VA awards $49.5M contract for artificial limbs, with 1 bidder competing

Contract Overview

Contract Amount: $49,484 ($49.5K)

Contractor: Floyd Brace Company, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-06

End Date: 2026-08-05

Contract Duration: 121 days

Daily Burn Rate: $409/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: PSAS ARTIFICIAL LIMB

Place of Performance

Location: CHARLESTON, CHARLESTON County, SOUTH CAROLINA, 29406

State: South Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $49,483.51 to FLOYD BRACE COMPANY, INC. for work described as: PSAS ARTIFICIAL LIMB Key points: 1. Contract value appears reasonable given the duration and scope of artificial limb provision. 2. Limited competition raises concerns about potential overpricing and reduced value for taxpayer dollars. 3. Performance risk is moderate, as the contractor has a history with the agency. 4. The contract supports a critical healthcare need for veterans, ensuring access to essential prosthetics. 5. This spending falls within the broader category of medical supplies and equipment for the VA. 6. The fixed-price nature of the contract helps mitigate cost overrun risks.

Value Assessment

Rating: fair

The contract value of $49.5 million over approximately 1 year for artificial limbs seems within a reasonable range for specialized medical devices. However, without specific per-unit cost data or benchmarks for comparable prosthetics, a definitive value-for-money assessment is challenging. The limited competition could inflate prices compared to a more robustly competed contract. The agency's historical relationship with the contractor might indicate some level of established pricing, but this needs further validation against market rates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under SAP (Simplified Acquisition Procedures), which typically involves fewer bidders than full and open competition. With only one bidder identified, the level of competition was very low. This limited competition means the agency may not have received the most competitive pricing possible, as there was little incentive for the sole bidder to offer their best price. The agency should ensure that the pricing is fair and reasonable through market research and negotiation.

Taxpayer Impact: The limited competition means taxpayers may be paying a premium for these artificial limbs, as the government had minimal leverage to negotiate lower prices.

Public Impact

Veterans requiring artificial limbs will benefit from the continued availability of these essential prosthetic devices. The contract ensures the provision of surgical appliances and supplies, directly impacting the quality of life for beneficiaries. The geographic impact is likely nationwide, as the Department of Veterans Affairs serves veterans across the United States. This contract supports jobs within the surgical appliance and supplies manufacturing sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to higher costs for taxpayers.
Lack of multiple bids reduces the government's negotiating power.
Potential for price inflation due to the sole source nature of the award under SAP.

Positive Signals

Contract addresses a critical need for veteran healthcare.
Fixed-price contract type helps control costs.
Contractor has an existing relationship with the agency, potentially indicating familiarity with VA requirements.

Sector Analysis

The artificial limb market is a specialized segment within the broader medical device and healthcare sector. This contract falls under Surgical Appliance and Supplies Manufacturing. The market is characterized by high technical requirements, regulatory oversight (FDA), and a significant portion of demand driven by government agencies like the VA and Department of Defense, as well as private insurance. Spending benchmarks for similar prosthetic contracts can vary widely based on complexity and customization.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). There is no information provided regarding subcontracting plans. Given the specialized nature of prosthetic manufacturing, it's possible that larger, established firms dominate this market, potentially limiting opportunities for small businesses unless they are specialized suppliers or subcontractors.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Oversight mechanisms would include contract administration, performance monitoring, and payment verification. Transparency is generally facilitated through public contract databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to contract execution.

Related Government Programs

Department of Veterans Affairs Medical Supplies Contracts
Prosthetic and Orthotic Devices Procurement
Federal Healthcare Services Contracts
Surgical Appliance Manufacturing Contracts

Risk Flags

Limited Competition
Potential for Price Inflation
Sole Source Award under SAP

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $49,483.51 to FLOYD BRACE COMPANY, INC.. PSAS ARTIFICIAL LIMB

Who is the contractor on this award?

The obligated recipient is FLOYD BRACE COMPANY, 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 $49,483.51.

What is the period of performance?

Start: 2026-04-06. End: 2026-08-05.

What is the historical spending pattern for artificial limbs by the Department of Veterans Affairs?

Analyzing historical spending on artificial limbs by the VA is crucial for context. While specific data for this contract is limited to the current award, the VA consistently procures prosthetic and orthotic devices to serve its veteran population. Past spending levels can indicate trends in demand, pricing fluctuations, and the agency's reliance on specific contractors or contract types. Examining previous contract values, durations, and competition levels for similar items can help determine if the current $49.5 million award is an outlier or part of a sustained procurement effort. This historical perspective is vital for assessing whether the current award represents good value and aligns with long-term budgetary planning for veteran healthcare.

How does the per-unit cost of these artificial limbs compare to market rates or similar federal contracts?

A key aspect of value assessment is benchmarking the per-unit cost. Without specific unit pricing details in the provided data, a direct comparison is difficult. However, the National Average Cost (NA) code '339113' relates to Surgical Appliance and Supplies Manufacturing. To assess value, one would need to compare the average price per limb (or component) under this contract against industry benchmarks for similar prosthetic devices. This involves researching prices from other manufacturers, analyzing data from previously awarded VA or DoD contracts for comparable items, and considering the complexity and customization required for each prosthetic. If the per-unit cost significantly exceeds market rates or similar federal awards, it would indicate potential overpricing and poor value for taxpayer money, especially given the limited competition.

What is the track record of FLOYD BRACE COMPANY, INC. with the Department of Veterans Affairs?

FLOYD BRACE COMPANY, INC. has been awarded this contract, suggesting some level of prior engagement or qualification with the VA. To assess their track record, one would examine their past performance on previous VA contracts, including timeliness of delivery, quality of products, and adherence to specifications. A history of successful contract completions with positive performance reviews would indicate lower performance risk. Conversely, any past issues, disputes, or contract terminations could raise concerns. Understanding their experience specifically with artificial limbs and prosthetic devices is also important. A contractor with a proven history of reliability and quality is generally a positive signal, even if competition was limited.

What are the potential risks associated with a limited competition award for essential medical supplies?

Limited competition, particularly with only one bidder as indicated here, presents several risks for essential medical supplies. The primary risk is inflated pricing, as the sole bidder faces less pressure to offer competitive rates. This can lead to reduced value for taxpayer dollars. Another risk is potential supply chain vulnerability; if the single contractor experiences production issues or financial difficulties, the VA's supply of critical artificial limbs could be jeopardized. Furthermore, limited competition can stifle innovation and discourage new entrants into the market, potentially leading to less advanced or less cost-effective solutions in the long run. The VA must diligently ensure the reasonableness of the price and the contractor's capability to meet demand.

How does this contract align with the VA's overall mission to provide healthcare to veterans?

This contract directly aligns with the VA's core mission of providing comprehensive healthcare services to veterans. Artificial limbs are essential prosthetic devices that enable veterans with amputations or limb loss to regain mobility, independence, and improve their quality of life. By ensuring a steady supply of these devices, the VA fulfills its commitment to addressing the physical rehabilitation needs of its beneficiaries. The procurement of such critical medical equipment underscores the agency's dedication to supporting veterans' health and well-being, enabling them to lead more fulfilling lives post-service.

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

Address: 9231 MEDICAL PLAZA DR STE D, NORTH CHARLESTON, SC, 29406

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $49,484

Exercised Options: $49,484

Current Obligation: $49,484

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 36C24722A0047

IDV Type: BPA

Timeline