VA awards $2.1M for temporary medical technologists, highlighting need for specialized healthcare staffing

Contract Overview

Contract Amount: $2,089,072 ($2.1M)

Contractor: Rapid Temps, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2021-06-21

End Date: 2025-09-26

Contract Duration: 1,558 days

Daily Burn Rate: $1.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MEDICAL TECHNOLOGIST (GENERALIST)

Place of Performance

Location: MONTGOMERY, MONTGOMERY County, ALABAMA, 36109

State: Alabama Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.1 million to RAPID TEMPS, LLC for work described as: MEDICAL TECHNOLOGIST (GENERALIST) Key points: 1. Contract addresses critical need for specialized medical personnel. 2. Full and open competition suggests a competitive bidding process. 3. Fixed-price contract type aims to control costs. 4. Long duration indicates a sustained requirement for these services. 5. Award to a single vendor warrants scrutiny of market dynamics. 6. Geographic focus on Alabama may indicate regional staffing shortages.

Value Assessment

Rating: fair

The contract value of $2.1 million over approximately 4 years for temporary medical technologists appears reasonable given the specialized nature of the services and the duration. Benchmarking against similar contracts for temporary medical staffing is difficult without more specific data on the exact roles and qualifications required. However, the fixed-price nature of the contract suggests an attempt to establish clear cost expectations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The data does not specify the number of bidders, which is crucial for a complete assessment of competition dynamics. A robust competition typically leads to better pricing and value for the government.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it encourages multiple vendors to offer their best pricing and services, potentially driving down costs and improving quality.

Public Impact

Veterans in Alabama will benefit from timely and accurate medical testing and diagnostics. Ensures the Department of Veterans Affairs (VA) maintains adequate staffing levels for essential medical laboratory services. Supports the delivery of healthcare services within the state of Alabama. Potentially creates or sustains employment for medical technologists in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific number of bidders in full and open competition limits assessment of true market competitiveness.
Concentration of award to a single vendor, Rapid Temps, LLC, warrants monitoring for performance and potential future sole-source justifications if competition diminishes.

Positive Signals

Awarded under full and open competition, suggesting a commitment to broad market engagement.
Fixed-price contract type provides cost certainty for the government.
Long contract duration (over 4 years) indicates a stable, ongoing need that can support vendor investment and service continuity.

Sector Analysis

The healthcare staffing sector is a critical component of the broader healthcare industry, facing persistent challenges in recruiting and retaining specialized personnel. Temporary staffing services, like those provided under this contract, are essential for healthcare providers to manage fluctuating patient loads, staff shortages, and specialized service demands. The market for these services is competitive, with numerous agencies vying for government contracts. This contract fits within the broader category of healthcare support services, which represent a significant portion of federal healthcare spending.

Small Business Impact

This contract was not set aside for small businesses, and the data indicates the awardee, Rapid Temps, LLC, is not a small business. There is no explicit information on subcontracting plans for small businesses. The absence of a small business set-aside or specific subcontracting goals means that the direct impact on the small business ecosystem for this particular contract is likely minimal, though larger prime contractors often engage small businesses in other capacities.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Veterans Affairs' contracting officers and program managers responsible for medical staffing. Accountability measures are inherent in the firm fixed-price structure, which obligates the contractor to deliver services at the agreed-upon price. Transparency is facilitated by the contract award data being publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

VA Medical Staffing Contracts
Temporary Healthcare Personnel Services
Federal Healthcare Procurement
Medical Laboratory Services Contracts

Risk Flags

Potential for vendor lock-in due to long contract duration with a single provider.
Lack of specific bidder count limits assessment of true competition.
Dependence on a single vendor could lead to service disruption if vendor faces issues.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.1 million to RAPID TEMPS, LLC. MEDICAL TECHNOLOGIST (GENERALIST)

Who is the contractor on this award?

The obligated recipient is RAPID TEMPS, 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 $2.1 million.

What is the period of performance?

Start: 2021-06-21. End: 2025-09-26.

What is the typical hourly rate for a generalist medical technologist in Alabama, and how does this contract's implied rate compare?

Determining the precise implied hourly rate requires dividing the total contract value ($2,089,071.95) by the total duration in hours (1558 days * 24 hours/day = 37,392 hours), which yields approximately $55.87 per hour. However, this calculation is a rough estimate as it doesn't account for potential variations in service levels, overhead, profit margins, or the possibility that not all hours are billable. Market research for generalist medical technologists in Alabama indicates a range, but typically, experienced professionals in temporary or contract roles can command rates from $30-$60+ per hour depending on the facility, urgency, and specific certifications. Without knowing the exact number of technologists, their skill mix, and the specific demands of the VA's needs, a direct comparison is challenging. However, the implied rate appears to be within a plausible range for specialized contract medical staffing, especially considering the administrative and overhead costs associated with a staffing agency.

How many bids were received for this contract, and what does this suggest about competition?

The provided data indicates the contract was awarded under 'FULL AND OPEN COMPETITION' but does not specify the number of bids received. This is a critical piece of information for assessing the level of competition. If only one or two bids were received, it might suggest limited market interest or potential barriers to entry for other firms, which could impact price discovery. Conversely, a large number of bids would strongly indicate robust competition, likely leading to more favorable pricing for the government. Without the number of bidders, we can only infer that the opportunity was broadly advertised, but the actual market response remains unknown.

What are the specific risks associated with relying on a single vendor for temporary medical technologists over a four-year period?

Relying on a single vendor, Rapid Temps, LLC, for temporary medical technologists over a four-year period presents several risks. Firstly, there's a risk of vendor complacency, where the lack of ongoing competition might lead to a decline in service quality or responsiveness. Secondly, if the vendor experiences financial difficulties or operational issues, it could lead to significant disruptions in staffing for the VA, impacting patient care. Thirdly, the government may lose out on potential cost savings that could arise from competitive bidding processes if market rates decrease over the contract period. Finally, there's a risk of vendor lock-in, making it difficult and costly to switch providers if performance issues arise or if a better alternative emerges.

What is the track record of Rapid Temps, LLC with federal contracts, particularly with the Department of Veterans Affairs?

Information regarding the specific track record of Rapid Temps, LLC with federal contracts, especially with the Department of Veterans Affairs, is not detailed in the provided data snippet. A comprehensive analysis would require reviewing historical contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any past issues or disputes associated with this vendor. Generally, agencies assess past performance as a key factor in source selection. Without this specific data, it's difficult to gauge their reliability, experience, and historical success in fulfilling similar requirements for the VA or other federal agencies.

How does the $2.1 million contract value compare to historical VA spending on temporary medical technologists?

To compare this $2.1 million contract value to historical VA spending on temporary medical technologists, one would need access to historical contract databases and spending reports from the VA. This would involve identifying similar contracts awarded over previous fiscal years, noting their values, durations, and the specific services procured. Without this historical data, it's impossible to determine if this award represents an increase, decrease, or stable level of spending for these services. Analyzing trends would reveal whether the VA is increasing its reliance on temporary staffing, if costs are escalating, or if this contract is consistent with past procurement patterns for medical technologists.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Employment Services › Temporary Help Services

Product/Service Code: MEDICAL SERVICES › SPECIALIZED TECHNICAL/ MEDICAL SUPPORT

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: 201 S 4TH ST, ARTESIA, NM, 88210

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: $2,089,072

Exercised Options: $2,089,072

Current Obligation: $2,089,072

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: V797D70023

IDV Type: FSS

Timeline