VA Awards $2.2M for Outpatient Care to Valor Healthcare Inc. in Arkansas

Contract Overview

Contract Amount: $2,206,014 ($2.2M)

Contractor: Valor Healthcare Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-10-01

End Date: 2025-09-30

Contract Duration: 364 days

Daily Burn Rate: $6.1K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: COMMUNITY BASED OUTPATIENT CENTER

Place of Performance

Location: FAYETTEVILLE, WASHINGTON County, ARKANSAS, 72703

State: Arkansas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.2 million to VALOR HEALTHCARE INC for work described as: COMMUNITY BASED OUTPATIENT CENTER Key points: 1. Contract awarded to Valor Healthcare Inc. for outpatient care services. 2. The Department of Veterans Affairs is the contracting agency. 3. The contract is for a base period of 364 days. 4. The total award amount is $2,206,013.75. 5. The contract was not competed.

Value Assessment

Rating: fair

The award amount of $2.2M for outpatient care services appears reasonable given the duration and scope. However, without a competitive process, it's difficult to definitively assess if this represents the best value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source or limited competition award. This limits price discovery and may result in higher costs for taxpayers compared to a fully competitive process.

Taxpayer Impact: The lack of competition may lead to a higher cost for taxpayers than if the contract had been awarded through a competitive bidding process.

Public Impact

Veterans in Arkansas will receive outpatient care services. The contract supports healthcare delivery within the VA system. The award contributes to the operational capacity of the Community Based Outpatient Center.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for inflated pricing

Positive Signals

Supports veteran healthcare needs
Clear contract duration and value

Sector Analysis

This contract falls within the Healthcare sector, specifically for outpatient care centers. Spending in this area is critical for supporting healthcare infrastructure and service delivery. Benchmarks for similar contracts would typically consider patient volume, services offered, and geographic location.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine if opportunities were missed.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight of this contract. The lack of competition raises questions about the effectiveness of oversight in ensuring fair pricing and value.

Related Government Programs

All Other Outpatient Care Centers
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Lack of competition
Potential for overpricing
Limited transparency in award justification
No small business participation evident

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.2 million to VALOR HEALTHCARE INC. COMMUNITY BASED OUTPATIENT CENTER

Who is the contractor on this award?

The obligated recipient is VALOR HEALTHCARE 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 $2.2 million.

What is the period of performance?

Start: 2024-10-01. End: 2025-09-30.

What was the justification for not competing this contract?

The justification for not competing this contract is not provided in the data. Typically, sole-source awards require a documented justification, such as a critical need, lack of qualified sources, or specific circumstances outlined by federal acquisition regulations. Without this justification, it's difficult to assess the necessity of a non-competitive award.

What is the benchmarked per-unit cost for similar outpatient care services?

Benchmarking the per-unit cost for this contract is challenging without more specific service details and patient volume data. However, given the $2.2M award for a 364-day period, the average daily cost is approximately $6,055. Comparing this to industry averages for similar VA outpatient centers, adjusted for location and service complexity, would be necessary to determine cost-effectiveness.

How does the lack of competition impact the quality of care provided?

While a lack of competition primarily impacts pricing, it can indirectly affect quality if the contractor faces less pressure to innovate or improve services. However, the VA typically has quality assurance measures in place regardless of the contracting method. The key concern is whether the non-competitive award allowed for the best possible value, which includes both cost and quality.

Industry Classification

NAICS: Health Care and Social Assistance › Outpatient Care Centers › All Other Outpatient Care Centers

Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14643 DALLAS PKWY, DALLAS, TX, 75254

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

Financial Breakdown

Contract Ceiling: $2,206,014

Exercised Options: $2,206,014

Current Obligation: $2,206,014

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C25624D0049

IDV Type: IDC

Timeline