VA awards $737K for Catheter Lab Services, highlighting irradiation apparatus manufacturing needs

Contract Overview

Contract Amount: $737,148 ($737.1K)

Contractor: Philips North America LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-07-01

End Date: 2027-06-30

Contract Duration: 1,094 days

Daily Burn Rate: $674/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CATHETER LAB SERVICE

Place of Performance

Location: DECATUR, DEKALB County, GEORGIA, 30033

State: Georgia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $737,147.88 to PHILIPS NORTH AMERICA LLC for work described as: CATHETER LAB SERVICE Key points: 1. Contract value of $737,147.88 for essential medical services. 2. Procurement focused on irradiation apparatus manufacturing, a specialized area. 3. Awarded to a single vendor, PHILIPS NORTH AMERICA LLC. 4. Contract duration spans nearly three years, indicating ongoing service requirements. 5. Firm Fixed Price contract type suggests predictable costs for the government. 6. Geographic location of service delivery is Georgia (GA).

Value Assessment

Rating: good

The contract value of $737,147.88 for catheter lab services appears reasonable given the specialized nature of irradiation apparatus manufacturing. Benchmarking against similar contracts for advanced medical equipment and services is necessary for a definitive value assessment. The firm fixed-price structure helps manage cost predictability. However, without specific details on the scope of services and equipment provided, a precise value-for-money evaluation is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The fact that it resulted in a single award suggests that PHILIPS NORTH AMERICA LLC was the most advantageous offer based on the evaluation criteria. The level of competition, while initially broad, ultimately led to a specific vendor being selected, which is typical for specialized procurements.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to better pricing and service quality. It ensures that the government explores the market thoroughly before making an award.

Public Impact

Veterans in Georgia will benefit from advanced catheter lab services. The contract supports the provision of critical medical equipment and associated services. Services are geographically focused within Georgia. Potential implications for specialized medical technicians and support staff in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in due to specialized equipment and services.
Reliance on a single supplier for critical medical infrastructure.

Positive Signals

Awarded through full and open competition, suggesting market exploration.
Firm Fixed Price contract provides cost certainty.
Long-term contract duration indicates a stable need for these services.

Sector Analysis

The healthcare sector, particularly within the Department of Veterans Affairs, relies on advanced medical technologies like catheterization laboratories. This contract for catheter lab services, specifically involving irradiation apparatus manufacturing, falls within the broader medical equipment and services market. The market for such specialized medical devices and associated services is competitive, with key players often focusing on specific niches. The VA's spending in this area reflects a commitment to providing state-of-the-art diagnostic and treatment capabilities for veterans.

Small Business Impact

There is no indication from the provided data that this contract included a small business set-aside. The award to PHILIPS NORTH AMERICA LLC, a large corporation, suggests that small businesses were either not primary bidders or were not selected. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within the scope of this contract.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard VA procurement regulations and contract management processes would apply. Transparency is generally maintained through contract databases like FPDS. Oversight would focus on performance, delivery, and adherence to the firm fixed-price terms. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Medical Equipment Procurement
Veterans Health Services
Diagnostic Imaging Services
Irradiation Technology

Risk Flags

Potential reliance on a single vendor for critical medical technology.
Specialized nature of irradiation apparatus may limit competition for future needs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $737,147.88 to PHILIPS NORTH AMERICA LLC. CATHETER LAB SERVICE

Who is the contractor on this award?

The obligated recipient is PHILIPS NORTH AMERICA 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 $737,147.88.

What is the period of performance?

Start: 2024-07-01. End: 2027-06-30.

What is the specific nature of the 'irradiation apparatus manufacturing' related to these catheter lab services?

The term 'irradiation apparatus manufacturing' in the context of catheter lab services likely refers to the specialized equipment used within the lab that involves radiation, such as X-ray imaging systems or linear accelerators used in certain interventional procedures. This could include the manufacturing, maintenance, or supply of components for these radiation-emitting devices. The specific details would depend on the Statement of Work (SOW) for this contract, which is not provided. However, it points to a need for sophisticated, potentially high-risk medical technology requiring specialized manufacturing and handling expertise.

How does the $737,147.88 contract value compare to similar catheter lab service contracts awarded by the VA or other federal agencies?

Benchmarking this contract's value requires comparing it to similar procurements for catheter lab services, particularly those involving specialized equipment like irradiation apparatus. Without access to a detailed breakdown of services and equipment, a precise comparison is difficult. However, contracts for advanced medical equipment and associated services can range widely, from tens of thousands to millions of dollars, depending on the scope, duration, and technology involved. The $737,147.88 value over nearly three years suggests a moderate-sized contract for ongoing services or equipment provision, rather than a large-scale capital equipment purchase.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for medical services and equipment contracts, KPIs would focus on aspects such as equipment uptime, response times for maintenance and repair, quality of diagnostic imaging, patient throughput, and adherence to safety protocols, especially concerning radiation. SLAs would define the expected standards for these metrics and potential remedies or penalties for non-compliance. These details would be outlined in the contract's Statement of Work (SOW).

What is the track record of PHILIPS NORTH AMERICA LLC in providing similar catheter lab services or irradiation apparatus to the federal government?

PHILIPS NORTH AMERICA LLC is a well-established global provider of healthcare technology, including diagnostic imaging, image-guided therapy, and patient monitoring systems. They have a significant history of contracting with federal agencies, including the Department of Veterans Affairs, for a wide range of medical equipment and services. Their experience likely encompasses the provision and maintenance of catheterization laboratory equipment and potentially systems involving irradiation technologies. A review of federal procurement databases would reveal the extent and nature of their past performance in this specific area.

What is the historical spending pattern for catheter lab services by the Department of Veterans Affairs over the past five years?

Analyzing the historical spending patterns of the Department of Veterans Affairs (VA) for catheter lab services over the past five years would reveal trends in procurement volume, average contract values, and key vendors. This data would help contextualize the current $737,147.88 award. Generally, the VA has consistently invested in advanced medical technologies to serve its veteran population. Spending in areas like cardiology and interventional radiology, which utilize catheter labs, is typically substantial and reflects the prevalence of cardiovascular diseases among veterans. Fluctuations in spending could be attributed to new technology adoption, facility upgrades, or changes in healthcare demand.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Irradiation Apparatus Manufacturing

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

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: 22100 BOTHELL EVERETT HWY, BOTHELL, WA, 98021

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

Financial Breakdown

Contract Ceiling: $1,228,580

Exercised Options: $737,148

Current Obligation: $737,148

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA797H17D0022

IDV Type: IDC

Timeline