VA awards $2.1M for ambulance services in Arkansas, with PAFFORD MEDICAL SERVICES, INC. as the contractor

Contract Overview

Contract Amount: $2,079,485 ($2.1M)

Contractor: Pafford Medical Services, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $5.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: GROUND AMBULANCE & PATIENT TRANSPORTATION SERVICES

Place of Performance

Location: HOPE, HEMPSTEAD County, ARKANSAS, 71801

State: Arkansas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.1 million to PAFFORD MEDICAL SERVICES, INC. for work described as: GROUND AMBULANCE & PATIENT TRANSPORTATION SERVICES Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration is 364 days, indicating a short-term need for services. 3. The fixed-price contract type aims to control costs for the government. 4. Services are for ground ambulance and patient transportation, a critical healthcare support function. 5. The award is a delivery order, likely part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar framework. 6. The contractor, PAFFORD MEDICAL SERVICES, INC., is the sole awardee for this specific delivery order.

Value Assessment

Rating: good

The contract value of approximately $2.1 million for a year of ambulance services appears reasonable given the nature of the service. Benchmarking against similar contracts for ground ambulance services would provide a more precise value-for-money assessment. The firm fixed-price structure helps mitigate cost overrun risks for the VA. Without specific performance metrics or comparison data, a definitive assessment of excellence is difficult, but the award through full and open competition suggests a potentially competitive pricing environment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but this method generally fosters a competitive environment, which can lead to better pricing and service quality. The VA likely sought proposals that met specific requirements for ambulance services in the specified region.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it increases the likelihood of receiving competitive pricing and encourages a wider range of service providers to participate, potentially leading to cost savings.

Public Impact

Veterans in Arkansas will benefit from reliable ground ambulance and patient transportation services. The contract ensures the availability of essential medical transport for non-emergency and potentially emergency situations. Geographic impact is focused on Arkansas, ensuring local access to these critical services. The contract supports the healthcare delivery infrastructure for the Department of Veterans Affairs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data makes it difficult to assess the quality of service.
The short contract duration (364 days) may lead to frequent re-competition and potential disruption if not managed effectively.
Limited information on the number of bidders prevents a full assessment of the competitive landscape.
The specific nature of 'patient transportation' could range from routine transfers to more critical care, impacting the required resources and expertise.

Positive Signals

Awarded through full and open competition, indicating a commitment to a fair and transparent procurement process.
The firm fixed-price contract type provides cost certainty for the government.
The contract addresses a clear need for essential healthcare support services for veterans.
The contractor, PAFFORD MEDICAL SERVICES, INC., is established in providing these types of services.

Sector Analysis

The ground ambulance and patient transportation services sector is a vital component of the broader healthcare industry. This contract falls under the Healthcare and Social Assistance sector, specifically within the Ambulance Services sub-sector (NAICS 621910). The market for these services is often localized, with providers needing to meet stringent regulatory and operational standards. Government contracts, particularly with agencies like the VA, represent a significant portion of the revenue for many ambulance service providers, ensuring access to care for beneficiaries.

Small Business Impact

The provided data indicates that small business participation (ss: false) and set-asides (sb: false) were not applicable to this specific contract award. This suggests that the contract was not specifically targeted towards small businesses, and there is no explicit indication of subcontracting requirements for small businesses within this award. Therefore, the direct impact on the small business ecosystem from this particular contract is likely minimal, unless the prime contractor voluntarily engages small businesses in their supply chain.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs (VA) contracting officers and program managers. They are responsible for ensuring that PAFFORD MEDICAL SERVICES, INC. adheres to the contract terms, delivers services as specified, and meets all regulatory requirements. The VA's Office of Inspector General (OIG) may also conduct audits or investigations into contract performance and financial management if concerns arise. Transparency is facilitated through contract award databases, though detailed performance reports are often internal.

Related Government Programs

Department of Veterans Affairs Medical Care Programs
TRICARE Medical Transportation Services
Medicare Ambulance Services
Medicaid Ambulance Services
Emergency Medical Services Contracts

Risk Flags

Potential for service gaps if contractor performance falters.
Risk of inadequate response times impacting patient care.
Limited visibility into the number of competing bids.
Short contract duration may necessitate frequent re-procurement.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.1 million to PAFFORD MEDICAL SERVICES, INC.. GROUND AMBULANCE & PATIENT TRANSPORTATION SERVICES

Who is the contractor on this award?

The obligated recipient is PAFFORD MEDICAL SERVICES, 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 $2.1 million.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the track record of PAFFORD MEDICAL SERVICES, INC. in providing government contracts, particularly for ambulance services?

PAFFORD MEDICAL SERVICES, INC. has a history of providing ambulance and medical transportation services. While specific details on their track record with government contracts require deeper database analysis, their presence as an awardee suggests they meet the necessary qualifications and performance standards. Examining past performance evaluations, any past performance issues or commendations, and the volume and type of previous government contracts awarded to them would provide a more comprehensive understanding of their reliability and expertise in serving federal agencies like the VA. Their ability to secure this delivery order indicates a satisfactory performance history or competitive positioning.

How does the awarded price of approximately $2.1 million for 364 days of ambulance services compare to market rates or similar government contracts?

The awarded price of approximately $2.1 million for a year of ambulance services translates to roughly $5,753 per day or about $175,000 per month. To assess value for money, this figure needs to be benchmarked against similar contracts awarded by the VA or other federal agencies for ground ambulance services in comparable geographic regions. Market rates can vary significantly based on the level of service (e.g., basic life support vs. advanced life support), response times, fleet size, and local labor costs. Without specific data on the number of bids received and the pricing structures of competitors, it's challenging to definitively state if this represents excellent value. However, the firm fixed-price nature and full and open competition suggest an effort to achieve competitive pricing.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks include potential service disruptions if the contractor fails to meet performance standards, cost overruns (though mitigated by fixed-price), and inadequate coverage or response times. Given the short duration, there's also a risk of inconsistent service quality if the contractor is not fully invested. Mitigation strategies likely involve clear performance work statements (PWS), defined service level agreements (SLAs), regular monitoring by VA contracting officers, and the potential for penalties or contract termination for non-performance. The firm fixed-price structure itself is a risk mitigation tool against cost escalation. The VA's oversight mechanisms are crucial for identifying and addressing performance issues proactively.

How effective is the current contract in ensuring timely and adequate patient transportation for veterans in Arkansas?

The effectiveness of this contract hinges on the contractor's ability to meet the specific requirements outlined in the Performance Work Statement (PWS), which is not detailed in the provided data. Timeliness and adequacy are typically measured by metrics such as response times, patient outcomes, fleet availability, and patient satisfaction surveys. As this is a delivery order under a potentially larger contract vehicle, its effectiveness is also tied to the overall framework it supports. Regular performance reviews and feedback mechanisms between the VA and PAFFORD MEDICAL SERVICES, INC. are essential for ensuring the contract effectively serves the transportation needs of veterans in Arkansas.

What has been the historical spending pattern for ground ambulance and patient transportation services by the Department of Veterans Affairs?

Historical spending data for ground ambulance and patient transportation services by the VA would reveal trends in demand, pricing, and contractor utilization. Analyzing past contract awards, including their values, durations, and the contractors involved, can indicate whether spending has been consistent, increasing, or decreasing. This analysis helps in understanding the VA's long-term reliance on such services, the typical contract values, and the competitive landscape over time. Significant fluctuations or a consistent rise in spending might signal increasing healthcare needs or changes in service delivery strategies. This specific $2.1M award should be viewed within that broader historical context.

Industry Classification

NAICS: Health Care and Social Assistance › Other Ambulatory Health Care Services › Ambulance Services

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3509 W 16TH ST, HOPE, AR, 71801

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $2,079,485

Exercised Options: $2,079,485

Current Obligation: $2,079,485

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C25624D0063

IDV Type: IDC

Timeline