VA Awards $7.8M for Mental Health Physician Services to LocumTenens.com

Contract Overview

Contract Amount: $7,822,207 ($7.8M)

Contractor: Locumtenens.com, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-12-13

End Date: 2025-11-12

Contract Duration: 700 days

Daily Burn Rate: $11.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MENTAL HEALTH PHY

Place of Performance

Location: ALPHARETTA, FULTON County, GEORGIA, 30009

State: Georgia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $7.8 million to LOCUMTENENS.COM, LLC for work described as: MENTAL HEALTH PHY Key points: 1. Contract awarded to LocumTenens.com, LLC for temporary help services. 2. The contract has a duration of 700 days and an estimated value of $7.8 million. 3. Competition was full and open, suggesting a competitive bidding process. 4. The contract is for firm-fixed-price delivery orders, indicating predictable costs.

Value Assessment

Rating: good

The firm-fixed-price contract type provides cost certainty. The award value appears reasonable for specialized physician services, but a direct comparison to similar contracts would require more detailed service scope and location data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, allowing any interested vendor to bid. This method generally promotes price discovery and competitive pricing by encouraging multiple offers.

Taxpayer Impact: The competitive nature of the award is expected to yield fair market value, ensuring taxpayer funds are used efficiently for essential mental health services.

Public Impact

Ensures continued access to critical mental health services for veterans. Supports the Department of Veterans Affairs' mission to provide comprehensive care. Provides employment opportunities for locum tenens physicians.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for increased reliance on temporary staff over permanent hires.
  • Geographic concentration of awardee may limit local provider engagement.

Positive Signals

  • Addresses critical staffing needs in mental health.
  • Utilizes a competitive procurement process.
  • Firm-fixed-price contract provides cost predictability.

Sector Analysis

This contract falls under temporary help services, often used to fill immediate staffing gaps in healthcare. Spending benchmarks for such services vary widely based on specialty and duration, but consistent sourcing is key for operational stability.

Small Business Impact

The data does not indicate if small businesses were involved in this procurement, either as prime contractors or subcontractors. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract to ensure timely delivery of services and adherence to contract terms. Performance metrics and regular reviews are standard oversight mechanisms.

Related Government Programs

  • Temporary Help Services
  • Department of Veterans Affairs Contracting
  • Department of Veterans Affairs Programs

Risk Flags

  • Potential for high turnover in temporary staff.
  • Dependence on a single vendor for critical services.
  • Geographic limitations of service provision.
  • Need for robust performance monitoring.

Tags

temporary-help-services, department-of-veterans-affairs, ga, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $7.8 million to LOCUMTENENS.COM, LLC. MENTAL HEALTH PHY

Who is the contractor on this award?

The obligated recipient is LOCUMTENENS.COM, 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 $7.8 million.

What is the period of performance?

Start: 2023-12-13. End: 2025-11-12.

What is the average hourly rate for these mental health physicians compared to market rates?

Without specific details on physician specialties, experience levels, and geographic locations, it's challenging to establish an accurate average hourly rate. However, the firm-fixed-price structure suggests the VA has benchmarked these rates against similar temporary physician services to ensure value. Further investigation into the contract's detailed pricing structure and comparison with industry salary surveys would be necessary for a precise assessment.

What is the risk of service disruption if LocumTenens.com, LLC fails to meet contract obligations?

The primary risk of service disruption lies in the potential for LocumTenens.com, LLC to not adequately staff the required mental health physician positions. Given the full and open competition, the VA likely vetted the vendor's capability. However, if performance issues arise, the VA could exercise contract remedies, potentially including termination for default and re-solicitation, which could lead to temporary service gaps.

How effective is this contract in improving veteran access to mental health care?

The effectiveness of this contract hinges on LocumTenens.com, LLC's ability to rapidly deploy qualified mental health physicians to VA facilities. If successful, it directly addresses staffing shortages, thereby improving veteran access to timely mental health services. The contract's duration and value suggest a significant commitment to filling these roles, indicating an intent to enhance care delivery.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesEmployment ServicesTemporary Help Services

Product/Service Code: MEDICAL SERVICESOTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2655 NORTHWINDS PKWY, ALPHARETTA, GA, 30009

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

Financial Breakdown

Contract Ceiling: $7,822,207

Exercised Options: $7,822,207

Current Obligation: $7,822,207

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 36F79722D0155

IDV Type: FSS

Timeline

Start Date: 2023-12-13

Current End Date: 2025-11-12

Potential End Date: 2026-06-12 00:00:00

Last Modified: 2026-03-04

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