VA awards $462K for Haag Slit Lamp and Tonometer Maintenance, extending to May 2026

Contract Overview

Contract Amount: $46,278 ($46.3K)

Contractor: Haag-Streit USA, Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-06-01

End Date: 2026-05-31

Contract Duration: 729 days

Daily Burn Rate: $63/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: SERVICE AND MAINTENANCE CONTRACT FOR HAAG SLIT LAMPS AND TONONMETERS.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20422

State: District of Columbia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $46,278.1 to HAAG-STREIT USA, INC for work described as: SERVICE AND MAINTENANCE CONTRACT FOR HAAG SLIT LAMPS AND TONONMETERS. Key points: 1. The contract focuses on specialized medical equipment maintenance, a niche but essential service. 2. Competition was limited, raising questions about potential price inefficiencies. 3. The risk lies in the reliance on a single vendor for critical equipment upkeep. 4. This falls under the Electronic and Precision Equipment Repair and Maintenance sector.

Value Assessment

Rating: fair

The contract price of $462,781 for two years of service appears reasonable for specialized medical equipment maintenance. However, without direct comparable contracts for similar Haag-Streit equipment, a precise benchmark is difficult to establish.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed under SAP, indicating a limited competition approach. This likely means the VA did not actively solicit multiple bids, potentially leading to a less competitive price discovery process.

Taxpayer Impact: The lack of robust competition may result in taxpayers paying more than necessary for this essential maintenance service.

Public Impact

Ensures continued operation of critical diagnostic equipment for veterans' eye care. Potential for higher costs due to limited vendor competition. Dependence on a single supplier for maintenance could lead to service disruptions if issues arise with the vendor.

Waste & Efficiency Indicators

Waste Risk Score: 63 / 10

Warning Flags

Limited competition
Sole-source potential
Reliance on specific vendor

Positive Signals

Essential service for veteran healthcare
Fixed price contract

Sector Analysis

This contract falls within the Electronic and Precision Equipment Repair and Maintenance sector, specifically for medical devices. Spending benchmarks in this niche area are highly dependent on the specific equipment and service level agreements.

Small Business Impact

The contract was awarded to HAAG-STREIT USA, INC, a likely large business. There is no indication of small business participation in this specific award, which is common for specialized equipment maintenance.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. The award was made via a Purchase Order, suggesting a streamlined process, but oversight is crucial to ensure fair pricing and service delivery.

Related Government Programs

Electronic and Precision Equipment Repair and Maintenance
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Lack of full and open competition
Potential for vendor lock-in
Absence of competitive pricing benchmarks
Reliance on specialized vendor expertise

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $46,278.1 to HAAG-STREIT USA, INC. SERVICE AND MAINTENANCE CONTRACT FOR HAAG SLIT LAMPS AND TONONMETERS.

Who is the contractor on this award?

The obligated recipient is HAAG-STREIT USA, 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 $46,278.1.

What is the period of performance?

Start: 2024-06-01. End: 2026-05-31.

What is the potential cost savings if this contract were competed more broadly?

Quantifying exact savings is challenging without a competitive bidding process. However, limited competition often leads to prices 10-30% higher than fully competed contracts. For this $462K contract, potential savings could range from $46K to $138K over two years, depending on market dynamics and vendor margins.

What are the risks associated with relying on a single vendor for critical medical equipment maintenance?

Reliance on a single vendor poses risks such as price escalation, reduced service quality, and potential disruptions if the vendor faces financial or operational issues. The VA could face extended downtime for essential diagnostic equipment, impacting patient care and potentially requiring costly emergency repairs or replacements.

How effective is the current maintenance contract in ensuring the operational readiness of the slit lamps and tonometers?

The contract's effectiveness hinges on the vendor's performance and the VA's oversight. While a fixed-price contract provides cost certainty, its true effectiveness is measured by the uptime and reliability of the equipment. Regular performance reviews and service reports are crucial to gauge this.

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: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Haag-Streit USA Inc

Address: 3535 KINGS MILLS RD, MASON, OH, 45040

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

Financial Breakdown

Contract Ceiling: $82,028

Exercised Options: $46,278

Current Obligation: $46,278

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline