VA awards $2.3M kidney transplant services contract to Loyola University of Chicago

Contract Overview

Contract Amount: $2,300 ($2.3K)

Contractor: Loyola University of Chicago

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-06

End Date: 2027-04-05

Contract Duration: 364 days

Daily Burn Rate: $6/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: LONG TERM LIVING DONOR (KIDNEY) SERVICES FOR HINES VAH

Place of Performance

Location: MAYWOOD, COOK County, ILLINOIS, 60153

State: Illinois Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2,300 to LOYOLA UNIVERSITY OF CHICAGO for work described as: LONG TERM LIVING DONOR (KIDNEY) SERVICES FOR HINES VAH Key points: 1. Contract awarded on a sole-source basis, limiting potential cost savings from competition. 2. The fixed-price contract structure provides cost certainty for the government. 3. Services are critical for veterans requiring long-term kidney support. 4. The award duration of one year suggests a need for ongoing, specialized care. 5. Geographic concentration in Illinois may limit access for veterans in other states. 6. The contractor, a university, likely possesses specialized medical expertise.

Value Assessment

Rating: fair

The contract value of $2.3 million for one year of kidney transplant services appears to be within a reasonable range for specialized medical care. However, without specific benchmarks for similar long-term living donor services or detailed cost breakdowns, a definitive value-for-money assessment is challenging. The sole-source nature of the award means direct price comparisons to other potential providers are not available, which could impact the government's ability to secure the most competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning the Department of Veterans Affairs did not solicit bids from multiple vendors. This approach is typically used when only one vendor is capable of providing the required services. While it ensures access to specialized expertise, it bypasses the competitive process that could drive down costs and encourage innovation.

Taxpayer Impact: The lack of competition means taxpayers may not be benefiting from the most cost-effective pricing available in the market. Without a competitive bidding process, there is less pressure on the contractor to offer the lowest possible price.

Public Impact

Veterans in Illinois requiring long-term kidney transplant services will benefit from continuous care. The contract ensures the provision of critical medical services, including donor management and post-transplant care. The geographic impact is primarily focused on the Hines VA Hospital and surrounding areas in Illinois. The contract supports specialized healthcare professionals and potentially research activities at Loyola University.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing opportunities.
Lack of transparency in the selection process due to sole-source nature.
Potential for higher costs compared to a competitively bid contract.

Positive Signals

Contract awarded to a known academic medical institution with specialized expertise.
Fixed-price contract provides budget predictability.
Ensures continuity of care for a critical medical service for veterans.

Sector Analysis

The healthcare sector, particularly within the federal government, relies heavily on specialized service contracts to meet the complex needs of beneficiaries. This contract for kidney transplant services falls under the broader category of medical services, which often involve high costs due to the expertise, technology, and ongoing care required. Benchmarking such specialized services is difficult without access to detailed cost structures and comparable contracts, but the demand for organ transplantation remains a significant area of healthcare spending.

Small Business Impact

This contract does not appear to have a small business set-aside. Given the specialized nature of long-term living donor kidney services, it is unlikely that small businesses would be primary providers. There is no indication of subcontracting opportunities for small businesses within this specific award.

Oversight & Accountability

Oversight for this contract will be managed by the Department of Veterans Affairs, likely through the Hines VA Hospital's medical administration. Accountability measures would include performance monitoring against service level agreements and adherence to medical standards. Transparency is limited due to the sole-source nature of the award, with details of the justification for this approach being the primary transparency mechanism.

Related Government Programs

Organ Transplant Services
Medical Services Contracts
Department of Veterans Affairs Healthcare
Long-Term Care Services

Risk Flags

Sole-source award may limit cost savings.
Lack of competitive bidding reduces transparency in pricing.
Geographic concentration may not serve all eligible veterans.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2,300 to LOYOLA UNIVERSITY OF CHICAGO. LONG TERM LIVING DONOR (KIDNEY) SERVICES FOR HINES VAH

Who is the contractor on this award?

The obligated recipient is LOYOLA UNIVERSITY OF CHICAGO.

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 $2,300.

What is the period of performance?

Start: 2026-04-06. End: 2027-04-05.

What is the specific justification for awarding this contract on a sole-source basis to Loyola University of Chicago?

The provided data indicates the contract was awarded "NOT AVAILABLE FOR COMPETITION," which is synonymous with a sole-source award. The specific justification for this sole-source determination is not detailed in the provided data. Typically, sole-source contracts are justified when only one responsible source is available or capable of meeting the government's needs. For specialized medical services like long-term living donor kidney services, this could be due to unique expertise, established patient care protocols, existing infrastructure, or specific research capabilities possessed by Loyola University of Chicago that cannot be replicated by other institutions within the required timeframe or scope. A formal Justification for Other than Full and Open Competition (JOFOC) would normally be required and publicly accessible for such awards, detailing these specific reasons.

How does the $2.3 million contract value compare to similar kidney transplant service contracts awarded by the VA or other federal agencies?

Directly comparing the $2.3 million contract value for one year of long-term living donor kidney services is challenging without access to a comprehensive database of similar federal contracts. Kidney transplant services are highly specialized and can vary significantly in cost based on the scope of services (e.g., donor matching, surgical procedures, post-operative care, immunosuppression management), the patient population served, and the geographic location. Contracts for organ transplantation can range from hundreds of thousands to millions of dollars annually, depending on the volume and complexity. The value of this contract appears to be within a plausible range for specialized, ongoing medical care, but a definitive benchmark would require analyzing contracts with identical service scopes, durations, and patient volumes, which are not readily available in the provided data.

What are the key performance indicators (KPIs) that the Department of Veterans Affairs will use to evaluate the contractor's performance?

While the specific Key Performance Indicators (KPIs) for this contract are not detailed in the provided data, typical performance metrics for kidney transplant services would likely include: patient survival rates post-transplant, graft survival rates (how long the transplanted kidney functions), rates of organ rejection, patient satisfaction scores, adherence to post-transplant medication regimens, infection rates, and timely access to follow-up care and specialist appointments. The Department of Veterans Affairs (VA) would also monitor the contractor's compliance with all relevant medical standards, ethical guidelines, and reporting requirements. Performance would be assessed against established benchmarks and the terms outlined in the contract's Statement of Work (SOW).

What is the historical spending pattern for kidney transplant services at the Hines VA Hospital or within the Department of Veterans Affairs?

The provided data does not include historical spending patterns for kidney transplant services at the Hines VA Hospital or for the Department of Veterans Affairs overall. To assess historical spending, one would need to query federal procurement databases (like FPDS or USASpending.gov) for past contracts related to kidney transplantation services awarded to Hines VA or other VA facilities. Analyzing this historical data would reveal trends in contract values, the number of awards, the types of services procured, and the contractors utilized. This information is crucial for understanding budget allocation, identifying potential increases or decreases in demand, and evaluating the consistency of service providers over time.

What are the potential risks associated with awarding this contract on a sole-source basis, and how might they be mitigated?

The primary risk of a sole-source award is the potential for inflated costs due to the lack of competitive pressure. Without multiple bidders vying for the contract, the selected contractor may not be incentivized to offer the lowest possible price. Another risk is the potential for complacency or reduced innovation if the contractor knows they are the only option. Mitigation strategies could include rigorous negotiation of the contract terms and pricing, establishing clear performance standards and penalties, and conducting thorough market research to ensure the negotiated price is fair and reasonable, even without direct competition. Additionally, the VA could plan for future competition by actively seeking and developing alternative sources for these services.

Industry Classification

NAICS: Educational Services › Colleges, Universities, and Professional Schools › Colleges, Universities, and Professional Schools

Product/Service Code: MEDICAL SERVICES › MEDICAL, DENTAL, AND SURGICAL SVCS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2160 S 1ST AVE, MAYWOOD, IL, 60153

Business Categories: Category Business, Corporate Entity Tax Exempt, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Private), Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,300

Exercised Options: $2,300

Current Obligation: $2,300

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C25222D0061

IDV Type: IDC

Timeline