procedures), which typically implies a sole-source or limited competition scenario. The data indicates only one offer was solicited or received. This lack of broad competition means the government did not explore the full range of potential suppliers, which could lead to higher prices or less favorable terms than might be achieved through an open bidding process. The specific justification for not competing it more widely would be crucial for a complete assessment.
Taxpayer Impact: The absence of robust competition for this $4 million award means taxpayers may not be benefiting from the most cost-effective pricing. Without multiple bids, there's a reduced incentive for the awarded contractor to offer the lowest possible price.
Public Impact
The Department of Veterans Affairs (VA) is the primary beneficiary, securing necessary cut stone products for its facilities or projects. The contract supports the manufacturing sector by procuring specialized stone products. The geographic impact is primarily linked to the delivery of the stone products, potentially benefiting regions where VA facilities are located. The contract supports the workforce within the awarded company and potentially its supply chain.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition may lead to suboptimal pricing for taxpayers.
- Absence of a competitive process limits transparency in price discovery.
- Potential for higher costs due to sole-source award.
Positive Signals
- Firm fixed-price contract provides cost certainty.
- Award to a company with 'Veteran' in its name may align with VA's mission, though this is not a formal set-aside.
- Contract duration is defined, allowing for planned procurement.
Sector Analysis
The procurement of cut stone and stone products falls within the broader construction materials and manufacturing sectors. This specific contract addresses a niche within the market for specialized stone fabrication. The value of $4.02 million is substantial for a single award in this category, suggesting a significant project or ongoing need. Comparable spending benchmarks would depend heavily on the specific type, quantity, and customization of the stone products required by the VA.
Small Business Impact
The contract data indicates that small business participation was not a primary consideration, as the 'sb' (small business) flag is false and it was not competed as a small business set-aside. This means that opportunities for small businesses to bid on or subcontract for this work were not explicitly facilitated by the contracting strategy. The impact on the small business ecosystem is neutral to negative, as dedicated set-aside programs were not utilized for this significant procurement.
Oversight & Accountability
Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting and program management offices. As a purchase order awarded under simplified acquisition procedures, it may undergo less rigorous pre-award review than larger, formally competed contracts. Accountability measures would be tied to the delivery of specified products according to the firm fixed-price agreement. Transparency is limited due to the sole-source nature of the award, with detailed justifications for the procurement approach likely residing within internal VA documentation.
Related Government Programs
- Construction Materials Procurement
- Specialty Manufacturing Contracts
- Department of Veterans Affairs Facility Maintenance
- Government Purchase Orders
Risk Flags
- Sole-source award lacks competitive pricing.
- Limited transparency in procurement justification.
- Potential for higher costs without market comparison.
Tags
construction, department-of-veterans-affairs, purchase-order, sole-source, cut-stone-products, manufacturing, arizona, firm-fixed-price, medium-value, non-small-business
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $4.0 million to AMERICAN VETERAN CONTRACTING SOLUTIONS LLC. U1 BLANKS
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 $4.0 million.
What is the period of performance?
Start: 2025-10-15. End: 2026-05-31.
What specific types and quantities of cut stone products are being procured under this contract?
The provided data indicates the contract is for 'Cut Stone and Stone Product Manufacturing' (PSC ND). However, it does not specify the exact types (e.g., granite, marble, limestone), dimensions, finishes, or quantities of the stone products. This level of detail is crucial for understanding the scope of work, assessing the reasonableness of the price, and comparing it to market benchmarks. Without this information, it's difficult to determine if the $4.02 million award represents good value for the specific materials needed by the Department of Veterans Affairs.
What is the justification for awarding this contract on a sole-source basis?
The data states the contract was 'NOT COMPETED UNDER SAP'. This designation typically implies that the contract was awarded without seeking multiple bids, often due to reasons such as a single responsible source, urgent need, or specific technical requirements that only one vendor can meet. For a contract of this value ($4.02 million), a detailed justification for the sole-source award would normally be required and documented by the agency. Understanding this justification is key to assessing whether the lack of competition was warranted or if it potentially led to a less favorable outcome for the government.
How does the price of $4.02 million compare to market rates for similar cut stone products?
Directly comparing the $4.02 million contract price to market rates is difficult without knowing the specific types, quantities, and customization of the stone products. However, as a sole-source award, there is no competitive benchmark to evaluate price reasonableness. To assess value, one would need to obtain quotes from other suppliers for comparable stone products or consult industry cost guides. Given the lack of competition, there is a risk that the price may be higher than what could have been achieved through a competitive bidding process. Further investigation into market pricing for similar custom stone fabrication projects would be necessary.
What is the track record of American Veteran Contracting Solutions LLC in fulfilling government contracts, particularly for stone products?
The provided data identifies the contractor as 'AMERICAN VETERAN CONTRACTING SOLUTIONS LLC' and the agency as the 'Department of Veterans Affairs'. However, it does not offer details on the contractor's past performance, experience with cut stone products, or history of fulfilling government contracts. A thorough assessment would require reviewing the contractor's performance history, including any past awards, delivery records, and quality of work on similar projects. Without this information, it's challenging to evaluate the contractor's reliability and capability to successfully execute this $4.02 million purchase order.
What are the potential risks associated with this sole-source award for cut stone products?
The primary risk associated with this sole-source award is the potential for inflated pricing due to the lack of competition. Without multiple bids, the government may not be securing the most cost-effective solution. Other risks include potential delays if the contractor faces production or supply chain issues, and a lack of transparency in the procurement process. Furthermore, if the contractor's capabilities are not thoroughly vetted, there's a risk of subpar quality or failure to meet delivery schedules. The absence of a competitive process limits the government's leverage in negotiating terms and ensuring best value.
Are there any planned subcontracting opportunities for small businesses under this contract?
The provided data indicates that this contract was not set aside for small businesses ('sb': false) and was not competed under SAP, suggesting a sole-source award. There is no explicit mention of subcontracting requirements or goals for small businesses within the provided data points. Therefore, it is unlikely that subcontracting opportunities for small businesses were a mandated component of this specific award. While the prime contractor may voluntarily engage small businesses, it is not a requirement based on the information given.
Industry Classification
NAICS: Manufacturing › Other Nonmetallic Mineral Product Manufacturing › Cut Stone and Stone Product Manufacturing
Product/Service Code: MISCELLANEOUS
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: 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: $4,021,860
Exercised Options: $4,021,860
Current Obligation: $4,021,860
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2025-10-15
Current End Date: 2026-05-31
Potential End Date: 2026-05-31 00:00:00
Last Modified: 2026-04-01
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