VA awards $609K for Cardiac Ultrasound Upgrade to Philips North America LLC

Contract Overview

Contract Amount: $60,931 ($60.9K)

Contractor: Philips North America LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-09-12

End Date: 2026-09-30

Contract Duration: 383 days

Daily Burn Rate: $159/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MODALITY: CARDIAC US PO# 499B59055 STATION# ST CLOUD UPGARDE

Place of Performance

Location: BOTHELL, SNOHOMISH County, WASHINGTON, 98021

State: Washington Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $60,931.32 to PHILIPS NORTH AMERICA LLC for work described as: MODALITY: CARDIAC US PO# 499B59055 STATION# ST CLOUD UPGARDE Key points: 1. Contract awarded to a major medical equipment provider. 2. Competition was full and open, suggesting market availability. 3. Potential risk in reliance on a single vendor for specialized equipment. 4. Spending falls within the Irradiation Apparatus Manufacturing sector.

Value Assessment

Rating: good

The contract value of $609,313.32 for a Cardiac Ultrasound upgrade appears reasonable given the specialized nature of medical imaging equipment. Benchmarking against similar advanced ultrasound systems would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: The use of full and open competition is beneficial for taxpayers as it drives down costs through market forces.

Public Impact

Enhances diagnostic capabilities for cardiac conditions at the St. Cloud facility. Potential for improved patient care and treatment outcomes. Ensures VA medical centers are equipped with up-to-date technology.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in with specialized equipment.
Long-term maintenance and service costs not detailed.

Positive Signals

Awarded under full and open competition.
Utilizes a firm fixed price contract.
Modernizes critical medical equipment.

Sector Analysis

The Irradiation Apparatus Manufacturing sector includes specialized medical devices. Spending on advanced diagnostic equipment like cardiac ultrasound machines is typical for healthcare providers aiming to maintain high standards of care.

Small Business Impact

This contract was awarded to a large corporation, Philips North America LLC. There is no indication of small business participation in this specific delivery order.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms should ensure proper execution and accountability.

Related Government Programs

Irradiation Apparatus Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for vendor lock-in
Long-term service and maintenance costs unknown
Dependence on a single manufacturer for critical equipment

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $60,931.32 to PHILIPS NORTH AMERICA LLC. MODALITY: CARDIAC US PO# 499B59055 STATION# ST CLOUD UPGARDE

Who is the contractor on this award?

The obligated recipient is PHILIPS NORTH AMERICA 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 $60,931.32.

What is the period of performance?

Start: 2025-09-12. End: 2026-09-30.

What is the expected lifespan of this cardiac ultrasound upgrade and what are the associated maintenance costs?

The provided data does not specify the expected lifespan or ongoing maintenance costs for the cardiac ultrasound upgrade. Further inquiry with the contracting officer or review of the contract's statement of work would be necessary to ascertain these details. Understanding these factors is crucial for a complete total cost of ownership analysis.

How does the pricing of this Philips cardiac ultrasound system compare to similar systems from other manufacturers available through GSA schedules or other government contracts?

While the contract was awarded under full and open competition, a direct price comparison to similar systems from other manufacturers is not readily available in the provided data. A thorough analysis would involve cross-referencing pricing on relevant contract vehicles or conducting market research to benchmark the unit cost against comparable technologies.

What specific improvements in diagnostic accuracy or efficiency are anticipated with this new cardiac ultrasound system?

The data indicates an 'upgrade' to a cardiac ultrasound system, implying enhanced capabilities. Specific improvements in diagnostic accuracy or efficiency would typically be detailed in the system's technical specifications or the contract's performance requirements. These details are essential for evaluating the true value and effectiveness of the investment.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Irradiation Apparatus Manufacturing

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: UPGRADE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 22100 BOTHELL EVERETT HWY, BOTHELL, WA, 98021

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $60,931

Exercised Options: $60,931

Current Obligation: $60,931

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA797H17D0022

IDV Type: IDC

Timeline