S02 LIQUIDATED DAMAGES FORMULATION MEMO 2.1.docx

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Y1DZ--NRM - CONSTR PROJ - 630-26-102 Design Build HVAC Bldgs. 4 and 5
Solicitation number
36C24226R0034
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This is a Liquidated Damages Formulation Memo for solicitation 36C24226R0018, a General Construction Project (630A4-26-102) GI Renovation Phase III—Design Build at a Department of Veterans Affairs facility under Veterans Integrated Service Network 2. The memo establishes the daily liquidated damages amount at $719.53 per calendar day for inexcusable delays in project completion. The daily rate comprises two components: (1) VISN 2 Contracting, Engineering, and Legal review costs of $442.01, which include hourly rates for a GS-13 Contracting Officer Supervisor ($69.42), GS-12/11 Contract Specialists ($295.24 combined), and a GS-14 Legal Officer ($77.35); and (2) Facility Engineering oversight costs of $277.52, consisting of a GS-13 Construction Manager ($77.36) and a GS-12 Project Engineer ($200.16). All rates are based on General Schedule Locality Pay for New York City effective January 1, 2026.

The liquidated damages are calculated based on historical administrative time requirements and serve as compensation for government costs incurred due to contractor delays. The government retains the right to pursue actual damages if they are distinguishable from the liquidated damages assessed. The formulation complies with Federal Acquisition Regulation sections 11.503(b), 36.206, and clause 52.211-12, and will be assessed for each calendar day required to complete construction work beyond the scheduled completion date specified in the contract.

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LIQUIDATED DAMAGES FORMULATION MEMO

Solicitation Number: 36C24226R0018

630A4-26-102 GI RENOVATION PHASE III - DB

All Civilian wage rates are based upon the General Schedule Locality Pay Table (NEW YORK CITY), effective January 1, 2026, for Contracting, Project Engineer, and FMS Manager.

1. Estimated liquidated damages for VISN 2 Contracting, Engineering, and Legal reviews per day of inexcusable delay:

CLASSIFICATION
GRADE
RATE
HOURS TOTAL
HOURLY RATE
Contracting Officer Supervisor
GS-13 / 6
$69.42
1 Hour
$ 69.42

Contracting Officer Contract Specialist

GS-12 / 8

GS-11 / 1

$61.72 $58.38 1 Hour 4 Hours $61.72 $233.52

Legal Officer
GS-14 / 4
$77.35
1 Hour
$77.35
TOTAL PER DAY
$442.01

2. Estimated liquidated damages for Facility Engineering (COR/COTR) per day of inexcusable delay:

CLASSIFICATION
GRADE
RATE
HOURS TOTAL
HOURLY RATE
Construction Manager
GS-13 /10
$77.36
1 Hour
$77.36
Project Engineer
GS-12 / 6
$50.04
4 Hours
$200.16
TOTAL PER DAY
$277.52
Grand Total Per Day
$719.53

3. The Contractor shall pay liquidated damages to the Government in the amount of $719.53 for each calendar day of delay until the work is completed and/or accepted. The aforementioned costs were derived based upon historical trends associated with the time required of the parties to perform the additional contract administration, which has not been completed by the Contractor within the specified time. The purpose of Liquidated Damages is compensatory only. The government retains the right to seek actual damages so long as they are distinguishable and separate from the Contractor failing to complete the work within the time specified in the contract.

4. The formulation of Liquidated Damages as detailed above is in accordance with Federal Acquisition Regulation 11.503(b), 36.206, 52.211-12, and will be assessed for each calendar day required to complete the construction work on this project past the scheduled completion date.

File details come from the government source that posted it. Updated .