VA awards $20.1M contract for prosthetics to Hanger Prosthetics & Orthotics East, Inc

Contract Overview

Contract Amount: $20,081 ($20.1K)

Contractor: Hanger Prosthetics & Orthotics East, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-06

End Date: 2026-05-07

Contract Duration: 31 days

Daily Burn Rate: $648/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: PROSTHESIS

Place of Performance

Location: FAYETTEVILLE, CUMBERLAND County, NORTH CAROLINA, 28304

State: North Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $20,080.92 to HANGER PROSTHETICS & ORTHOTICS EAST, INC. for work described as: PROSTHESIS Key points: 1. Contract awarded to a single, established provider in the prosthetics sector. 2. The award is for surgical appliances and supplies, a critical need for veterans. 3. Competition method is 'COMPETED UNDER SAP', indicating potential for limited competition. 4. The contract duration is short (31 days), suggesting a specific, immediate need.

Value Assessment

Rating: good

The contract value of $20.1M for a 31-day period appears high for a purchase order. Benchmarking against similar, longer-term contracts for prosthetics would be necessary for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves limited competition. This method may not yield the best price discovery compared to full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential veteran healthcare supplies. The efficiency of the procurement process under SAP will impact the overall value for taxpayers.

Public Impact

Ensures continued access to essential prosthetic devices for veterans. Supports a key supplier in the medical device manufacturing industry. Potential for price variations due to limited competition under SAP.

Waste & Efficiency Indicators

Waste Risk Score: 64 / 10

Warning Flags

Potential for limited competition impacting price.
Short contract duration may indicate urgency or a stop-gap measure.

Positive Signals

Addresses a critical need for veteran healthcare.
Utilizes an established supplier with industry experience.

Sector Analysis

The prosthetics and orthotics sector is specialized, focusing on medical devices. Spending benchmarks are difficult to establish without specific product details, but this award represents a significant investment in veteran care.

Small Business Impact

The data does not indicate if small businesses were involved in this procurement. The award went to Hanger Prosthetics & Orthotics East, Inc., a known entity in the industry.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard procurement oversight processes should apply to ensure delivery and quality of services.

Related Government Programs

Surgical Appliance and Supplies Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Limited competition due to SAP.
High contract value for a short duration.
Lack of detail on specific prosthetic items.
Potential for price inflation without robust competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $20,080.92 to HANGER PROSTHETICS & ORTHOTICS EAST, INC.. PROSTHESIS

Who is the contractor on this award?

The obligated recipient is HANGER PROSTHETICS & ORTHOTICS EAST, 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 $20,080.92.

What is the period of performance?

Start: 2026-04-06. End: 2026-05-07.

What is the typical per-unit cost for the specific prosthetics being procured under this contract, and how does it compare to industry averages?

Without specific details on the types and quantities of prosthetics, a precise per-unit cost benchmark is not possible. However, the overall contract value of $20.1M for 31 days suggests a high volume or specialized nature of the devices. Further investigation into the itemized list of supplies and their market prices is recommended to assess value for money.

What are the risks associated with competing this contract under SAP, particularly regarding price fairness and potential vendor lock-in?

Competing under SAP (Simplified Acquisition Procedures) can limit the pool of potential bidders, potentially leading to higher prices than under full and open competition. There's a risk that the established vendor may not face sufficient competitive pressure to offer the lowest possible price. This method is generally used for smaller procurements, so its use for a $20.1M award warrants scrutiny regarding justification and market research.

How effectively does this contract ensure the timely and quality provision of prosthetics to veterans, and what mechanisms are in place to measure this?

The contract's short duration (31 days) suggests it's intended to meet an immediate or short-term need. The Department of Veterans Affairs is responsible for monitoring delivery and quality. Effectiveness will depend on the VA's contract management and performance evaluation processes, ensuring veterans receive the necessary devices without disruption.

Industry Classification

NAICS: Manufacturing › Medical Equipment and Supplies Manufacturing › Surgical Appliance and Supplies Manufacturing

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Hanger, Inc.

Address: 1840 OWEN DR STE 102, FAYETTEVILLE, NC, 28304

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

Financial Breakdown

Contract Ceiling: $20,081

Exercised Options: $20,081

Current Obligation: $20,081

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline