VA awards $1.7M for Lenalidomide to Cardinal Health, ensuring supply through April 2026

Contract Overview

Contract Amount: $1,715,730 ($1.7M)

Contractor: Cardinal Health 200, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-09

End Date: 2026-09-30

Contract Duration: 174 days

Daily Burn Rate: $9.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: LENALIDOMIDE

Place of Performance

Location: CARY, WAKE County, NORTH CAROLINA, 27513

State: North Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $1.7 million to CARDINAL HEALTH 200, LLC for work described as: LENALIDOMIDE Key points: 1. The contract value is $1.72 million, focused on a critical pharmaceutical. 2. Cardinal Health 200, LLC is the awarded vendor. 3. The Department of Veterans Affairs is the procuring agency. 4. The contract duration is 174 days, ending September 30, 2026.

Value Assessment

Rating: good

The contract value of $1.72 million for Lenalidomide appears reasonable given the specialized nature of pharmaceuticals and the fixed-price contract type. Benchmarking against similar pharmaceutical contracts 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 a competitive bidding process. This method is expected to yield fair pricing and ensure the government receives the best value.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary medical supplies.

Public Impact

Ensures continued access to Lenalidomide for veterans. Supports the VA's mission to provide comprehensive healthcare. Maintains supply chain stability for essential medications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Short contract duration may necessitate future procurements.
  • Reliance on a single vendor for this specific order.

Positive Signals

  • Awarded under full and open competition.
  • Fixed-price contract provides cost certainty.

Sector Analysis

The pharmaceutical sector is characterized by high R&D costs, complex manufacturing, and stringent regulatory requirements. Spending in this area is critical for public health and national well-being.

Small Business Impact

This award does not appear to directly involve small businesses, as the vendor is Cardinal Health 200, LLC. Further analysis would be needed to determine if any subcontracting opportunities exist for small businesses.

Oversight & Accountability

The Department of Veterans Affairs' procurement process, including the use of full and open competition, suggests adherence to standard oversight practices. The contract's fixed-price nature also aids in accountability.

Related Government Programs

  • Surgical and Medical Instrument Manufacturing
  • Department of Veterans Affairs Contracting
  • Department of Veterans Affairs Programs

Risk Flags

  • Short contract duration.
  • Potential for price increases in follow-on contracts.
  • Dependence on specific vendor's supply chain.
  • Limited visibility into subcontractor performance.

Tags

surgical-and-medical-instrument-manufact, department-of-veterans-affairs, nc, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $1.7 million to CARDINAL HEALTH 200, LLC. LENALIDOMIDE

Who is the contractor on this award?

The obligated recipient is CARDINAL HEALTH 200, 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 $1.7 million.

What is the period of performance?

Start: 2026-04-09. End: 2026-09-30.

What is the historical pricing trend for Lenalidomide procurements by the VA or other federal agencies?

Analyzing historical pricing data for Lenalidomide would provide valuable context for this award. Understanding past price fluctuations, competitive bidding outcomes, and potential bulk discounts can help determine if the current $1.72 million award represents a favorable price point. This insight is crucial for assessing long-term value and identifying potential cost-saving opportunities in future solicitations.

What are the potential risks associated with a short contract duration of 174 days for a critical medication?

A short contract duration of 174 days for a critical medication like Lenalidomide poses risks of supply chain disruption if a follow-on contract is not secured in a timely manner. It could also lead to increased administrative burden and potentially higher per-unit costs if emergency procurement measures are required. Proactive planning for subsequent contract awards is essential to ensure uninterrupted veteran access.

How does the VA ensure the quality and efficacy of Lenalidomide procured through competitive bidding?

The VA ensures the quality and efficacy of Lenalidomide through rigorous adherence to federal acquisition regulations, including requirements for manufacturers to meet FDA standards and Good Manufacturing Practices. The competitive bidding process itself often includes evaluation criteria related to vendor capability, past performance, and quality control systems. Post-award, the VA conducts inspections and monitors product performance to maintain standards.

Industry Classification

NAICS: ManufacturingMedical Equipment and Supplies ManufacturingSurgical and Medical Instrument 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

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3651 BIRCHWOOD DR, WAUKEGAN, IL, 60085

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $1,715,730

Exercised Options: $1,715,730

Current Obligation: $1,715,730

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 36F79720D0228

IDV Type: FSS

Timeline

Start Date: 2026-04-09

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-04-09

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