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

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. Performance period of one year with potential for extensions. 4. Services are critical for veterans requiring long-term kidney support. 5. Geographic concentration of services in Illinois. 6. No small business set-aside noted, potentially impacting small business participation.

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 services. However, without direct benchmarks for similar long-term living donor services specifically for the VA or comparable academic medical centers, a precise value-for-money assessment is challenging. The sole-source nature of the award means that competitive pricing pressures were not leveraged, which could have potentially driven down costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor was solicited. The justification for this approach is not detailed in the provided data. Sole-source awards typically occur when a unique capability or circumstance exists, but they bypass the competitive process that usually helps ensure the best price and value for the government.

Taxpayer Impact: The lack of competition means taxpayers may not have benefited from the potentially lower prices that could have resulted from a bidding process among multiple qualified providers.

Public Impact

Veterans at the Hines VA Hospital in Illinois will receive essential long-term kidney transplant services. The services are crucial for patients with end-stage renal disease, improving quality of life and survival rates. The contract supports specialized medical professionals and facilities at Loyola University of Chicago. The geographic impact is focused on the Illinois region served by Hines VAH.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing benefits.
Lack of transparency on the justification for sole-source award.
Potential for higher costs due to absence of competition.

Positive Signals

Ensures continuity of critical care for veterans.
Leverages established expertise of a known provider.
Fixed-price contract offers budget predictability.

Sector Analysis

This contract falls within the Healthcare sector, specifically focusing on specialized transplant services. The market for such services is highly specialized, often involving academic medical centers with advanced research and clinical capabilities. Benchmarking is difficult as transplant services are not typically commoditized, and costs vary significantly based on complexity, patient population, and provider infrastructure. The VA's reliance on established medical institutions for such critical care is common.

Small Business Impact

The contract data indicates that this was not a small business set-aside, nor does it appear to involve significant subcontracting opportunities for small businesses based on the nature of the service. The award to a large university medical center suggests that the primary focus was on specialized capabilities rather than small business engagement.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Veterans Affairs' contracting and medical administration. Accountability measures would be tied to the performance standards outlined in the contract and the quality of care provided. Transparency is limited by the sole-source nature of the award, with further details on oversight mechanisms not provided in the basic data.

Related Government Programs

VA Medical Services Contracts
Organ Transplant Programs
Federally Funded Healthcare Services
Academic Medical Center Partnerships

Risk Flags

Sole-source award may lead to higher costs.
Limited transparency on award justification.
Potential lack of competitive innovation.

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 historical spending pattern for kidney transplant services at Hines VAH or similar VA facilities?

Historical spending data for kidney transplant services at Hines VAH or comparable VA facilities is not provided in the current dataset. To conduct a thorough analysis, one would need to examine past contracts for similar services, noting the award amounts, contract types (e.g., sole-source vs. competitive), and performance periods. Understanding historical spending would allow for a better assessment of whether the current $2.3 million award represents an increase, decrease, or stable trend in investment for these critical services. It would also help identify if there have been previous competitive solicitations and their outcomes, which could inform future contracting strategies.

What specific services are included under 'LONG TERM LIVING DONOR (KIDNEY) SERVICES'?

The term 'LONG TERM LIVING DONOR (KIDNEY) SERVICES' likely encompasses a comprehensive suite of medical and surgical care related to kidney transplantation from living donors. This would typically include pre-operative evaluations for both the donor and recipient, the surgical procedure for kidney retrieval and implantation, and extensive post-operative care, including immunosuppression management, monitoring for rejection, and treatment of potential complications. It may also extend to long-term follow-up care for the recipient to ensure the graft's viability and manage chronic health conditions associated with kidney disease and transplantation. The exact scope would be detailed in the contract's Statement of Work (SOW).

What is the 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 data. Typically, sole-source awards are justified under circumstances such as when only one responsible source can provide the required supply or service, or when there is a compelling urgency. For specialized medical services like kidney transplantation, justifications might include unique expertise, established patient care pathways, or specific research capabilities possessed by a single institution. A formal Justification and Approval (J&A) document would normally be required and publicly accessible for such awards.

How does the $2.3 million contract value compare to market rates for similar transplant services?

Comparing the $2.3 million contract value to market rates for similar transplant services is challenging without specific market data. Kidney transplant services are highly specialized and their costs vary significantly based on factors like the complexity of the procedure, the extent of pre- and post-operative care, the duration of follow-up, and the specific capabilities of the medical institution. Loyola University of Chicago is a reputable academic medical center, suggesting the services provided are likely comprehensive. However, the absence of competitive bidding means this price was not tested against other providers, making it difficult to definitively state if it represents optimal market value or if it is higher than what might be achieved through competition.

What is Loyola University of Chicago's track record in providing kidney transplant services, particularly to federal agencies?

Loyola University of Chicago, through its health system (likely Loyola Medicine), has a recognized program for organ transplantation, including kidney transplants. Their track record typically involves performing a significant volume of these procedures and managing complex patient cases. While this specific contract is with the Department of Veterans Affairs (VA), Loyola's experience is primarily within the civilian healthcare sector. Information regarding their specific track record with federal agencies, particularly the VA, for transplant services would require further investigation into past federal contracts or partnership agreements, which are not detailed in the provided data.

What are the potential risks associated with a sole-source award for critical medical services?

The primary risk associated with a sole-source award for critical medical services is the potential for inflated costs due to the lack of competitive pressure. Without multiple bidders vying for the contract, the awarded contractor may not have the same incentive to offer the lowest possible price. Additionally, sole-source awards can limit the government's access to innovative solutions or potentially more efficient service delivery models that might be offered by other qualified providers. There's also a risk of vendor lock-in, where the government becomes dependent on a single provider, potentially reducing flexibility in future contracting. Transparency can also be a concern, as the justification for bypassing competition may not always be fully transparent.

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