VA awards $1.005M contract for medical gas services to Veterans Elite Inc

Contract Overview

Contract Amount: $10,050 ($10.1K)

Contractor: Veterans Elite Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-08

End Date: 2026-10-05

Contract Duration: 180 days

Daily Burn Rate: $56/day

Competition Type: COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: PM&R MEDICAL GAS, INSPECTION, CERTIFICATION, AND EMERGENCY REPAIRS

Place of Performance

Location: PHILADELPHIA, PHILADELPHIA County, PENNSYLVANIA, 19104

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $10,050 to VETERANS ELITE INC for work described as: PM&R MEDICAL GAS, INSPECTION, CERTIFICATION, AND EMERGENCY REPAIRS Key points: 1. Contract focuses on essential medical gas services, including inspection, certification, and emergency repairs. 2. The award was made under the Simplified Acquisition Procedures (SAP), suggesting a focus on smaller value procurements. 3. The contract duration is 180 days, indicating a short-term need for these specialized services. 4. The fixed-price contract type aims to provide cost certainty for the government. 5. Geographic focus is Pennsylvania, aligning with specific VA facility needs. 6. The contractor, Veterans Elite Inc., is responsible for delivering these critical services.

Value Assessment

Rating: fair

The contract value of $1.005 million for a 180-day period for medical gas services appears to be within a reasonable range for specialized maintenance and emergency repair work. Benchmarking against similar contracts for medical gas systems maintenance and repair across the VA or other federal agencies would provide a clearer picture of value for money. Without specific details on the scope of services, number of facilities covered, or the complexity of the systems, a definitive assessment of pricing efficiency is challenging. However, the fixed-price nature of the contract suggests an attempt to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under Simplified Acquisition Procedures (SAP), which typically allows for a broader range of competition than micro-purchases but is less formal than full and open competition. While the specific number of bidders is not provided, SAP generally encourages competition among a reasonable number of qualified sources. The limited nature of SAP competition may mean that not all potential offerors were aware of or able to participate, potentially impacting price discovery.

Taxpayer Impact: Competing under SAP can offer a balance between efficiency and competition for smaller dollar value procurements. It allows the agency to obtain services relatively quickly while still seeking competitive offers, which should benefit taxpayers by avoiding sole-source awards.

Public Impact

Veterans receiving care at VA facilities in Pennsylvania will benefit from the reliable functioning of essential medical gas systems. The contract ensures the availability of critical services such as inspection, certification, and emergency repairs for medical gas infrastructure. This contract supports the operational readiness of VA healthcare facilities in Pennsylvania. The services provided are crucial for patient safety and the effective delivery of medical treatments within these facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition under SAP could potentially lead to higher prices than a full and open competition.
The short duration of the contract (180 days) may indicate a need for ongoing re-competition, potentially increasing administrative burden.
Reliance on a single delivery order under SAP might not fully leverage market competition for long-term needs.

Positive Signals

The contract is fixed-price, providing cost certainty for the government.
The award was competed, indicating an effort to obtain competitive pricing.
The services are critical for maintaining safe and effective healthcare delivery at VA facilities.

Sector Analysis

The medical gas services sector is a specialized niche within the broader healthcare support services industry. This contract falls under the maintenance and repair of medical equipment and infrastructure. The market for such services is driven by the need for specialized technical expertise and adherence to strict regulatory and safety standards. Comparable spending benchmarks would typically involve analyzing contracts for similar maintenance, repair, and certification services for medical gas systems across federal healthcare providers and potentially large private hospital networks.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. The award was made under Simplified Acquisition Procedures (SAP), which can include small business set-asides, but the data provided does not confirm this. Further analysis would be needed to determine if small businesses were actively solicited or if subcontracting opportunities exist.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Veterans Affairs contracting officer and program managers. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified services. Transparency is facilitated by the contract award notice, which is publicly available. The Inspector General's office within the VA may conduct audits or investigations if concerns regarding performance or financial impropriety arise.

Related Government Programs

VA Medical Equipment Maintenance Contracts
Federal Healthcare Facility Support Services
Medical Gas System Maintenance
Emergency Repair Services for Healthcare Infrastructure

Risk Flags

Limited competition potential
Short contract duration
Reliance on SAP procedures

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $10,050 to VETERANS ELITE INC. PM&R MEDICAL GAS, INSPECTION, CERTIFICATION, AND EMERGENCY REPAIRS

Who is the contractor on this award?

The obligated recipient is VETERANS ELITE INC.

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 $10,050.

What is the period of performance?

Start: 2026-04-08. End: 2026-10-05.

What is the track record of Veterans Elite Inc. in performing similar medical gas services for the federal government?

Information regarding Veterans Elite Inc.'s specific track record in performing medical gas inspection, certification, and emergency repair services for the federal government is not detailed in the provided data. A thorough review of past performance evaluations, contract history with federal agencies, and any reported issues or successes would be necessary to assess their capabilities and reliability for this specific contract. Without this historical data, it is difficult to gauge their experience level and past performance quality in this specialized niche.

How does the awarded price compare to market rates for similar medical gas services?

The provided data does not include specific pricing details beyond the total contract value of $1.005 million for a 180-day period. To compare this to market rates, one would need to analyze the detailed scope of work, the number of facilities covered, the types of medical gas systems involved, and the specific services (inspection, certification, emergency repairs). Benchmarking against publicly available contract awards for similar services from other federal agencies or large healthcare providers, as well as consulting industry pricing guides, would be essential for a comprehensive value assessment.

What are the primary risks associated with this contract, and how are they being mitigated?

Primary risks include potential service disruptions due to the emergency repair component, contractor performance issues, and the possibility of cost overruns if the fixed-price contract does not adequately cover unforeseen complexities. Mitigation strategies likely involve clear performance standards in the contract, defined response times for emergencies, and robust oversight by the VA. The fixed-price nature itself is a risk mitigation tool for the government, transferring some cost uncertainty to the contractor. However, the short duration might necessitate frequent re-competition, introducing administrative risks.

How effective is the competition level (limited under SAP) in ensuring optimal value for taxpayers?

Competition under Simplified Acquisition Procedures (SAP) aims to balance efficiency with market engagement for procurements below certain thresholds. While it allows for more than a single source, it may not achieve the same breadth of competition as a full and open solicitation. The effectiveness in ensuring optimal value for taxpayers depends on the number of qualified bidders that participated and the rigor of the evaluation process. If only a few bidders responded, there's a risk that prices might be higher than in a more robustly competed scenario. The VA's solicitation process and evaluation criteria are key to maximizing value within the SAP framework.

What is the historical spending pattern for medical gas services by the Department of Veterans Affairs?

Analyzing historical spending patterns for medical gas services by the VA would require access to comprehensive federal procurement databases. This would involve looking at total annual expenditures on such services, the number and value of contracts awarded over several fiscal years, and the primary contractors. Understanding these patterns can reveal trends in pricing, identify key service providers, and highlight any significant increases or decreases in demand or spending, providing context for the current award.

What are the implications of the firm-fixed-price contract type for this specific service?

A firm-fixed-price (FFP) contract type means the contractor agrees to a total price for the work performed. This shifts the risk of cost overruns to the contractor, providing the government with cost certainty. For services like medical gas maintenance and emergency repairs, FFP can be effective if the scope of work is well-defined and predictable. However, if unforeseen technical issues or extensive emergency repairs arise that were not adequately scoped, the contractor might face financial strain, potentially impacting service quality or leading to disputes. The VA must ensure the SOW is comprehensive to mitigate these risks.

Industry Classification

NAICS: Other Services (except Public Administration) › Electronic and Precision Equipment Repair and Maintenance › Electronic and Precision Equipment Repair and Maintenance

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2101 VETERAN MEMORIAL DR, POINT PLEASANT BORO, NJ, 08742

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $10,050

Exercised Options: $10,050

Current Obligation: $10,050

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24424D0095

IDV Type: IDC

Timeline